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1993 Supreme(Pat) 383

High Court of Patna (RANCHI BENCH)
S.R. Sinha and Narayan Roy, JJ.
Miss Prasanna Kumari Amma M.P. and another – Petitioners
Versus
Bihar State Financial Corporation and others – Respondents
Civil Writ Jurisdiction Case No. 1799 of 1993 (R)
Decided on : 3.9.1993

Advocates appeared:
For the Petitioners: M/s. Tapen Sen, Prabhash Kumar, Tapas Kahiraj.
For the Respondents: Mr. A. Sahay.

Daily rated employees who are not appointed following the procedures laid down in the Recruitment Rules or in compliance with Article 16 of the Constitution of India are not entitled to regularisation of their services.

Headnote:

REGULARISATION OF DAILY RATED EMPLOYEES - ARTICLE 16 OF THE CONSTITUTION OF INDIA - ARTICLE 226 OF THE CONSTITUTION OF INDIA - BIHAR STATE FINANCIAL CORPORATION ACT, 1973 - SUMMARY OF THE COURT'S DECISION ON THE REGULARISATION OF DAILY RATED EMPLOYEES AND THE APPLICABILITY OF ARTICLE 16 AND 226 OF THE CONSTITUTION OF INDIA.

Fact of the Case:

The petitioners, daily rated employees of the Bihar State Financial Corporation, challenged the order of the Managing Director denying their regularisation. They argued that their services should be regularised as other similarly situated employees had been regularised and that the Managing Director's order was arbitrary and unreasonable.

Finding of the Court:

The court held that the petitioners were not entitled to regularisation as they were not appointed following the procedures laid down in the Recruitment Rules or in compliance with Article 16 of the Constitution of India. The court also held that the Managing Director's order was not arbitrary or unreasonable as it was based on the Corporation's financial difficulties and the need to comply with the Supreme Court's order.

Issues: 1. Whether the petitioners were entitled to regularisation of their services? 2. Whether the Managing Director's order denying regularisation was arbitrary and unreasonable?

Ratio Decidendi: 1. The petitioners were not entitled to regularisation as they were not appointed following the procedures laid down in the Recruitment Rules or in compliance with Article 16 of the Constitution of India. 2. The Managing Director's order denying regularisation was not arbitrary or unreasonable as it was based on the Corporation's financial difficulties and the need to comply with the Supreme Court's order.

Final Decision: The court dismissed the petition.

Judgment

S.B. Sinha and Narayan Roy, JJ.

This application is directed against an order dated 6.4.1993 passed by the Respondent no. 2 as contained in Annexure-16 to the writ application.

2. The petitioners admittedly were employed by the Respondent-Corporation on a daily rated basis. The grievance of the petitioners is that, although, they have been working for a long time, their services have no been regularised despite the fact that services of other employees similarly situated have been regularised.

3. The petitioners approached this Court earlier in C.W.J.C. Nos. 126/93 (R) and 127/93 (R) and a Division Bench of this Court by an order dated 25.1.1993 as contained in Annexuure-15 to the writ application disposed of the said writ applications by directing the Managing Director, Respondent no. 2 to dispose of the representations of the petitioners which were pending before him for consideration.

4. The petitioners' aforementioned representations have been disposed of by the Managing Director, Respondent no. 2 by reason of his impugned order dated 6.4.1993 as contained in Annexure-16 to the writ application. In his order, the Managing Director, Respondent no. 2 has held as follows :

"Most of the daily rate workers including the petitioners were engaged in the various Regional offices of the Corporation which have since been abolished and these daily rate workers are being carried over by the respective Branches. It is further clarified on behalf of the Corporation that any further recruitment and promotion in the Corporation is stopped at the moment on account of observation made by the Supreme Court in S.L.P. no. 13348 vide its order dt. 16.4.91 the Corporation appears to have agreed before the State Govt. that any further appointment shall be done with the consent of the State Govt.

Having gone through the entire facts and circumstances I make the following observations/direction :- (i) It is not possible to regularise the services of the petitioners because it tantamounts to condoning irregularities of the appointment committed in the past. According to Supreme Court's rulings also no irregularities can be regularised with the lapse of time.

(ii) The petitioners should have been given wages at a rate not less than the rates prevailing in the State Govt. which are usually fixed on the basis of the norms of minimum wage rates fixed by the Labour Department. O.S.D. (P & A) shall immediately collect information about the rate prevailing in the Govt. and if they arc found to be less, shall get the rates revised w.e.f. the date on which Govt. has imp1cmcnted the same.

(iii) OSD (P&A) may also put up an agenda note which may be considered by the Board of Directors for granting wages to those daily rate workers in proportion to the basic pay of the employees doing similar work.

(iv) whenever any appointment in the Corporation takes place in future the petitioners shall be entitled for weightage on the basis of length or functioning in the Corporation vis-a-vis the outsiders on account of the experience of the functioning in the Corporation.

This order has been dictated in the presence of the petitioners and they are hereby regretfully advised to make effects to take alternative jobs as the Corporation's financial position does not permit further recruitment. Till they get another job, the Corporation in view of its compassion with them may not like to disengage them from their present status of daily rated workers."

5. Mr. Tapen Sen, learned counsel appearing on behalf of the petitioner’s inter-alia submitted that the reasons assigned by the Respondent no. 2 (Managing Director) are non-existent in as much as front a perusal of Annexure-18 series to the writ application it would appear that services of other employees were regularised.

6. The learned counsel further submitted that from a perusal or Annexure-19 to the writ application it would appear that in similar situation a Division Bench of this court by an order dated 12.2.1991 passed in C

















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