Rakesh Sharma & Ors vs Ch./M.D. Uttaranchal Power Corp. … on 3 August, 2011

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Supreme Court of India
Rakesh Sharma & Ors vs Ch./M.D. Uttaranchal Power Corp. … on 3 August, 2011
Bench: R.V. Raveendran, A.K. Patnaik
                                                            Non-Reportable 


             IN THE SUPREME COURT OF INDIA


              CIVIL APPELLATE JURISDICTION


             CIVIL APPEAL NO. 3448 OF 2008


Rakesh Sharma & Ors.,                                 ...     Appellants

                             Versus


Chairman/Managing Director,

Uttaranchal Power Corporation & Ors.,              ... Respondents



                              WITH


             CIVIL APPEAL NO. 3476 OF 2008,


                              WITH


  SPECIAL LEAVE PETITION (C) NOs.5278-5279 of 2009


                               AND


      SPECIAL LEAVE PETITION (C) NO.4827 of 2009





                        J U D G M E N T

A. K. PATNAIK, J.

IN CIVIL APPEAL NOs. 3448 OF 2008 AND 3476 OF 2008

These two appeals are against two separate orders

passed by the Division Bench of the High Court of

Uttaranchal on 28.02.2006 and arise out of the same set of

facts and are accordingly being disposed of by this common

judgment.

2

2. The facts very briefly are that written tests and

interviews were conducted in the years 1977, 1979

and 1981 for promotion of Operating Staff (Technical

Grade-II) to the post of Junior Engineer in the Uttar

Pradesh State Electricity Board (for short `the UPSEB’)

under Regulation 17 of the Uttar Pradesh State

Electricity Board Subordinate Electrical and

Mechanical Engineering Service Regulations, 1972 (for

short `the Regulations’). Mandip Singh and others,

who had taken the written test and interview in 1977,

moved the Allahabad High Court in a batch of Writ

Petitions and on 28.08.1989 a Division Bench of the

High Court by its order directed the UPSEB to declare

the select list of candidates who had appeared in 1977

examination and the interview and after exhausting

the same to make appointments from the select list of

the candidates who had appeared in the 1979 written

examination and interview. On 24.09.1999, the

UPSEB issued an Office Memo cancelling the

examination conducted in 1985 because it was not

possible to promote the Technical Cadre employees to

3

the post of Junior Engineer on the basis of

examination conducted in the year 1985 till the order

dated 29.08.1989 of the Allahabad High Court in the

case of Mandip Singh & others was complied with. On

09.11.2000, the new State of Uttaranchal, now

renamed as Uttarakhand, was carved out of the

erstwhile State of Uttar Pradesh and the Uttaranchal

Power Corporation Limited (for short `the UPCL’)

became the successor of UPSEB for the State of

Uttarakhand and started functioning with effect from

01.04.2001 and adopted the Regulations for its

employees. On 05.04.2003, the Selection Committee

of UPCL recommended that there was no hindrance for

promoting the candidates selected on the basis of 1985

examination as there were vacancies to the post of

Junior Engineer after promotion of the selected

candidates of the years 1977 and 1979. Thereafter, a

list of employees, who had taken the examinations

conducted by the UPSEB in the years 1977, 1979 and

1985, was prepared and they were promoted to the

post of Junior Engineer by the Board of UPCL after

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relaxation under Regulation 31 of the Regulations.

