Central Railway v. A. V. Siddhanti

I 207 A GENERAL MANAGER, SOUTH CENTRAL RAILWAY SECUNDRABAD AND ANR ETC. B #### c _v._ A.V.R. SIDDHANTI AND ORS. ETC. _January_ 30, 1974 [V. R. KRISHNA IYER AND R. S. SARKARIA, JJ.] _Constit111ion_ _of India-Art._ 14 & _16-Vio/atlon of equal treatment and discrim_ _[1]_ _-_ _nation._ Since common question of law arise in the these a(>p!als, a comm:>n judg~~nt was delivered to dispose of these appeals. The facts 1n C. A. No. 1937/72 are as folJows:- During the last world war, Indian Rail~y opened grain shops to Supply foo::lgrains at cost priced to its employees throug~out the country. S~lf for this temporary grainshop complex was drawn from 3 different sourccs:-{1) Temporary employees selected through the Joint Selection Commission etci who ~re initially appointed in the pennanent departments but later transferred to grain shop compleJJ: (ii) Temporary selected initially for permanent departments but posed straightway in the Grain Shop Department and (iii) Temporary employees recruited from th~ 'Open Market' for the Grain Shop Department. Respondent no. 1 to 9 beloage1 to Category lll. D After the emergency was over, Railway authorities decided to wind up the grarn shop Department and to absorb its staff in permanent departments of the Railway and accordingly respondent no, 1 to 9 were also absorbed in various departments. E F On November 2nd, 1967, th~ Railway Board in partial modification of its earlier proceeding directed that the seniority of temporary Grain Shop Staff consequent on their absorption in the absorbing departments should be regulated on the basis of their date of actual absorption in those departments and not on the basis as if they had been absorbed in those departments right from the beginning of service. On January 13, 1961, the Railway Board issued a 'clarification' that the seniority of the Grain-Shop staff of category III should be fixed from the date of their absorption in a JCmlaDCnt dcPartment, irrespective of their length of service in the Grain-Shop Department, with regard to category I, it was laid down that temporary staff who were initially appointed in the permanent department and were then transferred to the Grain Shop dcpartment-\vould not have their seniority affected by their transfer to the Grain Shop Department. It was further stated that seniority of category I [ should be fix~ with reference to the date of thei~ joining the Grain Shop Department. The validity of the above decision dt. November 2, 1957, and January 13 1961 of the Board had been questioned on the ground that they discriminate against' the em ployees of category III and, as such, violate the guarantee of equal treatment enshrined in Art. 14 and 16 o~the Constitution. The learned single judge of the High Court accepted the contenttons of respandents nos. I to 9 and struck down the impugned· proceedings. On appeal, the Division Bench of the High Court affirmed the de;ision of th:: triaJ court and observed that when all the members of the Grain Shop D~partment G a~e.a!>sor~d in ditfer~nt departr,nents' of the Raif:way there c~nnot be further d1v1ding line between direct recruits and those appa1nted through selection Board as that would clearly .be a denial of equal oppartunity to persons similarly situate.:1, H On appeal before this court, the appellants raised two preliminary points-(i) that there were Jachcs on the part of the respondents to file the writ petitions 8 to 11 years after the issue of the ii:npugned decisions (ii) the petition.s ~id not implead about J 20 employees who were hkely to affect and therefore non-J01ndcr of parties is fa.ta! to the petition. Dismissing the appeals, HELD: (i) Since !he appellants did not con~as~ the pqint at the k>wer cJurt5:, they cannot be pcnn1tted to rcsurrect before this Court. 208 SUPREME COURT REPORTS [ 1974 J 3 S.C.11.. (ii) In the present case, the relief is claimed only against the Railways which has been pleaded through its representative. No list of order fixing seniority or the petitioners _vis-a-vis_ particular individuals, persuant to ·the impugned decisions, is being challenged. The employees who were likely to be affected as a result of the re.adjustment i;-if the petitioners' seniority in accordance with the principles laid down in the Boards' decision of October 16. 1952, were at the most, proper parties and not necessary parties, and their non-joinder could not the fatal to the writ pctition.[213A] _Padam SinghJhina_ v. _Union of India and ors_ C. A. No. 405/67 decided by SupremcCourt on 14-8-1968, discussed and distinguished. A B #### c D E F G H _The rule_ enunciated in _B. Gopa/aiah_ & _Ors._ V. _Government_ _of Andhra Pradesh_ A. I. R. 1969 A. P. 204 _J._ _S._ _Sachdeva_ & _Ors_ v. _Reserve Bank of India, "New_ _Delhi,_ I. L. R. (1973) II Delhi 392 and _Mohan_ _Chandra Joshi_ v. _Union_ _of India_ & _Ors._ Civil Writ No. 650 of 1970 decided by Delhi High Court, approved. (iii) On merits, it was argued·that while employees or categories (i) and (ii) had a right as a part of their service conctitions to get themselves abso(bed and assigned their due seniority, on the abolit_ion or the grain shop department, no such right existed in the case of _ad hoc_ recruits belonging to category III. The main question in the present case is ·''were the three categories after their transfer of chief recruitment of the Grain Shop Department fused into a single integ· rated claSs 1 having the same conditions of service;" It is quite clear that after their direct recruitment to the Grain Shop Department, the personnel coming from sources ~ii) and (iii) had shed their genetic peculiarities and became members of the same class governed by the same conditions of service. For the purpose of absorption seniority, promotion etc .