JUDGMENT

Nanavati, J.-Leave granted. Heard learned counsel for the parties.

The appellants are working as Junior Engineers/Overseers in the Punjab Overseers Service, Irrigation Branch, P.W.D. since about 1962. They hold diploma in engineering. For Junior Engineers/Overseers the next post of promotion is the post of Assistant Engineer. Infact, the Assistant Engineers constitute Punjab Service of Engineers, Class II (Irrigation Branch). The recruitment to the post of Assistant Engineer is governed by the Punjab Service of Engineers, Class II, (Irrigation Branch) Rules, 1941.

2. On August 20, 1957 the Secretary to the Government of Punjab, P.W.D. (Irrigation Branch) issued a letter regarding recruitment to PSE Class II. It was stated therein that in view of large number of temporary engineers being in employment in irrigation branch due to heavy expansion of Bhakra Nangal and other projects, the Government has decided that till further order no officer shall be appointed by direct recruitment to P.S.E. Class II and henceforth the same shall be filled by promotion from amongst temporary engineers and section officers and head draftsman in the ratio mentioned in the letter. Later on the sa