3. These promotions were challenged in Civil Writ Petition

Nos. 3 of 2003 (S/S), 979 of 2002 (S/S), 7195 of 2001

(S/S) and 803 of 2003 (S/S) in the High Court of

Uttaranchal. The four Writ Petitions were heard by a

learned Single Judge and allowed by a common order

dated 25.10.2004. The learned Single Judge held that

the promotions of employees of the cadre of Technical

Grade-II to the post of Junior Engineer on the basis of

1985 examination cannot be said to be legal after

cancellation of 1985 examination by the Office Memo

dated 24.09.1999 of the UPSEB, unless either

Regulation 17, which provides for promotion on the

basis of written examination and interview, was

amended or the order of cancellation of the 1985

examination was recalled. The learned Single Judge

directed the UPCL to hold examination afresh

complying with the provisions of Regulation 17 of the

Regulations. The learned Single Judge quashed the

seniority list of Junior Engineers dated 17.11.2001

which was based on the promotions held on the basis

5

of 1985 examination and further observed that the

promotions made on the basis of the examinations

held in the years 1977 and 1979 shall remain

unaffected. The learned Single Judge, however,

observed that those already promoted or holding the

charge of Junior Engineers will not be disturbed and

their functioning shall be subject to the result of the

fresh examination to be held.

4. Rakesh Sharma and others, who had been promoted

as Junior Engineers on the basis of the 1985

examination, challenged the order of the learned Single

Judge before the Division Bench of the High Court of

Uttaranchal in Special Appeal Nos. 96 of 2004 and 103

of 2004 but the Division Bench of the High Court

dismissed the Special Appeals by order dated

28.02.2006. The Division Bench agreed with the

reasons given by the learned Single Judge, but

observed that promotees on the basis of the 1985

examination shall be treated as working on ad hoc

promotion and shall be allowed to continue subject to

their appearance and passing in the examination and

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the interview in accordance with Regulation 17 of the

Regulations and those selected afresh will be treated to

have been appointed from the date of promotion. The

UPCL also filed Special Appeal Nos.105, 107, 112 and

113 of 2008 against the order dated 28.02.2006 and

by a separate order dated 28.02.2006 the Division

Bench of the High Court sustained the order of learned

Single Judge and disposed of the Special Appeals with

the direction that those promotees, who had retired,

shall not be affected by the order of the learned Single

Judge.

5. Mr. P. P. Rao, learned counsel for the appellants in

Civil Appeal No.3476 of 2008, and Mr. D. K. Garg,

leaned counsel for the appellants in Civil Appeal

No.3448 of 2008, submitted that the selection of

candidates for promotion to the post of Junior

Engineer made on the basis of written examination

and interview held in 1985 was in accordance with

Regulation 17 of the Regulations and the High Court

has not found the selection of candidates to be illegal.

They submitted that the selection of candidates made

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in the year 1985 was cancelled by the Office Order

dated 24.09.1999 of the UPSEB because if the

directions of the Division Bench of the Allahabad High

Court in the case of Mandip Singh & Ors. v. UPSEB &

Ors. to first appoint the candidates selected on the

basis of examinations and interviews held in 1977 and

1979, had to be complied with, the candidates selected

on the basis of the examination and interview held in

1985 could not be appointed. Learned counsel for the

appellants further submitted that the High Court was

under an erroneous impression that the Office Order

dated 24.09.1999 cancelling the examination of 1985

had not been recalled. They referred to the minutes of

the 14th Board of Directors’ Meeting of UPCL held on

26.12.2003 and 24.01.2004 to show that the Board of

UPCL had resolved that the employees who have

qualified in the 1985 examination and had been

absorbed in the services of the UPCL would be eligible

to be promoted to the post of Junior Engineer.

Learned counsel for the appellants submitted that the

Board of UPCL, therefore, had in effect recalled the

8

cancellation of the 1985 examination for promotion to

the post of Junior Engineer and, therefore, the

candidates, who have been selected on the basis of the

1985 examination were promoted to the post of Junior

Engineer in accordance with Regulation 17 of the

Regulations and their appointments could not have

been declared to be invalid by the High Court.

6. Mr. B. Datta, learned counsel for the private

respondents in both the appeals, on the other hand,

submitted that the Board of the UPCL has committed a

breach of the directions of the judgment of the Division

Bench of the Allahabad High Court in the case of

Mandip Singh & Ors. v. UPSEB & Ors. and has resolved

in its meetings held on 26.12.2003 and 02.01.2004 to

promote the employees who had qualified in 1985

examination. He submitted that the UPCL should

have held another written examination and interview

in accordance with Regulation 17 of the Regulations.

