In Brief
The Director of Enforcement appealed a High Court decision that granted retired government employees (respondents) a higher grade pay of Rs. 6600 under the Modified Assured Career Progression Scheme (MACP). The Supreme Court held that the MACP Scheme envisages placement at the immediate next higher grade pay in the pay hierarchy, not the grade pay of the next promotional post. Clause 8.1 of the Scheme treated the same grade pay (Rs. 5400) in different pay bands as separate, so respondents were entitled to Rs. 5400, not Rs. 6600. The Court held the High Court had no jurisdiction to modify a Government policy scheme based on expert recommendations. However, acknowledging the retired employees had already received the higher pension for years, the Court ordered no recovery of the difference prior to December 2021, though future pensions would be fixed at the correct grade pay.
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