S K MUTREJA Vs. UNION OF INDIA

JUDGEMENT

(1.) Petitioner by this writ petition seeks, inter alia, the quashing of the appointment letter dated 22nd September, 2004 passed by respondent No. 1 in favour of respondent No. 5 appointing the latter as Director (Operations) in Goa Shipyard Ltd. (respondent No. 4 herein). Petitioner also seeks a writ of mandamus directing respondents 1 to 3 to consider the claim of the petitioner for appointment to the said post being the most meritorious candidate adjudged by the Public Enterprises Selection Board

(2.) Notice to show cause was issued in the case on 29th September, 2004. It was directed that appointment would be subject to the outcome of the writ petition. Records of the proceedings of Appointment Committee of Cabinet (ACC) were directed to be produced. An affidavit has been filed by the Secretary to the Government of India, Department of Personnel and Training averring that disclosure of records and documents were detrimental to public interest. However, it is averred that records were offered to be produced for perusal by the Court to satisfy itself about the bona fides and genuineness of the plea of privilege. This affidavit was not pressed during the course of hearing and records were made available to the Court.

(3.) Petitioner, a retired Commander after serving Indian Navy for 20 years sought pre-mature retirement. He joined respondent No. 4 as Manager (Ship Building). He was promoted and has been working as Chief General Manager (Operations) with respondent No. 4. For appointment to the post of Director (Operations) with respondent No. 4, the name of the petitioner along with respondent No. 5 and others was considered by the Public Enterprises Selection Board (referred to as "Board"). The Board placed the petitioner as number No. 1. finding him to be the most meritorious candidate. Petitioner is aggrieved by appointment of respondent No. 5 as Director (Operations) by the impugned order. Petitioner also places reliance on the recommendations of the Parliamentary Committee on Public Undertakings which have been accepted by respondent No. 1. The extract of the recommendation and reply of the Government are reproduced for facility of reference: "The Committee recommended that for efficient functioning of PSEs, preference should be given to candidates from within the undertaking so long as competent persons are available and the appointment of officers of the organized services to the posts of Chief Executives should be avoided." Reply of the Government "In terms of the Government of India Resolution dated 3.3.1987, it is the normal policy of the Government to appoint through fair and objective selection procedure outstanding professional managers to Level I and Level II posts in the Central PSUs. As per the mandate given to the PESB unless markedly better candidates are available from outside, internal candidates employed in the Public Sector Enterprises are to be given preference appointment to Board level positions."