He also submitted that the private respondents were

not promoted even though they qualified in the oral

tests and instead their juniors in the cadre of

9

Technical Grade-II were promoted on the basis of the

1985 examination, which have been held to be illegal

by the High Court.

7. We have considered the submissions of the learned

counsel for the parties and we find that in the batch of

Writ Petitions in the case of Mandip Singh & Ors. v.

UPSEB & Ors., the Division Bench of the Allahabad

High Court in its judgment dated 29.08.1989 did not

hold that the selection of candidates made for

promotion on the basis of 1985 examination was in

contravention of Regulation 17 of the Regulations or

was in any way illegal. The High Court only

considered the grievances of the candidates, who had

appeared in the 1977 and 1979 examinations and

issued writs of mandamus granting some reliefs. Para

14 of the judgment of the Division Bench in Mandip

Singh & Ors. v. UPSEB & Ors. is quoted hereinbelow:

“In the result, the writ petitions are allowed.

A mandamus is issued directly to the U.P.

State Electricity Board to declare the list of

the candidates appeared in 1977

examination and after exhausting the same

to make appointments from the list of the

candidates appeared in 1979 examination.

The months from the date of production of a

10

copy of this order. A further mandamus is

issued directing the UP State Electricity

Board to declare the list of temporary Junior

Engineers and thereafter to make

appointments from that list in accordance

with law. A mandamus is also issued to the

U.P. State Electricity Board to reduce the

marks for interview and oral test and to

make selection accordingly and this shall

also be done within two months from the

date of production of a copy of this order.

The U.P. State Electricity Board is also

directed to relax the qualifications only in

accordance with law and taking into

consideration the Regulation 31.”

8. We further find that although in the judgment in

Mandip Singh & Ors. v. UPSEB & Ors. the Division

Bench of the Allahabad High Court did not declare the

selections made on the basis of 1985 examination and

interview to be in any way illegal, the UPSEB cancelled

the selections by Office Order dated 24.09.1999, which

is quoted hereibelow :

“Uttar Pradesh State Electricity Board

No.3726( )-AR-09(Ga)/Sachiv-99-20 F90G/88 (TC)

Dated September 24, 1999

Office Order

As per the note dated 17.12.1996 made by

U.P. State Power Corporation the

examinations held in the year 1985 could not

11

be given effect. Unless the judgment and

order dated 29.08.1989 passed by Hon’ble

High Court of Allahabad (Allahabad Bench) in

Writ Petition No. 4858/85 entitled Mandeep

Singh vs. UPSEB is not complied with.

Besides this, 100 marks were fixed for viva

voce. After having kept the recommendations

made by Power Service Commission on the

aforesaid point the examinations held in the

year 1985 for the promotion of Technical

Grade-II on the post of Junior Engineer are

hereby cancelled.

Sd/- Illegible”

9. It will be clear from the Office Order dated

24.09.1999 that the only reason given by the UPSEB

to cancel the selection on the basis of the 1985

examination for promotion of Technical Grade-II staff

to the post of Junior Engineer is that if the judgment

of the High Court in the case of Mandip Singh & Ors. v.

UPSEB & Ors. was to be complied with, the selection

made on the basis of 1985 examination could not be

given effect to because there would be no vacancies in

the post of Junior Engineer in which the selected

candidates of 1985 could be accommodated.

10. We also find from the records that after the new

State of Uttarakhand was formed and the UPCL

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became the successor of the UPSEB for the State of

Uttarakhand, several posts of Junior Engineers were

required to be filled up. Therefore, the Board of the

UPCL deliberated over the matter afresh in its

Meetings held on 26.12.2003 and 02.01.2004 and

resolved as follows :

“As the erstwhile U.P. State Electricity Board

did not take cognizance of the examination

conducted in 1985 for promotion to the post of

Junior Engineer from Operating Staff as per

the Hon’ble High Court of Allahabad decision

which stated that first the list of candidates

appeared in 1977 examinations be exhausted,

and not for any other reason, the employees

qualified the 1985 Examination and absorbed

in the Corporation services would be eligible

for promotion to the post of Junior Engineer.”