• in rcgulaf department, tbererore. they were entitled to be treated alike. Therefore, the impugned directions dated Nov. 2, 1957 and January 13. 1961, excepting in so far as they relate to personnel of category I is arbitrary and violative of Arts. 14 and 16 of !he Constitutions. {215C} _Roshatt Lal Tandon_ v. _U11io11_ _of India,_ [1968] 1 S. Co R. 185, referred to. (iv) Jn C. A. 1938 of 1972, 2 employees M & B exchanged placed by mutual con· sent on a joint application. The result was that 7 was transferred and posted at Gundur and was given the 445 the place in the order of seniority held by B among the cICrks in the Grain Shop Department ofBazwade District. Later on a result of the impugned decisions taken by the Railway Board on November _2,_ _l9S7_ and January 13, 1961. M. was relegated to a lower position in the Seniority List of Commen:ial Clerks. He appealed to the Railway List of Commercial Clerk3. Hi: appealed to the Railway authorities but did ·not set any redress. Later, he filed a petition before: the High Court. The wut petition \vas allowed by the High Court and bence the appeal. Following the a6ove dccisJ.bn it was also held that the impugned order where M's seniority was revised and lowered. was invalid .and a rule was issued directing the appellant to restore and refix the pl:tce pn M. in List of seniority as on De~:cmber 31, 1958. Appeal dismissed. C1v1L APPELLATE JuR1sm•:noN : Civil Appeals Nos. 1937 and 1938 of 1972. Appeals by Special Leave from the Judgment and order dated Isl September, 1971 of the Andhra Pradesh High Court at Hyderabad in Writ Appeals Nos. 689 of 1970 and 38 of 1971. _G._ _L._ _Sanghi_ and S. _P. Nayar,_ for the appellant. _Mrs. Shyamla Pappu_ and _J._ _Ramamurthi,_ for respondent Nos. 1-15 & 17-22 (in c. A. 1937/72) and for the respondent (in C.A. 193~/72) _J._ _Ramamurthi_ for the Interveners (in C.A. 1937 of 1972). The Judgment of the Court was delivered by SARKARIA J.-These appeals by special leave are directed against two inter-linked judgments of the High Court of Andhra Pradesh. It will be convenient to dispose them of by this common judgment. CENTRAL RAILWAY _v._ A. v. R. SIDOHANTI _(Sarkaria,_ /.) 209 **A** Respondents I to 9 in Civil Appeal No. 1937 of 1972 made a pc· tition (W. P. 1145 of 1969) under Article 226 of the Constitvtion in the High Court for the issue of a writ of Mandamus directing the present appellants (the General Manager, South Central Railway and the Secretary, Railway Board) to fix. the inter-se seniority of the writ petitioners as per original proceed1~gs, dated October _16, 1952, of the Railway Board, and to further direct them not to give effect to **B** the subsequent proceedings dated November 2, 1957 and January 13, 1961, of the Board issued by way of "modification" and "clari· fication" of its earlier proceedings of 1952. During the last World War, there was acute shortage of foodgrains and other necessaries of life. At the suggestion of B. N. Rau Com· mittee, grain shops for the supply of foodgrains at cost price to its **C** employees were opened by the Indian Railways on an extensive scale throughout the country. Staff for this temporary Grain-Shop Com· **plex** was drawn from three different sources : i) Temporary employees who on being seleckd through the Joint Selection Commission or Staff Selection Board were initially appointed in the permanent De· **D** partments and were thereafter transferred to the Grain Shop Department. (ii) Temporary employees selected by the Selection Board or the Selection Commission for permanent Departments but posted straightaway in the Grain Shop Department without being first appointed in the depart· **E** ment for which they were originally selected, and (iii) Temporary employees directly recruited by the Deputy General Managers to the Grain Shop Department from the open market.' Respondents I to 9 in this appeal belong to category (iii). **F** After the emergency was over, on the recommendation of a high· powered committee, it was decided to gradually wind up the Grain Shop Department and to absorb its staff in the permanent Depart· ments of the Railway. For this purpose, the Railway Board took several policy decisions commencing from August 24, 1948. Of these, the .fiC't which is relevant as furnishing the background of the decisions in question,. is dated February 3, 1949 (Exh. P)., whereby the G temporary Grain Shop Staff was to be grouped as under : **H** (a) those who were recruited prior to and were in service on September 15, 1945, and (b) those who were recruited on or after