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وراثتی جائیداد پر سپر ٹیکس نہیں لگ سکتا — لاہور ہائیکورٹ کا تاریخی فیصلہ!جسٹس Jawad Hassan نے اس انکم ٹیکس ریفرنس میں یہ...
24/05/2026

وراثتی جائیداد پر سپر ٹیکس نہیں لگ سکتا — لاہور ہائیکورٹ کا تاریخی فیصلہ!

جسٹس Jawad Hassan نے اس انکم ٹیکس ریفرنس میں یہ فیصلہ دیا کہ اگر کسی شخص نے اپنی آبائی یا وراثتی جائیداد فروخت کی ہو اور وہ جائیداد چھ سال سے زیادہ عرصہ تک اس کے پاس رہی ہو، تو اس پر حاصل ہونے والا کیپیٹل گین “0% ٹیکس” کے زمرے میں آتا ہے، لہٰذا اس پر سپر ٹیکس عائد نہیں کیا جا سکتا۔

مقدمے کے اہم حقائق

درخواست گزار نے ٹیکس سال 2024 میں تقریباً 1 ارب 14 کروڑ روپے کی آمدن “Capital Gains” کے طور پر ظاہر کی، جو آبائی جائیداد کی فروخت سے حاصل ہوئی تھی۔
ایف بی آر نے مؤقف اختیار کیا کہ چونکہ یہ بڑی آمدن ہے، اس لیے سیکشن 4C کے تحت اس پر Super Tax لاگو ہوتا ہے، اور تقریباً 11 کروڑ روپے کا سپر ٹیکس عائد کر دیا گیا۔

درخواست گزار کا مؤقف

درخواست گزار نے کہا کہ:

* وہ کوئی کمپنی یا پراپرٹی ڈیلر نہیں بلکہ ایک فرد ہے۔
* جائیداد آبائی/وراثتی تھی۔
* قانون کے مطابق ایسی جائیداد اگر 6 سال سے زائد عرصہ رکھی گئی ہو تو اس پر Capital Gain Tax کی شرح 0% ہوتی ہے۔
* جب اصل ٹیکس ہی نہیں بنتا تو Super Tax بھی نہیں لگ سکتا۔

ایف بی آر کا مؤقف

ریونیو نے کہا کہ:

* سیکشن 4C ایک الگ قانون ہے۔
* اگر آمدن بہت زیادہ ہو تو Super Tax لاگو ہوتا ہے۔
* چاہے Capital Gain پر شرح 0% ہو، پھر بھی وہ “income” شمار ہوگی۔

عدالت کے اہم مشاہدات

عدالت نے قرار دیا کہ:

* سیکشن 37(1A) ایک خاص قانون ہے جو غیر منقولہ جائیداد کے Capital Gain کو الگ طریقے سے ٹیکس کرتا ہے۔
* اگر قانون نے کسی آمدن پر 0% ٹیکس مقرر کیا ہو تو اس کا مطلب ہے کہ اس آمدن پر کوئی ٹیکس وصول کرنا مقصود نہیں۔
* Super Tax اصل ٹیکس کے ساتھ منسلک اضافی ٹیکس ہے، یہ الگ سے نئی ٹیکس ذمہ داری پیدا نہیں کر سکتا۔
* جب بنیادی ٹیکس ہی صفر ہو تو Super Tax بھی نہیں لگ سکتا۔

سپریم/فیڈرل کانسٹیٹیوشنل کورٹ کے فیصلوں پر انحصار

عدالت نے M/s DG Khan Cement Company Limited case سمیت دیگر فیصلوں کا حوالہ دیتے ہوئے کہا کہ:

* اگر کسی Capital Gain پر قانون کے تحت کوئی ٹیکس قابلِ ادا نہ ہو، تو اس پر Super Tax بھی نہیں لگایا جا سکتا۔
* 0% ریٹ کا عملی اثر Exemption جیسا ہی ہوتا ہے۔

حتمی فیصلہ

عدالت نے قرار دیا کہ:

* درخواست گزار کی وراثتی جائیداد پر حاصل ہونے والا Capital Gain چونکہ 0% ٹیکس کے دائرے میں آتا ہے، اس لیے اس پر Super Tax لاگو نہیں ہوتا۔
* ایف بی آر کی جانب سے عائد کردہ تقریباً 11 کروڑ روپے کا Super Tax غیر قانونی ہے۔
* ٹریبونل اور اسیسنگ آفیسر کے احکامات کالعدم قرار دے دیے گئے۔
* ریفرنس درخواست گزار کے حق میں منظور کر لی گئی
— in Lahore.

