Disparity between service book record & pay statement – advice

A staff recently joined my office on promotion. From his previous office pay statement (prepared by hand and signed by the DDO) it appears that his pay had not been drawn for a period of seven months in between. No communication regarding this non drawl of his pay and its reason had been received from the end of previous DDO. Nothing regarding this is noted in his service book. The service book is duly verified up to date without any service break. Leave record also had not been done up to date.
It had been learnt that the staff had been arrested once and was in police custody, though nothing had been recorded in his service book by the previous DDO. On his arrest the staff was ordered in written not to come to duty or attend office and his pay was not drawn for seven months. But on a court case by the incumbent the court ordered the DDO to resume him to his duties and give him salary, which the DDO followed subsequently. But the interim gap period (7 months) was not regularised nor the salary was drawn by him in arrear form.
The DDO did not record any such incident in the service book regarding his arrest, non drawl of salary, courts order or any thing regarding this. He simply verified the service book with continuous service as normal. However while sending the service book to me he simply forwarded copy of some of his official letters to the incumbent by him mentioning the affairs with it but he did not record any thing in the service book.
Now the incumbent’s superannuation is approaching and his arrear payment is also due including those seven months also. I want an advice on this – whether his service book can be sent to AG like this, whether those letters be kept inside the service book as received by me. Whether I can pay arrear to him including those seven months also where his salary had not been darwn. There is no leave sanctioned for that period till now by the previous DDO nor I have received any working certificate for those period.
I have to send his service book in coming June. Pl advice what should I do.
Sorry for such long story