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2015 DIGILAW 389 (JK)

State of J&K v. Ahmad Reshi

2015-08-06

BANSI LAL BHAT, N.PAUL VASANTHAKUMAR

body2015
JUDGMENT : Bansi Lal Bhat, J. 1. This Letters Patent Appeal is directed against the judgment and order dated 22nd April, 2011 passed by the learned Writ Court in SWP No. 812/2008. The writ petitioners, respondents herein, are the Ex employees of the Jammu & Kashmir Cooperative Consumer Federation Limited (for brevity 'Federation') wound up due to financial crisis in the year 1999. The Government while resolving to wind up the Federation as reflected in Cabinet Decision dated 15th July, 1999, decided to adjust its employees including the respondents herein against the suitable posts in the Government Departments. Faced with the difficulties to adjust all the employees of the Federation in the Government Departments, the Government in 2002 conceived Golden Handshake Scheme (for short GHS) so as to give an option to the employees, not too keen to be adjusted in the Government Department, to take home the benefits made available in terms of the GHS and pursue a profession/trade of their choice. It was also resolved to implement the Cabinet decision dated 15.07.1999 in respect of employees not willing to avail the GHS. The writ petitioners did not opt for the GHS and chose to be adjusted in some Government Department. The Government having failed to adjust them in a Government Department, the writ petitioners approached this Court through a writ petition. Ultimately, after filing the writ petition and contempt petitions, the writ petitioners were adjusted against the posts of Sub-Auditors, Junior Supervisors in the Cooperative Department. 2. The writ petitioners again approached this Court in SWP No. 812/2008 claiming therein that they have not been adjusted in the Cooperative Department against the posts commensurate with the grade held by them in the wound up Federation. It was pleaded that the writ petitioners were working in different capacities in the grade of Rs. 4000-6000 in the wound up Federation, but when they were adjusted in the Cooperative Department pursuant to the judgment of this Court passed in their earlier writ petition, they have been placed in the grade of Rs. 3050-4910 which is lower than the grade they were working. 4000-6000 in the wound up Federation, but when they were adjusted in the Cooperative Department pursuant to the judgment of this Court passed in their earlier writ petition, they have been placed in the grade of Rs. 3050-4910 which is lower than the grade they were working. The writ petitioners were further aggrieved of non-releasing and non-payment of the arrears with effect from 08/1999 to 26.10.2007, and the services rendered by the writ petitioners in the Federation are also stated to have not been counted in continuation to the services rendered by them in the Cooperative Department. The writ petitioners also complained that they were not being considered for grant of time bound promotion nor were their pensionary benefits being protected by the appellants by issuing appropriate orders. 3. The learned writ Court after having heard learned counsel for the parties allowed the writ petition by the judgment impugned in this Letters Patent appeal. It would be fruitful to reproduce the last two paragraphs of the judgment, which read thus: ".........To sum up, the State Government made a promise to suitably adjust the employees of the Federation and the State Government cannot wriggle out of or back out from the promise as the doctrine of promissory estoppel stands in its way. What is meant is that the promise extended is to be fulfilled in its entirety and not selectively or in parts. The promise made by the State Government while taking Cabinet decision No. 109/12 of 1999 dated 15th July, 1999 brings within its fold a promise to appoint the petitioners in the same grade/pay scale in which they were placed in the Federation, grant the petitioners grade promotion in accordance with Higher Standard Pay Scale Rules, release arrears, if any, payable to the petitioners in wake of their placement in the same pay scale/grade that they held in the erstwhile Federation and also to reckon the service rendered in the Federation for pensionary benefits. For the reasons discussed, the writ petition is disposed of with a direction to the respondents to place the petitioners in the grade in which they were working in the CONFED, release annual increments in said pay scales and pay arrears, if any, accruing to them in wake of such placement. For the reasons discussed, the writ petition is disposed of with a direction to the respondents to place the petitioners in the grade in which they were working in the CONFED, release annual increments in said pay scales and pay arrears, if any, accruing to them in wake of such placement. The respondents are further directed to count the services of the petitioners rendered by them, in the CON-FED towards their total period of service, which they will spend in the Cooperative Department, after their permanent absorption and on that basis, consider their cases for time bound promotions and pensionary benefits." We have heard learned counsel for the parties at length, perused the records and considered the matter. 