Ranjit Singh, J.

1 Food Corporation of India as well as retired Assistant Manager of the Corporation are in. separate Regular Second Appeals before this Court to impugn the same judgment. Accordingly, these two Regular Second Appeal Nos.400 of 2008 KS.Panwar v. Food Corporation of India, New Delhi and others), and 1898 of 2009 (Food Corporation of India, New Delhi and others v. R.S.Panwar) are being disposed of together through this common order. R.S.Panwar, Assistant Manager in F.C.I had filed a suit impugning the penalty of demotion awarded to him to the post of Assistant Manager at the lowest grade and so also recovery of Rs.50,000/- imposed on him. The plaintiff had joined the F.C.I as Assistant Grade I in 1970 was promoted as Assistant Manager on 5.5.1976 and as District Manager on 27.7.1993. F.C.I had advertised some tenders for handing over of transport contract on 27.1.1995. The tenders were opened and financial soundness and business competence of all the parties were to be verified. Tender submitted by one Pala Ram and Company was rejected being invalid for want of earnest money. Matter was referred to D.M., Rohtak to verify the financial soundness and business co