
The Supreme Court has dismissed a retired NIRD professor's plea to switch from the Contributory Provident Fund (CPF) scheme to the General Provident Fund (GPF)-cum-Pension scheme after retirement. The bench of Justices…
The Supreme Court has dismissed a retired NIRD professor's plea to switch from the Contributory Provident Fund (CPF) scheme to the General Provident Fund (GPF)-cum-Pension scheme after retirement. The bench of Justices Ujjal Bhuyan and Atul S Chandurkar upheld the Telangana High Court's decision, which had overturned a Central Administrative Tribunal ruling in the professor's favour.

K Suman Chandra, a former professor at the National Institute of Rural Development, joined as a contractual Research Associate in 1984 and was covered by CPF. His services were regularised in 2012 under an order that explicitly stated he would continue under CPF. Chandra retired in January 2017 and received CPF benefits, including employer contributions. He later challenged the scheme, arguing it violated NIRD rules.
The court noted Chandra accepted the regularisation terms and benefits without challenging the conditions at the time. It found his case similar to another NIRD employee's, where the Supreme Court had ruled in February 2023 that regularisation operates from the order date. The court said employees cannot challenge scheme terms after accepting benefits, especially post-retirement.
The ruling reinforces a key legal principle: conditions attached to a service regularisation order become binding if not challenged promptly. Employees covered by CPF, where the employer contributes a fixed amount without guaranteeing a defined pension, need to weigh that trade-off at the time of regularisation, not after retirement. NIRD's service bye-laws were at the heart of the dispute, but the court did not examine them on merit because the challenge came too late. For central and state government employees moved to CPF after 2004, this judgment signals that any grievance about the scheme must be raised while still in service. The next watchpoint is how other tribunals apply this ratio to pending cases involving regularisation orders with similar caveats.
Source: livemint.com
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