Rationalization of the policy regarding recovery of wrongful/excess payment made to Government Servants (Department of Expenditure): Agenda Item No. NC-49/5/26 – 49th NC (JCM) Meeting
(DoP&T O.M. No. 3/1/2025-JCA dated 03.06.2026)
Minutes of the 49th Meeting of the National Council (JCM) held on 11.05.2026 under the Chairmanship of Cabinet Secretary.
5.13 Item No. NC-49/5/26: Rationalization of the policy regarding recovery of wrongful/excess payment made to Government Servants (Department of Expenditure)
The demand in brief is that the process of examination regarding recovery of wrongful/ excess payment made to Government Servants needs to be simplified and decentralized. All the Offices/ Establishments may be directed to forward the waiver proposal of recovery without effecting the recoveries from the employees and pensioners.
Secretary, Staff Side mentioned that the Supreme Court judgement and DoPT instructions are not being implemented in letter and spirit. In Ministry of Railways and Ministry of Defence, huge amount has been deducted as recovery from its employees/pensioners. Leader, Staff Side raised the point that recovery for Group-C, Group-D and retiring employees is not permissible as per rule. Shri C. Srikumar, Member, Staff side stated that the lower formations are not forwarding the waiver proposal fearing action. Shri Ravindra S. Reddy, Member, Staff Side mentioned that service records once audited and approved for a particular period, cannot be subjected to audit each and every time and ordering for recovery of excess payments after many years is not justified on that ground. Shri B.C. Sharma, Member, Staff Side observed that in Ministry of Railways, old cases of more than 20 years are being examined and recoveries are being made. Shri Mukesh Mathur, Member, Staff Side, proposed to provide specific cases pertaining to the wrongful recoveries to DoE. Shri Praveen Chandra Bajpai, Member, Staff Side, mentioned that if excess payment has been made due to the fault on part of the Administration, there should not be any recovery.
Decision: Chairman directed Secretary, Expenditure to hold a meeting with Staff Side representatives on the matter. He also directed that Secretary, Expenditure may explore the possibilities of fixing accountabilities in such cases in light of guidelines and judgement of the Apex court.
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