22/05/2026

PLD 2026 Peshawer 53

Suit filed by lady for cancellation of gift mutation---Parda nasheen lady---Transaction qua her property---Requirements---Respondent/plaintiff, a parda nasheen lady of advanced age, was married having four sons, but none from her relatives in prohibited degree was associated with the gift mutation to identify her and both the witnesses of mutation, who allegedly identified her, were not her relatives---Record was also silent about the fact that whether the respondent, who was an illiterate and parda observing old lady, was having any independent advice from her near and dear ones, or that, she was amply made acquainted with and explained that the document, on which she was going to impress her thumb, would permanently deprive her and her sons from the landed property and she would be no more its owner---The beneficiary of any transaction involving parda nasheen and illiterate women has to prove that it was executed with free consent and will of the lady; that she was aware of the meaning, scope and implications of the document she was executing---Lady should be made aware and understand the implications and consequences of the transaction and should have independent and objective advice either of a lawyer or a male member of her immediate family available to her---

Additional evidence---Scope---Permission sought to produce additional evidence of Tehsildar who attested the impugned mutation---Validity---Such contention of petitioner could not be entertained at belated stage and if he was allowed to record statement of Tehsildar, even then, in the absence of proof of a valid gift coupled with the fact that respondent /plaintiff being parda nasheen, illiterate and old lady was neither identified by any close blood relative nor she was having any independent advice, such statement of Tehsildar would not be sufficient to change the fate of case---

Transaction(s) relating to such lady---Pre-conditions---In a male dominated society where the female legal heirs are consistently deprived even of their 'Sharai' shares in inheritance matters, like sisters, the principle of caution in protecting the legitimate rights of the illiterate parda observing lady must be applied vigorously and rigidly---In a case of transaction of valuable property with old, illiterate/rustic village 'Parda Nasheen' lady, onus to prove the transaction, being legitimate and free from all suspicions and doubts surrounding it, can only be dispelled if the following mandatory conditions are complied with and fulfilled through transparent manner and through evidence of a high degree:- (i) that the lady was fully cognizant and was aware of the nature of the transaction and its probable consequences; (ii) that she was having independent advice from a reliable source/person of trust to fully understand the nature of the transaction; (iii) that witnesses to the transaction were such, who were close relatives or fully acquainted with the lady and were having no conflict of interest with her; (iv) that the sale consideration was duly paid and received by the lady in the same manner; and (v) that the very nature of transaction was explained to her in the language she understood fully and she was apprised of the contents of the deed/receipt, as the case may be.


Suit filed by lady for cancellation of gift mutation---Necessary details as to time, date, place, witnesses, offer and acceptance of such gift not proved---Effect---Respondent(lady plaintiff) had challenged the authenticity of gift mutation claiming the said mutation as fake, forged and fraudulent one as she never gifted the same to petitioner and she, being a parda nasheen and aged lady, had been defrauded by the respondent/defendant, whereas, petitioner claimed to have obtained a portion of suit property from the said defendant by way of a valid gift---Record transpired that the petitioner was also a witness of impugned gift mutation and after attesting impugned mutation, the respondent / defendant transferred a portion of land to the petitioner; hence, petitioner claimed the protection under S.41 of the Transfer of Property Act and as such, the rights of petitioner were subservient to the rights of respondent/ defendant)---Being beneficiary, a heavy burden was lying upon the defendants to prove the episode of alleged gift by giving details of offer and acceptance besides telling time, date, place and witnesses of such offer and acceptance---Mere entry and attestation of the gift mutation does not ipso facto overcome the need of evidence for the proof of offer and acceptance and witnesses of a gift mutation too cannot be assumed to be the witnesses of the episode of offer and acceptance, as they are only the witnesses of mutation---Moreover, respondent being donee and petitioner being attesting witness of mutation were required to give details of time, date, place and witnesses of the purported offer and acceptance in their written statements but they omitted and even their evidence was silent in said regard---
Essential ingredients---A transaction which is based on an oral gift has two parts, namely the fact of the oral gift which has to be independently established by proving through cogent and reliable evidence the three necessary ingredients of a valid gift i.e. (1) declaration of gift, (2) acceptance of the gift and (3) delivery of the possession of the subject of the gift; however, this is not enough---The second ingredient i.e. mutation on the basis of an oral gift has to be independently established by adopting the procedure provided in the Land Revenue Act and the Rules framed thereunder as well

