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The belief that once a person retires from a government job, he/she will continue to get a pension for life without any hassle is not completely true. The fact is that a retired person's pension can be withdrawn or withheld on certain grounds.
The pension can also be stopped permanently, or for a certain period of time, if the retired employee is found guilty of a serious crime, or grave misconduct.
According to the official pensioner's portal of the Government of India, "Future good conduct is the implied condition for grant/continuance of pension. The appointing authority may, by order in writing, withhold or withdraw a pension or a part thereof, whether permanently or for a specified period, if the pensioner is convicted of a serious crime or is found guilty of grave misconduct."
It is to be noted that, the pension and gratuity of the employees retiring from Central Government Departments is regulated by the Central Civil Services (Pension) Rules, 1972. However, the rules for pension and gratuity of Railway employees and Defence personnel are separate.
If a departmental proceeding is instituted against a government servant, then as per rules only provisional pension is paid to the retiring employee and the gratuity is withheld till the conclusion of the departmental proceedings and final order by the competent authority.
The departmental proceedings can also be done after the retirement of the employee. But, the sanction needs to be obtained from the President for this. Adding to it, proceedings need to be "conducted by such authority and in such place or the President may direct and in accordance with rules applicable to departmental proceedings in which an order of dismissal from service could be made in relation to the Govt. servant during his service."
Pension Eligibility & Calculation:
As per the pensioner's portal, "A government servant appointed in a pensionable establishment on or before 31.12.2003 and retires from Government service with a qualifying service of 10 years or more is eligible for pension."
It further added, "With effect from 1.1.2006, pension is calculated at 50% of emoluments (last pay) or average emoluments (for last 10 months), whichever is more beneficial to the retiring Govt. servant."