Clarification on simplification of procedure for payment of pension and other benefits to AIS officers retiring from Govt of India/State Govt: exercise of option regarding:-

No. 25,014/1/2014-AIS-II
Government of India
Ministry of Personnel, Public Grievances and Pension
(Department of Personnel and Training)
North Block, New Delhi
Dated: 28/07/2015.

Subject: Clarification on simplification of procedure for payment of pension and other benefits to AIS officers retiring from Govt of India/State Govt: exercise of option regarding.

The undersigned is directed to refer to this Department’s Order No. 250141212002-AIS-II dated 11th April, 2007 wherein measures for simplification of payment of pension and other retirement benefits to All India Services officers retiring/retired from Government of India/State Government have been revised and the Government of India had taken over the entire pension liability of all the All India Service officers. Besides, all retiring All India Service officers either from the Central Government or State Government uniformly have the option of drawl of their pension through Government of India or through the State Government. However, in the aforesaid order dated 11th April, 2007, the issue of revocation of their earlier option for drawl of pension exercised by the All India Service pensioners was silent. 

(2) Accordingly, keeping in view the aging factor and to ease and comfort in a retired life, the issue of exercising option for drawing pension either from Government of India or State Government was revisited in this Department in consultation with the Central Pension Accounting Office, Department of Expenditure and Department of Pension and Pensioners’ Welfare and has decided that the option exercised by the pensioner for drawl of pension/family pension either from the Government of India ‘or State Government in reference to this Departments Order dated 11th April , 2007 would continue as “zero option’ (option exercised at the time of retirement would constitute as zero option).

(3) Thereafter, the retired officer can further make two options for which the first option would be permitted without obtaining the permission of Central Government and the second option would require permission of the Central Government. No further option shall be considered after the Second option is permitted by the Central Government. The first option shall be applied by the pensioner to the Drawing Disbursing Authority of her/his pension in the prescribed format (Annexure-1).

(4) The proposal for revocation of earlier options which required permission of the Central Government shall be applied to the concerned Cadre Controlling Authority of All India Services in the prescribed format (Annexure-II) and such proposal shall be processed in consultation with the Chief Controller (Pension), Central Pension Accounting Office (Department of Expenditure), New Delhi for according approval of the Secretary of the concerned Cadre Controlling Authority. 

(5) It is to state that every time a change in option is made, it shall be notified to the Central Pension Accounts Office (Department of Expenditure) for carrying out necessary updation in its data base.

(6) The revised format for exercising zero option for drawl of pension in respect of retiring/retired members of All India Services is annexed as Annexure-III.

(Rajiv Jain)
Under Secretary to the Government of India

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