BHEL, DPE guidelines, technical resignation, Half Pay Leave, pension corpus, CPSE mobility, Sanjeev Narula, Delhi High Court, employee benefits
 10 Mar, 2026
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Sh. Mukul Agarwal Vs. Bharat Heavy Electricals Ltd. New Delhi

  Delhi High Court W.P.(C) 12110/2018
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Case Background

As per case facts, Petitioners, long-serving executives at BHEL, resigned after being selected for posts in other Government undertakings. Their applications were routed through proper channels. BHEL later refused to ...

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W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 1 of 29

* IN THE HIGH COURT OF DELHI AT NEW DELHI

Reserved on: 6

th

February, 2026

Pronounced on: 10

th

March, 2026.

Uploaded on: 10

th

March, 2026.

+ W.P.(C) 12069/2018

SH. NAVEEN KUMAR GUPTA .....Petitioner

Through: Mr. Vivek Singh, Mr. Onkar Nath and

Mr. Anuj Mirdha, Advocates.

versus

BHARAT HEAVY ELECTRICALS LTD. NEW DELHI

.....Respondent

Through: Mr. A. K. Roy, Advocate.

+ W.P.(C) 12110/2018

SH. MUKUL AGARWAL .....Petitioner

Through: Mr. Vivek Singh, Mr. Onkar Nath and

Mr. Anuj Mirdha, Advocates.

versus

BHARAT HEAVY ELECTRICALS LTD. NEW DELHI

.....Respondent

Through: Mr. A. K. Roy, Advocate.

CORAM:

HON'BLE MR. JUSTICE SANJEEV NARULA

JUDGMENT

SANJEEV NARULA, J.:

1. The Petitioners were long-serving executives of Bharat Heavy

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 2 of 29

Electricals Limited

1

, a Central Public Sector Enterprise. Both left BHEL

after being selected to a post in another Government of India undertaking.

Their applications were routed through proper channel. Their resignations

were accepted and they were relieved. Subsequently, BHEL declined (i) to

transfer, or otherwise monetise, the Half Pay Leave

2

standing to their credit

and (ii) to transfer any pension corpus or contribution to the National

Pension System

3

, or otherwise account for such benefit. The Petitioners

contend that the refusal contradicts the applicable Government policy and

BHEL’s own personnel rules and framework. BHEL maintains that

resignation operates as a severance and, in any event, its rules contain no

enabling provision for the reliefs sought.

2. The petitions are being decided by a common judgment, given the

substantial overlap in the grounds of challenge, the reliefs sought, and the

legal questions that arise for determination. The leave claim, however,

requires separate treatment. In Mukul Agarwal’s case, the leave balance has

already been transferred to the transferee organisation. In Naveen Kumar

Gupta’s case, the HPL has not been transferred and the Petitioner seeks

either transfer or, if transfer is not possible, payment of the equivalent value.

FACTS IN BRIEF

3. Mukul Agarwal joined BHEL on 25

th

November, 1994 and served in

the finance stream. He was promoted as Manager on 25

th

June, 2014. In

November 2013, he applied through proper channel for the post of Manager

(F&A) in Rural Electrification Corporation Limited

4

, a Government of India

1

“BHEL”

2

“HPL”

3

“NPS”

4

“REC”

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 3 of 29

CPSE. BHEL forwarded the application by letter dated 19

th

November,

2013. REC issued an appointment letter dated 09

th

February, 2015. The

Petitioner resigned from BHEL and was relieved with effect from 28

th

March, 2015. At the time of resignation, he claims Earned Leave of 63 days

and Half Pay Leave of 265 days, besides the pension contribution/corpus

under the relevant superannuation benefit scheme. REC wrote to BHEL on

17

th

April, 2015 seeking transfer of (i) Earned Leave/Half Pay Leave, (ii)

provident fund/gratuity, and (iii) the accumulated pension fund, including

accrued interest. Internally, BHEL’s HR department sought processing from

the concerned finance/payroll branch on 30

th

April, 2015. When no

resolution followed, the Petitioner raised the issue through CPGRAMS.

BHEL rejected the request on 07

th

May, 2016. The Petitioner pursued the

matter again and BHEL, by communication dated 01

st

June, 2017, declined

transfer of leave on the premise that there was no provision in BHEL rules

to transfer leave to another PSU in case of resignation.

4. Naveen Kumar Gupta joined BHEL on 28

th

December, 1995 and was

promoted to the post of Deputy General Manager (Finance) on 25

th

June,

2014. He applied through proper channel for the post of Executive Director

(Finance) in National Handloom Development Corporation Limited,

5

a

Government of India undertaking. BHEL forwarded his application on 17

th

July, 2015. NHDC issued an appointment letter dated 09

th

September, 2015.

Before being relieved, he addressed a request dated 30

th

September, 2015

seeking transfer or encashment of Half Pay Leave. BHEL accepted his

resignation with effect from 17

th

October, 2015 and relieved him

accordingly. NHDC thereafter wrote on 26

th

November, 2015 seeking

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 4 of 29

transfer or credit of the Petitioner’s HPL. The Petitioner continued to pursue

the matter through representations dated 27

th

September, 2016 and 10

th

November, 2017, but to no avail.

5. Both Petitioners, aggrieved by the continuing refusal, approached this

Court by filing W.P.(C) 4303 of 2018 (Mukul Agarwal) and W.P.(C) 4368

of 2018 (Naveen Kumar Gupta). By a common order dated 27

th

April, 2018,

this Court granted time to submit concise representations and directed

BHEL to reconsider the matter and pass a speaking decision. Pursuant to

those directions, representations dated 15

th

May, 2018 were submitted.

BHEL thereafter issued separate speaking orders dated 02

nd

July, 2018

rejecting the claims relating to leave and pension. The present writ petitions

assail those orders and seek the reliefs earlier pressed. Those speaking order

which are the principal subject of challenge read as follows:

W.P.(C) 12069/2018 [Shri. Naveen Kumar Gupta ]

“Pursuant to the Order of the High Court at Delhi dated 27

th

April, 2018 in

the matter of W.P. (C) no 4368 of 2018-Sri. Naveen Kumar Gupta Vs.

