Full Judgment Text
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CASE NO.:
Appeal (civil) 3056 of 1998
PETITIONER:
P. MOHAN REDDY ETC.
RESPONDENT:
E.A.A. CHARLES AND ORS.
DATE OF JUDGMENT: 16/02/2001
BENCH:
G.B. PATTANAIK & K.G. BALAKRISHNAN & B.N. AGRAWAL
JUDGMENT:
JUDGMENT
2001 (1) SCR 1068
The Judgment of the Court was delivered by
PATTANAIK, J. Inter se seniority in the cadre of Deputy Tehsildars between
direct recruits and promotees is the subject matter of dispute in these
appeals. When the matter had been listed before a two Judge Bench, it was
felt that there is some conflict between the two decisions of the Court,
one in the case of Wing Commander J. Kumar v Union of India, [1982] 2
Supreme Court Cases 116, and the decision in K. V. Subbarao and others v.
Government of Andhra Pradesh and others, [1988] 2 Supreme Court Cases 201,
for which the cases were referred to a three Judge Bench. The appellants
are directly recruited Deputy Tehsildars and their service conditions are
governed by Andhra Pradesh Revenue Subordinate Service Rules, 1961
(hereinafter referred to as ’The Special Rules’). Under the Special Rules
appointment to the cadre of Deputy Tehsildars could be made either by
direct recruitment or by transfer from member of Andhra Pradesh Ministerial
service employed in the Revenue Department including the office of the
Commissioner of Land Revenue, Revenue Settlement and office of the Director
of Settlements, Survey and Land Records. It also further provides that
substantive vacancies in the cadre would be filled up by direct recruitment
and recruitment by transfer in the proportion of 1:1. The aforesaid Special
Rule was amended on 9.10.1980 inserting Rule 4(e) and giving it
retrospective effect with effect from the promulgation of Rules on
12.10.1961. The amended Rule 4(e) provided that the inter se seniority
between the direct recruits to the category of Deputy Tehsildars and the
promotees to the category of Deputy Tehsildars shall be determined from the
date of their confirmation in the substantive vacancy in that category in
the proportion of 1:1, as provided in sub-rule (b) of Rule 3. The validity
of the aforesaid amended Rule was the subject matter of challenge in this
Court in the case of K. V. Subba Rao and others v. Government of Andhra
Pradesh and others, (supra). This Court came to hold that the amended Rules
can operate only prospectively from 9th October 1980 and shall not have any
retrospective effect. A further direction was given that the State shall
within 4 months from the date of the judgement would compute the
substantive vacancies in the cadre and determine the quota of direct
recruits to the rank of Deputy Tehsildars and after working out of the
vacancies available to be filled up by direct recruits on the basis of 50
per cent of the total number, fill up the same by making direct recruitment
within a period of 4 months thereafter. The State Government was further
directed to draw up a seniority list on the basis of Rule 4(e) on or before
31st December, 1988. Pursuant to the aforesaid direction seniority list
were prepared but alleging that list have not been prepared strictly in
accordance with the judgement of this Court, Original Applications were
filed before the Andhra Pradesh Administrative Tribunal. On 24.9.1992
Special Rules of 1961 were further amended by limiting the direct recruits
to 30 per cent of approved substantive vacancies and further providing that
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notwithstanding Rule 4(e), the seniority of a person appointed as Deputy
Tehsildar shall be governed by General Rule 33 in Part II of Andhra Pradesh
State and Subordinate Service Rules, according to which continuous service
and not confirmation by following the ratio of vacancies 1:1 between the
direct recruits and promotees would be the criteria. The Commissioner of
Land Revenue issued instructions that the aforesaid amendment to the Rules
being effective from 24.9.1992, persons whose services are to be
regularised prior to the same date, their services would be governed by the
preamended position and confirmation has to be made with effect from the
date of available vacancy of approved probationers in the order of
seniority. The State Government also issued a Clarificatory Order on
14.8.1995 stating therein that direct recruited Deputy Tehsildars appointed
prior to 24.9.1992 are entitled to have their seniority fixed in accordance
with Rule 4(e), as it stood then. The promotee Tehsildars, however,
approached the Tribunal and prayed for a direction that the seniority list
be re-drawn up as per the criteria under the amended Rules dated 24.9.1992,
of all those who continue in the cadre and who have not been promoted to
any higher post and necessarily therefore, persons appointed as Deputy
Tehsildars between the period 9.10.1980 and 23.9.1992, their seniority has
to be determined on the basis of remanded Rules. A reference has been made
to the Secretary, Law Department for his opinion , who also had opined that
all those appointed between 9.10.1980 and 23.9.1992 their seniority will be
governed by Rule 4(e), as it stood prior to its amendment and not by the
new Rule which came into force on 24.9.1992. The Tribunal dismissed the
applications filed by the promotees with the direction that seniority of
the persons directly appointed as Deputy Tehsildars between 9.10.1980 and
23.9.1992 be drawn up in accordance with Rule 4(e) since the amendment
brought about in September 1992 has not been given any retrospective
effect, and on the other hand is prospective in nature. Against the order
of dismissal by the Administrative Tribunal the promotees approached the
High Court and the High Court having set aside the judgement of the
Tribunal and having held that the seniority has to be re-drawn up in
accordance with the amended Rules on the basis of total length of service
without reference to the date of confirmation and without reference to Rule
4(e), which had been inserted by the amendment of 9th October, 1980, the
present Appeals by grant of Special Leave have been filed by the direct
recruits.
