Sub: IMPLEMENTATION OF ONE RANK ONE PENSION (OROP)

Dear Veterans

Letter to RM, PM, BJP President, RRM and three Chiefs regarding Implementation of OROP dated 13 Jun 2014 is enclosed herewith for your information and widest circulation please.

With regards,

Maj Gen (Retd) Satbir Singh, SM
Chairman IESM
Mob: +919312404269, 0124-4110570
Email ID: satbirsm@gmail.com

.................................

13 Jun 2014

Sh Arun Jaitley, Hon’ble Raksha Mantri
Ministry of Defence South Block, New Delhi-110011

Sub: IMPLEMENTATION OF ONE RANK ONE PENSION (OROP)

Dear Sh Arun Jaitley,

At the outset, I would like to thank you for yesterday’s fruitful meeting, and would also request you for personal perusal of this letter, at your level.

BJP in its Manifesto had assured the Defence fraternity that OROP will be implemented. PM, Mr. Narendra Modi during his election Rallies had announced that BJP will implement the OROP in letter and spirit. In a Rally near Ludhiana (Jagraon), he had assured the Defence Veterans that actual OROP will be implemented. You are aware that defence personnel across the Country had supported the BJP since it was the only Political Party which had assured that their demands and requirements will be accepted in case it came to power and these were included in its Manifesto. It was heartening to hear President in his address to both houses of Parliament also mentioning that OROP will be implemented soon as gratitude to the soldiers for their sacrifices to the Nation.

It is with this assurance in mind, I had the privilege to attend the meeting yesterday ie. on 12th June 2014 Chaired by you, where in, the services Headquarters had briefed on the implementation OROP. The Draft Govt Letter (DGL) prepared by the Service HQs is in line with the accepted definition of OROP and is as per executive orders given by the then Defence Minister Mr. AK Antony during his meeting on 26th Feb 2014. The minutes of the meeting alongwith the executive orders are enclosed for your perusal.

I wish to bring to your notice a fews issues which came up for discussion during the meeting yesterday:-

· The definition of OROP accepted by the Govt and given out by the then RM on 26 Feb 2014 is the same as accepted by the Petition Committee of Rajya Sabha on OROP Chaired by the Shri Bhagat Singh Koshyari which presented its report on 19 Dec 2011 to the Rajya Sabha.

· Based on the above definition, Koshyari Committee after due deliberations with the Secretary Finance and secretary expenditure had worked out the requirement of funds of Rs 3000 Crores in 2011. With 10 percent of inflation every year, it works out to Rs 4000 Crores in 2014. This amount is nothing for the Nation to meet the long pending demand of defence fraternity. OROP has been assured to them by none other than Sh Raj Nath Singh ji President BJP and Sh Narendra Modi Prime Minister India. OROP and welfare of ex-serviceman is a main essence of BJP manifesto. Government has promised that all promises made in manifesto will be honoured asap.

· The then Govt had earmarked Rs 500 Crores as initial indicated amount and had mentioned in the order of 26 Feb 2014 that additional fund as required will be made available.

· It was accepted even by the last Govt that disability and family pensioners will be included in the grant of OROP.

· The Model I and Model 2 by the PCDA/CGDA/DESW must be outrightly rejected since these had never ever come under any discussion on OROP. These, to our mind had been brought in as red herring by elements of lower bureaucracy of the DESW and the Defence Accounts Department in conjunction with the UPA Govt to delay the grant of OROP as per the accepted definition. It may be emphasized here by us again that the definition as announced on the floor of the house and also accepted in writing by way of a Govt of India letter, cannot be held mortgage to the thought processes or personal opinions of bodies of accountants.

· The model presented by the Defence Services HQ is in line with the accepted definition of OROP and fully meets its requirement. Acceptance of any other model will not be OROP as per the accepted definition.

· All the objections raised by the PCDA/CGDA/DESW had been effectively contested by the Service HQs and need to be ignored.

· Rates of pensions are enhanced every year since the basic pays of serving soldiers are enhanced at the rate of three percent every year. In order, to implement the OROP, there is need to adopt a simple workable dynamic model to enhance the pensions every year. If this is not implemented, juniors will start drawing more pension that their seniors. In that event, protection clause will need to be applied which will be difficult to implement and will cause delays.

