SC Limits Disability Pension Arrears to 3 Years Before Petition, Overturns Extended 16-Year Arrears Decision.

The SC allowed the appeals, setting aside the Division Bench's order that granted disability pension from the date it fell due in 1983. The SC restored the Single Judge's decision, which limited the arrears to 38 months prior to the writ petition. The SC emphasized that arrears for disability pension should typically be restricted to three years before the writ petition or from the date of demand to the writ petition, whichever is lesser, thus correcting the High Court's error in extending arrears to 16 years.

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Issues:
1. Entitlement to disability pension from the date it fell due.
2. Application of the principles of continuing wrong and recurring wrongs in service law disputes.
3. Justification of directing payment of arrears for 16 years instead of restricting it to three years.

Analysis:

Issue 1: Entitlement to disability pension from the date it fell due
The respondent, a former Indian Army member, was invalidated from service in 1983 and sought disability pension. Initially, the High Court directed payment of disability pension for 38 months prior to the writ petition. However, the respondent appealed, arguing for entitlement from the date it fell due in 1983. The Division Bench allowed the appeal, granting pension from the date it fell due. The Supreme Court considered whether the High Court was justified in extending the arrears to 16 years instead of three.

Issue 2: Application of principles of continuing wrong and recurring wrongs
The Supreme Court referred to previous cases to explain the concepts of continuing wrong and recurring wrongs in service law disputes. Continuing wrong refers to a single act causing ongoing injury, while recurring wrongs are periodic acts creating distinct causes of action. The Court emphasized that a service-related claim based on a continuing wrong can be entertained despite delay, but reopening issues affecting third-party rights may not be allowed. The Court highlighted that claims related to pay or pension may be considered despite delay, while issues like seniority or promotion affecting others may be time-barred.

Issue 3: Justification of directing payment of arrears for 16 years
The Supreme Court held that the High Court erred in directing payment of arrears for 16 years, stating that such a delay would affect the consequential claim for arrears. The Court emphasized that relief for arrears should typically be restricted to three years before the writ petition or from the date of demand to the writ petition, whichever is lesser. Therefore, the Supreme Court set aside the Division Bench's order and restored the Single Judge's decision regarding the payment of disability pension.

In conclusion, the Supreme Court allowed the appeals, setting aside the order directing payment of disability pension from the date it fell due and restoring the Single Judge's decision.

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