Mr. P.P. Rao. Learned senior counsel appearing for the appellants
contended, that an employee on being appointed to the service is entitled
to get his seniority determined on the basis of the Rules that exits on the
date of his appointment. And that being the position, in respect of Deputy
Tehsildars appointed between 9.10.1980 and 23.9.1992 the seniority has to
be determined in accordance with Rule 4(e), as it stood then and the same
cannot be altered by applying the principles involved in the amendment
Rules of September 1992. Mr. Rao further contended that the seniority
determined in a cadre need not be altered over and over again on the basis
of Rules being amended from time to time unless and until the amended Rules
are given retrospective effect by the Rule making Authority. The learned
counsel also urged that an employee, though may not have a vested right to
a specific position in the gradation list of a cadre, yet he has the right
to get his seniority determined in accordance with the Rules in force on
the date of his appointment and unsetting that right by subsequent
amendment of Rules would be a great disservice to the entire cadre, and
therefore cannot be sustained. Mr. Rao further submitted that since Rule 4
of Andhra Pradesh Subordinate Service Rules contemplates and provides
preparation of approved lists every year, by mere inaction on the part of
those who were employed to prepare the list and then by virtue of amendment
to the Rules later the rights of appellants to get their seniority
determined in accordance with Rule 4(e), as it existed prior to amendment
of 1992, cannot be taken away. According to Mr. Rao the High Court in the
impugned judgement committed serious error in following the ratio in the
decision of this Court in Haryana case in SS Bola & Ors. v. B.D. Sardana &
Ors., [1997] 8 Supreme Court Cases 522, without noticing the fact that in
the State of Haryana the legislature had intervened in framing the law and
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giving it retrospective effect, but in the case in hand, the amended Rules
of 1992 not being retrospective in nature the question of re-determining
the seniority in the cadre in accordance with the new set of Rules does not
arise.
Mr. Dushyant Dave, learned senior counsel appearing for the promotee-
respondents on the other hand contended, that the seniority of a government
servant being conditions of service and the power to frame Rule for
determination of seniority in such service, being vested with the
Government, there is no bar for the State Government to amend the Rules as
and when required, even by changing the criteria for determination of the
seniority in question. The learned counsel urged that the Rules brought
about in September 1992, even if is not retrospective in operation but it
is undoubtedly retroactive in nature, it necessarily follows therefore that
the seniority of the existing Deputy Tehsildars in the cadre will have to
be determined in accordance with the amended criteria and the only
prohibition is that those who were already prompted to a higher cadre,
question of re-determining their seniority would not arise. This being the
position, the High Court was fully justified in directing a re-drawal of
seniority list of Deputy Tehsildars in the cadre irrespective of the fact
whether they are appointed between 1980 to 23.9.1992 or appointed
subsequent to the Rule came into force. Mr. Dave also further urged that if
an employee has no right to claim a particular position in the seniority
list and Rule making Authority having the power to regulate the service
conditions of the employee alters the criteria for determining the
seniority, on drawing up of the seniority list in accordance with the
amended provision may entail a change of position in the gradation list,
and such change of position not having taken away any vested right of the
employee no grievance can be made on that score. Mr. Dave contends that the
principle that seniority could be re-determined in accordance with the
Rules, as and when Rules get amended has been upheld by this Court in the
case of Wing Commander J. Kumar, (supra) and re-affirmed by this Court in
Bola’s case (supra) and, therefore, no infirmity should be found with the
impugned judgment of the High Court.