Correction of revenue record is permissible only within its lawful limits. A revenue officer may correct clerical, typog...
22/05/2026

Correction of revenue record is permissible only within its lawful limits. A revenue officer may correct clerical, typographical or accidental mistakes, for example, where a name has been wrongly spelt or incorrectly carried forward in a subsequent jamabandi despite the correct position being otherwise available in the previous record. However, where the so-called correction results in complete substitution of one person by another in the ownership column, the matter ceases to be a simple clerical correction. Such substitution materially affects rights recorded in the revenue record and therefore, can be made only in accordance with the mandate of law on the basis of admitted or proved facts, lawful succession, valid transfer, consent of interested parties or decree/order of a competent forum. In the absence of any such lawful foundation, a revenue officer has no jurisdiction to replace one recorded owner with another.

There is a clear distinction between adjudicating a disputed title and correcting an erroneous entry in the revenue record. The former ordinarily falls within the domain of the civil court, whereas the latter lies within the supervisory and corrective jurisdiction of the revenue authorities, particularly where the illegality is apparent from the revenue record itself. The jurisdiction exercised in the W.P. No.28773 of 2026 Page 6present case was, therefore, not directed at deciding a complex civil dispute but at cleansing the revenue record of a foundational defect.

W.P. No.28773 of 2026
Arshad Ali and 02 others Versus Member
13-05-2026
2026LHC3187

22/05/2026

2026 SCMR 413

جج طاہر خان نیازی قتل کیس۔ سپریم کورٹ نے ملزمان کی اپیلیں خارج کردیں
It is well settled by now that where a public servant is targeted and murdered due to the performance of his official duties, the act exceeds the boundaries of private vengeance and strikes at the very core of the syste m and rule of law. Such a targeted killing creates a chilling effect on other public servants, deters them from discharging their duties freely and impartially, and spreads fear and insecurity in the minds of the public at large. The object of the offence in this case was not only to settle a perceived personal score but also to send a message of intimidation to those serving in the judicial system or performing their official duties. The cumulative effect of such an act, therefore, squarely falls within the ambit of terrorism as defined under Section 6 of the ATA, particularly subsections (l)(b) and (2)(f), which include acts committed to intimidate public servants, create a sense of fear or insecurity in society, and to influence the performance of public duties. In this view of the matter, the learned High Court rightly concluded that the murder of the deceased Judicial Officer, being in direct nexus with the performance of his official duties as a Judge, constitutes an act of terrorism, and the conviction and sentence awarded to the petitioners-convicts under the relevant provisions of ATA are fully justified in law and on facts.

J.P.432/2021
Fiaz @ Mansha and Rashed @ Chand v. The State

22/05/2026

2026 P L C (C.S.) 510
PLD 2026 SC 145

Back benefits, concept of---Meaning---“Back benefits”, as discussed in present case, were confined to arrears of pay and other emoluments denied due to wrongful dismissal or removal.


--Reinstatement---Meaning and Scope.


Period spent by the civil servant due to wrongful removal or dismissal from service---Regularization of intervening period by “leave without pay” or “leave of kind due”---Purpose and meaning.

