As per provisions in Rule 27 of M.C.S.(Pension) Rules 1982,the State Government has a right to withhold or withdraw a pension or part thereof permanently or for a specific period also order recovery of pecuniary loss caused to Government, from the pension, if employee is found guilty of grave misconduct or negligence during his service.
The above said Rule also provides that the Departmental proceedings instituted while the employee was in service shall be continued even after his retirement and finalized in the same manner as if the employee had continued in service. The departmental proceedings mentioned here refers only to the proceedings instituted to impose Major Punishment under Rule 8 0f M.C.S.(D.&A.) Rules 1979 and not proceedings to impose Minor punishment under Rule 10 of the said Rules.
If disciplinary proceedings are initiated to impose minor punishment under Rule 10 of Disciplinary rules during the service, it is obvious that employee is not alleged to have committed grave misconduct or negligence and no action can be taken to withdraw or withheld the pension of an employee as provided in Rule 27 of Pension Rules. Therefore the proceedings initiated to impose minor punishment under Rule 10 of Disciplinary Rules, will have to be finalized before his retirement. If they could not not be finalized before the retirement, they will have to be dropped and the employee is paid all his pensionary benefits including Gratuity.
A copy of Ministry of Home Affairs’, Department of Personnel and Administrative Reforms, Government of India, O.M. No. 134/10/80-AVD.I dated 28.2.81 clarifying the position is reproduced below.
Sub: Minor penalty proceedings pending against Government servants who are due to retire from the service.
***
The undersigned is directed to say that sub-rule [1] of Rule 9 of the C.C.S. [Pension] Rules, 1972 confers on the President the right to withhold or withdraw the pension or a part thereof, either permanently or for specified period, and to order recovery from the pension, of the whole or a part of any pecuniary loss caused to the Government, if, in any departmental or judicial proceedings, the pensioner is found guilty of grave misconduct or negligence during the period of his service including service rendered upon re-employment or retirement. Sub-rule [2] of this rule provides that the departmental proceedings, referred to in sub-rule [1], if instituted before the retirement of a Govt. servant or during his re-employment shall after his final retirement, be deemed to be proceedings under this rule and shall be continued and concluded. Accordingly, the minor penalty proceedings and the major penalty proceedings, which are instituted against a Govt. servant while in service and which do not get concluded before the date of retirement, automatically become proceedings under rule 9 ibid. However, since grave misconduct or negligence cannot be established as a result of minor penalty proceedings, action under Rule 9 ibid for withholding or withdrawing pension etc., cannot be taken against a pensioner, in respect of whom minor penalty proceedings had been instituted while in service but which do not get concluded before retirement and have hence continued after retirement. Such minor penalty proceedings continued beyond retirement, therefore, do not literally have any effect on the pensioner in the matter of reducing or withholding of his pension. The disciplinary authorities under the Department of Agriculture etc., are requested to take note of this position and take steps to see that minor penalty proceedings, initiated against Govt. servants, who are due to retire, are finalized quickly and in time before the date of retirement, so that the need for continuing such minor penalties proceedings beyond the date of retirement does not arise.
