BINDA SAH Vs. VIJAY NANDAN PRASAD

JUDGEMENT

(1.) Five writ applications being CWJC Nos. 4016, 9520, 3077, 7509 and 4239 of 1998 were filed by the officers of Sale I of the Saran Kshetriya Gramin Bank challenging the promotion of 12 private respondents to the writ application (appellants) in Scale II (Area Manager/Senior Manager) on the ground that while considering the promotion matter, relevant criteria for promotion was not applied. All the writ applications were heard together and were allowed and the promotion given to all the private respondents to the writ applications (appellants) were quashed by the learned Single Judge by order dead 15th March, 2001 with a direction to the Bank in question to consider the cases of all eligible candidates following the principles of seniority -cum -merit. However, the said promotion will be subject to final result of this Court in CWJC No. 4533 of 1996 wherein promotion policy adopted by the Bank itself was under challenge. The appellants aggrieved by the aforesaid order have preferred the aforesaid five appeals.

(2.) Before adverting to the stand of the parties to the respective cases, it is relevant to state in brief the provisions having relevancy with regard to matter in controversy. The parliament enacted the Regional Rural Banks Act, 1976 (hereinafter referred to as the Act). Under the aforesaid provision, Regional Rural Banks have been established and Saran Kshetriya Gramin Bank is one such Banks. Section 17 of the Act empowers the Bank to appoint officers and determine their terms and conditions of appointment and service. Section 24 of the Act empowers the Central Government to issue directions in regard to matters of policy involving public interest after consultation with the National Bank for Agricultural and Rural Development (hereinafter referred to as the NABARD). Section 29 of the Act empowers the Central Government to make rules inter alia with regard to manner in which the officers and other employees of the Bank shall be appointed.

(3.) The Central Government in exercise of power under Section 29 read with Section 17 framed Rules on 28 -9 -1988, a copy of which has been annexed as Annexure -A to the counter -affidavit filed by the Bank in CWJC No. 7509 of 1998. The said rules contain provision with regard to mode of appointment by deputation, promotion and direct recruitment. According to Rule 5, all vacancies determined under the rule by the Board shall be filled up by deputation, promotion or direct recruitment in accordance with the provision contained in the Second Schedule. With regard to appointment to the post of Area Managers or Senior Managers the provision made in the Second Schedule is as follows. Area Managers or Senior Managers: