Para 7.12.2 — CAM
Original Rule Text
7.12.2 RECOVERY OF AMOUNT OF PENSION PAID TO HIGH COURT JUDGES IN TERMS OF ARTICLE 290 OF THE CONSTITUTION OF INDIA:
In terms of Article 290 of the Constitution of India, the charges for the payment of pension to the retired High Court Judges are to be borne by the respective State Governments. After reimbursement to authorized Banks on account of pension paid to the retired High Court Judges and reimbursement of the claims received from the State AG for payment through State Treasuries, the scrolls/schedules of payment/vouchers shall be segregated State-wise. The CPAO in this regard shall generate the monthly and quarterly statements on computer. The figures appearing therein shall be reconciled on monthly basis with the figures booked by Computer System from the sources indicated in para 7.12.1.
The CPAO will then take action to claim reimbursement of the reconciled amount as generated through Computer system by debiting the same to the head ‘8658 Suspense Accounts’ – PAO Suspense - Transactions adjustable by A.G. …………….. ’. Contra credit will be afforded to the minor head '106 – Pensionary Charge' in respect of the High Court Judges recovered from State Governments’ under major head ‘0071 Contributions and Recoveries towards Pension and other Retirement Benefits'. The CPAO will then send an Outward Claim to the AG concerned on quarterly basis for the quarters ending June, September and December in APPENDIX 7.11. The claim for January and February will however, be sent on monthly basis. In respect of transactions relating to the month of March, the debit shall be raised on weekly intervals against the A.G. concerned. In case of transactions arising on or after 25th March, telegraphic advices shall be sent to the A.G. concerned.
On receipt of cheque/demand draft from the A.G., a note shall be kept in column 6 of the statement in APPENDIX 7.11. The cheque/demand draft will be remitted to bank along with the challan. On receipt of Receipt Scroll from the bank, the CPAO will clear the debit under to ‘8658 Suspense Account - PAO Suspense- transactions adjustable by A.G. ……………. ’.
What This Means
Under Article 290 of the Constitution, pensions to retired High Court judges are ultimately paid by the respective State Governments, not the Central Government. After CPAO reimburses authorized banks or settles claims from State AGs for treasury payments, it segregates the payment data State-wise. CPAO then claims reimbursement from each State Government by raising debits through the AG concerned, using suspense heads for interim accounting. Quarterly claims are sent for June, September, and December; monthly for January and February; and weekly (even telegraphic) for March transactions to meet year-end deadlines. Once the State AG sends a cheque or demand draft, CPAO deposits it and clears the suspense entry.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Pension cost for retired High Court judges is borne by respective State Governments per Article 290
- 2CPAO segregates payment data State-wise after reimbursing banks
- 3Reimbursement is claimed quarterly (Jun/Sep/Dec), monthly (Jan/Feb), and weekly in March
- 4Suspense head '8658 Suspense Accounts - PAO Suspense' is used for interim accounting
- 5Contra credit goes to '0071 Contributions and Recoveries towards Pension' under minor head 106
Practical Example
CPAO reimburses Punjab National Bank for pensions paid to retired judges of the Allahabad High Court during April-June. The payment data is segregated showing amounts attributable to Uttar Pradesh. CPAO raises a debit under '8658 Suspense Accounts' and sends the quarterly Outward Claim in Appendix 7.11 to the AG, Uttar Pradesh. When the AG sends a demand draft, CPAO deposits it and clears the suspense entry in its books.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
Why does the Central Government initially pay High Court judge pensions if the States bear the cost?▼
Why are March transactions handled differently?▼
What accounting head is used for the interim period before State reimbursement?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.