· Rank pay case as per the SC judgement when implemented would need to be incorporated in OROP.

· Requirement of Rs 9100 Crores required for OROP as stated by CGDA does not seem to be in sync, as no details had been given by the CGDA to the service HQs. We would like to bring to your knowledge that it is very easy for accountants to play with numbers on noting sheets and file notings in order to twist the entire amount and make it seem prohibitory thereby trying to negatively influence the political executive. It is also not understood as to how is the figure provided by even the Expenditure Secretary before a Parliamentary Committee is being now twisted in an attempt to breakaway from the accepted definition of OROP.

· The Govt is committed to implement the OROP as per the accepted definition whatever be the requirement of funds.
In view of the above, the following recommendations are made:-.

1. The Draft Govt Letter (DGL) prepared by the Services HQ for the implementation of OROP as per the accepted definition as already announced in the Parliament and as already issued in writing by the Govt, be sanctioned and implementation letter issued at the earliest.

2. The amount required to implement the OROP as per the above DGL be made available.

3. Disability and family pensions be duly incorporated in the OROP.

4. Rank Pay case Judgement of SC when implemented be incorporated in the OROP.

5. Any further decision or meeting on the issue may not be taken merely on the inputs of Defence Accounts Department or the DESW and may only be taken after due consultation with all stake-holders so that unilateral points of view can be effectively countered whenever required.

With regards,

Maj Gen (Retd) Satbir Singh, SM
Chairman IESM
Mob: +919312404269, 0124-4110570
Email ID: satbirsm@gmail.com

Copy to

Sh Narendra Modi Prime Minister of India Prime Minister’s Office (PMO) New Delhi – 110 001

For information please

Sh Rajnath Singh President, BJP Home Minister Govt of India North Block,New Delhi

For information and action please.

Shri Rao Inderjit Singh
Raksha Rajya Mantri
C-1/14 Lodi Garden
New Delhi - 110 003

For information and action please.

General Bikram Singh,
PVSM, UYSM, AVSM, SM, VSM, ADC
Chief of the Army Staff &
Chairman Chiefs of Staff Committee
Integrated HQs of Armed Forces (Army)
South Block, New Delhi-110011

May we request you to jointly pursue the matter with the Govt for issue of Implementation letter as suggested above at the earliest please.

UPDATE ON OROP

OROP Status Report

by Lt Gen Raj Kadyan

General

1.      Politicians speaking in the Parliament add a lot of dressing to the substance of what they say. The Finance Minister did the same on 14.02.2014 while speaking on OROP. He first floridly announced that the gap between pre-2006 and post-2006 retirees for all ranks needs to be closed. Later, coming to the gist he had stated that the government has now decided to walk the last mile and implement the scheme of One Rank One Pension for all Armed Forces personnel and their dependents.

2.    In the follow-up meeting held on 26.02.2014 the Defence Minister, who was in chair, had reiterated the following definition of OROP:

       "OROP implies that uniform pension be paid to the Armed Forces personnel retiring in the same rank with the same length of service irrespective of their date of retirement and any future enhancement in the rates of pension to be automatically passed on to the past pensioners. This implies bridging the gap between the rate of pension of the current pensioners and the past pensioners, and also future enhancements in the rate of pension to be automatically passed on to the past pensioners."

3.   This definition accords with what the IESM has been projecting (except we had not used the term 'uniform pension'). This was also the definition given by the Rajya Sabha Committee  on Petitions that submitted its report on 19.12.2011.

4.    The Services prepared a draft government letter in April giving out detailed modalities of OROP. The draft still remains under discussion.

Meetings of Stake Holders

5.      In a subsequent meeting held on 22.04.2014, the Defence Minister constituted a committee to work out the modalities and submit its report within three weeks. (It is learnt that the Minister wanted the report much faster but the PCDA expressed inability to do it in lesser time frame).

6.    The Committee has had five sittings starting with the first meeting on 02.05.2014. Some of these were chaired by the RRM.  The PCDA has been consistently displaying an obstructionist approach and has been the main stumbling block. He has been giving his own interpretation to various aspects of OROP. Some of these, including the counter by the Services are given in following paras.

