MUKAND LTD. vs NATIONAL INSURANCE CO.LTD.

The Supreme Court upheld the High Court's decision directing the appellants to grant retrial benefits to the respondents, who were retirees of the Overseas Communication Service, in accordance with the Central Government Pension Scheme as opted in 1989. The Court emphasized that the relevant Office Memorandum No. 4(8)/85-P & PW dated 13th January, 1986, allowed employees to retain pensionary benefits under Government Rules upon their transfer to a Public Sector Undertaking. The Court affirmed that the respondents were entitled to these benefits, thereby reinforcing the applicability of the Central Government's pensionary terms in such transitions.