STATE OF RAJASTHAN vs PREM RAJ

The Supreme Court addressed the computation of pension for pre-1979 retirees under the Rajasthan Service Rules, 1951, specifically focusing on Rule 256 and its amendments. The Court held that the retrospective amendments made by the Governor of Rajasthan on 18th March 1971, which included Dearness Allowance in the pension calculation for those retiring on or after 1.4.1970, were valid and applicable. Consequently, the appeals were decided in favor of the respondents, ensuring their pensions were recalculated to include the Dearness Allowance as per the amended rules.