JUDGMENT

KULDIP SINGH, J. :—These appeals are directed against the judgment of the Division Bench of the Karnataka High Court declaring the Karnataka State Civil Services (Direct Recruitment of Scheduled Castes, Scheduled Tribes and Backward Tribes to Class III Posts) (Special) Rules, 1977 (the Special Rules) as violative of Article 16(1) read with Article 335 of the Constitution of India. This Court while granting special leave on March 9, 1979 stayed the operation of the impugned judgment of the High Court.

2. We may briefly state the necessary facts. The Karnataka Civil Services Rules define local candidate to mean a temporary Government servant not appointed regularly as per Rules of Recruitment to that service. The local candidates appointed from time to time, subject to their possessing the prescribed qualifications were regularised by the State Government either by way of executive orders, or by framing Rules under Article 309 of the Constitution of India. By the Office Memorandum dated May 23, 1973 the State Government ordered that no further appointments of local candidates be made. Later on by Office Memorandum dated June 13, 1974 the embargo was relaxed in respect of the Scheduled Castes and the Scheduled Tribes for appointments to Class III posts. The Office Memorandum dated December 19, 1975 further provided that 3% of the vacancies be filled up by appointing local candidates belonging to Backward Tribes. Following these orders, a large number of local candidates belonging to Scheduled Castes, Scheduled Tribes and Backward Tribes were appointed. It is not disputed that despite prohibition, candidates from other categories were also appointed as local candidates. The local candidates were given opportunity to apply to the Public Service Commission/Departmental Recruitment Committees for recruitment to Class III cadres in the State services. Those rejected by the Commission/ Committees and those who did not apply were liable to be terminated from the posts held by them as local candidates. On February 1, 1977, the Government, however, directed the continuance of such local candidates belonging to Scheduled Castes, Scheduled Tribes and Backward Tribes in service, till further orders.

3. On February 25, 1977 the Special Rules were framed under Article 309 of the Constitution of India. Rule 2(b) of the Special Rules which defines local candidate is as under :

"Local candidate means any person belonging to any of the Scheduled Castes or Scheduled Tribes as defined in the Constitution of India or Backward Tribes specified in Annexure-I to the Government Order No. BGAD 2 SBC 75 dated 9th July, 1975 and appointed to any of the categories of Class-III posts by an appointing authority by direct recruitment otherwise than in accordance with rule 4 of the Karnataka State Civil Services (General Recruitment) Rules, 1957, or the Special Rules of recruitment applicable to such posts, but does not include any person, -

(i) selected by the Karnataka Public Service Commission or a Recruitment Committee or any other Selecting Authority and appointed to and assumed charge of any such post in pursuance of such selection; or

(ii) appointed temporarily for a fixed period or for any item of work; or

(iii) whose services have been terminated due to resignation or under the Karnataka Civil Services (Classification, Control and Appeal) Rules, 1957."

Rule 3 of the Special Rules states that notwithstanding anything to the contrary contained in any other Rules relating to recruitment to any of the categories of Class III posts, direct recruitment to Class III posts in State Civil Services shall be made by the appointing authority concerned in accordance with the Special Rules by the appointment of such local candidates who were not disqualified by the provisions of the Karnataka State Civil Services (General Recruitment) Rules, 1957, on the date of entry into service. Rule 4 provides that Class III posts which were left over after the appointment of r