Judgment

DUTT, J.:- In these appeals by special leave and in the Special Leave Petition the dispute relates to the seniority of erstwhile Officers Grade-II and the Probationary/Trainee Officers in the Grade-I of the State Bank of India.

2. In the lower level, the State Bank of India had two categories of officers, namely, Officers Grade-I and Officers Grade-II; the function of the former was managerial and that of the latter supervisory. The conditions of service of these two categories of officers were, admittedly, governed by the State Bank of India (Supervising Staff) Service Rules, hereinafter referred to as the 1975 Rules.

3. The 1975 Rules were not framed under the rule-making power of the Government, as conferred by S. 49, State Bank of India Act, but under S. 43 of the Act, sub-s. (1) of which provides that the State Bank may appoint such number of officers, advisers and employees as it considers necessary or desirable for the efficient performance of its functions, and determine the terms and conditions of their appointment and service. Sub-sec. (2) of S. 43 provides that the officers, advisers and employees of the State Bank shall exercise such powers and perform such duties