Bharat Heavy Electricals Limited, New Delhi, your representation dated

15

th

May 2018 has since been received in BHEL House Sin Fort New Delhi

on 18

th

May 2018. In your representation, the following aspects have been

raised:

i). Transfer of Half Pay Leave balance of 250 days standing to your credit

at the time of your resignation from the services of BHEL to your new

employer National Handlooms Development Corporation Ltd. or equivalent

amount be paid in lieu thereof, and

ii) Transfer of Pension fund from the date of your joining in BHEL or from

the date of start of scheme i.e. 01.01.2007, be transferred to your NPS Ac.

No.(PRAN) 110121482966 or paid directly to your SBI Ac. No.

10667912051.

Both the issues raised in the representation have been examined in

consideration to DPE guidelines / company policy on the matter.

5

“NHDC”

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 5 of 29

A. Transfer of Half Pay Leave;

The Company policy provides that carry forward of leave at the credit of

employees in earlier organisation, on joining the services of the company, is

allowed only in cases of employees who join the company from central

government and other Public sector undertakings, provided management of

both the organisations agree to such transfer of services and a provision of

transfer of half pay leaves is also available in rules of both the

organisations.

Carry forward/ transfer of leave, however, is not permitted in cases of

employees who leave the company for joining the other organisation.

BPE OM No. 2(2)/85-BPE (WC) dated 25

th

January, 1988 provides for the

carry forward of leave in the case of employees moving from one public

enterprise to the other with the consent of both the Managements, which is

further subject to the condition that both the Organisations should contain a

specific provision permitting transfer and acceptance of the liability for the

balance of Half pay leave standing to the credit of the employee on the date

of resignation.

Since BHEL Rules do not contain the provision for transfer of leave liability

to other organisations, the request for transfer of leave balance in your case

to National Handlooms Development Corporation Ltd. is not permissible.

Further transfer of services of one Govt. Department / Public Sector

Organisation to another cannot be treated at par with an employee who has

submitted his resignation on his own volition No Objection Certificate from

the Company for appearing in interview in other Govt, organisation is

provided merely to meet application requirement of such prospective

employers.

National Handloom Development Corporation/ any other Govt. Department

has not approached the company to transfer / spare your services, in Govt.

interests, at any point of time nor BHEL intended to transfer services of the

BHEL employee to National Handloom Development Corporation/any

Govt. Deptt.

The company is therefore constrained to accede to your request for transfer

of Half pay leave or equivalent amount to National Handloom Development

Corporation.

Further, with regard to your request that in case transfer of leave to

National Handloom Development Corporation is not possible, an equivalent

amount be paid in lieu thereof, it is informed that there is no provision of

encashment of Half Pay Leave on resignation in company rules / DPE

guidelines.

It may further be noted that corrective action has been initiated and refund

of the amount transferred towards Half Pay Leave in case of Shri Pradip

Kumar Das Staff no 3502376 has been sought from Rural Electrification

Corporation Ltd., New Delhi.

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 6 of 29

A. Transfer of Pension Fund to NPS or to his Bank Account:

The eligibility condition for pension corpus under BHEL Employees

Pension Scheme inter alia provides as under:

4.1 Regular employees of the Company, who superannuate from the

Company on or after 01/01/2007, with minimum 15 years of continuous

service. Note: Service rendered more than 14 years & 6 months but less

than 15 years will not be treated as 15 years. The services rendered as

temporary workers against sanctioned vacancy will be counted for 15 years

of service.

4.3 Superannuation on account of early retirement by the Company on or

after 01.01.2007, with minimum 15 years of continuous service.

4.8 "Severance of service by the employee on account of resignation,

termination, compulsory retirement as a penalty, dismissal / removal

because of disciplinary proceedings, will not be eligible under the Scheme.

Cases of voluntary retirement under specific VRS/VSS scheme, would be

examined separately. However, cases of employees availing Voluntary

(premature) retirement if otherwise eligible for pension, will be covered

under BIHEL Employees' Pension Scheme."

In terms of the approved scheme of the company, in the event of resignation

the pension corpus is NOT payable to an employee nor can it be transferred

to another organisation.

Further, there is no provision under the scheme for an employee to make his

/her own contribution to pension fund. BHEL Employees' Pension Scheme is

purely and entirely company funded scheme. It is also pertinent to mention

that there is no provision under BHEL Pension Scheme for commutation of

pension or draw reduced pension / pension corpus or encashment payment

of pension corpus to an employee in events other than specified for

eligibility of pension corpus.

DPE OM F.No. W-02/0017/2014-DPE-(WC)-G1-XI/14 dated 21

st

May 2014

on Pension Scheme and Post Superannuation Medical Benefits in CPSEs,

clearly specifies that “In the event of any employee resigning from the

services of CPS£ and joining another CPSE having broadly similar

schemes, the entire amount of employer's and employee's contribution along

with the interest accrued thereon can be transferred to such CPSE.

However, employees who resign from CPSE to join another CPSE, not

having similar schemes, or any organisation not being a CPSE

(irrespective of whether such scheme exists in that organisation), shall not

be allowed the benefit of transferring their accumulated fund under these

schemes. However, the employee’s contribution along with accrued

interests shall be refundable to the employees."

Since there is no employee contribution to BHEL Pension Fund, in terms of

BHEL Pension Scheme and also in terms of DPE Guidelines, there is no

amount available in BHEL Pension Fund which was created out of your

own contribution and therefore question of refund of your contribution does

not arise. Accordingly, your request for payment of pension fund to your

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 7 of 29

Bank Account cannot be acceded to.

It is also informed that BHEL Employees Pension Scheme and Pension

Scheme of National Handloom Development Corporation, your current

employer are entirely different BHEL Employee Pension Scheme is operated

on group corpus basis whereas National Handloom Development

Corporation / NPS, Scheme is individual account based scheme wherein

employer and employee both can contribute. Under BHEL Pension Scheme

individual account is not created, maintained or operated for crediting of

pension contributions.

Under BHEL Scheme, an employee Is eligible for individual pension corpus

only at the time of retirement/ superannuation/ death. In such an event,

individual pension corpus is calculated based on funds viability and there is

no fund earmarked to an individual employee during his/her service Since

Pension schemes of both organisations are completely different and

dissimilar, It is not feasible to transfer or earmark the pension corpus in

name of any individual for transfer to another organisation or for

commutation / encashment.