7.    Definition of OROP.   According to PCDA, definition of OROP should be drawn from the Finance Minister's budget 2014-15 speech vide which the gap between pre-2006 retirees and post-2006 retirees for all ranks needs to be closed. Here he is quoting the first part of the FMs speech while conveniently ignoring the second part as given in Para 1 above. The Service representatives attending the meetings have pointed this out in the meeting and have also drawn attention to the definition given by the Rajya Sabha Committee on Petitions.

8.      Interpretation of the Term 'Uniform Pension'.  The PCDA has opined that 'Uniform' pension means pension under a uniform pay/pension structure i.e. under the same pay scales with same qualifying service & pension calculation formula. According to him it need not necessarily lead to same pension for all the retirees (past & present) in the same rank and same qualifying service because of the annual increments being given to the serving personnel. The Services have of course countered saying uniform pension means one/same/equal/identical pension.

9.      Length of Service.  The PCDA has further held that the 'length of service' in the OROP definition is to be treated as the number of years of service put in by the pensioner in the rank last held. Alternatively, according to the PCDA, if total qualifying service is to be treated for the purpose of OROP then qualitative aspects relating to length of service in terms of number of years rendered in each rank the service person has served before the retirement in the last rank held, needs to be taken cognizance of. This they concede will be difficult to implement in practice. The counter by the Services is that length of service and qualifying service are synonymous as given in Rule 19 of Pension Regulations 2008 as also in the MoD letter dated 17.01.2013.

10.   Bridging the Gap.    The PCDA has further held that while bridging the gap between the pre-2006 and post-2006 pensioners the benefits of improved service conditions (viz. method of faster promotion applicable to the current personnel) should not be extended to past pensioners. This in fact runs against the concept of automatically passing on future enhancement to past pensioners, which is intrinsic to the definition of OROP. The Services have pointed this out, also underscoring the fact that the benefit of MSP and Grade Pay for calculation of pension has already been extended to past pensioners. The Services have further suggested that there should be a periodic review of OROP say on yearly basis, wherein any anomaly can be addressed.

Conclusion

11.    For reasons best known to them the outgoing government announced OROP too late and could not get it implemented during their tenure. With their term nearing the end, the bureaucratic hierarchy reportedly stopped being responsive to political orders. The dunderheaded obduracy of some financial bureaucrats can delay it for some time but cannot stop OROP. It is reiterated that OROP has come about after a long effort of over three decades. While some delay in its implementation is understandable, any hint of dilution will be resisted and will result in renewal of the struggle by The IESM.

Extending judicial decisions in matters of a general nature to all similarly placed employees.

 Para 126.5 of 5th Central Pay Commission  reads as under: 

Extending judicial decisions in matters of a general nature to all similarly placed employees. - We have observed that frequently, in cases of service litigation involving many similarly placed employees, the benefit of judgement is only extended to those employees who had agitated the matter before the Tribunal/Court. This generates a lot of needless litigation. It also runs contrary to the judgment given by the Full Bench of Central Administrative Tribunal, Bangalore in the case of C.S. Elias Ahmed and others v. UOI & others (O.A. Nos. 451 and 541 of 1991), wherein it was held that the entire class of employees who are similarly situated are required to be given the benefit of the decision whether or not they were parties to the original writ. Incidentally, this principle has been upheld by the Supreme Court in this case as well as in numerous other judgments like G.C. Ghosh v. UOI, [ (1992) 19 ATC 94 (SC) ], dated 20-7-1998; K.I. Shepherd etc. Accordingly, we recommend that decisions taken in one specific case either by the judiciary or the Govt. should be applied to all other identical cases without forcing the other employees to approach the court of law for an identical remedy or relief.  Recently, CAT Principal Bench has issued direction on 12.03.2014 in OA No. 864/2014 that once an order has been passed by this tribunal and it has also been upheld at the level of the Supreme Court, there is no question of waiting for an approval from any Govt. department for implementation of the same. 

9000 SFT OFFICE SPACE AVAILABLE AT SOMAJI GUDA HYDERABAD

There is big space of about 9000 sq.ft for office use is available in prime area of somajiguda at ARAM GHAR COMPLEX, PLOT NO.10, SURYANAGAR, SOMAJIGUDA, HYD. In Ground and 1st floor, with all emenities big Parking Area also there. This is new building & This area Usefull for all CORPORATE OFFICES. BANKS. & OTHER SOFTWEAR COMPANIES
Interested persons may  contact ph no. 9440039383 

EX-SERVICEMAN IS REQUIRED FOR GATED COMMUNITY AS RESIDENT MANAGER NEAR KOMPALLY, HYDERABAD

 A Resident Manager is required  to perform the following jobs at a Gated Community. 

