MINUTES OF TSEWA CORE COMMITTEE FOLLOWED BY EXECUTIVE COMMITTEE MEETING HELD AT 0900 HRS ON 06 SEP 2017 AT 143 VAYUPURI SECUNDERABAD
The following members were present.
- Brig CS Vidyasagar (Rtd) – President
- Cmde Sudheer Parakala (Rtd) – Vice President & Member Charity Division
- Sgt Lawrence Joseph (Rtd) – Vice President
- Col Dr GB Sethi (Rtd) – General Secretary
- Lt Col G Parvathesam (Rtd) – Treasurer
- Gp Capt CRR Sastry (Rtd) – Joint Secretary
- H/ Capt B Joseph (Rtd) – Joint Secretary
- H/ Capt M Narasimha Reddy(Rtd) – President, TSEWA Telangana
- Air Cmde GS Nijjar (Rtd) – All India Co ordinator & Member Charity Division
- Col MK Veeramani (Rtd) – Member & Head Charity Division
- Cdr SK Vasudeva Rao (Rtd) – Legal Advisor & Member
- Lt Col N Ravi Chowdhary (Rtd) – Legal Advisor & Member
- Lt Col Vijay Chandra Salins (Rtd) – Administrator TSEWA Web
- Lt Col Dr K Bhaskar Reddy (Rtd) – Member & Medical Advisor
New Procedure
President welcomed all, and thanked them for coming. He said that as per the advice given by Gp Capt CRR Sastry and Air Cmde GS Nijjar Executive Committee (EC) aloe has got official powers to take any decision and execute the same. To get more inputs to take any decision on any issue, EC can nominate Core Committee to advise the EC to function efficiently. Main functions of Gen Body are only three. First is to approve financial statement of previous financial year and budget for next year. Second is to appoint the Chartered Accountant (CA). Third is to elect/ nominate Executive Committee. Rest day to day functioning of society is to be performed by Executive committee with assistance from members chosen by them for specific tasks.
President stated that every Bi Weekly meeting henceforth is a combined meeting of EC and Core Committee. First all general points from Core Committee members will be discussed. Then Core Committee members will leave. Thereafter EC meeting will continue.
Sequence of conduct of Core Committee cum Executive Committee meeting is: Gen Secy will give his points, followed by Treasurer, President then Core Committee members. Thereafter the Core Committee members will leave the venue. Thereafter the Executive Committee will examine all the suggestions given by Core Committee members and take appropriate decision. Even members of TSEWA can forward their suggestion or points to be discussed by the Executive Committee.
Points from Gen Secy:
Winning BB -2 (OA – 1677/2016) : Gen Secy informed that TSEWA has won BB-2 case on 30 Aug 2017 in AFT Delhi. With this the number of cases won by TSEWA are three. 153 members will get the benefit of arrears of broad banding for three years in BB – 3. President is working out the approximate arrears each member will receive from Oct 2013 to Sep 2016 (date of filing the case in AFT Delhi) as was done by him for BB-1. BB-3 documents have already been sent to Brig SKS Rana VSM, Head Legal Division TSEWA. Very soon BB – 3 case also will be filed in AFT Delhi. The memo of parties sent to Delhi will be put up in TSEWA Blog for benefit of petitioners of BB – 3.
Action to be taken by President, Gen Secy, Smt Rekha Sekhri & Brig SKS Rana VSM
Welfare of War Widow: Brig Vinayak Ramnarayan, VSM, President TSEWA, Central Zone, MP and Chattisgarh has informed that he had taken up the case of a War Widow who was not paid liberalized family pension. Due to his efforts, she got more than Rs 11 lakh as arrears. All appreciated the effort of Brig Vinayak and thanked him for doing this job on behalf of TSEWA.
Record Hits of TSEWA Blog: Gen Secy informed that TSEWA Blog has got the distinction of 3 lakh hits with in one year of its launching which is very commendable. This was possible due to herculean efforts of Smt Rekha Sekhri, Wife of Lt Col Raj Sekhri (SS-1 course and from Gorkhas) who designed the blog, paid for one year hosting charges of more than Rs 6,700 and administers it daily. More and more members and non – members are getting benefit from TSEWA Blog which is very user friendly. All appreciated and thanked Smt Rekha Sekhri for her singular contribution to TSEWA Blog and promptly updating the Blog. Maj PM Goswami volunteered to be co-administrator to assist Smt Rekha Sekhri.
