UNION OF INDIA vs K.N. PRAKASAN

The Supreme Court held that the Central Administrative Tribunal erred in not considering the provisions of Fundamental Rule 54 while determining the respondent's pay and allowances during the period of absence from duty. The Court emphasized that F.R. 54(4) mandates payment of a portion of pay and allowances to a government servant whose dismissal is set aside, subject to certain conditions. The appeal was allowed, and the tribunal's order was set aside, directing the appellant to comply with the provisions of F.R. 54.