The requirements are:

1.The job needs good skills in terms of man management and idea of getting works done in organised way      with in time frames given. 

2.Procurement of material , labour and management of differnet resident complaints and solving them with in a time frame are some basic requirements of the job.  

3.Should be able to speak english/hindi and telugu languages.

4.Salary will commensurate with experience. 

Interested Ex-Servicemen near by Kompally may call on Mr.Sandeep Reddy mobile: 9885399123

Sri.Sreenesh Kumar Sainik Welfare Officer R.R.District is likely to be the new Director of Sainik Welfare to Newly formed Telangana State

Sri.Sreenesh Kumar

According to the information available it is most likely that Sri.Sreenesh Kumar Sainik Welfare Officer R.R.District is likely to be the new Director of Sainik Welfare to Newly formed Telangana State.

Terms of Reference of 7th Central Pay Commission (CPC)

The Union Cabinet today gave its approval to the Terms of Reference of 7th Central Pay Commission (CPC) as follows:-

a)      To examine, review, evolve and recommend changes that are desirable and feasible regarding the principles that should govern the emoluments structure including pay, allowances and other facilities/benefits, in cash or kind, having regard to rationalization and simplification therein as well as the specialized needs of various Departments, agencies and services, in respect of the following categories of employees:-

i. Central Government employees-industrial and non-industrial

ii. Personnel belonging to the All India Services;

iii. Personnel of the Union Territories;

iv. Officers  and   employees   of  the   Indian  Audit  and   Accounts Department;

v. Members of regulatory bodies (excluding the Reserve Bank of India) set up under Acts of Parliament; and

vi. Officers and employees of the Supreme Court.

b) To examine, review, evolve and recommend changes that are desirable and feasible regarding principles that should govern the emoluments structure, concessions and facilities/benefits, in cash or kind, as well as retirement benefits of personnel belonging to the Defence Forces, having regard to historical and traditional parities, with due emphasis on aspects unique to these personnel.

c)  To work out the framework for an emoluments structure linked with the need to attract the most suitable talent to Government service, promote efficiency, accountability and responsibility in the work culture, and foster excellence in the public governance system to respond to complex challenges of modern administration and rapid political, social, economic and technological changes, with due regard to expectations of stakeholders, and to recommend appropriate training and capacity building through a competency based framework.

d)  To examine the existing schemes of payment of bonus, keeping in view, among other things, its bearing upon performance and productivity and make recommendations on the general principles, financial parameters and conditions for an appropriate incentive scheme to reward excellence in productivity, performance and integrity.

e)  To review the variety of existing    allowances presently available to employees in addition to pay and suggest their rationalization and simplification, with a view to ensuring that the pay structure is so designed as to take these into account.

f)  To examine the principles which should govern the structure of pension and other retirement benefits, including revision of pension in the case of employees who have retired prior to the date of effect of these recommendations, keeping in view that retirement benefits of all Central Government employees appointed on and after 01.01.2004 are covered by the New Pension Scheme (NPS).

g)  To make recommendations on the above, keeping in view:

i. the economic conditions in the country  and need for fiscal prudence;
ii. the need to ensure that adequate resources are available for developmental expenditures and welfare measures;
iii. the likely impact of the recommendations on the finances of the State Governments, which usually adopt the recommendations with some modifications;
iv.  the prevailing emolument structure and retirement benefits available to employees of Central Public Sector Undertakings; and
v. the best global practices and their adaptability and relevance in Indian conditions.

h)  To recommend the date of effect of its recommendations on all the above.

The Commission will make its recommendations within 18 months of the date of its constitution.  It may consider, if necessary, sending interim reports on any of the matters as and when the recommendations are finalised.

The decision will result in the benefit of improved pay and allowances as well as rationalization of the pay structure in case of Central Government employees and other employees included in the scope of the 7th Central Pay Commission.

