The Himachal Pradesh High Court confirms that the Accountant General must process authorization for pensionary benefits under the Old Pension Scheme upon submission of finality certificate, regardless of whether the employee has deposited the amount received under the New Pension Scheme. However, the State may defer the release of benefits until such deposit is made. This clarification affirms administrative procedure and holds binding precedential value within Himachal Pradesh.
Summary
| Category | Data |
|---|---|
| Case Name | CWP/2962/2025 of ROSHAN LAL Vs THE STATE OF HP AND OTHERS |
| CNR | HPHC010703222024 |
| Date of Registration | 01-03-2025 |
| Decision Date | 30-10-2025 |
| Disposal Nature | Disposed Off |
| Judgment Author | HON’BLE MR. JUSTICE VIVEK SINGH THAKUR, HON’BLE MR. JUSTICE ROMESH VERMA |
| Court | High Court of Himachal Pradesh |
| Bench | HON’BLE MR. JUSTICE VIVEK SINGH THAKUR, HON’BLE MR. JUSTICE ROMESH VERMA |
| Precedent Value | Binding on subordinate courts in Himachal Pradesh |
| Type of Law | Administrative / Service Law – Pension Schemes |
| Questions of Law | Whether non-deposit of amount received under the New Pension Scheme precludes the Accountant General from proceeding with pension authorization under the Old Pension Scheme. |
| Ratio Decidendi |
The court held that submission of the finality certificate by the Department to the Accountant General triggers the AG’s duty to process the authorization/PPO letter, regardless of whether the petitioner has deposited the NPS amount. Non-deposit does not prevent processing by Accountant General, but the State is not barred from deferring actual release of pensionary benefits until the deposit is made. This delineates the roles of the Accountant General and the State in the pension process. The court directed that, if all compliances by petitioner are complete, pension benefits should be released after issuance of authorization. |
| Facts as Summarised by the Court |
Finality certificate as required was submitted on 30.10.2025 by the Department. Petitioner was yet to deposit the NPS amount. The State submitted that this deposit was still pending. The court clarified procedural consequences for both Accountant General and State in light of this. |
Practical Impact
| Category | Impact |
|---|---|
| Binding On | All subordinate courts within Himachal Pradesh |
| Persuasive For | Other High Courts and administrative authorities dealing with transition from NPS to OPS |
What’s New / What Lawyers Should Note
- Clarifies that the Accountant General must process pension authorization under the Old Pension Scheme upon receipt of the finality certificate, regardless of whether the employee has deposited amounts received under the New Pension Scheme.
- The State Government remains entitled to defer actual disbursal of pensionary benefits until the required deposit is made by the petitioner.
- Lawyers representing employees or the State in pension transition matters should note the separation of roles—authorization versus actual release—and may cite this as binding authority within Himachal Pradesh.
Summary of Legal Reasoning
- The court noted that the Department had submitted the finality certificate to the Accountant General on 30.10.2025, as required.
- The Additional Advocate General represented that the petitioner had not yet deposited the amount received under the New Pension Scheme.
- The court expressly stated that non-deposit by the petitioner would not prevent the Accountant General from completing the process for issuing the necessary authorization/PPO letter.
- However, the court affirmed the State’s right to defer release of pensionary benefits until such deposit was made by the petitioner, as per law.
- The direction was given that, in case all compliances by petitioner are complete, benefits must be released “forthwith” after authorization.
- The order delineates the specific procedural roles, ensuring timely processing while safeguarding State’s interests regarding recovery.
Arguments by the Parties
Petitioner
No express arguments by the petitioner are summarized in the judgment.
Respondent
- The Additional Advocate General submitted that the petitioner had not yet deposited the amount received under the New Pension Scheme, a stipulation for release of benefits under the Old Pension Scheme.
Factual Background
The petitioner sought transition from the New Pension Scheme to the Old Pension Scheme. The Department submitted the finality certificate to the Accountant General on 30.10.2025, which is required for processing authorization of pensionary benefits. However, the petitioner had not yet deposited the amount received under the New Pension Scheme. The State indicated this non-compliance, leading the court to clarify the respective procedural consequences for authorization and release.
Statutory Analysis
The judgment discusses the administrative requirement of submission of a finality certificate by the Department to the office of Accountant General as a precondition for authorization of pension under the Old Pension Scheme. The obligation to deposit NPS amounts received is recognized as a precondition for release of benefits but is not made a bar to issuance of the authorization/PPO letter. The court does not cite or interpret any specific statutory provision by section number, but prescribes process flow based on “law” governing pension scheme transitions.
Procedural Innovations
- The court clarified and standardized procedural separation: while Accountant General must process authorization post-finality certificate, the State can defer benefit release until compliance with deposit requirements.
- Specific directions for reporting compliance to the registry were issued.
Alert Indicators
- Precedent Followed – The judgment systematizes and clarifies existing administrative procedure, rather than breaking new legal ground or overruling precedent.