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2025 Supreme(Online)(CAT) 13092

CENTRAL ADMINISTRATIVE TRIBUNAL
MRS. S. SUJATHA, J, DR. SANJIV KUMAR, A
Sri.Krishna K.S., Smt. Sinthu. H.A., Smt.Harini Kumari K.S, Smt. Poornima R., Smt. Tajunnesa, Smt. H.M.Chandrakala, Smt.Manjula M.P., Smt.Radha H.Naik – Appellant
Versus
Director General, Employees State Insurance Corporation – Respondent
ORIGINAL APPLICATION NOs. 170/00411/2025 | 170/00355/2025 | 170/00356/2025 | 170/00354/2025 | 170/00412/2025 | 170/00413/2025 | 170/00414/2025 | 170/00415/2025



Advocates:
For the Appellants/Petitioners: Shri.P.A Kulkarni
For the Respondents: Shri.N.Amaresh, Shri.Mohumed Sadiq.B.A

Transfers violating institutional seniority conditions are deemed unlawful, emphasizing adherence to established rights within employment frameworks.

Headnote:(A) Administrative Tribunals Act, 1985 - Section 19 - Transfer orders issued under the guise of service conditions claimed to be invalid due to institutional seniority. Tribunal emphasizes that institutional seniority must be respected and no transfer can occur outside the mother institution without proper legal justification. (Paras 4, 15, 22, 23)

(B) Service Conditions - The applicants assert that their transfer infringes on rights granted during absorption, thus claiming restoration to previous positions based on the tribunal’s precedent decisions. (Paras 3, 9, 10)

Facts of the case:
Applicants challenged transfer and relieving orders from ESIC Model Hospital Rajajinagar, arguing against unilateral changes to service conditions established during their absorption. Respondents claimed the necessity to adhere to new regional seniority rules, contrasted by tribunal decisions favoring institutional continuity.

Findings of Court:
The tribunal ruled improvements favoring institutional seniority, thereby invalidating the transfer and relieving orders while allowing treatment of absence as leave. The need for compliance with existing orders ensuring rights of incumbents was emphasized.

Issues: Main issues include legality of transfer orders contradicting service conditions and the impact of institutional versus state seniority on service continuity.

Ratio Decidendi: Tribunal ruled that transfer orders infringing on established rights of incumbents violate principles of fair administration, stressing that absence of authority following due process undermines health services.

Result: Original Applications are partly allowed; transfer orders set aside.

Table of Content
1. overview of case necessity for compliance with previous tribunal orders. (Para 1 , 3 , 4)
2. legal obligations laid upon employees concerning obedience to transfer orders. (Para 2 , 5 , 11 , 16 , 19)
3. the challenge to transfer orders hinges on institutional seniority versus state seniority. (Para 9 , 10 , 14 , 15)
4. judgment reinstates applicant's right to institutional seniority. (Para 22)
5. final resolution with directives for compliance regarding employment. (Para 23)

ORDER

PER: DR. SANJIV KUMAR, MEMBER (A)

These Original Application Nos. 170/00354/2025, 170/00355/2025, 170/00356/2025, 170/00411/2025, 170/00412/2025, 170/00413/2025, 170/00414/2025 and 170/00415/2025 are taken together for disposal as they have comparable facts and identical issues to be decided. For the purpose of ease, the facts of the O.A 411/2025 are taken as a lead case

2. The Original Application No.411/2025 has been filed under Section 19 of the Administrative Tribunals Act 1985 claiming the following reliefs:

“a Quash the order bearing No: 53/A/22/14/01/Gr.B&C/2023/RO.Med.(Adm n),dated:14.08.2024, Annexure-Al, Regional Director, Regional Office, Bengaluru: 560023, R-2 herein and issued under the signature of Deputy Director (Administration), ESIC Rajajinagar, Bengaluru: 560010, R-3 herein -so far as it pertains to applicant and order No: -nil- dated: 29.03.2025, Annexure-A2, passed by Deputy Director (Med.Admn), ESIC, Medical College, PGIMSR & Model Hospital, 2nd Block Rajajinagar, Bengaluru: 560010, R-3 herein-so far as it pertains to applicant.

CONSEQUENTLY

b) Direct the respondents to restore her to the position held by her as on 14.08.2024 the date of passing of the impugned order Ann- Al with continuity of service so as to cover the period kept out of duty viz., from 29.03.2025 till her reporting back to duty in terms of the relief (a) either by treating this period as duty period or by grant of leave due as this Hon'ble Tribunal deems it fit and necessary in the circumstances of the case and in the interest of justice and equity.

c) Pass such other order or direction that this Hon'ble Tribunal may deem it fit and necessary in the facts and circumstances of the present case and in the interest of justice and equity.”

3. The reliefs are claimed on the grounds as mentioned in paragraphs 5(1) to (3) of the Original Application. The brief facts narrated by the applicant are that from 01.01.2006, the applicant’s services came to be absorbed as Staff Nurse in ESIC services from Karnataka State Govt. Services. Prior to that, she was working as a Staff Nurse under the State Govt. of Karnataka. As per her appointment by absorption conditions in ESIC, she has to remain in institutional seniority as per her option tendered at the time of her absorption and accepted by the ESIC along with rights and liabilities/limitations laid down under the absorption order. Now ESI Corporation is seeking to interfere/disturb her appointment service conditions by transferring her out of her mother institution, i.e., ESIC Model Hospital Rajajinagar. In this O.A, the applicant, under the circumstances mentioned above, is challenging the transfer and relieving order Ann-A1 and Ann-A2 respectively, for the reasons and grounds as stated. she was appointed as Staff Nurse under the State Government of Karnataka on 22.12.2003 and on 1.1.2006, the applicant came to be appointed to ESIC as Staff Nurse by way of permanent absorption in terms of the option called for and given by the applicant opting to remain on the institutional seniority of the absorbed staff in State seniority. On 19.10.2020, in exercise of powers conferred by sub-section (1) of Section 97 read with clause (xxi) of sub-section (2) and sub-section (2A) of the said section and sub- section (2) of Section 17 of the Employees’ State Insurance Act 1948 (Act 34/1948) and in supersession of the ESI Corporation (Nursing cadres/posts), Recruitment Regulations 2010 in so far as they relate to the post of Staff

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