However, since you had applied to National Handloom Development

Corporation through proper channel, and there is continuity of service in

the company and National Handloom Development Corporation, in terms of

OM No. W-02/0017/2014-DPE (WC)-GL-IV/17 dated 1

st

February, 2017

the benefits of past service in BHEL, for the purpose of reckoning of

eligibility period for superannuation benefits such as gratuity etc., shall be

made available to you by National Handloom Development Corporation, in

the event of leaving their services, subject to scheme / rules framed by them.

Furthermore, even in case of government service, there is forfeiture of

Pension at the time of resignation and the amount of corpus is not returned

to the individual. Pension in their case as well is regulated only at the time

of superannuation from Government service.”

W.P.(C) 12110/2018 [Shri Mukul Agarwal]

“Pursuant to the Order of the High Court at Delhi dated 27

th

April, 2018 in

the matter of W.P. (C) no. 4368 of 2018-Sh. Mukul Agarwal Vs. Bharat

Heavy Electricals Limited, New Delhi, your representation dated 15

th

May

2018 has since been received in BHEL House Siri Fort New Delhi on

19.05.2018. In your representation, the following aspects have been raised:

i). Transfer of Half Pay Leave balance of 265 days and Earned leave of 63

days standing to the credit at the time of your resignation from the services

of BHEL to his new employer REC Ltd. or equivalent amount be paid to

him, and

ii) Transfer of Pension fund from the date of your joining in BHEL or from

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 8 of 29

the date of start of scheme i.e. 01.01.2007, be transferred to your NPS Ac.

No.(PRAN) 1100117394231 or paid directly to your SBI Ac. No.

10173161692.

Both the issues raised in the representation have been examined in

consideration to DPE guidelines / company policy on the matter.

A. Transfer of Half Pay Leave:

The Company policy provides that carry forward of leave at the credit of

employees in earlier organisation, enjoining the services of the company, is

allowed only in cases of employees who join the company from central

government and other Public sector undertakings, provided management of

both the organisations agree to such transfer of services and a provision of

transfer of half pay leaves is also available in rules of both the

organisations.

Carry forward/ transfer of leave (HPL/EL), however, is not permitted in

case of employees who leave the company for joining the other

organisation.

BPE OM No. 2(2)/85-BPE (WC) dated 25

th

January, 1988 provides for the

carry forward of leave in the case of employees moving from one public

enterprise to the other with the consent of both the Managements, which is

further subject to the condition that both the Organisations should contain a

specific provision permitting transfer and acceptance of the liability for the

balance of Half pay leave standing to the credit of the employee on the date

of resignation.

Since BHEL Rules do not contain the provision for transfer of leave liability

to other organisations, the request for transfer of leave balance in your case

to REC Ltd. is not permissible.

Further, transfer of services of one Govt. Department / Public Sector

Organisation to another cannot be treated at par with resignation of an

employee on its volition. No Objection Certificate from the Company for

appearing in interview in other Govt. organisation is provided merely to

meet application requirement of such prospective employers.

REC Ltd / any other Govt. Department has not approached the company to

transfer / spare your services, in Govt. interests, at any point of time nor

BHEL intended to transfer services of the BHEL employee to REC Ltd./ any

Govt. Deptt.

The company is therefore constrained to accede to the request for transfer

of Half pay leave / EL or equivalent amount to REC Ltd.

Further, with regard to your request that in case transfer of leave to REC is

not possible, an equivalent amount be paid in lieu thereof, it is informed that

there is no provision of encashment of Half Pay Leave on resignation in

company rules / DPE guidelines.

It may further be noted that corrective action has been Initiated and refund

of the amount transferred towards Half Pay Leave in case of Shri Pradip

Kumar Das Staff no 3502376 has been sought from Rural Electrification

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 9 of 29

Corporation Ltd., New Delhi.

A. Transfer of Pension Fund to NPS or to his Bank Account:

The eligibility condition for pension corpus under BHEL Employees

Pension Scheme inter alia provides as under:

4.1 Regular employees of the Company, who superannuate from the

Company on or after 01/01/2007, with minimum 15 years of continuous

service. Note: Service rendered more than 14 years &6 months but less than

15 years will not be treated as 15 years. The services rendered as temporary

workers against sanctioned vacancy will be counted for 15 years of service.

4.3 Superannuation on account of early retirement by the Company on or

after 01.01.2007, with minimum 15 years of continuous service.

4.8 "Severance of service by the employee on account of resignation,

termination, compulsory retirement as a penalty, dismissal / removal

because of disciplinary proceedings, will not be eligible under the Scheme.

Cases of voluntary retirement under specific VRS/VSS scheme, would be

examined separately. However, cases of employees availing Voluntary

(premature) retirement if otherwise eligible for pension, will be covered

under BHEL Employees' Pension Scheme."

In terms of the approved scheme of the company, in the event of resignation

the pension corpus is NOT payable to an employee nor can it be transferred

to another organisation.

Further, there is no provision under the scheme for an employee to make his

/her own contribution to pension fund. BHEL Employees' Pension Scheme is

purely and entirely company funded scheme. It is also pertinent to mention

that there is no provision under BHEL Pension Scheme for commutation of

pension or draw reduced pension / pension corpus or encashment/ payment

of pension corpus to an employee in events other than specified for

eligibility of pension corpus.

DPE OM F.No. W-02/0017/2014-DPE-(WC)-GI-XI/14 dated 21

st

May 2014

on Introduction of Pension Scheme and Post Superannuation Medical

Benefits in CPSEs, clearly specifies that "In the event of any employee

resigning from the services of CPSE and joining another CPSE having

broadly similar schemes, the entire amount of employer's and employee's

contribution along with the interest accrued thereon can be transferred to

such CPSE. However, employees who resign from CPSE to join another

CPSE, not having similar schemes, or any organisation not being a CPSE

(irrespective of whether such scheme exists in that organisation), shall not

be allowed the benefit of transferring their accumulated fund under these

schemes. However, the employee's contribution along with accrued

interests shall be refundable to the employees."

