Union of India vs. Wing Commander S.P. Rathore: Supreme Court Ruling on Disability Pension Eligibility

The case of Union of India vs. Wing Commander S.P. Rathore was a significant ruling by the Supreme Court concerning the eligibility criteria for disability pension for Air Force officers upon retirement. The core issue before the Court was whether an officer who retires naturally upon reaching the age of superannuation is entitled to disability pension when the disability is assessed below 20%.

Background of the Case

Wing Commander S.P. Rathore, an officer in the Indian Air Force, retired upon reaching the age of superannuation. He applied for disability pension, citing that his disability was aggravated due to his service in the Air Force. However, his disability was assessed at less than 20%.

The Government of India, through the Ministry of Defence, denied his claim, citing regulations that disability pension is only granted when the disability percentage is 20% or above. The officer challenged this decision before the Armed Forces Tribunal (AFT), which ruled in his favor, granting him disability pension with rounding off benefits.

The Union of India, aggrieved by the AFT’s order, approached the Supreme Court, arguing that the officer was not entitled to disability pension as per the existing regulations.

Key Legal Issues

• Whether an Air Force officer who retires upon reaching superannuation is entitled to disability pension when the disability percentage is less than 20%.
• Whether the principle of rounding off disability percentages applies in such cases.

Relevant Regulations and Policies

The Supreme Court examined the relevant provisions under the Defence Service Regulations, particularly:

• Regulation 37(a): This states that an officer retiring from service on account of a disability that is attributable to or aggravated by service and is assessed at 20% or above may be awarded disability pension.
• Regulation 37(b): This states that the question of whether a disability is attributable to or aggravated by service shall be determined under the regulations provided in Appendix II.

The Court also examined the Circular dated 31.01.2001 issued by the Ministry of Defence, which outlined the following:

• Para 7.2: If an armed forces personnel is invalided out of service, their disability percentage can be rounded off for pension purposes.
• Para 8.2: Disability pension is only granted if the disability is 20% or above. No pension is payable for disability below 20%.

Arguments of the Parties

Arguments by the Union of India:

• The Government relied on Regulation 37(a) and Para 8.2 of the Defence Service Regulations, which explicitly state that disability pension is not payable for disabilities below 20%.
• The rounding off principle under Para 7.2 applies only to personnel who are invalided out of service, not to those who retire in the normal course.
• The decision of the AFT granting disability pension was incorrect as it did not consider the fundamental eligibility requirement.

Arguments by Wing Commander S.P. Rathore:

• The officer argued that since his disability was aggravated due to service conditions, he was entitled to a disability pension.
• He relied on the Supreme Court judgment in Union of India vs. Ram Avtar, where it was held that the benefit of rounding off should be granted to all eligible personnel.
• He contended that denying him pension on technical grounds would be unjust.

Supreme Court’s Judgment

The Supreme Court ruled in favor of the Union of India and overturned the AFT’s decision.

The Court held:

“A bare reading of the aforesaid provision makes it clear that an officer of the Air Force who retires on attaining the age of superannuation is entitled to disability pension only if disability is assessed at 20% or above.”

The Court emphasized that the principle of rounding off applies only to personnel who are invalided out and does not extend to those who retire upon reaching the age of superannuation.

“Both Regulation 37(a) and Para 8.2 clearly provide that the disability element is not admissible if the disability is less than 20%. In that view of the matter, the question of rounding off would not apply if the disability is less than 20%.”

The Court also noted that in Union of India vs. Ram Avtar, the Court had only ruled that rounding off benefits apply to those already eligible for pension but did not alter the basic eligibility criteria.

Final Decision

Based on the above findings, the Supreme Court set aside the AFT’s order and held that Wing Commander S.P. Rathore was not entitled to disability pension.

“In view of the provisions referred to above, we are clearly of the view that the original petitioner/applicant before the AFT is not entitled to disability pension. Therefore, the question of applying the provisions of Para 7.2 would not arise in his case.”

Key Takeaways from the Judgment

• The Supreme Court clarified that personnel retiring upon reaching superannuation are entitled to disability pension only if their disability is 20% or above.
• The principle of rounding off disability percentages applies only to those who are invalided out of service.
• Personnel with disabilities assessed below 20% are not entitled to any disability pension.
• The ruling reinforces the strict adherence to existing regulations governing armed forces pensions.

This judgment serves as an important precedent in disability pension cases, clarifying that eligibility for pension is strictly based on the prescribed percentage and that rounding off benefits cannot be used to bypass eligibility criteria.

Petitioner Name: Union of India & Others.
Respondent Name: Wing Commander S.P. Rathore.
Judgment By: Justice Deepak Gupta, Justice Sanjiv Khanna.
Place Of Incident: India.
Judgment Date: 11-12-2019.

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