CAT - ['Chennai']

Service in previous zones must be counted for promotion eligibility despite loss of seniority upon transfer.

Arun Rajeeth R vs M/O FINANCE

CAT - ['Chennai']JUDGMENT: April 21, 20263 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The eight applicants are Tax Assistants (TAs) recruited between 2018–2020 in the Chennai Zone.

Source reference: no citation

Respondent No. 6 (T.G. Rajaguru) joined the Chennai Zone in 2021 via Inter-Commissionerate Transfer (ICT) from Pune, whereby he accepted bottom seniority.

Source reference: para 3.1

In 2015, new Recruitment Rules (RRs) for the post of Executive Assistant (EA) increased the qualifying service from 3 to 10 years.

Source reference: para 3.2

To address vacancy backlogs, the Board, with DoPT approval, granted a One-Time Relaxation (OTR) on 29.12.2022, reducing eligibility to 6 years of regular service as of 01.01.2022.

Source reference: para 13

By counting his prior service in Pune, Respondent No. 6 became eligible, whereas the applicants—despite being senior in the Chennai Zone—did not meet the relaxed 4-year minimum service required for seniors under the "senior-junior clause".

Source reference: para 3.3, 19

The applicants challenged the OTR and the subsequent promotion of Respondent No. 6.

Source reference: no citation
02

Issues

1. Whether services rendered in a previous Commissionerate/Zone by an ICT transferee can be counted toward eligibility for promotion in the new Zone.

Source reference: para 14

2. Whether the One-Time Relaxation (OTR) and the "senior-junior clause" (requiring a minimum of 4 years service for seniors) were legally valid and fairly applied to the applicants.

Source reference: para 15, 17
03

Law Applied

Rule 7 of the Central Excise and Customs Department Executive Assistant Recruitment Rules, 2015, which empowers the Central Government to relax rules for any class of persons.

Source reference: para 11

Pratibha Rani & Ors. v. Union of India, which held that service in a previous region must be counted for eligibility for promotion, even if seniority is lost.

Source reference: para 3.6, 14

DoPT OM dated 31.12.2010 regarding the "Senior-Junior Clause" (Note 1 of the RRs), which allows seniors to be considered alongside juniors provided they meet a minimum prescribed length of service (two years less than the eligibility period).

Source reference: para 10, 17

R. Prabha Devi v. Government of India: seniority cannot substitute for statutory eligibility.

Source reference: para 3.5
04

Reasoning

The Tribunal found that the OTR was a valid exercise of power under Rule 7, executed in consultation with DoPT and UPSC to address administrative exigencies.

Source reference: para 16

Regarding the "birthmark" of ICT transferees, the court reasoned that while Respondent No. 6 lost seniority, his total service (since 2015) remained "regular service" applicable for promotion eligibility per established precedents.

Source reference: para 14, 18

The Tribunal observed that the "senior-junior clause" (clarified on 15.05.2023) required seniors to have at least 4 years of service to be considered alongside a 6-year-eligible junior.

Source reference: para 15

Upon factual verification, the Tribunal noted that two applicants had not completed their probation, and none had reached the 4-year service mark as of 01.01.2022.

Source reference: para 19

The applicants were "considered" but found legally ineligible, as seniority alone does not grant a right to promotion if the statutory qualification (even if relaxed) is not met.

Source reference: para 19, 20
05

Holding

The Tribunal dismissed the OA, holding that the impugned orders and the OTR were in consonance with judicial pronouncements and statutory rules.

It ruled that counting an ICT transferee's past service for promotion is legally mandatory even if they are placed at the bottom of the seniority list.

Source reference: para 18

The court concluded that since the applicants failed to meet the minimum relaxed eligibility criteria of 4 years of service, their non-promotion was valid.

Source reference: para 19

No costs were awarded.

Source reference: para 21
CAT - ['Chennai']

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Arun Rajeeth RvsM/O FINANCE

CAT - ['Chennai'] · April 21, 2026

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