Since there is no employee contribution to BHEL Pension Fund, in terms of

BHEL Pension Scheme and also in terms of DPE Guidelines, there is no

amount available in BHEL Pension Fund which was created out of your

own contribution and therefore question of refund of your contribution does

not arise. Accordingly, your request for payment of pension fund to your

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 10 of 29

Bank Account cannot be acceded.

It is also informed that BHEL Employees Pension Scheme and Pension

Scheme of Rural Electrification Corporation Ltd., your current employer

are entirely different. BHEL Employee Pension Scheme is operated on

group corpus basis whereas REC Scheme is individual account based

scheme wherein employer and employee both can contribute. Under BHEL

Pension Scheme individual account is not created, maintained or operated

for crediting of pension contributions.

Under BHEL Scheme, an employee is eligible for individual pension corpus

only at the time of retirement/ superannuation/ death. In such an event,

individual pension corpus is calculated based on funds viability and there is

no fund earmarked to an individual employee during his/her service. Since

Pension schemes of both organisations are completely different and

dissimilar, it is not possible or feasible to transfer or earmark the pension

corpus in name of any individual for transfer to another organisation or for

commutation / encashment.

However, since you had applied to REC ltd. through proper channel and

there is continuity of service in the company and REC, in terms of OM No.

W-02/0017/2014- DPE (WC)-GL-IV/17 dated 1

st

February, 2017 the

benefits of past service in BHEL, for the purpose of reckoning of eligibility

period for superannuation benefits such as gratuity etc., shall be made

available to you by REC, in the event of leaving their services, subject to

scheme / rules framed by them.

Furthermore, even in case of government ser\/ice, there is forfeiture of

Pension at the time of resignation and the amount of corpus is not returned

to the individual. Pension in their case as well is regulated only at the time

of superannuation from Government service.”

THE GOVERNING DOCUMENTS

BPE OM dated 25

th

January, 1988

6. This OM deals with “carry forward of leave in the case of employees

moving from one public enterprise to the other”. It contemplates transfer of

accumulated sick leave/half-pay leave to the transferee public sector

enterprise, subject to the transfer being with consent of managements of

both enterprises, or under Government/PESB direction, and subject to

discharge of liability by the transferor through a lump sum corresponding to

leave salary for the period transferred.

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 11 of 29

DPE OM dated 21

st

May, 2014 and DPE OM dated 1

st

February, 2017

7. The OM dated 21

st

May, 2014 provides clarifications on pension and

post-superannuation medical benefits in CPSEs. Clause (x) speaks to a

situation where an employee resigns from a CPSE and joins another CPSE

having broadly similar schemes, permitting transfer of the entire amount of

employer’s and employee’s contribution with interest. It also states that

where the joining is in an organisation not having similar schemes or not

being a CPSE, transfer is not allowed, but employee contribution with

interest is refundable.

8. Clause (xvi) of the 21

st

May, 2014 OM states that in cases of

resignation (excluding resignation covered under “technical formality

clause”), and certain penalty exits, the annuity would be based only on

member’s contributions, if any, and interest thereon.

9. The DPE OM dated 1

st

February, 2017 clarifies the meaning of

“technical formality”. It states that resignations under the “technical

formality clause” include resignations where a CPSE employee applied for a

post in the same or another CPSE through proper channel and, on selection,

is required to resign the previous post for administrative reasons. The OM

states that the clarification is for the purposes of superannuation benefit

schemes implemented in CPSEs in light of earlier DPE guidelines.

BHEL Personnel Manual, Volume II, Section E-1 (Carry forward of leave)

10. The Petitioners rely on Clause 8.2 of the Personnel Manual which, in

substance, adopts DPE guidelines for carry forward of leave “in the case of

employees moving from one public sector enterprise to the other with the

consent of both the Managements”, while also referencing the condition that

both organisations’ rules should contain a specific provision permitting

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 12 of 29

transfer and acceptance of liability, and that the transferor pays a lump sum

equal to leave salary for the period of leave transferred.

BHEL Employees’ Pension Scheme (Revised with effect from 1

st

March,

2016), and amendment dated 20

th

February, 2021 effective from 1

st

January,

2017

11. The 2016 scheme states it is a defined contribution plan with

contributions by the company within a prescribed ceiling. It identifies

eligibility categories for “pension corpus from the company”. Clause 4.8

excludes “severance of service by the employee on account of resignation”

from eligibility.

12. The 20

th

February, 2021 Corporate HR Circular amends Clause 4 with

effect from 1

st

January, 2017. The revised Clause 4.8 states that, with effect

from 1

st

January, 2017, employees separated on or after 1

st

January, 2017 on

attaining age of superannuation, retirement, premature retirement (company-

initiated or employee-initiated), compulsory retirement other than as a

penalty, voluntary retirement, voluntary separation scheme, resignation, and

removal other than as a penalty shall be eligible for pension under the

scheme. It also states that transfer of pension corpus for purchase of annuity

or to NPS account would be on request.

RIVAL CONTENTIONS IN BRIEF

13. The Petitioners contend that their resignations were not voluntary

severance in the ordinary sense. Each applied through proper channel to

another Government of India undertaking/CPSE, was selected, and was

required to tender resignation only as an administrative formality to enable

joining the new post. They submit that the governing public enterprise

policy recognises such movement and preserves service-linked benefits, and

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 13 of 29

that BHEL has wrongly treated their exits as disentitling “resignation” cases.

14. On transfer of leaves, the Petitioners rely on the BPE Office

Memorandum dated 25

th

January, 1988 and Clause 8.2 of BHEL’s Personnel

Manual, which, according to them, permit transfer of HPL in the case of

employees moving from one public enterprise to another with consent of

both managements, subject to discharge of leave liability by remittance of

the equivalent leave salary. They also point to instances where BHEL

transferred leave liability (including HPL) to another CPSE and submit that

denial in their case is arbitrary. In Naveen Kumar Gupta’s case, it is urged

that NHDC had expressly sought transfer/credit of HPL, yet BHEL refused;

he therefore seeks transfer, and if transfer is not possible, payment of the

equivalent amount.

15. On pension, the Petitioners rely on the DPE OM dated 21

st

May, 2014

and the clarificatory DPE OM dated 1

st

February, 2017 on “technical

formality”. They submit that once the resignation is understood as technical

formality in CPSE-to-CPSE move through a proper-channel, it cannot be

used to forfeit the benefit of employer contribution under a defined

contribution superannuation framework. They also rely on the order dated

27

th

April, 2018 passed by this Court in the earlier writ petitions, which

clarified that if the pension schemes are not comparable, pension has to be

transferred to NPS or released to the concerned employee.