Reinstatement in service after setting aside order of compulsory retirement, removal or dismissal from service---Back benefits, entitlement to---Scope and principles---“Doctrine of Constructive Continuity” and “Vanishing Dismissal”---Introduction and applicability in service jurisprudence---This is the first time such a doctrine is being formally articulated in service jurisprudence---Adopting the language and structure of constructive continuity provides coherence, consistency, and clarity to future cases where civil servants are reinstated following wrongful termination---In the absence of a codified rule or settled precedent using this terminology, this formulation will serve as a valuable guidepost for courts, tribunals and administrative authorities and will enhance the transparency and reasoning behind reliefs granted in reinstatement cases---When the foundational order is without lawful authority, superstructure built upon it collapses---Civil servant must be placed in the position they would have occupied had the unlawful action not occurred---Concept of constructive continuity, as articulated here, reinforces this consequence and gives expression to the broader principles of legal restoration and administrative fairness that underpin service jurisprudence---Such doctrine, while coined for the first time, is rooted in the constitutional promise of fairness, restitution and institutional integrity---It ensures that a wrongfully removed public servant is treated, for all legal and financial purposes, as having continued in service, thereby entitling them to the salary, benefits, and emoluments that would have accrued but for the wrongful termination---Constructive continuity is, therefore, not only an administrative doctrine; it draws strength from constitutional protections---Denying back benefits to a reinstated civil servant who has suffered procedural or substantive injustice infringes upon these constitutional guarantees---It amounts to continued punishment despite legal vindication---Such imaginative reconstruction, grounded in equity and justice, constitutes a legitimate and necessary doctrinal development in service jurisprudence---Constructive continuity functions as a constitutional bridge---It ensures that reinstatement is not an empty gesture but a restorative act, fully aligned with Articles 9, 10A, 14, and 25 of the Constitution---It prevents wrongful state action from leaving lasting scars on an individual’s career and livelihood---To reinstate a civil servant without restoring their status, entitlements and dignity is to offer a remedy that fails to remedy and justice that falls short of being just---Petitioners were held entitled to back benefits subject to the effect of the modified penalties, effective from the date of the original punishments---Denial of back benefits by the Punjab Service Tribunal was held to be unsustainable and judgments were modified accordingly---

--Reinstatement after passing of substituted/modified/reduced penalties on the ground of disproportionality---Effect and scope stated.

JUDGMENT
---These petitions raise a recurring question in service jurisprudence: whether a civil servant is entitled to back benefits upon reinstatement following the setting aside of a penalty of dismissal, removal, or compulsory retirement. We are also called upon to determine how the intervening period between removal and reinstatement ought to be treated.

C.P.L.A. No. 3453-L/2019 (Tahir Kazmi)

2. The petitioner, a Head Constable in the Punjab Police, was compulsorily retired from service by the SP, Madina Town, Faisalabad, on 29.04.2011, following a show-cause notice issued on 01.04.2011. His departmental appeal was rejected by the Capital Police Officer, Faisalabad, on 15.12.2017. A subsequent review before the Inspector General of Police led to a partial modification of the penalty as it was reduced to forfeiture of two years of approved service, and the intervening period was ordered to be treated as leave without pay. Aggrieved by this, the petitioner filed an appeal before the Punjab Service Tribunal, Lahore which, vide its judgment dated 03.09.2019 ("impugned judgment"), reinstated the petitioner but treated the intervening period as special casual leave without pay. Through this petition for leave to appeal, the petitioner challenges the denial of back benefits for the intervening period and the imposition of the modified penalty.

C.P.L.A. No. 23-L/2022 (Ali Asghar)

3. The petitioner in this case was removed from service on 25.06.2014 following departmental proceedings under the Punjab Employees Efficiency, Discipline and Accountability Act 2006, for 46 days of unauthorized absence. His departmental appeal was dismissed on 09.06.2015. He then approached the Punjab Service Tribunal, Lahore which partially allowed the appeal by modifying the penalty to forfeiture of three years of approved service and ordered reinstatement. However, the Tribunal, in its judgment dated 24.11.2021 ("impugned judgment"), directed that the intervening period be treated as leave without pay. The petitioner now seeks to challenge both the denial of back benefits and the imposition of the modified penalty.