Mr. Gururaja Rao, learned senoir counsel appearing for respondent nos. 28
to 33 in Civil Appeal No. 3054 of 1998, submitted that though these
respondents were in fact came to be appointed subsequent to the amended
Rules but in fact they had been appointed pursuant to the earlier judgment
and, as such, they must be deemed to have been appointed earlier then the
amended Rules came into force and consequently their seniority also is
required to be drawn up in accordance with the pre-amended provisions of
law. Mr. Ram Kumar, learned counsel appearing for some of the respondents
in Civil Appeal No. 3054 of 1998 supported the contention of Mr. Rao and
urged that the amendment to the Rules which has been made prospectively
cannot be given any retrospective effect indirectly, as has been done by
the High Court in the case in hand, and as such the impugned judgment is
vitiated. He further contended that in view of positive direction given by
this Court in Subba Rao’s case (supra) it would not be permissible for the
High Court to side track the direction given by adopting a principle that
the seniority has to be re-drawn up in accordance with the amended
criteria. According to Mr. Ram Kumar the ratio of Wing Commander J. Kumar’s
case is only to the effect that statutory Rule would prevail over the
Administrative Order and any other observation made therein cannot have the
effect of the binding precedent which cannot be held to be a decision of a
Court. In support of his contention he places reliance on the decision of
this Court in Union of India & ors. v. Dhanwanti Devi & ors., [1996] 6
Supreme Court Cases 44. Mr. Ram Kumar also further contended that principle
for determination of inter seniority between the direct recruits Deputy
Tehsildars and promotee Deputy Tehsildars between the period 1980 to 1992
having been decided by this Court in Subba Rao’s case (supra) rights
flowing from that judgment cannot be taken away when the Rule making
Authority themselves have not made the amendment retrospective in nature.
Mr. Nageshwar Rao, learned counsel appearing for the direct recruits also
contended that it was never the intention of the Law making Authority to
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govern the seniority of earlier appointees by the new Rules. He also urged
that Rule 4 of the subordinates Services Rules having enjoined an
obligation for being complied with every year, simply because that has not
been done, the seniority is not required to be re-determined in accordance
with new Rules.
In view of the rival submissions the first question that arises for
consideration is that what was the nature of dispute and the relief that
was granted by this Court in Subba Rao’s case (supra)? In the aforesaid
case the relevant Rule for determination of inter seniority between direct
recruits and the promotees under the very Rule, namely, Andhra Pradesh
Revenue Subordinate Services Rules, 1961, was under consideration. Rule
4(e) thereof had been amended on 9th October, 1980 stipulating that the
seniority shall be determined from the date of their confirmation in the
substantive vacancy in that category in the proportion of 1:1, as provided
in sub rule (b) of Rule 3. The Rule making Authority also made the
aforesaid amendment retrospective with effect from 12th October, 1961. This
Court ultimately upheld the validity of the Rule but struck down only the
retrospectivity part. The Court further directed the State Government to
draw up seniority list on the basis of Rule 4(e), namely, on the basis of
the date of confirmation in the proportion of 1:1. The effect of the
aforesaid decision is that the State was called upon to compute the
substantive vacancies in the cadre and determine the quota for direct
recruits in the rank of Deputy Tehsildars and after working out the
vacancies available, to be filled up by direct recruitment on the basis of
50 per cent of total number, fill up the same and then draw up the
seniority list on the basis of Rule 4(e). Normally, therefore, but for the
amendment brought about to the Rule in the year 1992, the seniority in the
cadre of Deputy Tehsildars between the direct recruits and promotees
between the period 9th October 1980 and 24th September, 1992 is required to
be drawn up in accordance with the aforesaid judgment of this Court. In
fact the Commissioner of Land Revenue had issued such instructions and the
Administrative Tribunal also dismissed the application filed by the
promotees. In the aforesaid case the effect of the direction of this Court
further was, so far as the Deputy Tehsildars recruited prior to 9.10.1990,
their seniority was not required to be re-determined under the amended
Rules of 1980. In other words the same was to be determined by virtue of
the General Rules. It is interesting to notice that notwithstanding the
positive direction of this Court in Subba Rao’s case (supra), in fact no
seniority list had been prepared between the period 1980 till 1992. Thus
there has been a gross dereliction on the part of the authorities who were
required to draw a seniority list in the light of the directions given by
this Court in Subba Rao’s case (supra).
