Pay fixation post stagnation, A.J. Raghavan

A.J.Raghavan ji,
it appears that you were on top of the S-26 scale with two stagnation increments i.e. (Rs20000 +900). Though there is no explicit mention about how to fix stagnation increment, common sense interpretation of the other clauses pertaining to not allowing to stagnate leads to the following conclusion. Get your new total pay as per last row of S-26 and then add two increments in the new scale @ 2.5% x 2.
Then, at Rs20000/-, the total pay = basic + grade pay =Rs34800+8400=Rs43200/-.
To this add the two increments, that is 5% of Rs43200 which gives Rs2160/-.
The new basic pay should then be Rs34800+2160= Rs36960/- followed by grade pay (Rs8400).
The total pay would the be Rs45360/- as on 1.1.2006.
The further increments from 1.7.2006 onwards would then be 2.5% of Rs45360/- = Rs1134/-.
Watch that this a little more than Rs2160 / 2 = Rs1080/- used for stagnation fixation.
The above increment should continue till the new Basic Pay reaches Rs39100/- (2 more years!) or till your next promotion whichever is earlier. After that you would jump to PB-4 with the appropriate grade pay.

Are you happy?!

srini