Updating of TSEWA Web Site: Gen Secy informed that unlike our Blog, our TSEWA Web Site is not being updated even after six months. This reflects badly on our efficiency. He wanted the concerned member to do the needful in this regard in consultation with IQM Soft, Secunderabad, the designers of TSEWA website. President requested Lt Col Vijay Salins to do the needful in this regard, which he agreed to do from now onwards. Gen Secy informed that Mr Antony of IQM Soft confirmed that regular updating of TSEWA website can be done by TSEWA itself. Therefore Lt Col Vijay Salins may consult IQM Soft and keep updating the TSEWA web site as is being done by Smt Rekha Sekhri. Lt Col Vijai Salins agreed to take over this job of updating TSEWA website. All thanked Lt Col Vijay Salins for his contribution.
Action to be taken by Lt Col Vijay Salins
AFT 14 A : Gen Secy informed that some members of AFT 14 A are asking him for some clarification. TSEWA has not taken up this case due to poor response from the environment as informed by Maj PM Goswami, All India Coordinator. Maj Manjit Singh one of the petitioners volunteered to take up this case and file it in AFT Delhi without involving TSEWA. The legal fees has gone upto Rs 25,000 per officer (contrast this with Rs 5,000 charged by TSEWA for officers). This is being coordinated among Brig SKS Rana VSM, Maj PM Goswami, Maj Manjit Singh and the affected members. There are only 15 petitioners as on date who are affected by this case. Legal fees collected by TSEWA is being refunded to these petitioners.
Donation of Land by Smt Dolabji GT Naidu: Gen Secy informed about the 3 acres of land at Villupuram about 150 kms from Chennai in Tamilnadu which Smt Dolabji Naidu w/o (late) Capt GT Naidu wanted to donate to TSEWA. Lt Col PN Krishnan, former President, TSEWA Tamilnadu visited Villupuram and met the concerned persons. Someone is doing cultivation in that land and paying some rent to Smt Dolabja. He may not leave the land in the near future unless he is compensated adequately. Mrs Dolabja Naidu may not be able to sell that land now, without evicting the person. It was the opinion of majority of the members that we should not take over the land as it has legal encumbrances. However if Mrs Naidu wants to donate some money in the name of her late husband, she can sell this land and give us the donation. We cannot take over and use that land at Villipuram for any of our use.
Lt Col PN Krishnan wanted TSEWA to conduct awareness camp at Villupuram, 150 kms from Chennai, Tamilnadu. President said that if a sizable ESMs come for the awareness camp, Cmde Sudheer Parakala and Col MK Veeramani, (who speaks Tamil), can go there. Gp Capt CRR Sastry said that a thumb rule is where ever sufficient ESMs are available, an ECHS Policlinic would be functioning. So if there is an ECHS Policlinic, sufficient ESMs will be there. So Gen Secy can contact Lt Col PN Krishnan and discuss this point and the needful will be done.
Action to be taken by Gen Secy, Lt Col PN Krishnan
Publicity: Gen Secy informed that Ms Padmasri of EENADU, a Telugu news daily thanks to Lt Col ML Narasimha Rao, member of TSEWA, has taken the detailed paper about various welfare activities of TSEWA. This is likely to be published in the supplementary issue of 10 Sep 2017.
Same way Radio Telugu One wants to have an interview of our President for 1 hour in Telugu on TSEWA for the Telugu listeners all over the World. This will be aired at 1630 hrs on 10 Sep 2017.
Awareness Camp at Chandigarh: Lt Gen KJ Singh, former, Army Cdr, Western Comd desired President, Col Ajit Rana, President, TSEWA North Zone and Brig SKS Rana, VSM, Head Legal Division to visit Chandigarh to address all retired officers, JCOs, OR and family pensioners on various entitlements in an awareness programme. It was decided that President and Lt Col Parvathesam will visit Chandigarh on 23 and 24 Sep 2017. Treasurer will discuss with Brig AK Srivastava VSM, along with Brig SKS Rana VSM, at Delhi regarding the payments made to him for various AFT cases handed over to him over the last two years. Brig SKS Rana VSM, and Col Ajit Rana will accompany them to Chandigarh.
