The protection of service conditions under Section 11 (2) (d) of the Andhra Pradesh Co-operative Societies (Amendment) Act, 1987, includes seniority and the equation of posts and integration of services between the employees of the erstwhile PADBs and the DCCBs was necessary to ensure smooth functioning of the DCCBs and was not violative of Articles 14 and 16 of the Constitution.

( 1 ) AT issue in this batch of writ petitions is the validity of Rule 73 of the Andhra Pradesh Co-operative Societies Rules, 1964 issued in G. O. Ms. No. 152, Agriculture and Co-operation (Co. op III) Department dated 3-3-1993 as amended by G. O. Ms. No. 212. Agriculture and Cooperation (C-op III) Department dated 7-5-1994, which concerns the transfer of employees of the erstwhile Primary Agricultural Development Banks (for short "padbs) to the service of the District Co-operative Central Banks (for short dccbs ). Primarily, Rule 73 incorporates the guidelinss for equation of posts and integration of services covering the gamut of cadre strength, notional and future promotions, options to be exercised by the employees, inter se seniority, continuity of service and other related matters. Certain employees of the D. C. C. Bs. . have been resisting the absorption of the staff of the erstwhile P. A. D. B. employees on the ground that such absorption would affect, adversely, their service conditions and the statutory rule incorporating the principles for equation of posts and integration of services has travelled beyond the scope of Section JI (2) (d) of the Cooperative societies (sic. Laws. Amendment) Act (for short "the Act"), Act no. 1 of 1987 by which the principal Act the Andhra Pradesh Co-operative societies Act, 1964 was amended.

( 2 ) THE controversy in these cases centras around the equation of posts in the cadres of Manager, Accountant and Supervisor prior to 1-4-1987, the following was the staff pattern in the respective organisations :

( 3 ) EVEN befofore the Rule 73 was framed, writ petitions were filed in this court challenging the action of the Government in accepting the recommendations of the One Man Commission headed by Sri V. Sunderesan, ias. , a senior civil servant, which went into the question and submitted its report. As all these cases are inter-linked, involving common questions for adjudication, we are inclined to dispose of the same by this common judgment.

( 4 ) PRIOR to 1-4-1987, credit facilities were made available to the rural agriculturists by two organisations with different staffing pattern. The short term credit was serviced by a three tier structure : at the village level, the unit was Primary Agricultural Co-operative Society (PACS) ; at the District level, it was District Co-operative Central Bank (DCCB) ; and at the apex level, it was designated as the Andhra Pradesh State Co-operative Bank. The long term credit facilities were made available by a two-tier structure : at the taluk level, the organisation was Primary Agricultural Development bank (PADB) and at the apex level, the organisation was the Andhra pradesh Co-operative Central Agricultural Development Bank Ltd. The legislature of the State of Andhra Pradesh enacted Act No. 1 of 1987 introducing what was commonly called "single Window System" integrating the long term and short term co-operative credit structures in order to revitalise co-operative institutions, as stated in the statement of objects and reasons. To achieve this objective, the statement of objects and reasons says, it is necessary to reorganise the various co-operative institutions on the new pattern to ensure financial viability and easy access by the members to the co-operative institutions in the interest of better administration of democratic function. In the process, certain classes and levels of societies will be abolished and the functions, funds, assets and liabilities will be transferred to the newly formed Single Window Institutions. . . " Section 15-A of the principal Act was amended by Section 2 of Act 1 of 1987 conferring power on the Registrar "to amalgamate or merge any society with any other such society or to divide and restrict or transfer the area of operation of a society or to liquidate a society for any of the purposes mentioned therein. Section 11 of Act 1 of 1987 relates to abolition of Primary Agricultural development Banks. Omit