September 15, 1945. With regard to group (a), it.was directed: "No age restrictions will apply in considering such em· ployees for absorption in other departments, but the minimum educational qualification should not be relaxtd .... - 15-M852SupCl/74 210 SUPREME COURT REPORTS [ 1974] 3 S.C.R. There is, however, no objection to the staff conc~r~ed being permitted to apply to the Railway Service Comrruss10n for employment in posts advertised by them, in which case, for the purpose of the maximum age limit they can deduct the period of their continuous temporary service in the grainshop department from their present age. No employee should be retrenched unles. he refused to accept the alternative employ· ment that is off<red to him by the Railway Administration". A B #### c **D** E As regards (b) it was laid down : "Although no undertaking has been given about their con· tinued retention in service, it is the Board's .desire that these staff also should be absorbed against suitable vacancies on the same lines as the staff recruited before this date, subjecr' to the con dition that neither the restrictions required nor the-educational qualifications required nor the restrictions regarding the maximum age limit will be relaxed except in the latter case, to the extent of their continuous temporary service rendered by them of the Railway. Such staff, will, however, be considered for absorption only after the staff referred to in item (a) above have been offered employment." _(e)_ "Jn all cases other things bejng equal due consideration should be given to the length of service of the staff concerned." This order further provided : "(6) ..... _. permanent or_ _temporary_ _staff_ _of_ _other_ _de·_ _partments_ _on_ _loan_ _to the_ _Grainshop_ _Department should_ _be_ _re-_ _turned_ _to_ _their parent departments_ if unfilled posts exist and if this is found to be administratively convenient, so as to reduce the number of grainshop staff who be surplus immediately .... " _(7)_ .....•.•.•..•..•.•.•.. " (emphasis supplied) Next, in importance, is the Railway Board's order No. E. 48. REI/ 1/3. of October 16, 1952 issued in supersess on o its previous orders. This order 1s the sheet-anchor of the respondents' case. Its material F part runs as under : "· · ...... **In** **supersession** **of** **the** **Board's** **orders** **con·** tained in item (iii) of their letter No. E. 48. REl/l/3A of 6-7-1949, laying down the method for the absorption and ~xat!on of pay of ex-Grain Shop Staff who were officiating m higher grades but were absorbed in other Departments in G lower grades, it has now been decided that the pay of all such ~taff as . well as those appointed in the intermediate grades, Irrespective of the fact that they were absorbed either before or after 6-7-1949 should be fixed on their absorption in the regular Departments in accordane<: with the iJWtructions contained in their letter No. E. _45_ RE. 13/3 dated 27-7-46, and the staff concerned paid the arrears due on this account. H 2. It has further been decided by the Board that such staff should not get any preferential treatment other than for **A** **B** CENTRAL RAILWAY _v._ A. v. R. 'i!DDHANTI _(Sarkaria,_ _!.)_ 21 J fixation of pay and obtaining alternative employment _i.e._ they should not be given seniority for purposes of confirmation by virtue of their pay being fixed at a higher stage in the absorbing Department over unconfirmed men in that Department who had longer service but whose pay was less. They should be given only such seniority which they would have got had they been absorbed in the absorbing Department right from the beginn**ing** **of service."** On the representation made by the National Federation of Indian Railwaymen, the Railway Board, reconsider<d its decision of October 16, 1952 regarding counting of past temporary service for the purpose of fixing seniority of 'open market' recruits. This reconsidered decision was put in the communication dated November 2, 1957 **C** whereby the Railway Board, in partial modification of its proceeding of October 16, 1952, directed "that the seniority of temporary GrainShop Staff consequent on their absorption in the absorbing departments should be regulated on the basis of their date of their actual absorption in those departments and not on the basis as if they had been absorbed in those departments in right from the beginning of **service".