The Centre is planning to ban retired members of higher judiciary who are holding various positions in tribunals from acting as arbitrators in private disputes.
According to sources, the Prime Minister’s Office has asked the Law Ministry to formulate service rules to ensure this.
The PMO is believed to have pointed out the fact that these retired judges who are either heading or working as a member of various tribunals get salary and perks of sitting judges. It is therefore undesirable that these individuals be allowed to work as arbitrators in private disputes. 
Arbitrators are private and neutral persons chosen to resolve disputes outside the court. It is a highly lucrative job.  On the other hand, there are about 40 tribunals and appellate authorities set up under various laws and controlled by the central government.
The government has found several instances of retired judges working with tribunals while acting as arbitrators.
Law Ministry sources reveal that a new service rule would soon be readied and sent for approval by the Union Cabinet.