The Supreme Court strongly criticized the Centre for its prolonged inaction regarding pensions for retired regular Army captains under the One Rank One Pension (OROP) scheme, imposing a Rs 2 lakh fine. A bench comprising Justice Sanjiv Khanna and Justice R Mahadevan granted the Centre a final deadline until November 14 to resolve the pension anomalies for these retired officers. The Court mandated that the Rs 2 lakh fine be deposited into the welfare funds of the Army, warning that failure to act by the deadline would result in a directive to increase the pensions of these officers by 10%.
The matter is scheduled for further hearing on November 25. Additional Solicitor General Aishwarya Bhatti, representing the Centre, acknowledged that six anomalies identified by the Kochi bench of the Armed Forces Tribunal (AFT) still needed rectification. Despite this, the government has not yet taken a definitive stance. The bench expressed its frustration, stating, “How long will this continue? Either you pay an enhanced pension by 10% or face penalties. This issue arose in 2021, yet no decision has been made.”
Bhatti argued that the government needed to address all six anomalies comprehensively, as partial solutions could have broader implications. She pleaded for one more opportunity to resolve the matter, promising that an affidavit would be filed and a decision made within three months. The bench initially resisted granting additional time or accepting an affidavit, emphasizing the plight of the retired captains who lacked influence and access to government officials. Justice Khanna remarked, “If the government is not taking a decision, I cannot help these officers. Either pay 10% more or pay the fine.”
When the bench began to dictate an order for enhanced pensions, Bhatti requested the imposition of a fine instead, arguing it would be more equitable than increasing pensions. The bench reluctantly agreed, setting the deadline for November 14 and stipulating that the fine be deposited in the welfare fund of the armed forces within four weeks. The apex court’s July 23 order noted that the regional AFT had directed the government on December 7, 2021, to resolve the pension anomaly for retired regular captains, an order the Centre has contested, involving 13 retired captains in the dispute.
The court has repeatedly postponed hearings to allow the government to resolve the pension issue. The bench expressed frustration with the ongoing delays, hinting at imposing exemplary costs and a potential 20% pension increase if no resolution was reached. However, as a final opportunity, the case was relisted for July 30.
The OROP scheme, introduced by the Centre in 2015, aimed to equalize pension rates for past and current retirees. However, discrepancies in pension tables for captains and majors emerged due to inadequate data on officers in these ranks, as the minimum rank for pensionable service was lieutenant colonel. The Ministry of Defence appointed a One Man Judicial Committee (OMJC) in 2016 to address these anomalies, but no decision followed. Subsequently, the Kochi Bench of the AFT ordered the ministry to resolve the issue based on the OMJC’s recommendations within a specified timeframe. The Centre then challenged this order in the Supreme Court.