** **D** On January 13, 1961, the Board issued a "clarification" that the seniority of the Grain-Shop staff of category (iii) should be fixed from the date of their absorption in a permanent department, irrespective of their length of service _in_ the Grain-Shop department. With regard to category (i), it was_ laid down that temporary staff who were initially appointed in the permanent departments and were then **E** transferred to the Grain Shop department would not have their seniority affected by their transfer fo the Grain Shop department. It was further stated that seniority of category (ii) should be fixed with reference to the date of their joining the Grain Shop Department. The validity of the above decisions dated November 2, 1957 and January 13, 1961 of the Board has been questioned on the ground F that they discriminate against the employees of category (iii} and, as such, violate the guarantee of equal treatment enshrined in Articles 14 and 16 of **the** Constitution. Mainly relying upon two Single Bench judgments-one of the Madras High Court in W.P. No. 3110 of 1965 and the other of the Bombay High Court in Misc. Petition No. 321 of 1964, decided on G March 15, 1967-the learned Single Judge who tried the wTit petition, accepted the contentions of Respondents I to 9 and struck down the impugned proceedings. Aggrieved by that judgment, the Railway carried an appeal under Clause 15 of the ktters Patent to the Division Bench of the High Court, which dismis;ed the same with these observations : **H** "What has been held by their Lordships in _Roshanlal's case_ applies with equal force to the case on hand. Here also there was already an integrated service namely the Grain Shop 212 SUPREME COURT REPORTS (1974] 3 S.C.R. Department service and all the members of this Service were absorbed in difforent Departments, and after absorpt10n, there cannot be a further dividing line between direct recruits drawn from open market and those appointed through selection Boards as that would clearly be a denial of equal opportunity to persons similarly situated in the matter of further promotion on the basis of their seniority, among other grounds. Since the absorption of direct recruits and others is from the integrated Grain Shop Department, no discrimination cal! be **shown on the** **ground** **of** **differences that existed between** **various**,, sources prior to the recruitment to the Grain Shop Department for the purpose of fixing seniority." It is against this judgment that Civil Appeal No. 1937 of 1972 has been preferred. Mr. G. L. Sanghi, learned Counsel for the appellants, has raised two preliminary objections. The first is that the writ petition was filed 8 to 11 years after the issue of the impugned decisions, and as such, was liable to be dismissed on the score of latches alone. The second is that the writ petitioners did not implead about 120 employees who were likely to be affected by the decision in this case. Those employees, proceeds the argument, were necessary parties and their non-joinder is fatal to the. petition. In support of this contention, Counsel has .cited _Padam_ _Singh Jhina_ v. _Union_ _of_ _India_ _·and ors_ (!). Neither of these objections appears to be tenable. Though the plea of latches was taken in the counter-affidavit filed on behalf of the Railway before the High Court, yet it appears that the pomt \Vas not canvassed at the time of arguments either before the learned Smgle Judge or the Division Bench in the Letters Patent appeal. The appellants therefore cannot be permitted to resurrect in thfs Court the same objection which they had apparently abandoned in the High Court. **A** B #### c **D·** £ F As regards the second objection, it is to be noted that the decisions of the Railway Board impugned in the writ ·petition contain ad**ministrative rules** **of** **general. application, regulating absorption** **in** **permanent departments, fixation** **of** **seniority,** **pay etc.** **of** **the em-** ployees o~ the erstwhil~ Grain Shop departments. The Respon den.t~-pelit10ners are impeaching the validity of thofe policy G decisions on the ground of their being violatiYe of Articles 14 and 16 **of the Constitution. The proceedings are** **an;iJogous to those in** **which** **the** constitution~lity _**of**_ **a statutory rule** **regulating seniority of govern-** **ment .servants** **is** **assailed.** **In** ~uch **proceedings the necessary** **parties** to be 1mpleaded are those agamst whom the relief is sought, and in whose absence no effective decision can be rendered by the Court. fn . the present case, the relief is claimed only against the Railway **H** which has been 1mpleaded through its representative. No list or **(1) C.A. No.405** **of** **1967** **decided** **by** **Supreme Court on 14-8-1967.** A B #### c D F G H C2NTRAL RAILWAY _v._ A. v. II. SIDDHANTI _(Sarkaria,_ /.) 213 order fixing seniority of the petitioners _vis·a·vis_ particular individuals pursuant to the impugned decisions, is being challenged. The em· ployees who were likely to be affected as a result of the re-adjustment of the petitioner's seniority in accordance with the principles laid down in the Board's decision of October 16, 1952 were, at the most, proper parties and not necessary parties, and their non-joinder could not be fatal to the writ petition. The _ratio_ of this Court's decision in _Padam_ _Singh_ _Jhina's_ _case_ (supra) is not applicable to the facts of the instant case. Jhina's contention was that he had been _ma/a fide_ reduced in the list of seniority, from the 5th to the 7th place and that one Prem Sagar had been placed above him in contravention of the Rules. The validity or vires of the Rules was not in question. All the persons whose placement in the seniority list was controverted were not impleaded, and as such, had no opportunity of replying to the case set up by Jbina, and, in the absence of porsons directly affected, it was not