Free Government accommodation does not disentitle Central Government employees in Kashmir Valley from receiving Per Diem Allowance.

The twenty-two applicants are Group ‘C’ Central Government Industrial Employees working under the Military Engineer Services (MES) at Garrison Engineer (Air Force), Srinagar

They claim entitlement to "Per Diem Allowance" under the Special Concessions and Incentives (Kashmir Valley Package)

The respondents denied this claim via communications dated 21.07.2025 and 07.10.2025 on the grounds that the applicants are provided free government accommodation within the camp premises, rendering them ineligible for the allowance

The applicants contend that the accommodation provided is unclassified, dilapidated, and non-habitable, and that the allowance is a transportation-related benefit independent of residential status.

They further allege discrimination, noting that employees of Kendriya Vidyalaya within the same campus receive the allowance

1. Whether the provision of free government accommodation inside a camp premises disentitles Central Government employees from receiving Per Diem Allowance under the Kashmir Valley Package

2. Whether the denial of Per Diem Allowance to the applicants, while granting it to similarly situated employees in other departments (e.g., KVS, NIT), constitutes a violation of Articles 14 and 16 of the Constitution of India

Special Concessions and Incentives for Central Government employees working in Kashmir Valley (Kashmir Valley Package), specifically the DoPT OM dated 24.02.2025, which provides a Per Diem Allowance of Rs. 141/- per day to compensate for additional transportation expenses

Ministry of Finance OM dated 29.08.2008, which clarifies that there is no nexus between the place of residence and the place of work concerning the admissibility of transport-related allowances

Rule 4(5)(a) of the CAT (Procedure) Rules, 1987, regarding joint applications

The applicants argued that the respondents erroneously clubbed "stay" and "transportation" benefits, whereas the Kashmir Valley Package treats them as independent entitlements

They emphasized that the Per Diem Allowance is intended to cover daily commuting costs and should apply even to those residing within camp premises if no departmental transportation is provided

The court observed that while the respondents relied on a clarification from 2017 to deny the claim, the applicants provided evidence of a continuing wrong, citing that other departments on the same station receive the benefit

Rather than adjudicating on the technical classification of the housing or the specific eligibility at this stage, the Tribunal determined that the matter required a fresh administrative review by the competent authorities in light of the applicants' specific representations

The respondents are ordered to consider and decide the grant of Per Diem Allowance in accordance with the governing rules, specifically accounting for the applicants' eligibility and previous service records. A reasoned order must be passed within six weeks from the date of receipt of the certified copy of the judgment.