16. BHEL contests the petitions and supports the orders dated 2

nd

July,

2018. It submits that, as a matter of its leave rules and policy, carry forward

of leave is contemplated only for employees joining BHEL from Central

Government/other PSUs, and that outward transfer of HPL on resignation is

not permitted. It contends that Clause 8.2 of the Personnel Manual is

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 14 of 29

conditional, and since BHEL’s leave rules contain no enabling provision for

transfer of HPL liability, the Petitioners cannot claim transfer. BHEL also

submits that an NOC or forwarding of an application through proper channel

is issued only to meet the requirements of the prospective employer and

cannot be equated with “consent of management” for transfer of service.

17. On pension, BHEL submits that its Employees’ Pension Scheme is a

company-funded superannuation benefit operated through a common

corpus/trust and purchase of annuity, and cannot be equated with

Government pension. It relies on Clause 4.8 of the scheme which excludes

resignation cases, and argues that no transfer or refund can arise since

employees make no contribution and no individual account is maintained

during service. BHEL also argues that the DPE framework contemplates

transfer only where schemes are broadly similar, which, according to BHEL,

is not the case with NPS/NHDC. It further contends that the DPE OM dated

1

st

February, 2017 cannot assist the Petitioners who resigned in 2015 and

that any later change in policy operates prospectively.

18. On these rival positions based on the pleadings, the material on record

and the submissions advanced, following questions arise for determination:

(i) Do the guidelines issued by the Bureau/Department of Public

Enterprises on carry forward/transfer of leave and on superannuation benefit

schemes apply to BHEL and, if so, to what extent?

(ii) On the leave claim, did BHEL lawfully refuse to transfer the Half Pay

Leave (“HPL”) balance or to otherwise discharge the leave liability, in light

of the BPE Office Memorandum dated 25

th

January, 1988 and the relevant

provisions of BHEL’s Personnel Manual/leave policy?

(iii) On pension, can BHEL deny any transfer or accounting of pension

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 15 of 29

corpus/contribution where an employee resigns after selection through

proper channel to another CPSE/Government of India undertaking, by

treating such resignation as a disqualifying severance, despite the DPE

guidance on “technical formality”?

(iv) Is BHEL entitled to rely on 1

st

January, 2017 as the cut-off date to

resist claims arising from separations in 2015, particularly where the

controversy remained alive through representations and judicial directions

culminating in the speaking orders dated 2

nd

July, 2018?

ANALYSIS

Issue (i): Applicability of BPE/DPE OMs to BHEL

19. BHEL is a CPSE. The DPE issues guidelines on pay revision and

associated superannuation benefits to CPSEs. BHEL itself asserts in its

counter affidavit that its pension scheme was introduced as part of wage

revision as per DPE guidelines. The said paragraph reads as follows:

“That it is pertinent to clarify that unlike in Govt., the employees of the

company are member of contributory provident fund scheme under

Employees Provident Fund & Miscellaneous provisions Act, 1952 Pensionary

benefits under BHEL Employees’ Pension Scheme is as an additional

superannuation benefit and has been introduced as part of wage revision

w.e.f. 01.01.2017, as per DPE guidelines, The pension scheme is nothing but

a mere purchase of annuities from Insurance Companies on retirement/ death

and cannot be compared with pension scheme in Govt. where pension is

disbursed from the Consolidated Funds of India.”

20. This assertion has two consequences. First, BHEL cannot

simultaneously adopt DPE guidelines as the source of authority for creating

and operating a pension scheme and then disown the interpretive framework

that accompanies those guidelines when disputes arise about mobility and

continuity.

21. Second, where BHEL’s own internal policy instrument (such as its

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 16 of 29

Personnel Manual) expressly states that DPE guidelines “will be followed”

in a defined class of cases, the guidelines are not being invoked as a mere

external persuasion. They enter the normative field through incorporation by

reference. The task then is to reconcile the internal instrument with the

Government guidelines rather than to treat them as strangers.

22. This is especially so in matters which affect mobility within public

service. CPSEs, unlike purely private entities, operate within a regulated

ecosystem where the State’s policy seeks to balance organisational

autonomy with fair treatment of personnel who move within the public

sector under lawful process.

Issue (ii): HPL transfer or discharge of liability

23. Two strands appear in BHEL’s reasoning in the speaking order dated

2

nd

July, 2018. One is textual: BHEL says its leave rules do not contain an

enabling provision for transfer of leave liability to another organisation, and

therefore the BPE OM dated 25

th

January, 1988 cannot be operationalised.

The other is factual: BHEL says this was not a “transfer of service” with

management consent but a voluntary resignation, and that NOC/proper-

channel forwarding does not constitute “consent”.

24. Neither strand answers the Petitioners’ case in a manner that can be

sustained. The Personnel Manual clause invoked by the Petitioners is not

confined to employees joining BHEL. Clause 8.2 reads as follows;

“8.2 In the matter of carry forward of leave in the case of employees moving

from one public enterprise to the other with the consent of both the

managements, the guidelines issued by the DPE from time to time will be

followed. This is subject to the condition that:

a) Leave rules of both the Organisations should contain a specific provision

permitting transfer and acceptance on transfer of the liability for the balance

of earned leave and half-pay leave/sick leave standing to the credit of the

employee on the date of resignation.

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 17 of 29

b) The transferor Organisation arranges with the transferee organisation to

pay to the latter a lumpsum amount equal to the leave salary for the period of

such leave transferred.”

This clause speaks of employees “moving from one public sector enterprise

to the other with the consent of both the Managements” and then declares

that DPE guidelines will be followed, subject to the conditions recorded.

BHEL seeks to read into the policy a unilateral restriction: that leave carry

forward is permitted only for inward movement, not for outward movement.

That restriction does not emerge from the text relied upon.

25. The insistence on a separate “enabling provision” in leave rules

cannot be used as a device to negate the Personnel Manual itself. If the

Manual forms part of the service administration framework, and it states that

DPE guidelines will be followed in the defined class of movements, BHEL

cannot adopt the Manual for administration and then, when the employee

seeks enforcement of the same clause, respond that there is “no provision”.