possible for the Court to adjudicate the matter. The ratio of Jhina's case does not help the appellant. The cases relevant for our purpose are _B._ _Gopalaiah_ _and_ _Ors._ v. _Government_ _of_ _Andhra_ _Pradesh;_ (l) _J._ _S._ _Sachdev_ _and Ors._ v. _Reserve Bank_ _of India,_ _New_ _Delhi_ (2) and _Mohan_ _Chandra Joshi_ v. _UnionoflndiaandOrs('}._ We approve oi the rule enunciated on this point in those cases. On merits, Mr. Sangbi has, by and large, adopted the reasoning of the Division Bench of the Madras High Court in _General_ _Manager,_ _Southern_ _Rai/w3y_ v. _Venkataraman_ (4), which had, in Letters Patent Appeal reversed tbe judgment of the Single Judge, relied upon in the instant case by the Andhra Pradesh High Court. It is contended that the standards, qualifications for eligibility and the conditions governing the employees recruited through the Staff Selection Board or Joint Service Commission from sources (i) and (ii) were different from those of 'open-market' recruits. According to the learned Counsel, the personnel drawn from source (iii) were temporarily engaged as an _ad hoc_ measure, without regard for age and educational qualifications, to meet the emergency and could not thetcfore be compared and equated with the employees of requisite qualifications belongmg to categories (i) and (ii) recruited or selected in the normal way through Selection Boards for regular departments. The point pressed into argument is that while employees of categories (i) and (ii) bad the assurances or right as a part of their service conditions that on the abolition of the Grain Shop Department, they would be absorbed and assigned their d11e seniority, in the per.manent de· partment in or for which they were initially appointed or selected, no such right or assurance existed in the case of _ad hoc_ recruits belong· ing to category (iii) who were given the benefit of their services in the (I) A. I. R. 1969 A. P. 204. (2) ILR(1973) II Delhi 322. (3) Civil Writ No. 650 of 1970 decided by Delhi High Court. (4} (1970] II Labour L•w Journal 76. 214 SUPREME COURT REPORTS t 1974 I 3 s.c.a. Grain Shop Department, only as a matter of grace, subsequently on absorption in permanent departments. It iS not correct to say that all the employees of category (iii) we(ll sub-standard in educational qualifications.· Severai persons in that. category satisfied the educational !!Orms. For instance, Sidhanti Respondent was F.A., while the minimum educational qualification requisite for the post of a Commercial Clerk was Matriculation or equivalent examination. Though sufficient data has not been brought on the record on the basis of which a firm finding can be given, yet three copies of notices (uncertified) have been filed by the Respon. dents which indicate that at some stage educational qualifications had been relaxed to meet the extraordinary demand for personnel to man the posts of Ticket collectors and Guards etc. Regarding education, all that was required of the candiaates was a "working knowledge of English". It was quite possible, that in categories (ii) and (iii), also, there were some whose qualifications were not in accord with the preScribed norms. Educational qualifications being less than the requisite minimum was therefore not a feature, peculiar to category (iii), only. Indeed, it is not the case of the appellants that the classification of the grain-shop staff envisaged in th~ impugned proceedings, for· the purpose of absorption and seniority i.n per· manent departments,· has been ·made on the basis of educational qualifications. The fundamental right of equality means that persons in like situation, under like circumstances are entitled to be treated alike. "The Constitutional Code of Equality and Equal Opportunity", observed this court in _State_ _of Jammu and Kashmir_ v. _Triloki. Nath_ _Khosla and others(I),_ ''is a charter for equals". So long as employees similarly circumstanced in the _same_ class of service are treated alike,-the question of hostile discrimination does not arise. The equality of opportunity for purposes of seniority, promotion and like matters of employment is available only for persons who fall substantially, within the same class or unit of service:· The guar~ntee of equality is not applicable as between members of distinct and different classes of the service. The Constitution does not com mand that in all matters of employment absolute symmetry be main· tained. A wooden equality as between all classes of employees regardless of qualifications, kind of jobs, nature of responsibility and performance of the employees is not intended, nor is it practicable if the administration is to run. Indeed, the maintenance of such a 'classless' and undiscerning 'equality' where, in reality, glaring in-· equalities and intelligible differentia exist, will deprive the guarantee of its practical content. Broad classification baied on reason; executive pragmatism and experience having a direct relation with the achievement of efficiency in admini.stration, is permissible. That is to say? ~easo~ble dassifi~tion accordi':'g to some pri~ciple, to recogmse mtellig1ble mequabt1es or to avoid or correct mequalitics (1) Civil Appeal No. 2134 of 1972 decided on 26-9-1973. B #### c D E F _G_ H A 8 #### c **D** E F G **H** CENTRAL RAILWAY l'. A. V. R. S!DDHANTI _(Sarkaria,_ _J.)