Concept of Back Benefits

4. The core issue is the entitlement to back benefits. Grant of back benefits while not expressly defined in the service laws of Pakistan is a well-established remedy in Pakistan as well as other jurisdictions. As defined in Black's Law Dictionary, "back pay" refers to the salary an employee should have received but was denied due to unlawful employer action.1 A "back pay award" restores the economic status quo ante, compensating for the loss incurred.2 In our jurisdiction, the term "back benefits" typically includes arrears of salary and related service entitlements.3 Although broader meanings may exist, this discussion confines "back benefits" to arrears of pay and other emoluments denied due to wrongful dismissal or removal.

5. This legal understanding of back benefits is closely tied to the effect of reinstatement, which in our jurisprudence, nullifies the dismissal or removal order, restoring the employee to their previous position as if the dismissal or removal had never occurred.4 Reinstatement thus presumes the restoration of all financial entitlements, unless specific exceptions apply. The logical corollary is that the reinstated civil servant is entitled to all benefits lost during the period of wrongful removal, unless it is shown that the civil servant was gainfully employed elsewhere or that reinstatement was conditional.5

Doctrine of Constructive Continuity

6. This presumption of full legal restoration finds resonance in the common law doctrine of vanishing dismissal, recognized particularly in the United Kingdom, where a successful appeal against dismissal causes the dismissal to "vanish" as though it never existed.6 Under this doctrine, when a civil servant's removal or dismissal is declared unlawful, either on procedural grounds, violation of due process, or on the merits of the disciplinary action, the law sets aside that punitive action. The restorative power of vanishing dismissal, therefore, is not merely a remedial choice but flows from a deeper legal commitment to the rule of law that acts done without lawful authority cannot be allowed to produce lawful effects. The doctrine reaffirms that state power must be exercised within legal limits, and when those limits are transgressed, the consequence must be a full return to the pre-violation status. What follows, however, has remained a matter of practical adjustment: the civil servant is reinstated, the period of absence is regularized, and in many cases, salary and other emoluments are awarded. This sequence of reliefs rests on a juridical fiction: that the civil servant is deemed never to have been lawfully removed in the first place.

7. What we now seek to formally recognize is that this fiction amounts to more than a technical adjustment, it is a constructive legal state that reconstructs the continuity of service and restores the civil servant to the position he or she would have occupied had the illegal order not been passed. We propose to refer to this idea as the doctrine of constructive continuity. Although no such doctrine under this name exists in the jurisprudence of Pakistan or comparative jurisdictions, its elements are implicit in the way courts grant relief after declaring a termination unlawful. Constructive continuity, as we conceive it, offers a principled and doctrinal framework for such relief. It rests on the notion that an unlawful act cannot be permitted to cause enduring disadvantage, and that the law must, to the extent possible, restore the person to the status quo ante. In this sense, the doctrine draws conceptual strength from the broader legal principle of restitution, which seeks to undo the unjust consequences of an unlawful act and re-establish the rightful position of the aggrieved party.



8. The doctrine of constructive continuity, therefore, proposes that once a dismissal or removal is declared unlawful, the civil servant shall be deemed to have remained in continuous service during the period of absence and shall be entitled, subject to lawful deductions or limitations, to all the salary, allowances, increments, and service-related benefits that would have accrued had the unlawful act not occurred. The purpose of this doctrine is not merely to provide compensation but to restore the legal and institutional integrity of the employment relationship.

9. We are conscious that this is the first time such a doctrine is being formally articulated in our jurisprudence. It is our considered view that adopting the language and structure of constructive continuity provides coherence, consistency, and clarity to future cases where civil servants are reinstated following wrongful termination. In the absence of a codified rule or settled precedent using this terminology, we believe this formulation will serve as a valuable guidepost for courts, tribunals, and administrative authorities, and will enhance the transparency and reasoning behind reliefs granted in reinstatement cases. It is a settled principle that when the foundational order is without lawful authority, the superstructure built upon it collapses.7 The civil servant must be placed in the position they would have occupied had the unlawful action not occurred. The concept of constructive continuity, as articulated here, reinforces this consequence and gives expression to the broader principles of legal restoration and administrative fairness that underpin service jurisprudence.

