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Karnataka High Court rules against recovery of excess pay from retirees
The Karnataka High Court has ruled that excess pay cannot be recovered from a retired employee if the error was not caused by fraud or misrepresentation on the employee's part.
In a case involving a retired Bescom engineer, Justice M Nagaprasanna ordered the refund of Rs 2.81 lakh, plus 6 per cent annual interest, which had been deducted from his pension. The deduction was based on erroneous pay granted 15 years prior. The court reiterated Supreme Court precedent stating that such recoveries are impermissible when the employee is not at fault for the administrative error.
Entities
BESCOM · Bangalore Metropolitan Transport Corporation · Karnataka High Court