4. The appellants have assailed the judgment on the ground that the learned writ court did not appreciate that the pay scale held by the writ petitioners in the Federation was attached to the promotional posts in the Cooperative Department and that the respondents were not entitled to the status as well as pay scale which they were holding in the Federation as the respondents were not eligible at all to hold the same. It is stated in the appeal that the writ petitioners have no right to claim that their services rendered in the Federation be counted towards the total period of service as the Federation was a Society and had its own bye-laws. 5. After wading through the pleadings of the parties before the writ court as also the grounds urged in the memo of appeal, it cannot be disputed that the entire gamut of controversy has been properly concretized by the learned writ court, thus there is no occasion for the appellants to open a new case before us. We say so because all the grounds/issues urged in this Appeal have been dealt with in detail and addressed to by the learned writ court in their right perspective. The Federation, an apex institution registered under Cooperative Societies Act was wound up as it suffered huge losses and was in deep financial crises. Cabinet decision No. 109/12 of 1999 dated 15.07.1999 taken in this regard was to wind up the Federation and adjust its employees suitably. The Cooperative Department was directed to submit detailed proposal at the earliest. As the follow up action was lacking, a long drawn litigation ensued. Cabinet decision No. 109/12 of 1999 dated 15.07.1999 taken in this regard was to wind up the Federation and adjust its employees suitably. The Cooperative Department was directed to submit detailed proposal at the earliest. As the follow up action was lacking, a long drawn litigation ensued. Finally appellants passed an order dated 26.10.2007, in terms whereof one post of Assistant Registrar, was withdrawn from the Public Service Commission and nine posts of Junior Supervisors/Sub Auditors were withdrawn from SSB. The decision in SWP No. 1839/1999 filed by 134 employees of the Federation held that Cabinet decision dated 15.07.1999 extended a promise to suitably adjust the employees of the erstwhile Federation. The State Government v/as held to be under an obligation to fulfill its promise of suitably adjusting of such employees. The doctrine of promissory estoppel was held to be attracted which estopped the appellants from wriggling out of its legal obligation to adjust the employees of the wound up Federation on the posts commensurate with the status and scales of pay enjoyed by them in the erstwhile Federation. The judgment was upheld in the Letters Patent Appeal and the appellants were directed to take a decision on the report of the Committee constituted by the State Government and pass appropriate orders within a given timeframe. The writ Court was perfectly justified in holding that adjustment of writ petitioners, respondents herein, suitably implied that such adjustment shall not have negative fallout on their emoluments, career and promotional avenues. Thus, the appellants could not place the writ petitioners in a pay scale lower than the one they held while in service of Federation. The promise extended to the writ petitioners also protected their future prospectus and entitled them to claim a higher grade after such number of years as they would have been entitled to as employees of the erstwhile Federation. The writ Court did not err in holding that service put in by the writ petitioners in the Federation did not get obliterated only because the State Government took a decision to wind up the Federation. The decision to wind up the Federation was further supplemented by the promise extended to the employees of the Federation that they will be suitably adjusted commensurate with their status, pay scales and career progression. The decision to wind up the Federation was further supplemented by the promise extended to the employees of the Federation that they will be suitably adjusted commensurate with their status, pay scales and career progression. The impugned judgment gives effect to the spirit of the Cabinet decision and cannot be held to be conferring a benefit on the writ petitioners to which they would not have been entitled to as employees of the erstwhile Federation, had the same not been wound up. In the aforementioned backdrop, the impugned judgment cannot be said to be flawed, warranting any interference. We, therefore, find that the appeal in hand lacks merit, which is, accordingly, dismissed alongwith CMP. Interim directions, if any, shall stand vacated forthwith.