Background
Central Pay Commissions are periodically constituted to go into various issues of emoluments’ structure, retirement benefits and other service conditions of Central Government employees and to make recommendations on the changes required.

(Source-PIB)

SOME IMPORTANT RELIEFS IN BUDGET 14-15 FOR EX-SERVICEMEN

ONE RANK ONE PENSION

56.       Hon’ble Members are aware of the long standing demand of the Defence Services for One Rank One Pension (OROP).  It is an emotive issue, it has legal implications, and it has to be handled with great sensitivity.   During the tenure of the UPA Governments, changes in the pension rules applicable to the defence services were notified on three occasions in 2006, 2010 and 2013.  As a result, the gap between pre-2006 retirees and post-2006 retirees has been closed in four ranks (subject to some anomalies that are being addressed): Havildar, Naib Subedar, Subedar and Subedar Major.  There is still a small gap in the ranks of Sepoy and Naik and a gap in the ranks of Major and above.  We need a young fighting force, we need young jawans, and we need young officers.  We also need to take care of those who served in the defence forces only for a limited number of years.  Government has therefore decided to walk the last mile and close the gap for all retirees in all ranks.  I am happy to announce that Government has accepted the principle of One Rank One Pension for the defence forces.  This decision will be implemented prospectively from the financial year 2014-15.  The requirement for 2014-15 is estimated at `500 crore and, as an earnest of the UPA Government’s commitment, I propose to transfer a sum of `500 crore to the Defence Pension Account in the current financial year itself.

EDUCATION LOANS

64.       Hon’ble Members will recall that my predecessor, Shri Pranab Mukherjee, had, in the Budget of 2009-10, introduced the Central Scheme for Interest Subsidy (CSIS) in respect of education loans disbursed after 1.4.2009 under which Government took over the burden of interest for the duration of the period of study and a little beyond.  The scheme brought great cheer to student-borrowers and their families.  However, I have noticed a sense of discrimination among students who had borrowed before 31.3.2009, struggled to pay interest during the period of study, and continued to service the loans afterwards.  I think they deserve some relief.  I therefore propose a moratorium period for all education loans taken up to 31.3.2009 and outstanding on 31.12.2013.  Government will take over the liability for outstanding interest as on 31.12.2013, but the borrower would have to pay interest for the period after 1.1.2014.  It is estimated that nearly 9 lakh student borrowers will benefit to the tune of approximately `2,600 crore.  I intend to provide the funds in the current financial year itself.  Accordingly, a sum of `2,600 crore will be transferred to the Canara Bank, the designated CSIS banker.  Details of the scheme will be announced shortly. 

One rank one pension from apr 2014 just announced by FM in Budget

ONE RANK ONE PENSION IS ANNOUNCED BY SRI. CHIDAMBARAM THE HON'BLE FINANCE MINISTER TODAY IN HIS BUDGET SPEECH. THIS WILL BE EFFICTIVE FROM 1.4.2014. SINCE HE EXPRESSED FURTHER BRIDGING GAP BETWEEN PRE-2006 AND POST-2006, WE MAY GET LITTLE MORE THAN WHAT IS GIVEN EARLIER BUT NOT THE REAL OROP.

Defence Minister withdraws controversial circular ordaining en masse litigation against military veterans ( posted on Indianmilitary.info)

This is in reference to the post of 12 January 2014 in which it had been pointed out that the Department of Ex-Servicemen Welfare (DESW) of the Ministry of Defence (MoD) had issued a letter ordaining en masse appeals in the Supreme Court against judicial verdicts rendered by Courts in favour of military veterans without seeking legal opinion on individual cases. The MoD had also officially admitted that it had filed appeals against disabled soldiers in the Supreme Court in ‘almost all types of cases’.

Mr Rajeev Chandrasekhar of Bangalore, Member of Parliament, had consequently taken up the issue with Mr AK Antony through a letter endorsed on 18 January 2014 followed by another one on 28 January 2014. Now the Raksha Mantri has informed Mr Chandrasekhar that the controversial circular is being withdrawn.

The defence of Mr Antony (though I am sure not his own, but of one of the Under Secretaries of the DESW) in the said matter is interesting. He says that the letter had been issued to simplify decision-making.