10. This doctrine, while coined for the first time, is rooted in the constitutional promise of fairness, restitution, and institutional integrity. It ensures that a wrongfully removed public servant is treated, for all legal and financial purposes, as having continued in service, thereby entitling them to the salary, benefits, and emoluments that would have accrued but for the wrongful termination. Constructive continuity is, therefore, not only an administrative doctrine; it draws strength from constitutional protections. Article 9 of the Constitution of the Islamic Republic of Pakistan, 1973 ("Constitution") enshrines the right to life, which includes the right to livelihood8, a right that is fundamentally impaired when a civil servant is deprived of his employment through an unlawful act. Article 10A secures the right to fair trial and due process9, which would be hollow if reinstatement does not lead to full restitution. Article 14 protects the dignity of man10, and Article 25 ensures equality before the law11. Denying back benefits to a reinstated civil servant who has suffered procedural or substantive injustice infringes upon these constitutional guarantees. It amounts to continued punishment despite legal vindication. We, therefore, hold that such imaginative reconstruction, grounded in equity and justice, constitutes a legitimate and necessary doctrinal development in service jurisprudence.

11. This constitutional foundation finds affirmation in judicial precedent, most notably in Tariq Mahmood12 and Muhammad Sharif13 where this Court reaffirmed that the grant of back benefits is the norm and denial of service benefits to such reinstated employee is an exception.14 Any deviation from this must be justified by clear evidence that the employee was gainfully employed elsewhere during the intervening period. The logic is straightforward - when a court declares an official action unlawful, it must undo not only the decision but the resulting harm. Restitution is therefore integral to corrective justice, not an exercise of discretion.

12. The legal obligation to restore service benefits upon reinstatement also finds expression in the statutory framework, where the second proviso to Section 16 of the Punjab Civil Servants Act, 1974 empowers the competent authority to determine arrears of pay when a dismissal, removal, or reduction in rank is set aside.15 However, this discretion is not absolute. It must be exercised in accordance with constitutional guarantees and judicial principles.16 In particular, if the foundational order is declared without lawful authority, then its consequences, including the denial of salary, must also be set aside.

13. That said, the basis for reinstatement influences the grant of back benefits. When reinstatement is granted on merits, for instance, where charges are disproved or found legally unsustainable, then full back benefits must follow as a matter of right.17 The civil servant, having been wrongfully excluded from service, is entitled to be made whole. However, where reinstatement is based on procedural infirmities such as denial of a hearing or non-compliance with mandatory inquiry procedures, the award of back benefits may be deferred, pending the outcome of a fresh disciplinary inquiry. The principle here is to balance legal restoration with procedural fairness to the employer. Where a dismissal is found disproportionate and a lesser penalty is substituted such as forfeiture of increments or censure, the substitution must be deemed to operate retrospectively, as if the lesser penalty had been imposed ab initio. The civil servant, in such cases, is entitled to the full range of service-related benefits (salary, allowances, increments, seniority, and pension rights) for the intervening period, subject only to such deductions or limitations as are consistent with the nature of the modified or substituted penalty. If the substituted or modified penalty has any bearing on the quantum of back benefits, then the financial entitlements shall be calibrated accordingly, in a manner that reflects the revised disciplinary outcome without undermining the continuity of service. To deny such back benefits, despite acknowledging that the original penalty was excessive, would perpetuate the very disproportionality the Court seeks to remedy. This would offend the principles of fairness, non-discrimination, and proportionality embedded in Articles 4 and 25 of the Constitution. The Court, therefore, holds that in all such cases, the doctrine of constructive continuity shall apply: the civil servant shall be deemed to have remained in service subject to the modified or substituted penalty, and shall accordingly be entitled to all back benefits that would have accrued under the corrected disciplinary outcome.

