Upgraded pay scales apply notionally from 1996 to ensure parity among similarly situated revenue officials.

The applicants are current or retired Inspectors and Superintendents of Central Excise and Customs who served between 01.01.1996 and 21.04.2004

Following the 5th Central Pay Commission (CPC), the pay scales for Inspectors and Superintendents were revised to Rs. 6500–10500 and Rs. 7500–12000, respectively.

However, the government made these scales effective only from 21.04.2004 instead of 01.01.1996 (the implementation date of the 5th CPC)

The applicants sought parity with the Central Board of Direct Taxes (CBDT), where a Special Anomaly Committee had already recommended, and the government had implemented, notional pay fixation from 01.01.1996

The respondents opposed the application on grounds of limitation under Section 21 of the Administrative Tribunals Act, 1985, arguing that the applicants were "fence-sitters" seeking to benefit from stale claims

1. Whether the applicants are entitled to notional fixation of the upgraded pay scales with effect from 01.01.1996 to ensure parity with similarly situated employees in other departments

2. Whether the Original Application is barred by limitation and laches, or if the cause of action is a recurring one

3. Whether the previous judicial pronouncements granting this relief operate in rem (applicable to all similarly situated persons) or in personam (limited to the litigants in those cases)

The court primarily applied the principle of equality under Article 14 of the Constitution of India, emphasizing that similarly situated employees must be treated uniformly

service jurisprudence requires benefits granted to one set of employees to be extended to all others similarly placed

holding that there is no justification to penalize employees for not litigating earlier if the issue is a matter of right

Regarding limitation, it applied the doctrine that pay fixation constitutes a recurring cause of action

The Tribunal observed that the Department of Revenue encompasses both CBDT and CBIC; since CBDT had already granted notional fixation from 01.01.1996 following the Kolkata High Court's directions and a Special Anomaly Committee report, denying the same to CBIC employees was discriminatory

The court rejected the respondents' plea regarding "fence-sitters," noting that the Special Anomaly Committee’s recommendations were only finalized in September 2023, providing a fresh context for the claims

Furthermore, the Tribunal highlighted that multiple Benches across India (Hyderabad, Jaipur, Kolkata, and the Principal Bench) had already granted this relief, and these orders were upheld by the Supreme Court

Consequently, the Tribunal determined that these judgments were in rem because they addressed a general policy anomaly, and the department could not unilaterally treat them as in personam to exclude the present applicants

the applicants are entitled to notional pay fixation in the grades of Inspector and Superintendent effective from 01.01.1996 under the CCS (Revised Pay) Rules, 1997

The respondents were directed to refix the pay and pension notionally from 01.01.1996, with actual monetary benefits and arrears payable from 21.04.2004, to be completed within two months

No order as to costs was made