Let us now examine different authorities cited at the Bar in respect of
their respective contentions. In the case of Union of India & Ors. v. M.
Ravi Varma and Ors. Etc., [1972] 2 Supreme Court Reports 992, on which Mr.
Rao relied upon, the question for consideration was as to how the seniority
appointed prior to December 22, 1959 will have to be determined. Referring
to Office Memorandum dated 22nd June, 1949 under which the seniority was
required to be determined on the basis of length of service the Court held
that the appointees prior to the Office Memorandum dated 22nd December,
1959 would get their seniority determined according to the earlier Office
Memorandum of 22nd June, 1949 i.e., in accordance with the Rules in force
when the appointment had been made. In this case the Court relied upon the
earlier decision in Mervyn Coutindo & Ors. v. Collector of Customs & Ors.,
[1966] 3 Supreme Court Rules 600, and this decision, to a great extent
supports Mr. Rao’s contention. In D.P. Sharma & Others v. Union of India
and another, [1989] Supp. 1 Supreme Court Cases 224, it has been held by
this Court that it is the General Rule that if seniority is to be regulated
in a particular manner in a given period, then the same shall be given
effect to and not be varied to disadvantage retrospectively. In this case
also the earlier criteria for determination of seniority was length of
continuous service whereas the subsequent Rules provided for determining
the seniority on the basis of the date of confirmation. This Court held
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that the subsequent Rules cannot impair the existing rights of officials
who were appointed long prior to coming into force of the Rules. Those
officials had right of determination of their seniority in accordance with
the pre-existing memoranda which provided for reckoning length of
continuous service. This decision also undoubtedly, supports Mr. Rao’s
contention and further holds that an employee has an existing right of
getting his seniority determined in the cadre according to the Rules in
force on the date of his appointment.
In the Constitution Bench decision of this Court in B.S. Yadav & Ors. etc.
v. State of Haryana & Ors. etc., [1981] 1 Supreme Court Reports 1024, the
Court was considering a case of drawing up of seniority list of judicial
officers and then finally directed the High Court to re-draw inter se
seniority list of those direct recruits and promotees who were appointed to
the Superior Judicial Service prior to 31st December 1976 on the basis of
the respective dates of their confirmation allotted to them and of all
those who were appointed to the post in service after 31st December, 1976
in accordance with the amended Rule 12. It may be stated that amended Rule
12 was notified on 31st December, 1976 which lays down the length of
continuous service in a cadre post as a guiding criteria for fixing
seniority, whereas under the Rules prior to that date the guiding factor
for determination of seniority in the cadre was on the basis of the date of
confirmation allotted to the employees. The aforesaid Constitution Bench
decision, therefore indirectly supports the contention of Mr. Rao that the
seniority of an employee in a cadre is required to be determined in
accordance with the Rules in force on the date of appointment and not under
any amended Rules unless the amended Rules itself are retrospective in
nature.
In P.O. Aggarwal & Ors. v. State of U.P. & Ors., [1987] 3 Supreme Court
Cases 622, certain temporary Assistant Engineers had been appointed in
consultation with the Union Public Service Commission and had been
rendering service since 1956. The Rules for seniority was Rule 23 of the U.
P. Service of Engineers (Building and Roads Branch) Class II Rules. That
Rule stood amended in the year 1971. This Court held that on the basis of
the provision of Rule 23 it was before the amendment made in 1971, the
temporary Assistant Engineers are legally entitled to have their seniority
reckoned from the date of their being members of the service, no matter
whether they are holding posts which remained as temporary for years
together. The Court repelled the contention of the direct recruits
Assistant Engineers that they being recruits under amended Rule 23 of 1971
Rules, they cannot be deprived of their right to be promoted on the basis
of fixation of their seniority in the cadre, as provided in the amended
Rules. The Court further observed that substituted Rule 23 introduced in
1971 is on the face of it unreasonable and arbitrary inasmuch as it
purports to deprive a member of service from having his seniority reckoned
on ipse dixit Rules that he had not been appointed in the substantive
vacancy.
