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1999 Supreme(Kar) 526
Karnataka High Court
Judges : R.V.Raveendran
RAJASHEKARAN R. - Appellant
Versus
ALLAHABAD BANK - Respondent
W. P. 37724 Of 1999
Decided On : 11/05/1999
Transfers can be challenged only if in violation of conditions of service or contract, actuated by mala fides or ulterior motive, or subjecting the employee to more onerous conditions.
Headnote:
TRANSFER - Bank Management - Circular No. 5760 dated August 20, 1998 - SWAP transfers - guidelines - transfer policy - hardship - repatriation - academic year - transfer during mid-term - relief against hardship - mala fides - statutory Rules - efficiency - mala fides - ulterior motive - conditions of service
Fact of the Case:
The petitioners, Junior Management Scale-I Officers in Allahabad Bank, were transferred under swap Scheme from Subhashnagar Branch, Bangalore and Palya Branch, Hassan District to Ahmedabad Region. They contested the transfers on the grounds of violating transfer policy, causing hardship during mid-academic year, and being arbitrary and punitive in nature.
Finding of the Court:
The court found that the transfers were made in accordance with the SWAP policy and guidelines, and that the Bank provided reasonable relief against hardship. The court also held that transfers cannot be interfered with merely on the ground of hardship or violation of guidelines, unless mala fides or violation of statutory Rules are established.
Issues: Violation of transfer policy, hardship during mid-academic year, arbitrariness and punitive nature of transfers, extension of reporting time
Ratio Decidendi: Transfers can be challenged only if in violation of conditions of service or contract, actuated by mala fides or ulterior motive, or subjecting the employee to more onerous conditions. Transfer during mid-term may be considered with due weight to the academic year and reasonable relief against hardship.
Final Decision: The petitions were rejected, but the petitioners were allowed to give a representation as contemplated in the orders of transfer, and the Bank was directed to consider such representation and give relief to the petitioners if warranted.
( 1 ) THE petitioners are Junior Management Scale-I Officers in Allahabad Bank. They were working in Subhashnagar Branch, Bangalore and Palya Branch, Hassan District. The places where petitioners were working,. e. , State of Karnataka fall within the Hyderabad Region. By letters dated September 25, 1999 [annexures A and B], petitioners were transferred under swap Scheme, to Ahmedabad Region and they have been informed that they will stand automatically relieved as at the close of Office hours on October 16, 1999. They were directed to report at Ahmedabad Regional Office for further posting orders after availing the usual joining time. Petitioners are aggrieved by the said transfers.
( 2 ) THE petitioners do not dispute the right of the Bank Management to transfer them any where in india. Nor do they dispute that transfer is an incidence of Service. Petitioners do not also impute any mala fides to the Management in transferring them, but they contend that the transfer is arbitrary for three reasons. Firstly, it is contended that their transfers violate the transfer policy of the Bank. Secondly, it is contended that they will be put to hardship as the transfer is during middle of the academic year. Thirdly, it is contended that the transfers on SWAP basis is arbitrary and irrational and punitive in nature.
( 3 ) THE respondents have contended that as per the guidelines contained in Circular No. 5760 dated August 20, 1998, SWAP transfers mean transfer of officers by exchange of persons working outside parent zone and persons working in the parent zone in order to provide opportunity to those who are working continuously in other regions/zones and who face personal hardship, to work in their parent zone. Normally, persons working longest in the parent zone will have to move first to outside the parent region/zone for the SWAP exercise transfers.
( 4 ) THERE is nothing arbitrary or irregular in regard to the policy as such. If officers who hail from a particular region/zone are posted outside the region/zone, and if they have been serving outside their parent region/zone for a long time, naturally they want to come back to their parent region/zone. The Bank has formulated 'swap' policy whereby persons who have been serving outside parent region/zone for a considerable time come back to the parent region/zone and persons serving long in the parent region/zone and persons serving long in the parent region/zone go out of the parent zone/region. The transfer on 'swap' basis is a rational policy, beneficial to employees. It enables officers who have been working outside their parent regions for long period to come to their parent regions. But for such a policy, persons who are working outside the parent region may never at all come back to their parent region, during their service. Further, it is brought out that the 'swap' policy has been formulated in consultation with the officers Association [vide Annexures R1 and R2].
( 5 ) THE Bank has stated that the petitioners have worked for a long period in their parent region. It is stated that petitioner No. 1 has worked for 7 years 6 months and petitioner No. 2 has worked for 12 years in the parent region (Hyderabad Region ). The petitioners are being transferred from the Hyderabad Region (parent region) to Ahmedabad Region so that persons belonging to hyderabad Region for more than 6 to 10 years continuously can be transferred to the parent region. e. , Hyderabad Region. It is also stated that in August/september 1999 about 145 officers in Junior Management Grade Scale-I have been subjected for SWAP transfers which includes 27 officers who were transferred from Hyderabad Region to other zones/region and an equal number of officers were/are transferred from other zones to Hyderabad region; and petitioners 1 and 2 are among 27 officers who have been transferred from Hyderabad Region. These facts will show that there is nothing irregular or arbitrary or discriminator
