Army sources, however, said Lt Gen Bakshi is on a pre- scheduled three-day leave and is expected to resume duties on December 30, a day before Lt Gen Rawat takes over as the new Army Chief.
There has been speculation that Lt Gen Bakshi may take premature retirement.
He had recently met Defence Minister Manohar Parrikar, fueling speculation about his possible resignation.
Lt Gen Rawat's appointment as the new Army Chief superseding seniors Lt Gen Bakshi and Southern Army commander Lt Gen P M Hariz had also sparked a fierce political row between a section of the Opposition and the government.
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