Withdrawal of financial upgradation under MACP must consider prior promotions and adhere to established guidelines; failure to do so renders the action unjustified.

Headnote:(A) Administrative Tribunals Act, 1985 - Section 19 - Withdrawal of 3rd Financial Upgradation under MACP Scheme - The applicant challenged the withdrawal of her 3rd MACP in Grade Pay of Rs. 4600/- and sought restoration of her basic pay to Rs. 70,000/- along with consequential benefits - The Tribunal found that the withdrawal was unjustified as the applicant's response to the show-cause notice was not considered prior to the decision - The Tribunal emphasized the importance of adhering to the guidelines set forth in the DoPT OM and Railway Board Circulars regarding financial upgradation under MACPS. (Paras 2, 4, 14)

(B) Legal Principles - The Tribunal reiterated that past promotions should be considered for MACP benefits when pay protection is granted upon transfer - The interpretation of MACP rules must align with the clarifications issued by the DoPT and Railway Board. (Paras 6, 12)

Facts of the case:
The applicant, a retired Office Superintendent, sought to quash several orders related to the withdrawal of her 3rd MACP and the reduction of her pay and pension. She argued that the authorities failed to consider her reply to the show-cause notice before making the decision.

Findings of Court:
The Tribunal ruled in favor of the applicant, stating that the withdrawal of the 3rd MACP was based on incorrect premises and ordered the restoration of her pay and refund of the recovered amount.

Issues: The main issue was whether the withdrawal of the 3rd MACP was justified given the applicant's prior promotions and the lack of consideration of her response to the show-cause notice.

Ratio Decidendi: The Tribunal held that the withdrawal of the MACP was unjustified as it did not comply with the established guidelines and failed to consider the applicant's prior service and promotions.

Result: The O.A. was partly allowed, directing the respondents to restore the 3rd MACP and refund the recovered amount.

CENTRAL ADMINISTRATIVE TRIBUNAL KOLKATA BENCH, KOLKATA O.A. No. 350/424/2019 Date of Hearing : 20.02.2025 Date of Order:

Coram: Hon’ble Mr. Manish Garg, Judicial Member Hon’ble Mr. Anindo Majumdar, Administrative Member In the matter of :

Sandhya Banerjee, W/o Uttam Kumar Banerjee, aged about 60 years, retired as Office Superintendent under the Principal Chief Personnel Officer, South Eastern Railway, Garden Reach at present residing at CMDA Nagar, Post Sewli Teleni Para, Moharnpur (CT), Nilganj Bazar, Barrackpore, 24 Parganas (N), Kolkata-700121.

.........Applicant -Versus-

1. Union of India through the General Manager, South Eastern Railway, Garden Reach, Kolkata 700043.

2. Principal Chief Personnel Officer, South Eastern Railway, Garden Reach, Kolkata 700043.

3. Principal Financial Adviser, South Eastern Railway, Garden Reach, Kolkata-700043.

4. Secretary, Railway Board Rail Bhavan, New Delhi-110001.

5. Deputy Director, Pay Commission- (V), Railway Board, Rail Bhavan, New Delhi-110001.

6. Secretary, Govt. of India, Ministry of Personnel, PG and Pensions, Department of Personnel & Training, North Block, New Delhi-110001.

.....Respondents For The Applicant(s): Mr. C. Sinha ; Counsel For The Respondent(s): Ms. E. Banerjee; Counsel UTKARSH D Di Ng :it a Cl =y I Nsi ,g One =d P eb ry s oU nT aK l,A TR =S 5H 16 J 5H , A OID.2.5.4.65=

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Heard Ld. Counsel for both sides.

2. The applicants have filed this O.A. under Section 19 of the Administrative Tribunals Act , 1985, seeking the following relief:

“a) To set aside and quash Impugned letter No. SER/P HQ/EP/215/MACP /Personnel dated 05.11.18 issued by Asstt.

Personnel Officer (HQ), South Eastern Railway.

bl To set aside and quash Impugned Office Order No.SER/P-HQ/EP /147/2018 dated 12.11.18, issued by Asstt. Personnel Officer(HQ), for Principal Chief Personnel Officer, South Eastern Railway.

c) To set aside and quash Impugned Memorandum No.SER/P- HQ/EP/240 dated 12.11.18 issued by Asstt. Personnel Officer (HQ), for Principal Chief Personnel Officer, South Eastern Railway.

d) To set aside and quash Impugned Letter No. SER/PHQ/EP/215/MACP/Personnel dated 16.11.2018, issued by Asstt. Personnel Officer(HQ), South Eastern Railway.

e) To set aside and quash Impugned Estt. Srl. No. 67/2017 dated 16.05.17 issued by Sr. Personnel Officer(HQ) for Chief Personnel Officer, South Eastern Railway.

f) To set aside and quash Impugned Letter dated 30.11.2018 issued by Sr. AFA(Settlement), S.E. Railway, Garden Reach.

g) To set aside and quash Impugned Order No. PC-V/2009/MCP/9/Sr dated 18.04.2016 issued by Dy. Director, Pay Commission(V), Railway Board.

h) To direct the respondents to restore the 3rd Financial Upgradation under MACP Scheme in Grade Pay of Rs.4600 w.e.f. 16.03.2009 and to further restore the basic pay of the applicant to Rs.70,000/- and to calculate the Pension and the settlement dues based on the basic pay of Rs.70,000/-and disburse the same together with all consequential benefits.

i) To direct the respondents to refund Rs. 4,86,754/- as recovered from the settlement dues of the applicant together with interest 10%

р.а.

j) To direct the respondents to modify and/or amend the Pension Payment Order dated 29.11.2018 taking into consideration the 3rd Financial Upgradation under MACP in GP of Rs. 4600/- and the last basic pay of Rs.70,000/- together with all consequential benefits.

k) Any other order or orders as the Hon'ble Tribunal deems fit and proper.”

3. In the instant O.A., the applicant was appointed as Jr. Clerk on 16.03.1979. Thereafter, he was promoted as Sr. Clerk on 29.11.1985 and then to the post of Head Clerk on 09.02.1994 under N.F. Railway. She took mutual transfer to

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2025 Supreme(Online)(CAT) 2827

CENTRAL ADMINISTRATIVE TRIBUNALMr. Manish Garg, J, Mr. Anindo Majumdar, ACJSandhya Banerjee – AppellantVersusS E Railway – RespondentO.A./424/2019

Withdrawal of financial upgradation under MACP must consider prior promotions and adhere to established guidelines; failure to do so renders the action unjustified.

CENTRAL ADMINISTRATIVE TRIBUNAL
Mr. Manish Garg, J, Mr. Anindo Majumdar, ACJ
Sandhya Banerjee – Appellant
Versus
S E Railway – Respondent
O.A./424/2019