Mr Antony, decision-making on what? Of filing ruthless appeals against your own disabled veterans? You wanted to simplify the process of unleashing legal terror on the defenders of your own nation?

Though the circular stands withdrawn, it would be otiose to expect any positive change on ground.

The sadism shall continue unabated till the time the higher bureaucracy and the political executive apply their minds properly to the problems at hand without blindly affixing initials on noting sheets put up from below. 

/

Justice Mathur to head 7th Central Pay Commission

     Former Supreme Court Judge Ashok Kumar Mathur will head the seventh Pay Commission, which will revise salaries of over 50 lakh Central government employees and remuneration of 30 lakh pensioners.

“The Prime Minister has approved the composition of the 7th Central Pay Commission,” the Finance Ministry said in a statement on Tuesday.

“The Prime Minister has approved the composition of the 7th Central Pay Commission,” the Finance Ministry said in a statement on Tuesday.
The announcement for composition of the Commission comes ahead of imposition of model conduct which would come into force once the schedule for the general election due in April-May is notified.
The Retired Supreme Court Judge, who had also headed the Armed Forces Tribunal, has been appointed chairman of the Commission.
The Commission has been mandated to submit its report in two years time and its recommendations would be implemented from January 1, 2016.
The other members of the Commission, include, Oil Secretary Vivek Rae (full time member), NIPFP Director Rathin Roy (part-time Member) and OSD in Expenditure Department Meena Agarwal (Secretary).
Earlier in September 2013, the Prime Minister had approved setting up of the 7th Pay Commission.
The recommendations of the Commission will benefit about 50 lakh central government employees, including those in defence and railways, and about 30 lakh pensioners.
The government constitutes Pay Commission almost every ten years to revise the pay scales of its employees and often these are adopted by states after some modification.
The sixth Pay Commission was implemented with effect from January 1,2006, the fifth from January 1, 1996 and fourth from January 1, 1986.

Ex-Airman T.ravi Kumar Murthy is now Superintendent of Police

T.Ravi Kumar Murthy  IPS
Superintendent of Police

T.Ravi Kumar Murthy was in in Air Force as Work Shop Fitter of 117 intake at Tambaram. After serving in Air Force for 8 years he joined in  Bank as Probationary Officer. He was selected as Dy S.P. of A.P.Police in the year 1992 and became SP in 2011.He is likely to become DIG within a year. Presently he is working as Superintendent of Police Rajhamundry Urban. Andhra Pradesh.

We the Ex-Servicemen  fraternity wishes him a success in the life

Clarifications on ECHS CARD UPGRADING:

Dear All

I am reproducing mail received from Central Organization ECHS clarifying certain issued raised with them recently.

I would like to thank the MD and his team for being so prompt in accepting our point of view and responding positively.

Thank you Gen George and all your team.

Pathak

Dear Sir,
We in ECHS Central Organisation are receiving reports from veterans that undermentioned aspects are being highlighted by various Ex Servicemen Associations alongwith clarifications against each :-
(a) Inclusion of UID in ECHS Application Form. Clarification : This is Not Compulsory.
(b) Deposit of ECHS Cards while applying for Upgraded Cards. Clarification : This policy on deposit of ECHS Cards while applying for Upgraded Cards has been reverted. Now ESM have to carry their New Cards with the Old Cards to ECHS Polyclinic for registration where the Old Card will be deposited.
(c) Compulsory Upgradations from 16 kb Card to 32 Kb Card and to be done before 01 Jan 2014. Clarification : There is no such compulsion and where ESM finds that the Card Text is not readable or the Biometric check is not working for the card, the same may be changed through existing process.

You are requested to please give the above inputs to all veterans so as to avoid any confusion.

Cdr Ravindra Waman Pathak I.N. (Retd)

Member Governing Body and Pension Cell

Indian Ex Servicemen Movement

JOB OPPORTUNITY TO EX-SERVICEMEN

M/s. Aurobindo Pharma requires Security Managers(only ex-servicemen). Salary will be 25-30 thousand. Should be fluent in English. Probably the jobs are in Hyderabad & Andhra Pradesh. Interested Ex-Servicemen are required to apply to HRABI@AUROBINDO.COM OR HUDHA@AUROBINDO.COM with full bio data or contact 040-39325000 

Brilliant display by the IAF drill team