Summary
The Court directed payment of a widow’s benefit under her husband’s pension option where he had died before the option provision was discontinued. He had accepted ninety per cent pension in return for the stipulated lump-sum benefit on death. After a decade of litigation, the Court granted relief directly on the peculiar facts, requiring adjustment of amounts already refunded. It did not decide the legality of discontinuing the provision or lay down a territorial-jurisdiction ruling.
Issues
- Whether relief should be granted to the widow when the pensioner died before discontinuance of his chosen pension option.
Held
- The employee had opted for reduced lifetime pension under the scheme, with a lump-sum benefit for his widow on death in addition to family pension. His death preceded discontinuance of the provision, while the authorities had instead refunded the surrendered pension amount with interest. (¶¶ 2, 3, 4, 5)
- Pension is earned deferred compensation and has the character of property. The High Court had not examined entitlement on the merits and had dismissed the proceedings for territorial reasons. In the peculiar circumstances and prolonged litigation, the Court directed payment itself without deciding the validity of discontinuance. (¶¶ 10, 11, 12, 13)
Result
Appeal allowed. Employer directed to compute and disburse the amount due under the pension scheme within eight weeks, suitably adjusting the earlier refund. Parties to bear their own costs.