HC quashes RSRTC order withholding pension of retired staff, orders restoration

Jaipur: The Rajasthan High Court has quashed an order of the Rajasthan State Road Transport Corporation (RSRTC) permanently withholding the pension of an 80-year-old retired employee convicted in a corruption case, observing that even in such matters authorities cannot bypass principles of natural justice.

A single-judge bench of Justice Anand Sharma passed the order on May 11 while allowing a writ petition filed by Ramjilal Jangid, a retired office assistant of RSRTC, who challenged the corporation’s April 28, 2021, order stopping his pension permanently under Regulation 4 of the Rajasthan State Road Transport Corporation Employees’ Pension Regulations, 1989.

Counsel for the petitioner, Anshuman Saxena, argued that the corporation acted arbitrarily and denied the petitioner an opportunity for a hearing before imposing the harshest penalty.

According to the petition, Jangid was convicted by a Special Judge court in 2018 under provisions of the Prevention of Corruption Act and sentenced to three years’ imprisonment along with a fine. However, he already retired from service on June 30, 2001, and was receiving pensionary benefits after retirement.

The petitioner contended that immediately after his conviction, RSRTC authorities abruptly stopped his pension without issuing any notice or granting him an opportunity for a hearing.

An earlier order dated Jan 31, 2019, was challenged on grounds that it was issued by an incompetent authority, following which the corporation passed a fresh order in April 2021. The petitioner argued that even the fresh order was passed without following due process.

The High Court observed that Regulation 4 gives authorities discretion to withhold pension either fully or partially, permanently or for a specified period, and therefore requires objective consideration of relevant factors before imposing punishment. The court noted that the impugned order merely referred to the petitioner’s conviction and failed to discuss factors such as the nature of misconduct, length of service, financial consequences, or the possibility of imposing a lesser penalty.

The court further held that a pension is a valuable statutory right and cannot be taken away without complying with principles of natural justice. Holding the order unsustainable in law, the court directed RSRTC to reconsider the matter afresh after issuing a show-cause notice and granting a reasonable opportunity for a hearing to the petitioner. The corporation has been directed to restore and continue pension payments till a fresh order is passed.