The cabinet has given final approval to the draft of the 'The President Pension, Gratuity and Other Privileges Act, 2015', keeping provision of no pension for the presidents in case of illegal taking over of state power.
The approval was given in the regular cabinet meeting at the secretariat with Prime Minister Sheikh Hasina in the chair.
Cabinet Secretary M Musahrraf Hossain Bhuiyan briefed the reporters after the meeting on Monday afternoon.
He said the draft was given final approval subject to the vetting of the law ministry.
"According to the act, a retired president would get as usual 75% of his salary as pension. However, the financial benefit would not be applicable for retired president in three cases," the cabinet secretary said.
The pension and gratuity would not be applicable if a retired president holds office of in another government office and receives salary and other benefits from the "Consolidated Fund' of the government, if any president is punished for moral deviation or criminal charge, and if a competent court declares the occupation of the office of the President illegal, he said.
Bhuiyan said the draft of the law has been finalised accommodating some observations and directives of the cabinet given when it was first placed in the cabinet meeting in December last year.
The existing President's Pension Ordinance 1979 as amended in 1988 will be replaced by the new law.
The new law would be applicable for all presidents since independence and under the law nominee/nominees or heirs may receive the pension and gratuity of a late/retired president if it was not received before.