14. Regardless of the extent of financial benefits granted, the intervening period between a civil servant's removal and subsequent reinstatement must be regularized to maintain the continuity of service. This is, however, a separate theme from back benefits. The reason for grant of extraordinary leave without pay or "leave of the kind due" is to ensure that the service record of the civil servant remains unbroken18, thereby safeguarding eligibility for pension, promotion, seniority, and other ancillary service benefits. As held by this Court, any failure to recognize such intervening periods results in an unlawful forfeiture of rights already earned.19 It constitutes a constructive discontinuity in service and violates both constitutional guarantees and statutory protections.

15. In this respect, constructive continuity functions as a constitutional bridge. It ensures that reinstatement is not an empty gesture but a restorative act, fully aligned with Articles 9, 10A, 14, and 25 of the Constitution. It prevents wrongful state action from leaving lasting scars on an individual's career and livelihood. To reinstate a civil servant without restoring their status, entitlements, and dignity is to offer a remedy that fails to remedy and justice that falls short of being just.

16. Applying these principles to C.P.L.A. No. 3453-L/2019 (Tahir Kazmi), the petitioner, a Head Constable in the Punjab Police, was compulsorily retired on account of an omission in the discharge of official duties. In departmental review, fault was indeed established, though not of a degree warranting compulsory retirement. Accordingly, the penalty was modified to forfeiture of two years of approved service. The Tribunal reinstated the petitioner but directed that the intervening period be treated as special casual leave without pay, thereby depriving him of all back benefits. No material was placed on record to suggest that the petitioner was gainfully employed during this period, nor was his reinstatement made conditional on any pending inquiry. In such circumstances, the denial of back benefits is both legally and constitutionally unsustainable. Once reinstated, the petitioner was entitled to be treated as if he had never left service. The impugned judgment fails to give effect to the doctrine of constructive continuity and ignores the petitioner's entitlement to full restitution. Denial of back benefits violate Articles 4, 9, 14, and 25 of the Constitution. As to the reduction of penalty from compulsory retirement to forfeiture of two years of approved service, we see no ground to interfere, and the petition is dismissed to that extent. Accordingly, the impugned judgment is modified to the extent that the petitioner is granted full back benefits, including arrears of pay, increments, and pensionary entitlements, subject to the effect of the modified penalty, with effect from 29.04.2011, the date on which the original penalty of compulsory retirement was imposed.

17. In C.P.L.A. No. 23-L/2022 (Ali Asghar), the petitioner was removed from service on account of being absent without authorization for 46 days. The Tribunal, while acknowledging the disproportionality of the penalty, modified it to forfeiture of three years of approved service and reinstated the petitioner. However, it simultaneously directed that the intervening period be treated as leave without pay, thereby denying all back benefits. While the petitioner was not fully exonerated, and some fault was duly attributed, he remains entitled to back benefits calibrated in accordance with the modified penalty. Once reinstated with a lesser punishment, the petitioner is to be treated as having remained in service, subject only to the consequences that lawfully flow from the substituted penalty. Denying all back benefits, despite setting aside the original penalty as excessive, amounts to a disproportionate outcome that undermines the principles of fairness and constructive continuity. As to the reduction of penalty from removal from service to forfeiture of three years of approved service, we see no ground to interfere, and the petition is dismissed to that extent. Accordingly, the petition is partially allowed. The impugned judgment is modified to the extent that the petitioner is granted back benefits, including arrears of pay, increments, and pensionary entitlements subject to the effect of the substituted penalty, with effect from 25.06.2014, the date on which the original penalty of removal from service was imposed.

18. These petitions are converted into appeals and partially allowed in the above terms.

SA/T-3/SC Order accordingly.

Civil Petitions Nos. 3453-L of 2019 and 23-L of 2022
TAHIR KAZMI and another Versus INSPECTOR GENERAL OF POLICE, PUNJAB, LAHORE and others

1 Bryan A Garner (ed), Black's Law Dictionary (10th edn, Thomson Reuters 2014) 166.

2 Ibid and Aguinaga v. United Food and Commercial Workers Int'l Union 993 F.2d 1463, 1473.

3 Muhammad Sharif v. Inspector General of Police, Punjab 2021 SCMR 962 and Smith v. West, 1999 US App Vet Claims LOXIS 475, 6.

