1. Appellant Central Bank of India, is aggrieved by the decision of the learned Single Judge on the point of vires of Regulation 20(1) of the Central Bank of India (Officers) Service Regulations, 1979, framed under Sec. 9 read with Sec. 12(2) of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970. The validity of various provisions of the said Regulations was challenged by the Officers Association, called All India Central Bank Officers Federation. While the challenge to the other provisions did not find favour with the learned Judge, as regards Regulation 20(1) he held the same to be violative of Article 14 of the Constitution, conferring arbitrary and unbridled power on the employer to terminate the services of even permanent employees and accordingly struck down the same.

2. The Regulation 20(1) read as follows:-

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"20. Termination of Service (1) Subject to sub regulation (3) of Regulation 16 the bank may terminate the services of any officer by giving him three months notice in writing or by paying him three months, emoluments in lieu thereof."

Sub-regulation (3) of the Regulation 16 deals with the power of the competent authority to terminate the