In Goya Baksh Yadav etc. v. Union of India & Ors., [1996] 4 Supreme Court
Cases 23, the question of inter se seniority between direct recruits and
promotees Customs Appraisers during the period preceding and succeeding the
Rules of 1961 was under consideration. In that also the Statutory Rules
governing the subject of seniority came into force in the year 1961 called
the Customs Appraisers Service Class II Recruitment Rules 1961, and prior
to coming into force of the aforesaid Recruitment Rules the seniority of
such customs appraisers in the cadre was being determined in accordance
with Administrative Instructions from time to time and in Mervyn Coutindo
(supra) this Court discarded the quota system for promotion. This Court
ultimately held that appraisers appointed prior to the decision of this
Court in Mervyn Coutindo (supra) would get their seniority on the basis of
quota rota formula, Whereas appraisers appointed on and from the
Recruitment Rules came into force, would get their seniority determined on
the basis of continuous officiation as indicated in the Recruitment Rules.
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In Indian Administrative Service Association v. Union of India, [1993]
Suppl. 1 Supreme Court Cases 730, the question of determination of
seniority in the All India Service was under consideration. In that case
this Court had observed while interest to seniority can be acquired under
relevant rules, there is no vested right to seniority or promotion. The
real question for consideration in that case was whether a particular
statute can be said to have retrospective effect when the language plainly
does not indicate the same. This decision is really not directly on the
point in the present case, particularly when it is conceded that the Rules
of 1992 is prospective in nature.
In Prem Kumar Verma and another v. Union of India and others, [1998] 5
Supreme Court Cases 457, to which one of us (Pattanaik, J.) was the party,
on considering paragraph 303 of the Railway Establishment Manual, which was
the provision for determining the seniority of candidates recruited through
Railways Service Commission, the Court held that the post which fell vacant
prior to July 1989 and the persons were selected prior to the amendment
made on 5.5.1990 the seniority of those recruits will have to be determined
on the basis of pre-amended paragraph 303, whereas those who were recruited
subsequent to 5th May, 1990, their seniority would be determined according
to the amended criteria. A conspectus of the aforesaid decision, therefore,
unequivocally indicate that the seniority of an employee in the cadre is
required to be determined in accordance with the Rules in force unless the
subsequent amendment is expressly given the retrospective effect, and even
though an employee does not have a vested right to have any particular
position in the gradation list, but it does possess a right to get his
seniority determined in accordance with the Rules in force when he was
recruited and that right should not be interfered with unless the Rule
making Authority by virtue of amending the Rules make it applicable to all
the existing employees in the cadre notwithstanding the fact that their
seniority had already been determined under the pre-existing Rule.
Mr. Dave, learned senior counsel appearing for the contesting respondents
strongly relied upon the Constitution Bench decision of the Court in State
of Jammu & Kashmir v. Shri Triloki Nath Khosa and Others, [1974] 1 Supreme
Court Cases 19. In this case the power of the employer to change the
conditions of service retrospectively was under consideration and this
Court in that context had observed that the Government can alter the terms
and conditions of its employees unilaterally and though in modern times
consensus in matters relating to public services are often attempted to be
achieved, consent is not a pre-condition of the validity of Rules of
service, the contractual origin of the services notwithstanding. Though the
question of seniority was not a matter for consideration but Mr. Dave,
appearing for the respondents relied upon the observations of the Court in
paragraph 16, wherein this Court had observed:
"It is wrong to characterise the operation of a service rule as
retrospective for the reason that it applies to existing employees. A rule
which classifies such employees for promotional purposes, undoubtedly
operate on those who entered service before the framing of the rule but it
operates in future, in the sense that it governs the future right of
promotion of those who are already in service. The impugned Rules do not
recall a promotion already made or reduce a pay scale already granted. They
provide for a classification by prescribing a qualitative standard, the
measure of that standard being educational attainment. Whether a
classification founded on such a consideration suffers from a
discriminatory vice is another matter which we will presently consider but
surely, the Rule cannot first be assumed to be retrospective and then be
struck down for the reason that it violates the guarantee of equal
opportunity by extending its arms over the past. If rules governing
conditions of service cannot ever operate to the prejudice of those who are
already in service, the age of superannuation should have remained
immutable and schemes of compulsory retirement in public interests ought to
have foundered on the rock of retroactivity. But such is not the
implication of Service Rules nor is it their true description to say that
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because they affect existing employees they are retrospective."