The Manual clause is itself a provision. It may require operational steps, but

it is not a nullity.

26. The “consent” point requires a proper understanding of CPSE

mobility. A CPSE does not typically “transfer” an employee to another

CPSE in the same manner as inter-departmental Government transfers. The

common mechanism is: employee applies through proper channel, the parent

organisation forwards the application after internal scrutiny, and if selected,

the employee is released on resignation for administrative reasons. That is

precisely what DPE later called “technical formality”.

27. In these circumstances, “consent” of management for movement is

best tested by the parent organisation’s conduct. BHEL forwarded the

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 18 of 29

application through proper channel. It accepted the resignation without

recording any reservation that HPL transfer would not be permitted or that

the employee would lose the benefit as a consequence of the mode of exit. It

relieved the employee to join another Government undertaking. This is not a

case of an employee slipping out in defiance of the employer’s process. The

employer participated in the process and enabled it.

28. BHEL’s attempt to reduce proper-channel forwarding to a mere

“application requirement” misses the point. Proper-channel forwarding is

not a clerical courtesy. It reflects institutional permission for the employee

to compete for the post and, if selected, for the employee to be released

subject to exigencies. That institutional permission is the relevant “consent”

within the CPSE mobility framework.

29. In Mukul Agarwal’s case, this issue is largely academic because his

leave has been transferred. However, this is significant, although it cannot

by itself create a right, contrary to rules. It does demonstrate that BHEL has,

at least once, operationalised the concept of transferring leave liability

outwards to another CPSE (BHEL’s own letter dated 3

rd

November, 2010

remitting a cheque to REC for leave transfer in the case of Pradip Kumar

Das). Further, BHEL’s subsequent description of that act as an “inadvertent

payment” and its attempt to seek refund does not resolve the present dispute.

If the earlier act was consistent with the governing framework, it is not

“inadvertent”. If it was inconsistent, BHEL must show how the present

refusal squares with the Personnel Manual clause and the BPE OM.

30. BHEL’s refusal in Naveen Kumar Gupta’s case is unsustainable in

light of Clause 8.2 of the Personnel Manual read with the BPE Office

Memorandum dated 25

th

January, 1988. The reasoning that there is “no

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 19 of 29

provision” does not grapple with BHEL’s own policy which adopts the DPE

framework for CPSE-to-CPSE movement on consent of both managements.

The leave liability, therefore, must be discharged in the manner

contemplated by the policy, namely by transfer to the transferee organisation

wherever feasible, accompanied by remittance of a lump sum equal to the

leave salary for the period of leave transferred. Where, owing to passage of

time or intervening changes in service, such transfer is not practicable,

BHEL shall discharge the same liability by paying the equivalent leave

salary directly to the employee.

31. In Mukul Agarwal’s case, since the leave has already been transferred

to the transferee organisation, that transfer shall be treated as valid discharge

of the liability and shall not be reopened or sought to be reversed on the

basis of any later view that the transfer was “inadvertent” or erroneous,

particularly where the movement was through proper channel and the

transfer was processed through official communications between the two

CPSEs.

Issue (iii): Pension claim and “technical resignation”

32. BHEL rests on Clause 4.8 of its pension scheme and says resignation

cases are outside eligibility, and therefore there is nothing to transfer. This

clause reads as follows;

“4.8 Severance of service by the employee on account of resignation,

termination, compulsory retirement as a penalty, dismissal / removal because

of disciplinary proceedings, will not be eligible under the Scheme. Cases of

voluntary retirement under specific VRS/VSS scheme, would be examined

separately. However, cases of employees availing Voluntary (premature)

retirement if otherwise eligible for pension, will be covered under BHEL

Employees’ Pension Scheme.”

The Petitioners rely on DPE guidance which recognises that resignation in a

proper-channel selection scenario is a technical formality. They also rely on

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 20 of 29

the nature of the scheme as a defined contribution plan funded by the

company within an identified percentage ceiling.

33. On this aspect, following points are critical:

The meaning of resignation in a public sector mobility setting

33.1 In ordinary private employment, resignation may represent a complete

severance chosen by the employee, often unrelated to public interest. The

CPSE setting is different. When an employee applies through proper channel

to a post in another CPSE or Government undertaking, and the parent

organisation forwards the application and releases the employee on

resignation for administrative reasons, the resignation serves as the legal

form by which movement is effected. The substance is not a repudiation of

service. It is a structured transition within the public sector framework.

Technical resignation is thus a service-law shorthand used mainly in

Government and PSU contexts. It refers to a resignation that is treated as a

technical formality because the employee is moving from one Government

post to another Government post, with proper permission, and the

administrative system requires a “resignation” from the old post to enable

appointment to the new one.

33.2 DPE’s clarification dated 1

st

February, 2017 captures this substance. It

does not invent the practice. It names and defines it. The practice existed

long before the OM, as the earlier DoPT OM on technical resignation and

lien and the public sector movement guidelines show. When a later OM

describes itself as a “clarification”, the Court’s task is to examine whether it

merely explains the meaning of an existing category or creates a new

category. The language of the 1

st

February, 2017 OM points to explanation,

not creation. The same is extracted for ease of reference:

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 21 of 29

“OFFICE MEMORANDUM

Subject:-Superannuation Benefits Schemes for employees of CPSEs -

clarification regarding Technical Formality

The undersigned is directed to refer to this Department’s OM of

even number dated 21.05.2014 regarding clarification of Pension and

superannuation Medical Benefits Scheme in CPSEs.

2. Para (xvi) of the said OM specifies that in cases of resignation

(excluding resignation covered under “technical formality clause”) and

compulsory retirement, removal, dismissal because of disciplinary

proceedings, the annuity would be based only on member’s contributions, if

any, and interest thereon. However, the meaning of the term ‘Technical

Formality clause’ has not been clarified in the said O.M.

