THE DIVISIONAL MANAGER APSRTC vs. B VENKATAIAH

Case Type: Civil Appeal

Date of Judgment: 07-12-2018

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REPORTABLE IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL NO.12246 OF 2018 (ARISING OUT OF SLP (CIVIL) NO.36235 OF 2014)
THE DIVISIONAL MANAGER,<br>APSRTC & ANR.<br>Versus.. APPELLANT(S)
B. VENKATAIAH..RESPONDENT(S)
                    J U D G M E N T M.R.SHAH, J. Leave granted. 2. Feeling aggrieved and dissatisfied with the judgment and order dated 30.12.2013 passed by the Division Bench of High Court of judicature of Andhra Pradesh at Hyderabad in Writ Appeal No.1959 of 2013 by which the Division Bench has affirmed the judgment and order passed by the learned Single Judge dated 01.08.2012 Signature Not Verified Digitally signed by R NATARAJAN Date: 2019.01.25 16:48:28 IST Reason: passed    in   Writ    Petition   No.23552    of    2012,    the    original 1 respondent­appellants   herein­corporation   have   preferred   the present appeal. 3. The facts leading to the present appeal in nutshell are as under : a.   That   the   respondent   herein   was   appointed   as   driver  on contract, after undergoing a process of selection. He was working in Mushirabad­I Depot, Hyderabad. b.   That   a   departmental   enquiry   was   initiated   against   the workman.  c. That following the report of the Enquiry Officer his service came to be terminated. d. After the dismissal of the departmental appeal and in the course of the departmental review, the Divisional Manager issued an order for the re­engagement of the respondent on contract on 27.04.2011.  e.   After   his   re­engagement   the   respondent   initiated   the jurisdiction of the High Court under article 226 of the Constitution of   India   and   prayed   to   consider   the   order/proceedings   dated 2 27.04.2011 and prayed for the continuity of service appointment benefits and all consequential benefits including regularization.  4. The learned Single Judge allowed the petition, holding that the matter was not   and was covered by an earlier judgment res integra of a learned Single Judge dated 29.02.2012 in Writ Petition No.2786 of 2012.  Though on behalf of the Corporation an effort was made to distinguish the earlier decision on the ground that in the present case a full­fledged enquiry has been held, this distinction did not find acceptance by the learned Single Judge.   On the contrary, it was held that in the previous case, the learned Judge had found that the enquiry was not in keeping with the principles of natural justice.     Moreover,   in   the   view   of   the   Single   Judge,   once   the Corporation   had   granted   a   largesse   in   the   form   of   a   fresh employment, the workman should not be deprived of the benefit of continuity   of   service   for   the   limited   purpose   of   regularisation. Hence, in terms of the direction in the earlier decision, the petition was disposed of by directing the Corporation to extend the benefit of continuity of service to the workman from the date of termination until the date of his reengagement except for the period when he 3 was absent. This was, however, without any monetary benefit and was directed to count only for regularisation. 5. The above order of the learned Single Judge was affirmed by the Division Bench in a Writ Appeal. 6. Mr. Gourab Banerji, learned senior counsel appearing on behalf of the appellants submits that there was a manifest error on the part of both the learned Single Judge and the Division Bench.  In the   present   case,   a   disciplinary   enquiry   was   held   against   the workman after which an initial decision was taken to terminate him from   service.     In   a   departmental   review,   he   was   granted   fresh appointment.  Neither the termination nor the order granting him fresh   appointment   as   a   contract   driver   were   challenged.     As   a matter of fact, it has also been submitted that in certain other cases, the workmen had taken recourse to proceedings before the Industrial Court but in the present case that was not done.  Be that as it may, the learned Single Judge relied on the earlier decision and issued directions, to govern the entire batch of cases.   This direction   was   confirmed   by   the   Division   Bench   without   having regard to the facts of individual cases. 4 7. Since the order of the learned Single Judge in the present case, was exclusively based on the earlier decision dated 29.02.2012, a copy   of   that   judgment   has   been   placed   on   the   record.     The judgment of the Single Judge indicates that the earlier case also dealt with persons who were working as contract employees who were   appointed   after   a   regular   selection.     In   some   cases, termination orders were passed without an enquiry on allegations of misconduct while in other cases, an enquiry was conducted.  The learned Single Judge, issued the following directions in terms as agreed in that case: “(1)   In   cases   where   the   appellate/revisional authority has directed reengagement of the contract employees as fresh employees, such employees shall be entitled to benefit of continuity of service from the date   of   termination   till   the   date   of   reengagement, except for the period during which they were absent, and   the   said   continuity   of   service   granted   to   the employees shall be without any monetary benefit and shall   be   counted   only   for   the   purpose   of regularization at a future date. (2) The continuity of service so ordered in para (1) shall not, however, be counted for the purpose of seniority   and   shall   not   be   allowed   to   affect   the seniority of regularly working employees or for other benefits, but shall be counted only for the purpose of considering their cases for regularization. 5 (3) There   are   also   cases   where   the   orders   of termination   are   challenged,   either   before   the appellate/revisional authorities or before this Court, after six or seven years of date of termination.  In all such   cases   the   benefit   of   continuity   of   service without any monetary benefit and reengagement so ordered in para (1) shall be available to only to such of   those   employees   who   have   approached   the appellate/revisional authorities or this Court within three years from the date of termination. (4) In cases where appeals/revisions or writ petitions are   filed   after   three   years   of   the   orders   of termination, it is directed that the such petitioner/s shall   be   considered   for   re­engagement   as   fresh contract employee/s, subject to medical fitness and other formalities, but he/they shall not be entitled to continuity of past service as under para(1) above. (5) In cases where contract employees have preferred appeals/revisions, but no orders have been passed therein,   the   appellate/revisional   authorities   shall entertain and dispose of those appeals/revisions in the   light   of   the   directions   referred   to   above, st  preferably on or before 31 March, 2012. (6) In  cases where  no  enquiry was conducted, the respondent    Corporation   shall   be   free   to   conduct enquiry   as   per   law   into   the   allegations   of unauthorised absence of its employees from duty or other allegations of misconduct.” 8. In the present case, the workman did not choose to assail either the termination of his services following the enquiry or the fresh 6 appointment.     All that was sought was that he should have the benefit   of   continuity   of   service   from   the   date   of   the   earlier termination until reengagement. 9. Such a direction could  not have  been issued by the learned Single Judge without the termination being put into question. The grant of continuity was not sustainable for the simple reason that unless the order of termination and of the fresh appointment were challenged and adjudicated upon, seniority would necessarily have to count with effect from the date of the fresh appointment.  As a matter of first principle, continuity can be granted when an order of termination is set aside, to ensure that there is no hiatus in service. 10. There is another reason why the judgment of the High Court cannot be sustained.  It is common ground that the appellant has recruited personnel like the present respondent on contract after a regular process of selection.  Eventually, the contract employees are to be regularised.  Granting continuity of service to a person such as the respondent, who was found to have committed misconduct, would   place   him   on   the   same   footing   as   other   contractual employees who have a record without blemish.  Hence, once a fresh 7 appointment   was   given   to   the   respondent   and   neither   the termination   nor   the   fresh   engagement   was   placed   in   issue,   the grant of continuity of service by the High Court was manifestly misconceived. 11. We may also note that the earlier order of the learned Single Judge dated 29.02.2012 was in a batch of cases, where termination orders were issued without holding an enquiry in certain cases and after   holding   an   enquiry   in   others,   though   in   violation   of   the principles of natural justice.  It was in that view of the matter that the direction contained in Clause 6 of the operative order provided that in cases where no enquiry was conducted, the Corporation would be at liberty to conduct an enquiry in accordance with law, on the allegations of misconduct. 12. We find a considerable degree of merit in the submission of learned senior counsel appearing on behalf of the Corporation that in   deciding   the   entire   batch   of   cases   by   a   common   order,   the learned Single Judge as well as the Division Bench unfortunately lost sight of the facts of each individual case.  8 13. For the above reasons, we allow this appeal and accordingly, set aside the impugned judgment and order dated 30.12.2013 of the Division Bench passed in Writ Appeal No.1959 of 2013 as well as the judgment and order passed by the learned Single Judge which was impugned before the Division Bench in Writ Appeal No.1959 of 2013.  The seniority of the respondent workman shall be counted with effect from the date of his fresh appointment in the service of the Corporation. 14.  The appeal is, accordingly, disposed of in the above terms. No costs. ……………………………..............................J. (DR. DHANANJAYA Y. CHANDRACHUD) .……….…………………….............................J. ( M.R. SHAH )            New Delhi, December 07, 2018. 9