DEBASIS PAL CHOUDHURI Vs. ALLAHABAD BANK

JUDGEMENT

(1.) The petitioner's case, in brief, is that he was appointed as a Cash-cum-Clerk-cum-Godown Clerk in United Industrial Bank Ltd., in 1977 in Basirhat in the district of 24-Parganas and subsequently he was transferred to Accounts Department at Head Office in Calcutta. By Circular Memorandum No. 807 of 14th October, 1980 the Bank invited applications for the purpose of Special Assistant from the clerks who are graduates with three years service as on 1st October, 1980 and all other clerks (Under-Graduates) having five years of service as on 1st October, 1980 and in the said Circular the candidates were directed to state their date of appointment, qualification and their option for area of posting. The petitioner applied for the post of Special Assistant stating the option for area of posting in Calcutta or Metropolitan Area and also categorically stated therein that as he is the only son of old ailing parents, he would not be in a position to serve the Bank by staying outside Calcutta. He was successful in the written test and was directed to appear before the Interview Board and thereafter by a letter dated 7th April, 1982 issued by the Deputy General Manager (P.&A.) the petitioner was informed that he has been appointed as a Special Assistant with effect from 10th April, 1982 at Calcutta Main Branch of the United Industrial Bank Ltd., and the petitioner accepted the same and the petitioner was serving the Main Branch of the U.I.B. Ltd. since then. The Central Government put the United Industrial Bank Ltd. under moratorium on 10th June, 1989 and the scheme of amalgamation with the Allahabad Bank was taken up and the petitioner got a letter dated 24th July, 1989 from the Deputy General Manager (P.&A.), Allahabad Bank, that in terms of Section 45 of the Banking Regulation Act, 1949 the Reserve Bank of India has prepared a draft scheme of amalgamation of United Industrial Bank Ltd. with the Allahabad Bank and the employees of the United Industrial Bank Ltd. would continue to be in service and be deemed to have been appointed by the Allababad Bank on the same remuneration and conditions of service as were applicable to them immediately before the close of business on 10th June, 1989 and the petitioner was asked to intimate his intention whether he would be willing to be the employee of Allahabad Bank with the existing service conditions of the petitioner and the petitioner replied in the affimative. The scheme of merger came into effect on 31st October, 1989 and the moratorium was lifted on the same date in all branches of the United Industrial Bank Ltd. and the said Bank ceased to have any existence of its own from that date and the Head Office as well as all the branches of U.I.B. Ltd became the Allahabad Bank and the petitioner signed the Attendance Register as a Special Assistant of the Allahabad Bank and he was allotted work. But on that very date, i.e. 31st October, 1989 at the end of the office work the petitioner received a letter dated 20th October, 1989 from the Assistant General Manager (P.&A.) of the United Industrial Bank Ltd. informing the petitioner that as advised by Allahabad Bank the authority of the U.I.B. Ltd. required the petitioner to report for duty at Ukhra Branch of Allahabad Bank in Burdwan.

(2.) The post of Special Assistant was created at Metropolitan, Urban and semi-Urban branches after ascertaining the working capital of the branch concerned to be 25 lakhs in average for one year and determination of posting is made on 1st April in every year taking into consideration the working capital during financial period as stated hereinbefore. The system was settled by the Management of Allahabad Bank and the representative of All India Allahabad Bank Employees Co-ordinatlion Committee, arrived on 22nd April, 1989. It is further contended by the petitioner that the said settlement provided the selection for Special Assistants based upon tenure of service of the clerk and on the basis of Interview by the Selection Committee and about the place of posting the option would be invited from the list of successful candidates and such option is to be exercised by those candidates within three days. According to the settlement the Special Assistant would get city compensatory allowance as they would be posted at Metropolitan places and they are not to be transferred from their place of posting. After the declaration of moratorium on 10th June, 1989 and according to the declaration of the Reserve Bank of India the authorities of Allahabad Bank informed all the employees of the United Industrial Bank Ltd. including all the Special Assistants about the amalgamation and asked the U.I.B. employees to exercise their willingness in writing whether they want to be employees under Allahabad Bank with their existing status and service conditions and the petitioner accordingly in writing intimated his willingness to the Allahabad Bank. On 31st October, 1989 all the branches of the U.I.B. were amalgamated with Allahabad Bank and became branches of the Allahabad Bank and all the employees including the Special Assistants of U.I.B. became the employees of Allababad Bank and they became the members of the Allahabad Bank Workers' Union and other Unions of Allahabad Bank, and the Special Assistants did their respective jobs and the petitioner as a Special Assistant joined the Red Cross Place Branch of Allahabad Bank in Calcutta. On 31st October, 1989 Allahabad Bank authorities served upon some of the Special Assistants of the U.I.B. including the petitioner the letter on the pad of the U.I.B. signed with the back date by the Assistant General Manager (P.&A.) of U.I.B. asking them to report for duty at different branches of Allahabad Bank in the suburban area in different districts as per advise of Allahabad Bank and the petitioner was directed to report at Ukhra Branch of the Allahabad Bank in Burdwan. The petitioner was surprised at this transfer order. The petitioner made objection raising the point that as per settlement between the Management and the Representatives of the Allahqbad Bank Employees' Co-ordination Committee and the status and the conditions of service of the petitioner he cannot be transferred from his place of posting. He also stated that at the time of his recruitment the petitioner has specifically given his 'option' that he would not be in a position to go outside Calcutta because of family difficulties and after the interview he was posted in Calcutta Main Branch of the U.I.B. but in spite of that he has been transferred to Ukhra Branch of Allahabad Bank. The petitioner challenge that Allahabad Bank authorities has acted in a most illegal, arbitrary and mala fide way as they have no authority to deviate from the settlement between the Management and the Employees' Co-ordination Committee as well as the condition of option which was taken by the petitioner at the time of his appointment and the intimation of the employees given after moratorium to give in writing whether they want to serve Allababad Bank with their existing status and service conditions. He further contended that the authorities struck off the name of the petitioner from the Register of the Red Cross Place Branch of the Bank without any release order and without any instruction as to what the petitioner would do with the papers and articles lying with him. The petitioner's representation referred to hereinbefore has not as yet been considered. Hence the writ petition.

(3.) The Allahabad Bank contested the writ petition by filing an Affidavit- in-Opposition. It is stated that the United Industrial Bank Ltd. was placed under moratorium by Government of India's Notification of 10th June, 1989 and thereafter the Reserve Bank of India decided to amalgamate the U.I.B. with Allahabad Bank and forwarded to the Allahabad Bank a proposed scheme of amalgamation under Section 45 of the Banking Regulation Act, 1949. The draft scheme contemplated an option to be given to the employees of the U.I.B. to join Allahabad Bank. The letter of option expressing their choice to be an employee of Allahabad Bank or not after amalgamation was displayed in all the branches of the U.I.B. and was served upon all the employees of the erstwhile U.I.B. including the petitioner through the U.I.B. After forwarding the letter of option Allahabad Bank also wrote to the General Manager of U.I.B. on 22nd July, 1989 informing that after the amalgamation of the U.I.B. with Allahabad Bank the posting and deployment of officers and other staffs of erstwhile United Industrial Bank will be made by Allahabad Bank depending upon requirement according to the exigencies of administration and the U.I.B. was requested to bring this to the notice of all concerned. All the above informations were displayed in all the branches of the including Red Cross Place Branch in Calcutta and at all material times the petitioner was aware of the same.