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2026 Supreme(Online)(CAT) 76
CENTRAL ADMINISTRATIVE TRIBUNAL
Rameshwar Vyas, J, Amit Sahai, A
Laxman Ram – Appellant
Versus
Union of India through the General Manager, North Western Railway, Jaipur – Respondent
Original Application No. 290/00218/2015 | Misc Application No. 290/00231/2016
For the Appellants/Petitioners: Mr S.P. Singh
For the Respondents: Mr K.S. Yadav
The court established that appointments through LDCE under recognized quotas constitute promotions for financial upgradation purposes under the MACP Scheme.
Headnote:The case concerns the interpretation of MACP Scheme benefits linked to promotional appointments through an LDCE. The applicant sought to quash an order withdrawing his financial upgradation, arguing it was improperly categorized as promotion. The court examined Recruitment Rules and preceding judgments, ultimately affirming the respondents' interpretation of the applicant's appointment as a promotion. Crucially, the court allowed for the grant of a third financial upgradation effective from the appropriate date, upholding the principle against employee stagnation under MACPS. The court's direction was for the respondents to issue a revised order reflecting this.
| Table of Content |
|---|
| 1. macp scheme financial upgradations related to service length. (Para 1 , 2) |
| 2. arguments regarding financial upgradation and promotions. (Para 3 , 4) |
| 3. court's examination of employment rules and precedent cases. (Para 5 , 6) |
| 4. final direction for re-evaluation of financial upgradation. (Para 7) |
ORDER
Per : Hon’ble Mr Justice Rameshwar Vyas
Being aggrieved by office order dated 02.04.2015 whereby the respondents while withdrawing benefit of 2nd financial upgradation under MACP Scheme in the PB-2 Rs 9300-34800 + Grade Pay Rs 4600/-, granted the benefit of 3rd financial upgradation under MACP Scheme in the Grade Pay of Rs 4600/-, to the applicant, he has preferred this OA to quash and set aside above order and seeks direction against the respondents to grant him 2nd financial upgradation under MACP Scheme in the grade pay of Rs 4600/- on completion of 20 years’ service on the post of Senior Clerk. He also seeks direction against the respondents to pay arrears for the period from 22.09.1990 to 17.08.1991 for first financial upgradation under ACP Scheme. He also challenges vires of Railway Board letter dated 24.11.2010 whereby selection of Sr. Clerks against the 13-1/3% serving Graduate quota has not been treated at par with direct recruitment.
2. The relevant facts for adjudication of the instant controversy may be summarized as under:-
2.1 Vide office order dated 22.09.1990 (Annex. A/4), the applicant was appointed as temporary Clerk in the pay scale of Rs 950-1500 (RPS). As per Recruitment Rules (Annex. A/7), 13-1/3% out of 30-1/3% vacancies in the grade of Sr. Clerks in the scale of Rs 1200-2040 would be filled through a Limited Departmental Competitive Examination (hereinafter referred to as LDCE) from amongst serving graduates working as Clerks in scale of Rs 950-1500 through the agency of the Railway Recruitment Boards. The applicant being graduate, was selected for the post of Sr. Clerk in the pay scale of Rs 1200-2040 (RPS) against 13-1/3% serving graduate quota as per select panel dated 11.07.1991. Vide office order dated 14/16 August, 1991 (Annex. A/5), he was promoted to the post of Sr. Clerk. Vide Office order dated 06.06.1997 (Annex. A/8), the pay of the applicant was refixed in the pay scale of Rs 1200-2040 w.e.f. 22.09.90 on his being promoted against serving Graduate vacancy w.e.f. 17.08.91.
2.2 It is pertinent to note that the corresponding grade pay for the post of Clerk and Senior Clerk under 6th CPC in PB-1 [Rs 5200-20200] is grade pay of Rs 1900/- and Rs 2800/- respectively.
2.3 As per order dated 04.01.2005 (Annex. A/10), the applicant was granted financial upgradation under ACP Scheme w.e.f. 17.08.2003 after completion of 12 years’ regular service on the post of Sr. Clerk. However, in reply to the OA, it is averred that the applicant got 2nd promotion as Head Clerk in the grade pay of Rs 4200/- on 23.01.2006. Without going into the veracity of the same, the fact remains that the applicant’s pay was upgraded from the grade pay of Rs 2800/- to Rs 4200/. Thereafter, vide impugned office order dated 02.04.2015 (Annex. A/1), the applicant was granted 3rd financial upgradation under MACP Scheme w.e.f. 17.08.2013.
2.4 It is the case of the applicant that vide order dated 06.06.1997 (Annex. A/8) the fact of refixing the pay of the applicant in the grade of Sr. Clerk w.e.f. 22.09.1990, i.e. the original date of his direct entry into the grade of Clerk, on account of his being graduate Clerk is indicative of the fact that this was not a promotion but direct recruitment.
3. Heard learned counsel for the parties and perused the material available on record.
4. Learned counsel for the applicant submitted that the action of the respondents in granting him 2nd financial upgradation under MACP Scheme in the grade pay of Rs 4600 after completion of 20 years regular service on 22.09.2010 was correct. The respondents committed an error in withdrawing the same vide office order dated 02.04.2015 (Annex A/1). The method a
