Pension Rule No.11: Commercial Employment After Retirement
11. Commercial Employment After Retirement:-
(1) If a pensioner who, immediately before his retirement was a member of Central Service Group ‘A’ wishes to accept any commercial employment before the expiry of One years from the date of his retirement, he shall obtain the previous sanction of the Government to such acceptance by submitting an application in Form 1.
[Authority: RBE No.117/2007, No.E(G)2007/EM1/1, 19.09.2007]
Provided that a Government servant who was permitted by the Government to take up a particular form of commercial employment during his leave preparatory to retirement or during refused leave shall not be required to obtain subsequent permission for his continuance in such employment after retirement.
(2) Subject to the provisions of sub-rule (3), the Government may, by order in writing on an application made under sub-rule (1) by a pensioner, grant, subject to such condition, if any, as it may deem necessary, permission, or refuse, for reasons to be recorded in the order, permission to such pensioner to take up the commercial employment specified in the application.
(3) In granting or refusing permission under sub-rule (2) to a pensioner for taking up any commercial employment, the Government shall have regard to the following factors, namely:-
(a) Whether a ‘No Objection’ for the proposed post retirement commercial employment has been obtained from the cadre controlling authority and from the office where the officer retired.
(b) Whether the officer has been privy to sensitive or strategic information in the last three years of his service which is directly related to the areas of interest or work of the organization which he proposes to join or the areas in which he proposes to practice or consult.
(c) Whether there is conflict of interest between the policies of the office he has held in the last three years and the interest represented or work undertaken by the organization he proposes to join.
Explanation: For the purposes of this clause, conflict of interest shall not include normal economic competition with the Government or its undertakings.
(d) Whether the organization he proposes to join has been known to be in any way in conflict with or prejudicial to India’s foreign relations, national security and domestic harmony, and whether the organization is undertaking any activity for intelligence gathering.
(e) Whether service record of the officer is clear, particularly with respect to integrity and dealings with non-Government organizations.
(f) Whether the proposed emoluments and pecuniary benefits are far in excess of those currently prevailing in the iy: RBE No.117/2007, No.E(G)2007/EM1/1, 19.09.2007]
(4) Omitted
[Authority:- RBE No.139/2002, No.E(G)2002/EM1/1, 19/23.07.2002]
(5) Where the Government grants the permission applied for subject to any conditions or refuses such permission, the applicant may, within thirty days of the receipt of the order of the Government to that effect, make a representation against any such condition or refusal and the Government may make such orders thereon as it deems fit:
Provided that, no order other than an order canceling such condition or granting such permission without any conditions, shall be made under this sub-rule without giving the pensioner making the representation an opportunity to show cause against the order proposed to be made.
(6) If any pensioner takes up any commercial employment at any time before the expiry of one year from the date of his retirement without the prior permission of the Government or commits a breach of any condition subject to which permission to take up any commercial employment has been granted to him under this rule, it shall be competent for the Government to declare by order in writing and for reasons to be recorded therein that he shall not be entitled to the whole or such part of the pension and for such periods as may be specified in the order.
[Authority: RBE No.117/2007, No.E(G)2007/EM1/1, 19.09.2007]
Provided that no such order shall be made without giving the pensioner concerned an opportunity of showing cause against such declaration:
Provide further that in making any order under this sub-rule, the Government shall have regard to the following factors, namely:-
(i) The financial circumstances of the pensioner concerned;
(ii) The nature of, and the emoluments from, the commercial employment taken up by the pensioner concerned; and
(iii) Any other relevant factor.
(7) Every order passed by the Government under is rule shall be communicated to the pensioner concerned.
(8) In this rule the expression-
(a) Commercial Employment means-
(i) An employment in any capacity including that of an agent under a company, cooperative society, firm or individual engaged in trading, commercial, industrial, financial or professional business and includes also a directorship of such company and partnership of such firm, but does not include employment under a body corporate, wholly or substantially owned or controlled by the Central Government or a State Government;
(ii) Setting up practice, either independently or as a partner of a firm, as adviser or consultant in matters in respect of which the pensioner:-
(1) Has no professional qualifications and the matters in respect of which the practice is to be set up or is carried on are relatable to his official knowledge or experience, or
(2) Has professional qualification but the matters in respect of which such practice is to be set up are such as are likely to give his clients an unfair advantage by reason of his previous official position, or
(3) Has to undertake work involving liaison or contact with the offices or officers of the Government.
Explanation:- For the purpose of this rule the expression Employment under a cooperative society includes the holding of any office, whether elective or otherwise such as that of President, Chairman, Manager, Secretary, Treasurer and the like, by whatever name called in such society;
(b) Date of retirement, in relation to a railway servant re-employed after retirement, without any break, either in the same or in another Group ‘A’ post under the Government or in any other equivalent post under a State Government, means the date on which such railway servant finally ceases to be so re-employed in Government service.