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Supreme Court Denies Interest on Delayed Pension for "Fence-Sitter" Retirees in Haryana

Last Updated: 22-10-2024 09:05:40am
Supreme Court Denies Interest on Delayed Pension for

In the case of K.C. Kaushik & Ors. vs. State of Haryana (Civil Appeal No. 5423 of 2023), resolved on October 21, 2024, the Supreme Court addressed a critical issue with delayed pension payments to retiring lecturers and principals of Haryana's government-aided private institutions. The appellants had been battling for parity with their colleagues in government colleges, requesting an adjustment of their pension in accordance with the Haryana Civil Services (Revised Pension) Part I Rules, 2009, which went into effect on January 1, 2006.

The case arose after the Haryana government rejected revised pension benefits to retirees from government-aided colleges while granting these benefits to government college staff. The pensioners approached the courts, resulting in a verdict in their favor; however, the government delayed the payment of arrears. Although the single judge granted interest on the delayed payment, the state challenged this decision, and the High Court reversed the ruling.

The core issue before the Supreme Court was whether the appellants, having waited for the outcome of other similar cases before filing their own claims, were entitled to interest on the delayed pension. The Supreme Court, while acknowledging the appellants’ right to revised pension, denied their claim for interest, terming them as "fence-sitters" who had waited for others to contest the issue before seeking their own relief. The Court concluded that granting interest in such a scenario would place them in a better position than the original litigants, who had not received interest despite successfully contesting the matter.

This ruling highlights the importance of timely legal action and the principle of equity in awarding interest on delayed payments, particularly when beneficiaries delay seeking relief until after others have secured a favorable outcome.

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TAGS: Supreme Court Haryana pension dispute delayed pension government-aided colleges equity fence-sitters interest on arrears Revised Pension Rules 2009.


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