The aforesaid decision is obviously not a direct decision on the point that
has arisen for consideration in the present case though indirectly the
observations referred to may have some relevance. Wing Commander J. Kumar’s
case (supra) is undoubtedly a direct case on the point in issue and
seniority was the subject matter for consideration. In that case also the
\007seniority of the employees under the Defence Research and Development
Organisation was being determined in accordance with a set of Memorandum
issued by the Ministry of Defence dated 18th March, 1967. In November 1979
the President of India promulgated in exercise of power under proviso to
Article 309 of the Constitution a set of Rules, called ’R & D Organisation
Terms and Conditions of Service Rules. The appointees, prior to the said
Rules came into force had contended, that their seniority cannot be
affected by the new Rules and that has to be determined in accordance with
the Memorandum of 18th March, 1967. This Court, however, did not accept the
said contention on the ground that the Statutory Rules having been
promulgated by the President of India under the proviso to Article 309 of
the Constitution an employee cannot claim to have acquire the right to have
his seniority in the Research & Development Organisation reckoned with
reference to the date of his temporary secondment. The Court also had
further observed that it is a settled law that service conditions
pertaining to seniority are liable to alteration by subsequent changes that
may be introduced in the Rules and except to the extent of protecting
promotions that have already been earned under the previous Rules, the
revised rules will operate to govern the seniority and future promotion
prospects of all the persons in the concerned service. The aforesaid
observation undoubtedly supports Mr. Dave’s contention. But it may be
noticed that the Statutory Rule in Rule 16 had used the expression
"hitherto" and the Court considered the aforesaid expression in the
Statutory Rule to be the factual background leading to the enactment,
particularly when the employee did not bring to the notice any clinching
material for justifying any departure from the accepted principles in
Statutory Rule. That apart, the principles under a set of administrative
instructions was being substituted by a set of Statutory Rule and that
Statutory Rule also itself gave certain indication as to how in the past
seniority of officer was being reckoned, namely, on the basis of attainment
of substantive rank of major/ Sqdrn,. Leader/Lt. Commander. The Court
further observed that when a Statutory Rule governing seniority is issued
in respect of a service the said rule would govern the personnel in the
service with effect from the date of its promulgation and in so giving
effect to the Rule in future, there is no element of retroactivity
involved. This observation supports Mr. Dave’s contention to a great
extent. But in the teeth of the series of authorities we have discussed
earlier, we are not persuaded to accept the reasoning in this decision for
coming to the conclusion that the seniority of the employees has to be re-
determined over and over again as and when the criteria changes.
In the case of R.S. Makashi and others v. I.M. Menon and others, [1982] 1
Supreme Court Cases 379 a question of determination of seniority in a
cadre, of the personnel drawn from different sources and merging into a
single newly formed organisation was under consideration. The relevant
Rules protected the pre-existing seniority and preserved maintenance of the
same and this was challenged to be arbitrary and unreasonable. The Court
considered the circumstances under which the people from different sources
have been drawn and are drafted to serve on deputation and consequently it
was held that it is a just and wholesome principle commonly applied in such
situation that their inter se seniority in parent department should be
respected and preserved so long as continue in the department and the
relevant rule in that respect cannot be held to be violative of Articles 14
and 16. The aforesaid decision, therefore, is in relation to the fact
situation of that case and does not help either of the rival stand of the
parties in the present case.