3. Resignations under ‘Technical Formality clause’ includes

resignations in cases where a Central Public Sector Enterprises (CPSE)

employee has applied for a post in the same or other CPSE through proper

channel and on selection to the said post, is required to resign the previous

post for administrative reasons. Resignation submitted for other reasons or if

competent authority has not allowed him to forward his application through

proper channel is a resignation and benefit of past service will not be

admissible

4. The above clarification is only for the purposes of Superannuation

Benefits Schemes implemented in CPSEs in light of DPE’s OM dated

26.11.2008 and 21.05.2014 and subsequent DPE guidelines on

Superannuation Benefits Schemes.

5. All the administrative Ministries/Departments are requested to bring

the above to the notice of the CPSEs under their administrative control.”

33.3 BHEL’s principal response is temporal: it says the Petitioner resigned

on 17

th

October, 2015 and therefore cannot rely on the DPE OM dated 1

st

February, 2017. That response is too blunt. A clarification, in law and

administrative practice, ordinarily operates as an exposition of what the

governing framework already contemplated, unless it expressly creates a

new right or confines itself to future cases. The DPE OM dated 1

st

February,

2017 does neither. It records that the scope of “technical formality” had not

been clarified and clarifies it by describing a proper-channel CPSE-to-CPSE

movement which requires resignation for administrative reasons. This

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 22 of 29

reading is also consistent with the subsequent policy direction in the CPSE

wage-revision/superannuation framework, which progressively moved away

from rigid severance-based exclusions and strengthened the continuity

rationale for employees moving within CPSEs. The clarification, therefore,

is a legitimate aid to construing the earlier DPE regime while deciding a

dispute that remained live and was adjudicated by a speaking order in 2018.

33.4 This distinction is decisive in cases like the present where the claim

remained alive through representations and judicial directions. Even if the

Petitioners resigned earlier, the decision on their representations was taken

in 2018. The authority was required to interpret the applicable policy

framework correctly when deciding a live dispute. A later clarification of

meaning is a legitimate aid to interpretation of the very expression which the

2014 OM used.

The interaction between DPE framework and BHEL scheme text

34. BHEL says it adopted a pension scheme as part of wage revision as

per DPE guidelines. The DPE guidelines, particularly the 21

st

May, 2014

OM, contemplate situations of resignation and provide a distinct treatment

for resignations falling under “technical formality”. The scheme text in

BHEL excluding resignation, cannot be read in isolation from the DPE

framework which BHEL says it implemented.

35. The correct harmonisation is this: Clause 4.8 addresses resignation as

a severance in the ordinary sense. It cannot be applied mechanically to

technical formality resignations which are, in substance, a mode of CPSE-

to-CPSE movement through proper channel. To apply the disqualification to

technical formality resignations would defeat the very category recognised

by DPE and would penalise mobility which the Government framework, for

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 23 of 29

good administrative reasons, has historically accommodated.

36. BHEL’s speaking order tries to treat “technical resignation” as

irrelevant on the footing that it is applicable only for superannuation benefits

and not for leave, and in any event pension schemes are different. This line

of reasoning does not engage with the central point: the category of

technical formality is invoked to determine whether resignation is a

disqualifying severance at all. Once the resignation is treated as a technical

formality, it ceases to operate as a disqualification for benefits that are meant

to continue when an employee moves from one CPSE to another.

The “group corpus” argument

37. BHEL also contends that no individual account is maintained under

the scheme and that employees make no contribution, and therefore nothing

can be transferred. This does not justify a complete denial of the claim. The

fact that the scheme operates through a common corpus rather than

individual accounts may affect the manner of computation, but it does not

make it impossible to determine or transfer the benefit attributable to an

employee.

38. This is reinforced by BHEL’s later amendment (effective 1

st

January,

2017) which explicitly contemplates transfer of pension corpus to NPS on

resignation on request. That amendment demonstrates feasibility in

principle. It also reveals that the “no individual account” feature was not an

immutable structural bar. It was a choice which could be adjusted by policy.

BHEL’s stance in 2018 that transfer is “not feasible” because the scheme is

group corpus cannot stand alongside its own later policy allowing transfer to

NPS on resignation.

39. The proper question, therefore, is not feasibility. It is entitlement in

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 24 of 29

the relevant category and, if entitled, the method of quantification and

transfer.

40. BHEL’s reliance on the expression “broadly similar schemes” in the

DPE OM dated 21

st

May, 2014 also does not advance its case. The guideline

does not require that the schemes be identical in structure; it only refers to

broad similarity for the purpose of administrative transfer. The use of the

word “broadly” itself indicates that the condition is one of practical

compatibility rather than strict equivalence. In the present case, the later

amendment to the BHEL scheme permitting transfer of pension corpus to

the NPS demonstrates that a difference in scheme architecture is not, by

itself, a barrier to transfer but a matter capable of administrative adjustment.

Where transfer is administratively feasible, differences in scheme design

cannot by themselves justify a complete denial of the benefit.

Issue (iv): The 1

st

January, 2017 cut-off

41. By a Corporate HR Circular dated 20

th

February, 2021, BHEL

amended Clause 4 of the BHEL Employees’ Pension Scheme with effect

from 1

st

January, 2017. The amendment expanded the categories of

employees eligible for pension under the scheme and, inter alia, brought

resignation within the scope of eligibility and permitted transfer of the

pension corpus on request. As per the 2021 circular, the amendment is

effective from 1

st

January, 2017. BHEL argues that, since the Petitioners

resigned in 2015, they cannot claim the benefit.

42. A cut-off date in wage revision and superannuation schemes is not, by

itself, suspect. Courts do not re-write fiscal policy simply because a date

produces hard cases. However, a cut-off cannot be used as a blanket shield

where the dispute is not about creation of a new benefit but about correct

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 25 of 29

classification under an existing framework.

43. Here, the Petitioners’ case is not “apply the new benefit retroactively

because it is generous”. Their core case is “our resignations were technical

formalities under the CPSE mobility framework, and should not have been

treated as disqualifying severance even under the earlier DPE framework”.

The cut-off therefore does not answer the claim. At best, it shows that BHEL

later broadened eligibility on resignation for separations on or after 1

st

January, 2017. It does not establish that technical formality resignations

before that date were necessarily to be treated as ordinary resignations for all

purposes.

44. Moreover, the dispute was kept alive. Representations were pending.

This Court’s order dated 27

th

April, 2018 required a speaking decision. The

decision maker in 2018 was expected to apply correct interpretive principles.