Action to be taken by President, Treasurer, Brig SKS Rana VSM, Col Ajit Rana
Filing of AFT cases: During the AGM on 25 Jun 2017, Brig SKS Rana VSM said, that we can keep sending cases to be filed at AFT Delhi to him for his final checks once in every 10 or 15 days, since we are having one more Lawyer Col RK Tripathi to deal with our cases. Only BB-3 case has been sent. Gen Secy said that Ordinary Family Pension, Special Family Pension, & Col TS – 2 cases are ready. If only someone checks up legal documents, then these three cases can be sent immediately. President volunteered to do the final checking and also to make the Legal Brief along with Lt Col Vijay Salins within the next 15 days. Gen Secy said that Enhanced Ordinary Family Pension (E – OFP) has got 147 ladies and for Special Family Pension whose husbands died in harness, (SFP) 68 ladies have registered as petitioners. TSEWA is not charging any legal fees from ladies to get E-OFP. Brig AK Srivastava, VSM at intervention of Brig SKS Rana, VSM also volunteered to argue the case gratis (also Reservists case) but he will be paid administrative charges.
Action to be taken by President, Lt Col Vijay Salins, Brig SKS Rana VSM
Points from the Treasurer :
New Bank A/C : TSEWA (Corpus) Opened in SBI, Bhaskar Rao Nagar, Secunderabad: After extensive discussions and based on advice of our chartered accountant and Air Cmde GS Nijjar, we have opened one more account titled TSEWA Corpus in the same SBI Bhaskar Rao Nagar branch where we have got three bank accounts already. With this the number of accounts have gone upto four as under:-
(a) TSEWA Account. Membership fee collected is put in this account. It is Capital account and money cannot be used for maintenance of Office. The money is requird to be built up. Only interest earned is treated as income. Expenditure incurred from 01 Apr 2017 to 30 Sep 2017 will be transferred from TSEWA Reserve account into TSEWA Account.
(b) TSEWA Reserve Account. It is the account into which all receipts and expenditure will be accounted for. All interest earned on fixed deposits of four bank accounts is treated as income and to be transferred into this account. 85% of it is to be spent on charity which includes office maintenance. One combined cheque received for membership fees, donation and AFT will be firstly put in this account and later the membership fee will be transferred to TSEWA account, general donation without any conditions will be retained and legal fees will be transferred into TSEWA AFT account.
(c) TSEWA AFT Account. All legal fees collected is put in this account.
(d) TSEWA Corpus. TSEWA needs to build a corpus to ensure when income dries up then we have some capital whose income we can use for running office of TSEWA. Lt Col Latif Vadakkayil, Head Pension Division gave this suggestion almost one and half years back.
Separation of Funds into the Four Bank Accounts. Money available in various accounts will be separated in line with the decision given by Extra Ordinary General Body Meeting held on 27 Aug 2017. Treasurer said that our CA had suggested to open one more account as “: Educational Fund for Charity”. On this Col Veeramani said that if we open one account as Educational Fund and when we expand our activities to include Medi-care, Training Institutions in next 10 year to expand our charitable activities then we have to open so many accounts which will become very difficult to manage. After some discussion, it was agreed in principle that we can open one account as Charity Fund Account for all charitable activities. Donations received can be spent from this account.
Action to be taken by Treasurer
Visit of Maj PM Goswami to North East :Maj PM Goswami of Assam Regt visited North East and met many ESMs there. He could enroll members for TSEWA. His effort was appreciated by all.
Percentage of Money spent on Charity and for Office maintenance:
President suggested that the percentage of money spent on Charity and for office maintenance, should be proportional. TSEWA is required to spend 85% of income earned in a financial year on charity as advised by our Chartered Accountant. But office maintenance is also part of charity. There fore, there is a need to lay down an acceptable division of charity budget on Charitable activities and on office maintenance. It can be 50%: 50% or 60%: 40% of 85% of income earmarked for charity. For example if we have earned in financial year 2017 – 18, income of Rs 10 lakhs from donations and interest on our fixed deposits, then we have to spend Rs 8.50 lakhs on charity including office maintenance. We cannot spend bulk of money on office maintenance and then ask Commissioner Income Tax ( Exemption) Hyderabad to accord exemption under Sec 80(G) of IT Act 1961 to benefit our donors. Therefore 60% : 40% on charity : Office Maintenance out of 85% of income may be a good criterion. CA also informed that 85% of income should be spend on charity otherwise, we are liable to pay Income Tax on unspent balance out of 85% of income in spite of getting exemption under Sec 12 A of Income Tax Act 1961. If we show in financial year sufficient amount on actual charity, then only we will get Exemption under 80 G of IT Act 1961 for our donors.
Action to be taken by EC members.
Presentation by Air Cmde GS Nijjar on Financial Management:
Air Cmde GS Nijjar gave a very good presentation on Financial Management covering various issues. His effort was very much appreciated by all. All thanked him for making members of Core Committee and Executive Committee wiser.