_ 215 is allowed, but not miniclassification which creates inequality among the similarly circumstanced members of the same class or group. In the light of the above principles it will be seen that the pivotal question in the present controversy is: Were the three categories after. **their** **transfer** **or** **direct** **recruitineuts,** **as** **the** **case** **n1ay** **he,** **to** **the** **Grain** ·Shop Department fused into a single integrated class having the same conditions of service ? Or, did they continue dissimilarly-as they started-in three separate compartments ? While there is ground to hold that category (i) never lost its distinctive birth-marks, no material has been placed before us on the basis of which it could be said that categories (ii) and (iii), after their **direct** **recruitn1ent,** **had** **not** **con1pletely** **Jost** **their** **genetic** **peculiarities** **in the common unified stream** **of Grain-Shop service.** The special feature of personnel of category (i), was that they had **been** **initiaUy** **appointed** **against** **substantive** **vacancies** **in** **permanent** departments of the Railway. They did not come to the temporary Grain Shop Department of their own volition or option, but by transfer or on loan under peremptory orders of their superior officers. They could not be placed in a worse position or treated differently in the matter of tenure than their colleagues who fortuiously continued in the permanent Departments. It was but fair and reasonable that, on the abolition of the Grain Shop Department, they should be sent **back to the permanent Departments, whence they came, and given** credit of their initial service in those Departments for the purpose of permanent absorption and seniority. Even from the deficient material placed before us, it is clear that personnel from source (i) have always been treated as a distinct unit having a status skin to that **of persons on loan or transfers for a period from a** **permanent** **De ..** partment to a temporary .Department. Consequent upon their decision to gradually wind up the Grain Shop Department, the first step taken by the Railway Board as per para 6 of their communication dated February 3, 1949 (reproduced in a foregoing part of this judgment), was to return all temporary or permanent staff that had come on loan to the Grain Shop" to their parent departments. It is note-worthy that the directions in para 6 of the communication, dated February 3, 1949, were not superseded by the proceedings, dated October 16, 1952, which are the foundation of the Respondent's claim. Cfause (1) (i) of the impugned communication, **dated January** **13,** **1961,** **IS** **no** **more** **than a reiteration, in** **an** **amplified** form, of the di~ection in Para 6, of the communication of February 3, 1949., The duecllon of ?ctober, 16, 1952 regarding fixation of pay and semonty of the ex Gram Shop staff on their absorption in regular **departments,** **were,obscure** a~d **_vague** **on two points. Firstly, it was** ~ot clear whether tne ex Gram Shop staff governed by those directions mcluded the temporary st<tlf who Jiad been initially appointed in permanent departments and were there-after transferred for some period to th~, Grain-Shop department. Sec~indl.y, "the beginning of the service m the last sentence of those directions was susceptible \lftwo constructions. In the restricted sense, it could mean beginning 216 SUPREME COURT REPORTS [ 19741 3 S.C.R. of the service in the Grain-Shop Department. In the wider sense, A it would include in the case of transferees' to the Grain-Shop, the beginning of their service in the permanent department whence. they came. Clause (I) (i) of the communication of January 13, 1961 clarified those aspects, The differential treatment of the personnel belonging to category (i). for the purpose of fixing seniority envisaged in clause (I) (i) of the communication of January 13, 1961, thus, rests on a sound rational basis and does not offend Articles 14 B and 16 of the Constitution. To this extent, for reasons stated above, we endorse the view taken by the Division Bench of the Madras High Court in _General Manager_ _Southern_ _Railway,_ _Madras_ v. _T._ _K._ _Venka/araman(supra)._ But what has been said above in regard to category (i) does not hold good in the case of the other two categories. Excepting that they were recruited by two different, methods, in all other respects, these two categories were simil~rly situated. The mere fact that the names of persons in category (ii) were borne on a list of candidates prepared by the Selection Board for recruitment to regular Departments, did not give them a right to preferential treatment _qua_ those in category (iii) in the matter of absorption and seniority in such departments. We have porused Paras 302, 303 and 304 of the Indian Railway Establishment Manual, Chapter III, 2nd Edition, relied up6n by Mr. Sanghi. These are not statutory provisions. Even so, there is - nothing in the!h to show that a person selected for a permanent de partment, by the Selection Board or Commission, gets a right to be appointed merely because of such selection and placement of his name on the select-list. He gets only a _spes_ i.e. bare chance of appointment and that too if the appointing authority so· desires and a vacancy is available for him. All that the said provisions say, in substance, is that _after_ _their_ _appointment,_ their _inter_ _se_ seniority will be fixed with reference to their positions in the merit list prepared by the Selection Board. Despite repeated queries, the appellants have not placed any document or material nor referred to any rule, policy decision or other official record to support their contentions that even after their recruitment to Grain-Shop Department, categories (ii) and (iii), continued as distinct entities having different conditions of service. Appellants' failure to furnish such material is sought to be justified on the ground that the burden of proving that the impugned proceedings suffer from the vice of discrimination, was on the respondents. True, that the initial onus of showing that the proceedinii o~ 1957 and 1961, in question, were discriminatory and as such, VJolat1ve of Articles 14 and 16 of the Constitution, was on the respondents; but in the peculiar circumstances of the case, such onus had been _prima_ _facie_ discharged by them. Their claim to relief is foun~ed on the Rail way Board's own decision of October 16, 1952, which proceeds on an in-built postulate and implied admission that all the personnel recuited to the Grain-Shop . department were members o~ the sam.e class or llnit of service, and as such entitled alike to the fixation of their #### c D E F G H **A** **B** #### c **D** E F **G** **H** CENTRAL RAILWAY _v._ A. v. R. S!DDHANTI _(Sarkaria,_ /.) **217** seniority with reference to "the beginning of their service". It was then the turn of the Board to show that the inference arising from its admission, or treatment of all persons directly recruited, as members of one unified service of the Grain Shop Department was wrong. Conscious of the necessity of resolving the problem in a just, practical manner, avoiding a doctrinaire approach, we wanted to have some idea of the nature and magnitude of the impact which the decision of this case might indirectly or incidentally have on the employees who, during the interregnum, got promoted or confirmed on the basis of the impugned directions. We, therefore, indicated at the outset that as a matter of concession, we would be disposed to allow the appellants to produce even at that stage, after due notice to the other side, documentary evidence or material, if any, in their possession or control, which would help substantiate their contention. The opportunity was not availed of by the appellants. There is, therefore, no escape from the conclusion that after their direct recruitment to the Grain Shop Department the personnel corning from sources (ii) and (iii) had shed their genetic peculiarities and become members of the same class or unit governed by the same conditions of service. For the purposes of. absorption, seniority, promotion etc. in regular departments, therefore, they were entitled to be treated alike. The impugned directions of 1957 and 1961, in so far as they pertain to categories (ii) and (iii), are hit by the rule in _Roshan Lal Tandon_ v. _Union_ _of_ _India_ (I) according to which once the persons coming or recruited to the service, from two different sources-in that case promotees and direct recruits-are absorbed into one integrated class with identical service conditions, they cannot be discriminated against with reference to the original source, for the purposes of further promotion to the higher grade. What was said about further promotion in _Roshan Lal Tandon's_ _case_ (supra) is equally applicable to absorption and seniority in the instant case. For the foregoing reasons, we would hold that the discrimination envisaged in the impugned directions dated November 2, 1957 and January 13, 1961, excepting in so far as they pertain to personnel of category (i) is arbitrary and violative of Articles 14 and 16 of the Constitution. In the result we dismiss the appeal with costs throughout and affirm the decision of the High Court except to the extent indicated above. ### ---------###### (!) [1968] I s: C.R. \85. 