( 1 ) THE petitioner was the Director (Finance) employed with the Rashtriya Ispat Nigam limited, Visakhapatnam Steel Plant, visakhapamam (RINL ). The 3rd respondent in proceedings bearing reference No. 1 (10)/ 95-VSP, dt. 18-12-2002 intimated that the extension of tenure of the petitioner was not approved by the President and that as a consequence the petitioner be relieved from the post immediately. A copy of this intimation was also marked to the 4th respondent. Consequently the 4th respondent by proceedings dt. 19-12-2002 relieved the petitioner from the post. The petitioner has challenged these proceedings.

( 2 ) ACCORDING to the petitioner, after considerable years of vast and varied experience in several public sector organisations like the Fertilizer Corporation of India, Bharat Heavy Plates and Vessels ltd. , and Hindustan Petroleum Corporation ltd. , he joined the RINL in 1982 as a Deputy chief Finance Manager. He earned several promotions. The undisputed and apparent factual scenario : (A) By the notification dt. 15-10-1996 of the 1st respondent the petitioner, who was working as an Executive Director (Finance) in the RINL, was appointed as a Director (Commercial), with immediate effect, for a period of five years or till the date of his superannuation, whichever is earlier. The petitioner assumed charge of the post on 17-10-1996. In terms of the order of appointment the petitioner s tenure stands determined by 16-10-2001, on completion of the five year term (being the earlier event in the spectrum of his tenure ). The age of superannuation, inter alia, in respect of the post of Director (Commercial) as on the date of the notification i. e. , 15-10-1996, was 58 years. (B) By an order dt. 20-1-1997 the petitioner was appointed as a Director (Finance ). This order was issued pursuant to a need for reallocation of work among the functional Directors of RINL, consequent upon the appointment of the then incumbent of the post of Director (Finance) as director (Finance) in the Coal India limited. The order dt. 20-1-1997 directed that the petitioner would continue as Director (Commercial) in addition to his duties. The petitioner assumed charge of the post of Director (Finance) on 27-1-1997. (C) By the office Memorandum no. 18 (6)/98-GM/gl/005, dated 30-5-1998 of the Department of Public enterprises, Ministry of Heavy industries and Pubic Enterprises, the age of retirement 101 Board Level employees in Central Public Sector enterprises was raised from 58 years to 60 years. Resultantly the Central government decided to issue guidelines for extension of tenure of existing incumbents of Board Level posts in the Central Public Sector enterprises. The decisions contained in memo dt. 30-5-98, read as under:"age of retirement of Board level appointees in Central PSEs - raising from 58 to 60 years. The undersigned is directed to say that the Government has decided to enhance the age of retirement for board level appointees of Central PSEs in the manner mentioned below : (A) The age of retirement of board level appointees in PSEs will be 60 years with effect from date of issue of this o. M. (B) This will not apply to those who are on extension beyond 58 years on the date of issue of this O. M. They will retire upon expiry of the extension. (C) Those existing incumbents who have not completed 58 years or 5 years tenure, may continue upto 60 years or completion of 5 years tenure, whichever is earlier. Orders may be issued by the Ministries concerned with reference to ACC. (D) Where existing incumbents complete 5 years tenure and there is a need to continue their service upto 60 years, reference will first have to be made to PESB on a case by case basis for assessment of their performance and thereafter approval of ACC obtained as per usual procedure. (E) If as a consequence of (c) above, an existing incumbent completes 5 years tenure before 31st august, 1998 and it is considered necessary to continue his service, the administrative

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