AHMED HUSSAIN KHAN vs STATE OF ANDHRA PRADESH

The Supreme Court interpreted Rule 299(1)(b) of the Hyderabad Civil Services Rules, holding that the maximum pension payable to a government servant is Rs. 1000 in Osmania Sikka currency, not Rs. 857.15 in Government of India currency. The Court ruled that any amendment to pension conditions must comply with the Proviso to sub-section (7) of Section 115 of the States Reorganization Act, 1956, which mandates that changes disadvantageous to government servants must adhere to specific requirements. The Government Notification dated February 3, 1971, amending the pension amount was declared invalid.