However during the last Extra ordinary Gen Body Meeting , the details of accounting procedure to be followed by us was discussed and decided after consulting our Chartered Accountant. Since our CA will be making the balance sheet, and also submit our Income Tax Return by Jul 2018 for financial year 2017 – 18 to IT Dept, we have to follow the advice given by him. Moreover, he will be presenting the case for getting exemption under Sec 80(G) for our donors in Sep – Oct 2018 to the Commissioner of Income Tax (Exemptions) Hyderabad, along with Treasurer, Gen Secy and President, we have to go by advise given by CA on all these issues
It was also mentioned that Cmde Sudheer Parakala has contacted his Chartered Accountant school friend. His opinion is similar to what has been given by our own CA. However it was decided that Air Cmde GS Nijjar will sit with the Treasurer for a week or so and finalise the accounting procedure within the frame work given by EOGBM. If required the same will be discussed with the CA friend of Cmde Sudheer Parakala. Air Cmde Nijjar, Cmde Sudheeer Parakala and Treasurer can meet the CA friend and get all clarifications required.
Action to be taken by : Air Cmde GS Nijjar, Cmde Sudheer Parakala, Treasurer.
Treasurer informed that in our new office at 306, SBI Bhaskar Rao Nagar, we have appointed a safaiwali to clean up our office at a monthly salary of Rs 1,200/-. For the Bi weekly meetings at 143, Vayupuri few chairs have been purchased. Some more items have to be purchased to make the that office as functional as most of office furniture procure have been shifted to our office at SBI, Bhaskar Rao Nagar.
Henceforth TSEWA will have two offices. 143 Vayupuri will be manned by Col Dr GB Sethi, Gen Secy with one office staff member dealing with membership and legal cases. All other works will be carried out from our rented office at 306, SBI Bhaskar Rao Nagar, Secunderabad.
Points from the President
TSEWA Blog to be Single Window for Communication: President thanked Smt Rekha Sekhri, Administrator of TSEWA Blog who single handedly brought up the blog to such great heights by her painstaking efforts. TSEWA Blog is user friendly and can be accessed by anyone. It is not restricted to members of TSEWA alone. Latest information available on all activities of TSEWA and all important letters / circulars / information on pensions and other issues affecting defence pensioners is put in the Blog. If members see the TSEWA Blog regularly, then most of the e-mail traffic can be easily reduced. As far he is concerned, he receives many requests from members and non – members about many issues affecting them. He will reply to them in future through TSEWA Blog.
He further added that arrears of various types like arrears of BB – 2 case for disabled soldiers will be put up in the TSEWA Blog. His analysis of any issue like of 7th CPC etc will be put up in the Blog. Even the Minutes of Meeting will be put up in TSEWA Blog only. Our objective should be in next two years i.e. by Dec 2019 TSEWA Blog should reach one million mark.
Cmde Sudheer parakala said that continuously a scrolling message should come in our Blog, that the ESM should become a member of TSEWA to get additional benefits. The procedure to become a member of TSEWA should be given as a link.
Action to be taken by President, Mrs Rekha Sekhri, Maj Goswami
Three Important Letters on 7th CPC for Pre – 2016 Pensioners and Post – 2016 Pensioners:
President explained that Ministry of Defence (ESW) issued two letters on disability pension on 04 Sep 2017 and one letter on fixing pension of pre- 2016 pensioners on Notional basis on 05 Sep 2017. Since he did not have time, he could not delve too much into them to know how these letters affect pensioners.
Cursory reading of 05 Sep 2017 letter of Min of Def (ESW) tells that for Notional pay method of working out pension of Pre – 2016 Defence Pensioners indicates the method shown is not correct. It gives four illustrations of JCOs / OR and four illustrations of Officers as to how they would transit from 3rd CPC to 7th CPC with multiplication factors for each intervening CPC. Since all defence services personnel are deemed to have retired in calendar year 2013 irrespective of their date of retirement (be it in 1976 or 1986 or 1996), due to OROP, the transiting of any pensioner should be done only from 6th CPC to 7th CPC. He will work out all these details and make a presentation on 20 Sep 2017.
He further added that working out the pension on the Notional Pay basis from 3rd CPC to 7th CPC is alright for Civilians as they were not given OROP. But for Armed Forces persons, due to OROP, they were deemed to have retired during 2013. Hence the basis of working out pension by Notional Pay method should be from OROP pension in Jul 2014 to 7th CPC. He wanted to study the same minutely and will take up with Brig SKS Rana VSM, and Brig Srivastava VSM, for further necessary action if there is any anomaly.
