YESWANT SINGH KOTHARI Vs. STATE BANK OF INDORE

JUDGEMENT

(1.) SPECIAL leave granted in these three connected petitions.

(2.) EACH appellant in these appeals was an employee of the State Bank of Indore (a subsidiary bank of the State Bank of India), the first respondent in these appeals. They were initially in the employment of the Bank of Indore Limited which ceased to exist with effect from 1.1.1960 and became a subsidiary bank known as the State Bank of Indore, in the wake of the State Bank of India (Subsidiary Banks) Act, 1959 ( hereafter referred to as the "Act"). The existing employees of the kind of the appellants claimed to have certain service rights protected under section 11 of the aforesaid Act inclusive of the right to continue till the age of 58 years. They were, however, made to retire before attaining the age of 58 years on different dates, but upon completing 30 years of actual service. The subsidiary bank claims to have exercised powers under Regulation 19(1) of the State Bank of Indore (Officers) Service Regulations, 1979 (hereafter referred to as the "Regulations"), in taking such steps.

(3.) WHEN the Act came into force on 1.1.1960 and the subsidiary bank, the State Bank of the Indore, came into existence, the age of superannuation of its employees was clearly 58 years. The Regulations came into force on October 1, 1979, almost 19 years later. The field pre -existing was governed by office circulars and departmental practices besides section 11(1) of the Act, which provided as follows: