1. Rule Made Returnable (Para 1-2)

   • The petitioner, a full-time lecturer in the Agricultural Development Trust, was appointed in 1993. The institution was non-grant from June 1993, receiving Grant-in-Aid from 1st July 2004. Her service was confirmed in May 1996.

2. Voluntary Retirement Due to Ill Health (Para 3)

   • The petitioner opted for voluntary retirement due to ill-health on 29th April 2017. She was relieved on 31st July 2017, having rendered service from August 1993 to July 2017. Her total service was sufficient to qualify for pensionary benefits, meeting the 20-year requirement.

3. Petitioner’s Reliance on a Previous Judgment (Para 4)

   • The petitioner relied on the Bombay High Court’s decision in Dnyaneshwar s/o Shankarrao Marotkar vs. State of Maharashtra (2022), where the Court held that service rendered before a college received Grant-in-Aid would still be counted for pension eligibility.

4. Pension Scheme Applicability (Para 5)

   • The pension scheme for Arts Institute employees came into effect from 1st April 1995, as per Government Resolution. The Court ruled that service rendered before an institution came under Grant-in-Aid is also to be included when calculating qualifying service.

5. Objection by Respondents (Para 5-6)

   • The respondents opposed the petition, arguing that the petitioner took voluntary retirement and hence was not covered by the judgment in Dnyaneshwar (where the petitioner had retired on superannuation).

6. Voluntary Retirement and Pension Entitlement (Para 6)

   • The Court held that voluntary retirement does not disqualify an employee from receiving pensionary benefits, as there is no law barring such entitlement.

7. Grant-in-Aid Institution at the Time of Retirement (Para 7)

   • Since the petitioner’s institution was on Grant-in-Aid at the time of her retirement, she was eligible for pension, based on the precedent set in Dnyaneshwar.

8. Applicability of Dnyaneshwar Judgment (Para 8)

   • The Court applied the ratio in Dnyaneshwar, holding that the petitioner is entitled to pension and statutory interest on delayed payments.

9. Writ Petition Allowed with Interest on Delayed Payments (Para 9)

   • The Court allowed the writ petition, directing payment of statutory interest (12%) on gratuity and 6% on leave encashment if delayed.

10. Payment Schedule for Benefits (Para 10)

    • The Court directed that all benefits be calculated and paid in two installments, by 15th December 2024 and 15th January 2025.

11. Rule Made Absolute (Para 11)

    • The Court concluded by making the rule absolute in the terms outlined.

Acts and Sections Discussed:

• Maharashtra Civil Services (Pension) Rules, 1982: Governing the pension scheme for state employees.
• Government Resolution dated 16/11/1996: Extending pensionary benefits to full-time, approved teaching and non-teaching staff of recognized, aided non-governmental Arts Institutions.
• Government Notification dated 5th October 1999: Setting interest rates on delayed payment of gratuity and other benefits.

Ratio:

The Court held that voluntary retirement does not disqualify an employee from receiving pensionary benefits if the institution was under Grant-in-Aid at the time of retirement. This decision follows the precedent set in Dnyaneshwar s/o Shankarrao Marotkar, where service rendered before an institution received Grant-in-Aid was considered for pension calculation.

Subjects:

Pensionary Benefits, Voluntary Retirement, Grant-in-Aid Institutions

Pension Rights, Voluntary Retirement, Grant-in-Aid, Maharashtra Civil Services Rules, Gratuity, Leave Encashment