Filing of Legal Cases in Circuit Bench Secunderabad of AFT Chennai:
Even though a decision was taken by EC almost one year back to file a few cases as a test case in the Circuit branch at Secunderabad of AFT Chennai. But so far not even a single case has been filed. AFT Delhi is heavily loaded and we could get judgments in only 3 out of 15 cases filed since Sep 2015. Therefore President requested Gp Capt Sastry, Lt Col Ravi Chowdhary and Cdr SK Vasudeva Rao to prepare to file minimum two cases immediately in Secunderad Circuit bench.
AFT – 28: Fixing of initial pay of Rs 11,925 in pay scale of Rs 11925 – 325 – 14200 from Jan 1996 and pay arrears of pay to all Majors in the period Jan 1996 – Dec 2005 and pension to pre – 1996 pensioners. Though Min of Def (ESW) issued a letter dated 29 Feb 2000 making initial pay of Majors at Rs 11,925 from Jan 1996 but they implemented it only from 29 Feb 2000. The Majors shold have got arrears from Jan 1996 and not from 29 Feb 2000. SAI /SNI /SAFI though assured to be amended in due course were never amended by DAD / Min of Def. Therefore, the initial pay of Majors in 6th CPC was based on Rs 11,600 and not based on Rs 11925. Majors will continue to suffer in all subsequent CPCS. Even OROP pension of Major was fixed based on Rs 11,600 of 5th CPC. All papers and data on this important legal case were given to Lt Col N Ravi Chowdhary and Gp Capt CRR Sastry. A number of Majors evinced interest to join the case. Maj PM Goswami agreed to be All India Coordinator. We need to file the case without any further delay in Circuit bench Secunderabad of AFT Chennai.
Enhancement of Integrated Pay Scale of 4th CPC. Second case is enhancement of Integrated pay scale of Rs 2,300 – 100 – 3,900 – 150 – 5,100 of 4th CPC from Jan 1986 to Dec 1995 to all Capts to Brigs in this period. The pay of DIG equivalent has been fixed at Rs 5,100 – 450 – 6150. But Brig considered equivalent to Dig has been fixed maximum pay at Rs 5,100. The initial pay of DIG is Rs 5100. It is very clear the DAD have deducted rank pay of Brig of Rs 1,200 from Rs 6,300 and limited it to Rs 5100 in the Integrated pay scale of 4th CPC.
The rank pay has been declared even by hon’ble Supreme Court as an additional pay to be added to Basic pay for hazards encountered by Armed Forces personnel. The DAD not only deducted rank pay from total pay as on Jan 1996 to fix basic pay in Jan 1996 but also deducted Rs 1200 from maximum of the pay scale. Therefore integrated pay scale should be fixed as Rs 2300 – 100 – 3900 – 150 – 6300. The Brig who has been fixed minimum of Rs 4,950 gets one increment and thereafter reaches maximum of Rs 5100 in the integrated pay scale whereas DIG gets seven increments and reaches maximum of Rs 6150.
The President exuded confidence that TSEWA can win both the cases in Circuit bench. Once the legal team at HQ TSEWA gives their OK then he will sensitize the environment. He will assist three legal advisors of TSEWA at Secunderabad to prepare legal brief and they should file the case in Circuit bench, Secunderabad at the earliest.
The president requested Gp Capt CRR Sastry, Lt Col Ravi Chaudhary and Cdr SK Vasudeva Rao to do the needful immediately for benefit of Armed Forces pensioners residing in the two Telugu speaking states of Telangana and Andhra Pradesh.
Action to be taken by Lt Col N Ravi Chowdhary, Cdr Vasudeva Rao & Gp Capt Sastry.
Internal Audit by Lt Col Dr Bhaskara Reddy
Lt Col Dr Bhaskara Reddy informed that he was asked to do internal audit of TSEWA accounts. But since the accounting procedure has not been finalized and after the transfer of funds from one to another bank account as discussed in the today’s meeting, the correct position will be known later. So he said he will do the internal audit after that. It was agreed by all.
Treasurer stated that the accounts will be ready for audit by end Sep 2017.
Action to be taken by Treasurer, Lt Col Dr Bhaskara Reddy
There being no other point, President thanked all and the Core Committee meeting was declared as over. Since no inputs or suggestion came from members of Core Committee and there was no need for Executive Committee to deliberate, the President also declared Executive Committee meeting also as over.
Next meeting will be held on 20 Sep 2017.
Brig CS Vidyasagar (Rtd)
President, Tri Services Ex-Servicemen Welfare Association (TSEWA)
Secunderabad – 500094
19 Sep 2017