218 SUPREME COURT REPORTS [ 1974 J 3 S.C.R. In Civil Appeal 1938 of 1972, arising out of Writ Petition No. 952 of 1966, Respondent Manickyarn was originally employed as a Commercial Clerk on December 4, 1944 in the Southern Railway and was posted at Rayapuram. One Balasubramaniarn, was then a clerk in the Grain Shop Department in Bezwada District and posted at Gudur. In 1950, Manickyam and Balasubramaniam made joint application for mutual transfer. This application was allowed and, in conse quence, Manickyarn and Balasubramaniarn exchanged places. Manickyam was therefore transferred and posted on August 10, 1950 at Gudur and was given the 445th place in the order of seniority among the clerks in the Grain Shop Department of Bezwada District. This was the rank and position in the seniority formerly held by Balasubramaniam. Subsequently, as a result of the impugned decisions taken by the Railway Board on November 2, 1957 and January 13; 1961, Manickyam was relegated to a ·Jower position in the seniority list of Commercial Clerks. He appealed against this fixation of seniority to· the Railway Authorities who dismissed the same. Manickyam then moved the High Court under Article 226 of the Constitution for bringing up and quashing the order dated May 24, 1966 of the Di_visional Commercial Superintendent, Southern Railway, Vija wada, in so far as it related to the promotion of Respondents 2 to 8 to the senior time scale of Rs. 205-280 and directing Respondent No. I (Divisional Superintendent, Southern Railway, Vijayawada) to promote the petitioner to the said scale. giving him a place in the seniority immediately above Respondents 2 to 8 and to pass such further order as may be necessary. In the counter-affidavit filed by the appellant, it was averred that Manickyam and Balasubramaniam were mutually transferred to Bezwada District and Rayapuram District and assigned each other's places _i.e._ 445th and 60Jst places in the seniority among the Commercial Clerks in Bezwada District a_nd Rayapuram District, respectively, on the basis of an agreement between them. It was further stated that on July 18, 1955 Manickyam made an application requesting that he should be given all those benefits which had been made avail able to ex . Grain Shop clerks. This application was declined -because the petitioner had himself accepted his transfer to Bezwada on the condition of getting 445th place in the sel'iotity. It was, however, admitted that in pursuance of the Railway Board's orders dated November 2, 1957, the seniority of all Grain-Shop clerks working as Commercial Clerks was revised in 1965, and on such reVISIOn Manickyam's. seniority was also revised as he had come to Vijayawada District in mutual exchange with Grain **!lfi.op** Employee. It was **A** **B** #### c **D** **E** F G **H** ## A B #### c D 'E F G H CENTRAL IWLWAY _v._ A. v. R. SIDDHANTI _(Sarkaria,_ _I.)_ 219 added that he was given what he really deserved under the rules and agreement. From the pleadings and the contentions canvassed, it was clear that Manickyam's grievance was against the validity of the Railway Board's Orders dated November 2, 1957 and January 13, 1961 on .the basis of which his seniority was, in fact, revised and downgraded. The learned single Judge who tried the writ p~tition found that since the classification envisaged in the Railway Board's Orders dated November 2, 1957 and January 13, 1961 were d.iscriminatory, arbi· trary and unconstitutional, the impugned orders, also, whereby Manickyam's seniority was revised down were invalid. In the re· suit, the Writ Petition was allowed and a writ of _Mandamus_ directing the appellant to give Manickyam 92nd place immediately above Pothuraju, No. 93, and to the then Respondents 2 to 8 from 96th to 195th places in the list of seniority published as on December 31, 1958, was issued. It was further directed: "If as a result of the restoration of the petitioner's seniority as per the above order, he is. entitled to any promotion to a higher scale of pay, I direct that the first respondent should give him the benefit of such promotion:' The Letters Patent Appeal preferred by the Divisional Superintendent of the Railway (the Respondent) was dismissed by the Division Bench of the High Court. Hence this app>al by the Railway. Learned eounsel for the appellant raised the same preliminary objections and canvassed the same contentions which were a<!vanced in Civil Appeal 1937 of 1972. For reasons given in that appeal, we would overrule the objections, negative the contentions and hold that since .the questioned directions of November 2, 1957 and January 13, 1961, in so far as they related to the employees of ex-Grain Shop recruited from sources (ii) and (iii) were violative of Article 16 of the Constitution, the impugned order whereby Manickyam's seniority· was revised and lowered, in pursuance of those directions, was also invalid. A Mandamus shall therefore, issue directing the appellant to restore and refix the place of Manickyam in the list of seniority as on December 31, 1958, in accordance with the Railway Board's directions of October 16, 1952 and taking into account other relevant considerations, but ignoring the directions contained in the Board's communication of November 2, 1957 and January 13, 1961 to the <:xtent they have been held to be unconstitutional and invalid. If as a result of the refixation of his seniority as directed, Manickyam becomes entitled to be promoted or to be considered for promotion, 220 SUPREME COURT REPORTS [ 1974 J 3 S.C.lt. he shall be so promoted or considered for promotion on an actual A or notional basis, with effect from the date on which such promotion or consideration for promotion, as the case may be, falls due. With. the slight modification, indicated above, we dismiss this appeal. Appellant shall pay the costs of Respondent Manickyarn, in this Court. B ##### s.c. Appeals dismissed. 852 SCl/14-2500-20-6-75-GIPF. .... # •