11. The facts discussed above clearly establish that the

selection of candidates on the basis of the 1985

examination and interview have not been held by the

Allahabad High Court to be illegal in the batch of Writ

Petitions in the case of Mandip Singh & Ors. v. UPSEB

& Ors. and the UPSEB had also not cancelled the

selection of candidates for promotion on the basis of

1985 examination on the ground that the selection was

in contravention of Regulation 17 of the Regulations or

13

was in any other way irregular and the only reason

given by the UPSEB in its Office Order dated

24.09.1999 for cancelling the selection on the basis of

1985 examination was that the selection cannot be

given effect to without complying with the directions of

the High Court in the case of Mandip Singh & Ors. v.

UPSEB & Ors. If the successor of UPSEB, namely, the

UPCL, found that a number of posts of Junior

Engineers had to be filled up and this could be done by

promoting the candidates, who had qualified in the

1985 examination and who had been absorbed in the

services of the UPCL and resolved accordingly, the

High Court could not have held in the impugned order

that the promotions of the candidates on the basis of

1985 examination were contrary to Regulation 17 of

the Regulations or in any way illegal. For these very

reasons, we also cannot accept the contention of the

learned counsel for the respondents that the Board of

UPCL has committed a breach of the directions in the

judgment of the Allahabad High Court in Mandip Singh

& Ors. v. UPSEB & Ors.

14

12. We also do not find any merit in the grievances of the

private respondents that they were not promoted but

their juniors in Technical Grade-II have been promoted

on the basis of the 1985 examination. Clauses (2) and

(3) of Regulation 17 of the Regulations are quoted

hereinbelow:

“(2) The selection shall be based on a written test

followed by a practical and oral test to which only

such candidates would be admitted as have

qualified in the written test.

(3) The names of the candidates who qualify in

the practical and oral test shall be placed in a list

in their order of merit. For computing the merit

of a candidate the marks obtained by him both in

the written test and the practical and oral test

shall be added.”

Thus, Clauses (2) and (3) of Regulation 17 are clear that

promotion to the post of Junior Engineer from amongst the

Operating Staff is to be made on the basis of selection based

on a written examination followed by a practical and oral

test to which only such candidates would be admitted as

have qualified in the written test and the names of the

candidates who qualified in the practical and written tests

were to be placed in the order of merit. If the private

respondents could not be promoted whereas their juniors

15

were promoted because of their merit determined in the

tests as provided in Clauses (2) and (3) of Regulation 17, the

promotion of such juniors cannot be held to be in any way

illegal.

13. For the aforesaid reasons, the appeals are allowed

and the judgments of the learned Single Judge in Writ

Petition Nos. 3 of 2003 (S/S), 979 of 2002 (S/S), 7195

of 2001 (S/S) and 803 of 2003 (S/S) and the impugned

judgment of the Division Bench of the High Court are

set aside. There shall be no order as to costs.

IN

SPECIA
L LEAVE PETITION (C) NOs.5278-5279 of 2009

AND 4827 of 2009

These Special Leave Petitions were listed for hearing

along with Civil Appeal Nos.3448 of 2008 and 3476 of 2008.

2. At the time of hearing of the Civil Appeals, Mr. D. K.

Garg, learned counsel for the petitioners, submitted that the

Special Leave Petitions be listed after the disposal of the

Civil Appeals.

3. We have today disposed of Civil Appeal Nos.3448 of

2008 and 3476 of 2008. These Special Leave Petitions may

now be listed for hearing.

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………………………..J.

(R. V. Raveendran)

………………………..J.

(A. K. Patnaik)

New Delhi,

August 03, 2011.

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