(a) At any time during proceedings under section 322 or 323 of this title, and before the removal of an officer, the Secretary may grant a request—
(1) for voluntary retirement, if the officer is otherwise qualified therefor; or
(2) for discharge with separation benefits under section 286(c) of this title.
(b) Each officer removed from active duty under section 326 of this title shall—
(1) if on the date of removal the officer is eligible for voluntary retirement under any law, be retired in the grade for which he would be eligible if retired at his request; or
(2) if on that date the officer is ineligible for voluntary retirement under any law, be honorably discharged with separation benefits under section 286(c) of this title, unless under regulations promulgated by the Secretary the condition under which the officer is discharged does not warrant an honorable discharge.
(Added Pub. L. 88–130, §1(10)(C), Sept. 24, 1963, 77 Stat. 189; amended Pub. L. 97–295, §2(10), Oct. 12, 1982, 96 Stat. 1302; Pub. L. 99–348, title II, §205(b)(6), July 1, 1986, 100 Stat. 700; Pub. L. 105–383, title II, §201(c), Nov. 13, 1998, 112 Stat. 3414; Pub. L. 107–295, title IV, §416(a)(5), Nov. 25, 2002, 116 Stat. 2122.)
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