Lt. Cdr. M. Ramesh v. Union of India & Ors.

Transferred Case (Civil) · 2018 INSC 357Decided 17 Apr 2018
Transferred Case (Civil) No. 11 of 2017
Justice Madan B. Lokur · Justice Kurian Joseph · Justice Deepak Gupta

Background

To address a shortage of officers in the Indian Police Service (IPS), the Union Government introduced a third recruitment channel, a Limited Competitive Examination (LCE), open to eligible Deputy Superintendents of Police in State Police Services, Central Police Organisations, and qualifying Army officers, with the exam held in May 2012. This case (the lead matter among ten transferred cases, brought by Lt. Cdr. M. Ramesh and others who had appeared in or were affected by the LCE) challenged the Union Government's subsequent decision to scrap the LCE recruitment process entirely without making any appointments from it.

Decision Breakdown

The Supreme Court examined the government's stated reasons for scrapping the scheme: a declining percentage of vacancies, years of delay in the selection process that would make selected candidates older than originally contemplated, pending litigation that could cause further delay, and the risk of extensive seniority disputes between LCE-recruited officers and those recruited through direct examination or promotion during 2012-2018. The Court held that, taken together (not individually), these grounds showed the decision was made in the larger public interest, was not mala fide, arbitrary, discriminatory, or actuated by extraneous considerations, and therefore did not warrant judicial interference even though two High Courts had earlier upheld the validity of the LCE rules themselves. Since the government's cancellation decision was upheld, the Court held that all the transferred cases (including this one) had become infructuous and disposed of them all, along with associated clarification/direction and intervention applications, which were rejected.

Lesson Learnt

Courts give government bodies wide latitude to cancel or scrap even a lawfully-introduced recruitment scheme if the decision is backed by legitimate administrative concerns (delay, changed circumstances, risk of future disputes) and is not shown to be arbitrary or mala fide: candidates who participated in or were eligible for such a scheme do not have an enforceable right to its completion once it is validly discontinued.

Service & Administrative LawSupreme Court of India

M. Prema v. The State of Tamil Nadu Rep. by its Secretary to the Government and Ors.

The Supreme Court agreed with the High Court that Direct recruits, having come through the regular competitive process, rank above Special appointees, who entered through temporary appointments later regularised. However, it held the High Court was wrong to rank Compassionate appointees above Direct recruits merely because of an executive Government Order fixing their seniority by appointment date: such an executive order cannot override the basic service-law principle that employees selected through a regular process must rank senior to those who entered through exceptions like compassionate appointment. The Court further held that, as between Special appointees and Compassionate appointees, seniority should be fixed by date of regularisation rather than any other formula. The Transferred Cases were dismissed, and the Civil Appeals were disposed of/allowed to the extent needed to reflect this ranking (Direct recruits > Compassionate appointees > Special appointees, broadly, subject to date-of-regularisation for the latter two inter se).

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The Supreme Court allowed the appeal in the terms it set out. Because the Single Judge was dealing with a batch of employees, the Court held that each claimant must apply, and the authorities must verify each claim and pay the increment and revise pension and retiral dues accordingly. It extended the same benefit to the proforma respondents who had not joined the appeal. It directed the authorities to release the amounts due within 30 days, failing which interest at 6% per annum would be payable from the date of default. It also left the individual calculations to the authorities, relying on its earlier orders on arrears and interest.

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The Court granted leave and liberty to withdraw, and the writ petition was disposed of as withdrawn, with the petitioner free to file afresh in accordance with law. No findings were made on the underlying grievance.

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The Supreme Court held that the High Court had erred in interfering with the selection committee's eligibility decision, which was in accordance with the Recruitment Rules for the post and the advertisement. The Court set aside the High Court's judgment, along with the other candidate's later appointment, and restored the committee's decision and the appellant's temporary appointment. It clarified that its conclusion applies only to the Recruitment Rules for this post and expresses no view on the general recognition of NIOS qualifications for other purposes.

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