4 Muhammad Sharif v. Inspector General of Police, Punjab 2021 SCMR 962, Chairman State Life v. Siddiq Akbar 2013 SCMR 752 and Umer Said v. District Education Officer (Female) 2007 SCMR 296.

5 Inspector General of Police, Punjab v. Tariq Mahmood 2015 SCMR 77; Muhammad Bashir v. Government of the Punjab 1994 SCMR 1801 and Pakistan v. Mrs. A.V. Issacs PLD 1970 SC 415.

6 Marangakis v. Icelands Food Limited [2022] EAT 161; Folkestone Nursing Home v. Patel [2018] EWCA Civ 1843 and Roberts v. West Coast Trains Ltd [2004] IRLR 789.

7 Superintendent of Police v. Ijaz Aslam 2024 SCMR 1831; Vice Chancellor Agriculture University v. Muhammad Shafiq 2024 SCMR 527 and Pakistan Peoples Party Parliamentarians v. Federation of Pakistan PLD 2022 SC 574.

8 Aatika Hina Mushtaq v. Secretary Special Education, Government of Punjab 2025 SCP 158 (SC citation); Divisional Superintendent v. Umar Daraz 2023 SCMR 761; Province of Punjab v. Kanwal Rashid 2021 SCMR 730; Pir Imran Sajid v. Managing Director 2015 SCMR 1257; Abdul Wahab v. HBL 2013 SCMR 1383 and Olga Tellis v. Bombay Municipal Corporation AIR 1986 SC 180.

9 Naveed Asghar v. The State PLD 2021 SC 600 and Altaf Ibrahim Qureshi v. Aam Logue Ittehad PLD 2019 SC 745.

10 Mubarik Ali Babar v. Punjab Public Service Commission 2023 SCMR 518; Uzma Naveed Chaudhary v. Federation of Pakistan PLD 2022 SC 783 and Malik Ubaidullah v. Government of Punjab 2021 PLC (C. S.) 65.

11. Muhammad Yasin v. D.G. Pakistan Post Office 2023 SCMR 394 and National Commission on Status of Women v. Government of Punjab PLD 2019 SC 218.

12 Inspector General of Police, Punjab v. Tariq Mahmood 2015 SCMR 77.

13 Muhammad Sharif v. Inspector General of Police, Punjab 2021 SCMR 962.

14 Muhammad Sharif v. Inspector General of Police, Punjab 2021 SCMR 962; Inspector General of Police, Punjab v Tariq Mahmood 2015 SCMR 77; Sohail Ahmed Usmani v DG CAA 2014 SCMR 1843; Chairman State Life v Siddiq Akbar 2013 SCMR 752; Muhammad Hussain v E.D.O. (Education) 2007 SCMR 855; Umer Said v District Education Officer (Female) 2007 SCMR 296 and General Manager v Mehmood Ahmed Butt 2002 SCMR 1064.

15 Section 16. Pay. -A civil servant appointed to a post shall be entitled, in accordance with the rules, to the pay sanctioned for such post.

Provided that, when the appointment is made on a [current charge or acting charge basis in the manner prescribed] or by way of additional charge, his pay shall be fixed in the prescribed manner’s

Provided further that where a civil servant has been dismissed or removed from service or reduced in rank, he shall, in the event of the order of dismissal, removal from service or reduction in rank being set aside, be entitled to such arrears of pay as the authority setting aside the order may determine.

16 Secretary, Government of Punjab v. Khalid Hussain Hamdani 2013 SCMR 817 and Brean v. Amalgamated Engineering Union (1971) 2 QB 175).

17 Muhammad Sharif v. Inspector General of Police, Punjab 2021 SCMR 962.

18 Muhammad Sharif v. Inspector General of Police, Punjab 2021 SCMR 962; National Bank of Pakistan v Zahoor Ahmed Mengal 2021 SCMR 144; NAB v Muhammad Shafique 2020 SCMR 425 and Federation of Pakistan v Mamoon Ahmed Malik 2020 SCMR 1154.

19 Muhammad Sharif v. Inspector General of Police, Punjab 2021 SCMR 962.

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