ARMY TOOK AWAY MY VC ..AND GAVE ME pounds 500; EXCLUSIVE Hero Gurkha's medal 'removed for safe-keeping'.

Byline: By GRAHAM BROUGH and OONAGH BLACKMAN

THE Victoria Cross hero fighting for his right to live in the UK had his medal taken from him for peanuts - by the Army.

The plight of ailing Tul Bahadur Pun, 84 - barred from the UK because he "failed to demonstrate strong ties" - has sparked outrage.

But it is just the latest slap in the face for the Gurkha by the country he served with an "exemplary" record for 18 years. In 1974 Pun was ordered to hand over his VC for just 40,000 Indian Rupees - about pounds 500 today - by the British Army which said it was taking it for safekeeping.

A Victoria Cross was sold last year for half a million pounds. But Pun, who has heart problems, diabetes and failing hearing and sight, lives in near poverty in a ramshackle hut. He has to travel for a day to collect his pounds 132 a month army pension.

The father-of-five said he received a letter in March 1974 from the 6th Gurkha Rifles saying an officer would visit him at home in Nepal.

Pun said: "He informed me the medal was too valuable to be in my possession and the Army would be withholding it for safekeeping. Some time later I received 40,000 Indian Rupees as part payment. My Victoria Cross was taken to the Regimental HQ in Hong Kong. It was kept there for a number of years."

Pun was awarded 11 medals including the VC which he won by charging Japanese machine gunners single-handedly in Burma in 1944.

He has even paid UK income tax when he served tours of duty here.

Now he wants to live the rest of his life in Britain so he can contact old comrades and receive health care - but he was refused a visa. The treatment of Pun has triggered a wave of protest. Lib Dem defence spokesman Nick Harvey, who has campaigned for Gurkha rights, said: "There is no higher accolade than being awarded a VC and there cannot be a greater tie to this country.

"We owe Mr Pun an enormous debt we have a duty to repay. It's wrong to deny a war hero citizenship."

Last night senior government sources backtracked and said there was "scope" for Pun to be allowed to live here because he had once done so and paid tax. But the decision has to be made by a judge.

The Ministry of Defence said: "The VC is displayed in the Gurkha Museum in Winchester. It was purchased from him in 1974 for market value."

Afghan Hero: Page 29

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CAPTION(S):

DISHONOURED: Tul Bahadur Pun with his medals; VALOUR: Victoria Cross