It would be appropriate to notice a Three Judge Bench decision of this
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Court in S.S. Bola, (supra). It is this judgment on which the High Court
heavily relied upon. In that case the question of seniority between direct
recruits and promotees had been decided by the Supreme Court adopting a
particular principle and the seniority list had been drawn up. But the
Haryana Legislature enacted an Act governing the conditions of service of
the employees and that Act had been given retrospective effect and the
legislative intervention became necessary as the entire seniority position
became topsy- turvy to such an extent that a direct recruit Assistant
Executive Engineer, who was not even borne on the cadre when a promotee had
been appointed as a Deputy Engineer became senior to the said promotee. It
is because of the retrospectivity of the Act the seniority was required to
be re-drawn up in accordance with the Act, the validity of the Act having
been upheld. The principles decided in SS Bola’s case (supra), by this
Court will have no application to the present case since, admittedly, the
amended provisions which came into force in September 1992, is not
retrospective in nature. The High Court, therefore, was not justified in
drawing its conclusion on the basis of the aforesaid judgment in Bola’s
case (supra). At this juncture, we may notice yet another judgment of this
Court in P.S. Mahal and others v. Union of India and Others, [1984] 4
Supreme Court Cases 545. It is in this case the Supreme Court by its
judgment dated 11th December, 1974 had indicated that in the absence of any
Statutory Rules governing the inter se seniority of the Executive Engineers
promoted from two sources, the seniority inter se should be determined on a
General Principle indicated in the Memorandum dated 22nd June, 1949 on the
basis of length of continuous officiation in the grade. The Rule making
Authority then came forward with a set of Recruitment Rules in exercise of
power under proviso to Article 309 and gave it retrospective effect from a
date prior to the judgment of the Supreme Court, referred to earlier. When
the seniority list was re-determined on the basis of the Statutory
Recruitment Rules this Court held, that since by the earlier judgment it
has been held that the inter se seniority of Executive Engineers promoted
from the grades of Assistant Engineers upto December 11, 1974 would be
governed by the Rule of length of continuous officiation, that direction
and decision cannot be set at not by the subsequent Recruitment Rules
coming into force and giving the same retrospective effect. The Court,
therefore, directed that in respect of the appointees prior to the
promulgation of the Recruitment Rules the seniority has to be determined on
the basis of the decision in A.K. Subraman v. Union of India, [1975] 1
Supreme Court Cases 319.
A conspectus of the aforesaid decisions of this Court would indicate that
even though an employee cannot claim to have a vested right to have a
particular position in any grade, but all the same he has the right of his
seniority being determined in accordance with the Rules which remained in
force at the time when he was borne in the cadre. The question of re-
determination of the seniority in the cadre on the basis of any amended
criteria or Rules would arise only when the amendment in question is given
a retrospective effect. If the retrospectivity of the Rule is assailed by
any person then the Court would be entitled to examine the same and decide
the matter in accordance with the law. If the retrospectivity of the Rule
is ultimately struck down, necessarily the question of re-drawing of the
seniority list under the amended provisions would not arise, but if
however, the retrospectivity is up held by a Court then the seniority could
be re-drawn up in accordance with the amended provisions of the employees
who are still in the cadre and not those who have already got promotion to
some other cadre by that date. Further a particular Rule of seniority
having been considered by Court and some directions in relation thereto
having been given, that direction has to be followed in the matter of
drawing up of the seniority list until and unless a valid Rule by the Rule
Making Authority comes into existence and requires otherwise, as was done
in Bola’s case (supra). It may be further stated that if any Rule or
Administrative Instruction mandate drawing up of seniority list or
determination of inter se seniority within any specified period then the
same must be adhered to unless any valid reason is indicated for non-
compliance of the same.
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When we examine the present case from the aforesaid principles we have no
doubt in our mind, that in view of the judgment of this Court in Subba
Rao’s case (supra) seniority of Deputy Tehsildars appointed between the
dates 10.4.1980 till September 1992 is required to be determined in
accordance with pre-amended Rules which came into existence in September
1992, and even if, factually such seniority has not been drawn up then the
same has to be drawn up in accordance with the criteria indicated in the
pre-amended Rule and not according to the amended Rules, which came into
existence in September 1992, as has been held by the High Court in the
impugned judgment. The High Court therefore, was clearly in error and the
said judgment of the High Court is thus set aside. The Tribunal was fully
justified in dismissing the O.As. filed by the promotee Deputy Tehsildars.
In the premises, as aforesaid, the Civil Appeals by the direct recruits are
allowed and the O.As. filed by the promotees before the Administrative
Tribunal stand dismissed.
The contention of Mr. Gururaja Rao, appearing for respondent Nos. 28 to 33
in Civil Appeal No. 3054 of 1998 that they should be treated to have been
appointed earlier than the rules came into force, cannot be taken into
consideration in these appeals since that was not the bone of contention in
the Courts below and at any rate, it has no relevance to the lis between
the direct recruits and the promotees Deputy Tehsildars, on the question of
determination of their inter se seniority in the cadre.