Arijit Pasayat JUDGMENT
Arijit Pasayat, J.
1. Leave granted in both the special leave petitions.
2. Division Bench of the High Court of Bombay at Nagpur Bench has held by the impugned judgment that the respondents (hereinafter referred to as 'the employees') were entitled to pension in terms, of the Reserve Bank of India Pension Regulations, 1990 (in short the 'Pension Regulations'). The Reserve Bank of India (hereinafter referred to as the 'employer') has questioned the correctness of the judgment.
3. Factual position is almost undisputed, and brief reference thereto would suffice.
4. Respondents were working in various capacities in the employer organization. The employees tendered resignation sometimes in 1988. Subsequent to their resignation, the Pension Regulations came to be operative. The said Regulation was wade in exercise of powers conferred by Clause (5) of Sub-section (2) of Section 58 of the Reserve Bank of India Act, 1934 (for short the 'Act'). The Central Board, of the employer-bank with the previous sanction of the Central Government made the Regulations. The Reserve Bank of India Staff Regulations, 1948 (in short 'staff Regulations') Which were subsequently amended w.e.f. 7.2.1992 were in operation at the relevant time governing the service conditions. Regulation 26 of the 1948 Regulations dealt with the age of retirement. Sub-rule (3) thereof which has some relevance to the present disputes provides that an employee who has attained the age of 50 years may voluntarily retire after giving to the Competent Authority three months' notice in writing. Though several other provisions were incorporated in the Regulation w.e.f. 7.2.1992. this provision in Sub-rule (3) continued unamended. By Pension Regulations prescriptions were made for granting pension to certain categories of employees. Regulations 2(12) and 18 thereof read as follows:
"2(12): 'Retirement' means retirement in terms of Staff Regulation 26 and other instructions issued by the Bank under Settlements/Awards;
18. Forfeiture of service on resignation or dismissal or termination: Resignation or dismissal or termination of an employee from the service shall entail forfeiture of his entire past service and consequently shall not qualify for pension payment."
Some of the provisions of Staff Regulations, need to be noted. They read as follows:
"Regulation 26. (unlamented prior to 7.2.1992)- (1) an employee, other than an employee in Class IV shall retire at 58 years of age and an employee in Class IV at 60 years of age:
Provided that in the case of an employee in Class IV who has reached the age of 55 years the Bank may, in its discretion, retire him after giving two months' notice in writing if in the opinion of the competent authority his efficiency is found to have been impaired.
Provided further that the Bank may, in its discretion, retire an employee, other than an employee in Class IV, at any time after........