VIPIN KALIA Vs. STATE BANK OF INDIA

JUDGEMENT

(1.) The appellants are erstwhile employees' of State Bank of India. They opted for voluntary retirement under the State Bank of India Voluntary Retirement Scheme, which was valid during the period 15th January, 2001 to 31st January, 2001. The option exercised by them was accepted by the respondent on 31st March, 2001.

(2.) All the appellants have either completed 15 years of service or were of 40 years of age as on 31st December, 2000. Accordingly, as per the provisions of the State Bank of India Employees' Pension and Provident Fund Rules, they are not eligible for pension. Rule 22(1) of the aforesaid Rule reads as under:-

(3.) The appellants, however, contend that Indian Bank's Association in their letter dated 11th December, 2000 had recommended and given approval for amendment of pension regulations enabling payment of pension to employees who seek voluntary retirement after 15 years of service on pro rata basis. The appellants claim that in terms of the said letter they should be paid pension, as they have completed 15 years of service, though they were yet to complete 20 years of service. The relevant letter is reproduced below:-