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2026 Supreme(Raj) 265

HIGH COURT OF JUDICATURE FOR RAJASTHAN, BENCH AT JAIPUR
ANAND SHARMA, J.
State of Rajasthan, Through Principal Secretary, Government Of Rajasthan, Ground Water Department – Petitioner 
Versus
Chauthi Ram, S/o Shri Shukh Ram – Respondent 
S.B. Civil Writ Petition No. 8204 of 2026
Decided On : 19-05-2026

Advocates Appeared:
For the Petitioner: Ms. Namita Parihar, Dy. GC
For the Respondent: Mr. C. P. Sharma, Adv. with Mr. Kirti Kumar Lamba, Adv.

Administrative orders affecting an employee's civil rights, including the withdrawal of financial benefits or recovery, require strict adherence to the principles of natural justice through prior notice. Subsequent departmental actions inconsistent with the initial claim of ineligibility invalidate such punitive administrative measures taken against a retired employee.

Headnote:(A) Principles of Natural Justice - Administrative action - Retirement benefits - Modification and recovery - Withdrawal of selection grade - Absence of prior notice - An order intending to adversely affect the civil rights of an employee mandates compliance with principles of natural justice - Failure to provide an opportunity of hearing constitutes an illegality. (Paras 3, 10, 14)

(B) Service Law - Selection grade - Eligibility - Benefits cannot be denied merely on the ground of lack of requisite qualification when specific departmental circulars provide for the grant of such benefits to employees holding isolated posts or lacking specific academic eligibility - Subsequent promotion to the higher post by the employer further establishes eligibility for the benefits previously granted. (Paras 8, 9, 13)

Facts of the case:
The respondent was initially engaged in a lower-level capacity and was subsequently granted selection grade benefits. Upon retirement, the employer issued orders withdrawing these benefits and directing recovery of alleged excess amounts, citing ineligibility for the promoted post. The appellate authority quashed these orders, prompting the employer to file the present writ petition.

Findings of Court:
The court noted that the employer's argument regarding the employee's ineligibility was contradicted by their own action of promoting the employee to the position in question. Furthermore, the court held that the withdrawal of benefits without adherence to the principles of natural justice and without notice to the retiree is unsustainable under the law.

Issues: Whether the employer is entitled to unilaterally withdraw previously granted selection grade benefits and effect recovery from a retired employee without providing an opportunity of hearing, and whether the employee was eligible for the benefits granted.

Ratio Decidendi: Adherence to the principles of natural justice is mandatory when administrative actions impact the civil rights of an employee. As no notice was served prior to the adverse order, and the department’s own subsequent promotion contradicted the claim of ineligibility, the withdrawal of benefits and recovery order were rightly quashed.

Result: Petition dismissed.

Table of Content
1. factual overview of employment history and the underlying dispute regarding withdrawal of selection grade benefits and subsequent recovery proceedings. (Para 1 , 2 , 3)
2. petitioner's contention that the state holds inherent powers to recover excess payments made due to incorrect grant of selection scales. (Para 4 , 5 , 6)
3. respondent's position on eligibility, the applicability of specific circulars for selection grade benefits, and the mandatory requirement of natural justice. (Para 7 , 8 , 9 , 10 , 11)
4. the court's analysis on confirming the employee's eligibility for selection scale based on actual promotion and the necessity of due process before recovery. (Para 12 , 13 , 14 , 15)
5. judicial finality in upholding the tribunal's decision due to the lack of procedural compliance by the department. (Para 16 , 17)

JUDGMENT :

ANAND SHARMA, J.

1. By way of filing this writ petition, petitioner-State Government has assailed order dated 07.10.2025 passed by Rajasthan Civil Service Appellate Tribunal, Jaipur in Appeal No.2009/2023, whereby the appeal filed by the respondent- employee has been allowed and orders for modifying/withdrawing the benefits of selection grade as well as of effecting recovery from respondent-employee have been quashed.

2. It is stated in writ petition that the respondent- employee filed an appeal before the Tribunal stating therein that he was initially engaged as Cleaner cum Chowkidar and was promoted from time to time and on the date of retirement, he was holding the post of Assistant Driller.

3. It is the case of the respondent-employee that the petitioner-Department granted benefit of second selection scale to the respondent in the pay scale of Rs.3200-4900 and thereafter, vide order dated 29.07.2008, even benefit of third selection scale in the pay scale of Rs.4000-6000 was also granted to the respondent. It was stated in memo of appeal that without affording any opportunity of hearing and without even making compliance of principles of natural justice, orders dated 14.08.2020 were issued by the petitioners for withdrawing/modifying the earlier benefits granted to the employee. This action of the petitioner-Department is detrimental to the interest of respondent-employee and the petitioner- Department also directed for effecting recovery of alleged excess amount from the respondent-employee. It was also stated that in the meanwhile, on attaining the age of superannuation, respondent-employee retired w.e.f. 31.08.2020. The appeal filed by the respondent-employee was finally allowed by the Tribunal, quashing the orders dated 14.08.2020 passed by the petitioner-Department.

4. Learned counsel for the petitioners submits that order dated 07.10.2025 has been passed by the Tribunal without properly appreciating the facts of the case, material on record and law prevailing at relevant time. It is further submitted that when the pension matter of the respondent-employee was forwarded by the petitioner-Department to Pension Department, objections were raised regarding wrongly granting benefit of second and third selection grade to the respondent-employee, accordingly in the light of objections raised by Pension Department, impugned orders were passed.

5. It has also been submitted by learned counsel for the petitioners that the respondent-employee was not eligible to hold the higher post of Assistant Driller, for which selection grade was granted to the respondent-employee, therefore, no mistake whatsoever was committed by the petitioner-Department in withdrawing the benefits erroneously granted earlier to the respondent-employee.

6. Learned counsel for the petitioners further submitted that an employee is entitled for the benefits under the Rules and in case, wrong benefits have been awarded to the employee, the State Government is well within its right to withdraw the wrong benefits and to make recovery from the concerned employees.

7. The writ petition filed by the petitioner-Department has been o

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