IMPORTANT POINT
The MACP scheme provides financial upgradations based on service duration, not promotional hierarchy, and previous judicial decisions must be followed.

ORDER :

Shree Chandrashekhar, J.

Challenging the judgment pronounced on 25th February 2020 by the Central Administrative Tribunal, Jodhpur Bench in O.A. No.290/00412/2015 with M.A. No.290/00219/2017, the Union of India has filed this writ petition.

2. In O.A. No.290/00412/2015, challenge was laid by seventeen employees who held the post of Mail/Ex. Guard, Passenger Mail/ Ex. Guard, Sr. Passenger Guard etc. to the order dated 9th June 2015 by which the benefits under MACP scheme given to them were withdrawn and the order dated 23rd September 2015 by which an order of recovery was passed by the Divisional Railway Manager, North-West Railway, Ajmer Division.

3. The Tribunal considered different orders passed by the Central Administrative Tribunal at Allahabad and Ernakulam Benches and the decisions of the Allahabad High Court, the High Court of Rajasthan, Jodhpur Bench and came to a conclusion that the Railway Board Order RBE No.106/1993 was issued to prescribe the standard designations for the upgraded posts as well as for regulating the procedure for filling up the vacancies and for lateral induction of staff so upgraded in normal Promotional Grades. The Tribunal further noticed that the judgment rendered by the Allahabad High Court in Writ -A No.18244 of 2013 “Union of India Vs. CAT & Ors.” dated 9th July 2013 was implemented by the Eastern Central Railway, Mugalsarai and the Special Leave Petition preferred against the said judgment was dismissed by the Hon'ble Supreme Court.

4. The Tribunal held as under:-

"25. It is very clear from the discussions as above that the submissions and arguments of the respondent department are not tenable. The withdrawal of MACP benefits given to the appellants had been substantially justified on the basis of the order Railway Board order dated 10.02.2011 (Annexure R/2) which, it is seen has been upheld in the judgment of Hon'ble Allahabad High Court as stated above.

26. The very same issue fell for consideration before the Jaipur bench of C.A.T. in OA No.468/2011 and batch. In the said case the Tribunal following the order of CAT Allahabad bench in OA No.1241/2011 which was upheld by the Allahabad High Court in WP No.18244/2013 and also the order of the CAT Ernakulam bench in OA No.482/2011 and batch held that the legal position has been well settled by the judicial pronouncements in the said cases by taking the view that the movement of Senior Goods Guard to the post of Passenger Guard cannot be considered as a promotion for the purpose of considering the benefits of MACP.

27. As rightly contended by the applicants their existing pay structure shows only how Grade Pays in respect of the four posts but they have been wrongly treated as promoted three times in 30 years of service and their prayer for grant of 2nd and 3rd financial upgradations can be granted. Therefore, they are entitled for the relief as prayed for in the OA."

5. The aforesaid decision by the Tribunal has been challenged on the basis of a clarification issued by the Railway Board on 10th February 2011 followed by the clarifications dated 13th December 2020.

6. Mr. Vivek Shrimali, the learned Senior Standing Counsel appearing for the Union of India submits that the benefits of the financial upgradation under the MACP scheme cannot be in excess to what the employee would get on actual promotion in the hierarchy. To lay support to his submission, the learned Senior Standing Counsel refers to a clarification issued by the East Coast Railway on 25th May 2023 and the judgment of Hon'ble the Supreme Court in “Union of India and Ors. Vs. Mukti Singha” in Civil Appeal No.3321/2018 with other civil appeals. On the other hand, Mr. J.K. Kaushik the learned counsel for the respondents referred to the decision in “Union of India & Ors. Vs. Surendra Kumar” and other cases dealt with by the Hon'ble Supreme Court by an order dated 7th November 2023.

7. The materials on record disclose that there had been series of litigations regarding entitlement of the