It was not a closed past transaction being reopened for the first time in 2023.

It was an ongoing dispute in which the authority was called upon to explain

its position.

Relief and moulding

45. The remedies must be workable. For leave, Mukul’s case is resolved.

For Naveen, the passage of time and his later move out of NHDC to another

organisation makes a strict “credit in leave account of transferee” difficult.

A monetary discharge pegged to leave salary, which is the measure used by

the policy framework for transfer of leave liability, is an appropriate course.

46. For pension, the relief must respect the nature of the scheme. A

direction to “release pension as if superannuated” would be wrong. The

correct relief is a direction to compute the pension corpus attributable under

the scheme architecture for the period recognised by the scheme and to

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 26 of 29

transfer that computed corpus to NPS on request, treating the resignation as

technical formality. If actuarial computation is required, it must be

undertaken by the Trust/Fund Manager(s) under the scheme with reasons

and records. BHEL cannot retain the entire benefit as a windfall when the

employee’s exit is within the CPSE mobility framework and the

Government policy recognises continuity benefits in such cases.

FINDINGS

47. The Court records the following findings:

(i) The Petitioners applied through proper channel for posts in

Government of India undertakings/CPSEs. BHEL forwarded their

applications and released them upon selection. Their resignations, in

substance, were resignations as technical formality for administrative

reasons. They fall within the meaning clarified by DPE OM dated 1

st

February, 2017, which is properly read as clarificatory of the category used

in DPE OM dated 21

st

May, 2014.

(ii) In the context of CPSE mobility, BHEL’s attempt to treat proper-

channel forwarding and release as irrelevant to “consent” is artificial. The

relevant consent is institutional permission and facilitation of movement, not

a separate “transfer order” in the Government departmental sense.

(iii) On HPL, BHEL’s refusal in Naveen Kumar Gupta’s case is

unsustainable in light of its Personnel Manual clause 8.2 read with the BPE

OM dated 25

th

January, 1988. The reasoning that there is “no provision”

fails to engage with the internal incorporation of DPE guidelines. The

liability should be discharged by transfer to the transferee organisation

wherever feasible. Where, due to passage of time, transfer is not practicable,

the liability must be discharged by payment of the equivalent leave salary

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 27 of 29

for the relevant period, which is the method the policy uses for discharging

the leave liability.

(iv) On pension, BHEL cannot reject the claim solely by invoking Clause

4.8 as if all resignations are alike. Clause 4.8 must be construed in harmony

with the DPE framework and cannot be applied to technical formality

resignations in a manner that defeats recognised CPSE mobility benefits.

The “group corpus” and “no individual account” structure does not justify a

total refusal. It calls for a method of computation.

(v) The 1

st

January, 2017 cut-off in BHEL’s later amendment does not

defeat the Petitioners’ entitlement where the claim rests on correct

classification as technical formality and on interpretation of the DPE

framework which BHEL asserts it implemented. The cut-off may govern the

new expanded eligibility as a distinct policy layer, but it cannot be used to

deny correct treatment under the earlier framework in a live dispute.

RELIEF

48. The writ petitions are allowed to the extent indicated below, by a

common order.

Leave (HPL)

48.1 In W.P.(C) 12110 of 2018 (Mukul Agarwal), the parties state that

HPL has already been transferred to the transferee organisation. No further

direction is required on the leave component. If any consequential

reconciliation remains between the two organisations, it shall be completed

within eight weeks.

48.2 In W.P.(C) 12069 of 2018 (Naveen Kumar Gupta), BHEL shall,

within eight weeks:

(a) ascertain from NHDC whether that organisation will accept

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 28 of 29

transfer/credit of the Petitioner’s HPL balance standing to his credit as on

17

th

October, 2015, in terms of the BPE OM dated 25

th

January, 1988 and

the policy framework reflected in BHEL Personnel Manual clause 8.2; and

(b) if the transferee organisation agrees to accept the transfer/credit,

BHEL shall discharge the leave liability by remitting to that organisation a

lump sum equal to the leave salary for the period of HPL sought to be

carried forward, computed on the basis of the Petitioner’s admissible pay

components as on 17

th

October, 2015, along with an explanatory

computation sheet; and

(c) if the transferee organisation declines, or if such transfer has become

impracticable for reasons beyond the Petitioner’s control due to passage of

time, BHEL shall pay the same computed lump sum directly to the

Petitioner within the same eight-week period.

Pension corpus

49. For both Petitioners, BHEL shall, within six weeks:

(a) treat the Petitioners’ resignations, tendered after proper-channel

selection, as technical formality resignations within the CPSE mobility

framework;

(b) cause the BHEL Employees’ Superannuation Benefit Fund/Trust and

the Fund Manager(s)/Actuary (as the scheme provides) to compute the

notional individual pension corpus attributable to each Petitioner as on the

date of resignation, applying the scheme’s operative formulae and rules as

would be used to determine pension corpus upon prescribed separation, with

service reckoned up to the date of resignation, and with a reasoned

computation note;

(c) transfer the computed corpus to the Petitioner’s NPS account (PRAN)

W.P.(C) 12069/2018 & W.P.(C) 12110/2018 Page 29 of 29

if furnished, or in the alternative, where the Petitioner opts for transfer to the

successor CPSE scheme and that CPSE agrees to accept it, transfer it to such

scheme, subject to regulatory compliances; and

(d) if BHEL contends that any portion cannot lawfully be transferred due

to a specific statutory or trust-deed bar, BHEL shall place on record the

precise clause relied upon, the legal basis for that construction, and a

proposed alternative that ensures the Petitioner is not left remediless, and the

competent authority shall pass a supplementary speaking decision within the

same twelve-week period.

50. The speaking order dated 2

nd

July, 2018 shall stand set aside to the

extent it rejects the claims contrary to the findings recorded in this judgment.

Any fresh decision under clause 59(d) shall be confined to quantification

and modality and shall not re-open entitlement.

51. If BHEL fails to comply within the timelines fixed above, the

amounts payable under clauses 58(c) and 59(c) shall carry simple interest at

the rate of 6 per cent per annum from the date of default until payment.

52. The petitions are allowed in above terms. Pending applications, if any,

stand disposed of.

SANJEEV NARULA, J

MARCH 10, 2026/ hc

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