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2013 Supreme(All) 879

ALLAHABAD HIGH COURT
(Lucknow Bench)
BEFORE : DEVI PRASAD SINGH AND VISHNU CHANDRA GUPTA, JJ.
U.P. STATE WAREHOUSING CORPORATION ....Petitioner
Versus
SUNIL KUMAR SRIVASTAVA AND ANOTHER ....Respondents
(Special Appeal No. 399 of 2011 connected with Special Appeal Nos. 438, 419, 374, 420, 421, 422, 423, 424, 425, 437, 439, 387 of 2011, Special Appeal (D) Nos. 677, 678, 679, 680, 681, 682, 683, 684, 645, 582, 685, 686, 687 of 2011, 43, 327 and 326 of 2012, decided on 20th March, 2013)

Advocates:
Counsel :
Upendra Nath Misra and Rakesh K Chaudhary for the Petitioner; C.S.C., M.P. Singh, Pankaj Srivastava, R.K. Yadav, S.K. Tripathi and V.K. Pandey for the Respondents.

Headnote:Warehousing Corporations Act, 1962—Sections 78, 20, 22, 23 and 42—U.P. State Warehousing Corporation Staff Regulations—Regulations 2(e), 3 and 11—Warehousing Corporation—Mode of appointment—Regulation of services—Policy decision—Scope of—Respondents working against substantive vacancies as daily wager or on contract basis for a long time—Appellant Corporation is a body corporate and possesses authority—In the instant case, no policy decision of the Government regulating the mode of appointment or preventing the Board to take a decision to regularise the services of its employees—Section 23 of Act empowers State Warehousing Corporation to appoint such officers and other employees as it considers necessary for efficient performance of its functions—Since the Board took a decision to regularise the services and there exists no guideline or policy decision of State Government which could have been taken into account, the decision of Board may not subject to approval of Government—Board is competent to regulate the service conditions of its employees under the Act—Reservation has been done beyond 50% for the post of Technical Office Assistant, which is illegal—Thus, Appellants erroneous in inviting applications through the impugned advertisement—On the other hand appointment of respondents cannot be held to be illegal, but done in pursuance of resolution of Board of Directors—In view of Uma Devi case, the Board has got ample power to take one time decision for regularisation of service of daily wagers and the persons appointed on contract basis—Held that the Board of Directors should have taken a decision on its own—Impugned order of Single Judge modified accordingly—Directions issued. [Paras 40 to 64]

JUDGMENT

Hon’ble Devi Prasad Singh, J.—Special Appeals under Chapter VIII Rule 5 of the Rules of the Court are preferred against the judgment and order dated 18.4.2011, passed by Hon’ble Single Judge of this Court in Writ Petition No. 2630(S/S) of 2009 preferred by U.P. State Warehousing Corporation (In short, Corporation) whereby Hon’ble Single Judge has held that the matter could not have been referred by the Corporation to the State Government for approval of the decision taken by the Board of Directors with regard to regularisation of employees.

Since in all these special appeal, common question of facts and law is involved, they are taken together and are being decided by the present judgment.

Factual matrix of the controversy is discussed hereinafter :

2. The respondent petitioners are the employees of the Corporation working in different districts of the State of U.P. on the posts like Technical Assistant, Accountant, Group ‘C’ and Group ‘D’ posts. Through the impugned advertisement assailed before Hon’ble Single Judge, the Corporation took a decision to fill up the vacancies of these categories in view of fact that the State Government disapproved the Board’s decision to regularise the services.

3. According to the learned Senior counsel Mr. J.N. Mathur, appearing for the appellants, there are 784 sanctioned posts, out of which 27 posts are of Auditors, 1981 posts of Class-III category and 540 posts belong to Class IV category. 332 vacancies have already been filled up leaving 452 vacant posts. The total 1941 daily wagers are working in the corporation whose future is secured by the impugned judgment of Hon’ble Single Judge.

4. By the impugned advertisement, the respondents have advertised 146 vacancies of these categories out of which 83 persons have been selected. 146 posts contains 8 posts of Auditor, 55 of Assistant Accountant/Auditor and 83 posts belong to Class-IV category. The writ petitions were filed before the selection was held by the appellant. By an interim order dated 7.9.2009, the selection was stayed by this Court.

5. It is not disputed that the petitioners are working against substantive vacancies as daily wager or on contract basis since more than decade and are doing their duties to maintain godown, keep the foodgrains in safe custody, transport the foodgrains to railway stations and involved in uploading and downloading of goods. It is further asserted that the corporation is running in profit because of sweat and labour put in by the respondent petitioners and their associates. Further it has been stated by the respondents that the Board of Directors has extended all benefits which is available to regular employees which includes weekly holidays, national holidays and salary paid to them is enhanced at the interval of every six months. The salary is paid on monthly basis through cheque. Mere artificial break of two or three days at the interval of 89 days to some of the employees does not make a case to treat their services in discontinuation. It is further stated that the respondent petitioners and their associates are transferred from one place to other in the State of U.P to serve the corporation.

Hon’ble Single Judge noted that the respondent petitioners and their associates were appointed by the appointing authority prescribed under the Regulations and statutory provisions. It is further asserted that the impugned advertisement is without approval of the Board of Directors. With regard to vacancies and advertisement, Hon’ble Single Judge has observed as under :

“As on 1st of April, 2010 against the total sanctioned strength i.e. 2140, the total 1491 employees are working and 649 posts are still vacant. For the post of Technical Assistant, 19 posts are sanctioned, against which 17 persons are working and two posts are vacant. In class IV employees total sanctioned posts are 540, against which 340 employees are working and 200 pots are vacant. For the post of typist, total sanctioned posts are 15




































































































































































































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