On 21-10-2009 Supreme Court gave final verdict in SLP 15805-10/2008 and set aside Madras High Court's Orders against the OERS optees-Chandra Ranganathan & Ors and restored the Tribunal's order.Supreme Court's decision ,no doubt is a severe set back and shocking to those sadistic elements in RBI and Govt who always wanted the optees to be deprived of the benefits u/s 1O (1OC).
As a consequence, CBDT was made to refund more than `50 crores as per the most conservative estimates, to the optees concerned along with the interest which was imposed upon the exchequre by the action of then management of RBI that allowed itself to be (mis)guided by the advice of a money spinner CA for reasons which are not far to seek...>
This victory is the result of the constant struggle waged by Chennai Unit under the inspiring leadership of PS Rajan,Secy. Consequently,now it would be open to the OERS retirees, who have not claimed refunds , to claim the same without any restriction as regards period of limitation prescribed under Section 239 of the Income Tax Act, 1961.
Central Board of Direct Taxes (CBDT) had earlier issued a circular dated 8th May 2009 , as a compliance with Bombay High Court's order dated 4th July 2008 wherein it was held that Optional Early Retirement Scheme of RBI satisfies all the conditions of Rule 2BA and amounts received by retiring employees there under were eligible for exemption u/s 1O (1OC).
Who imposed denial of EXEMPTIONS!