SRI.R. VIJAYAKUMAR, MEMBER.
This complaint has been filed under section 12 of Consumer Protection Act seeking Redressal of her grievances relating to the unlawful deduction from the pension amount in the name of commutation.
The averments in the complaint can be summarized as follows:
The complainant was a worker of Cashew Development Corporation and now she is a pensioner under Employees Provident Fund Pension Scheme 1995. Her monthly pension was determined by the opp.party at the rate of Rs.585/- and it was allowed with effect from 1..7..2000. There was a dispute regarding the quantum of compensation and it was finally decided by Kerala State Consumer Disputes Redressal Commission in Appeal No.325/09 and 422/09 dated 26..5..2010 and the pension was determined as Rupees 761/- per men sum. Before filing that complaint the complainant opted commutation of 1/3 of the pension for 100 times. The commuted value of complainant’s pension comes to Rs.19,500/-. After commutation the complainant was being paid monthly pension at the rate of Rs.331/- Hundred months has been already elapsed as early on 31..10..2008. As the complainant opted commutation only for 100 months she was eligible to get full pension from 1..11..2008 onwards. But she is being paid monthly pension only at the rate of Rs.331/- as earlier. Deduction from sanctioned pension after the period of commutation is illegal, unsustainable and it amounts to deficiency in service from the part of opp.parties. The complainant sent a representation to the opp.party and requested for disbursement of the deducted pension amount. This request was not properly considered by the opp.parties. Hence the complainant filed this complaint seeking full pension and other reliefs.
The contentions of the opp.party are comprehended as under.
Smt. Sarasamma.D., bearing PF code No.KR 2798/1649 is drawing EPS 1995 monthly pension of Rs.585/- from 1..7..2000 under PPO No.KR/KLM/21408. As the complainant had exercised option for commutation there is no provision for restoration of the full pension amount. As per the paragraph 12 A, of EPS 95, a member eligible to pension may in lieu of pension normally admissible under paragraph 12, opt on completion of three years from the commencement of the scheme, to commute up to a maximum of one third of her pension so as to receive hundred times the monthly pension so commuted as commuted value of pension. Balance pension will be paid on monthly basis as per option exercised under paragraph 13. As the complainant had opted commutation, the complainant is enabled to get 19,500/- as commuted value and option for ROC enable the nominee of the complainant to get a lump sum of Rs.39,000/- on the death of the complainant. In this case the pension payable to the complainant is Rs.331/- after deduction of Rs.39/- due to the Return of Capital Monthly Pension Rs.331/- is releasing every month by the complainant without any delay. There is no violation of any provision of EPF Act 1952. There is no deficiency in service from the part of opp.party, as the pension has been calculated as per para 12 of Employees Pension Scheme 1995. The complainant has no ground for claiming Pension arrears or restoration of original pension after 100 months. There is no deficiency in service from the part of opp.parties.
The complainant and the opp.party has not adduced any oral or documentary evidence. Heard both sides.
The points that would arise for consideration are:
1. Whether there is any deficiency in service from the part of opp.parties
2. Compensation and cost.
Points 1 and 2
The only dispute in this case is that whether the complainant is entitled for balance amount of pension and restoration of full pension after 100 months. According to the complainant she is entitled to get full pension after 100 months. In the view of the complainant, the commutation period expired with effect from 1..11..2008 . Therefore the complainant is eligible to get full pension from 1..11…2008 onwards, as the complainant opted commutation only for 100 months. But she is being paid only monthly pension at the rate of Rs.331/- as earlier. The deduction after the expiry of opted period is illegal
According to the opp.parties the maximum of commuted value is hundred times of 1/3 of the monthly pension. There is no provision anywhere in the Employees Pension Scheme that after a period of 100 months the original pension will be restored. The pension payable to the complainant after deducting the commuted amount is correct. The complainant has in fact misread the provision of commuting the pension after 100 time the monthly pension as restoration of original pension after 100 months.
We have carefully perused the related provisions under Employees Pension Scheme 1995. The complainant exercised her option for commutation of pension under paragraph 12 A. Paragraph 12 A Option for commutation describes as “A member eligible to pension may in lieu of pension normally admissible under paragraph 12, opt on completing three years from the commencement of this scheme, to commute upto a maximum of one third of his pension, so as to receive hundred times the monthly pension so commuted as commuted value of pension. Balance pension will be paid in monthly basis as per option exercised under section 13.”
It is clear from this paragraph that the maximum of the commuted value is 100 times of the 1/3 of the monthly pension so commuted. It is pertinent to note here that there is no further provision for restoration of pension after 100 months. It is further explained as explanation No.4 that” in cases of exercise of option for commutation under paragraph 12 A balance monthly pension payable after commutation shall be deemed to be the original monthly pension for the purpose of this paragraph.”
In the present case, the complainant had opted commutation of the 1/3 of his pension and had received Rs.19,500/- as the commuted value. The original pension amount was Rs.585/- . After deducting commuted amount Rs.195/- and reduced amount due to return of capital Rs.39/- the complainant is releasing Rs.331/- every month as her monthly pension. Hence in this case as per explanation No.4 the balance monthly pension payable after commutation is Rs.390/- and this amount shall be deemed as original pension. The complainant has no dispute regarding the payment of pension amount.
On a careful verification of all the facts and circumstances before us and after a careful scrutiny of the entire provisions regarding commutation of pension under Employees Pension Scheme 1995 we find that there is no deficiency in service from the part of opp.party
In the result, the complaint dismissed. There is no order as to costs.
Dated this the 12th day of April, 2012
