Created byFuzzy Cloud

Supreme Court of India

ALL INDIA FEDERATION OF CENTRAL EXCISEversusUNION OF INDIA AND ORS.

Citation
1999 INSC 75
Decided
22 February 1999
Disposal
Disposed off

Holding

The 6:1:2 quota governs the order of filling vacancies in each cycle of nine promotions and does not require a permanent post composition; deviations to rectify past excesses are permissible, and any change to the quota must be made by amending the rules, not by court order.

Summary

The Supreme Court examined the interpretation of the 6:1:2 quota rule for promotion to Group A posts in the Indian Customs and Central Excise Service, which allocates vacancies among three feeder categories. Petitioners argued that the ratio must be maintained at all times and that vacancies created by retirement of a Central Excise promotee must be filled only by another Central Excise officer. The Court held that the quota applies to each cycle of nine vacancies, not to a permanent composition of posts, and that once officers are promoted to Group A they lose their feeder‑category identity, so vacancies need not be filled by the same feeder group. The Court also ruled that occasional deviation from the quota to correct earlier excess promotions is not unfair, and any alteration of the quota must be effected by amending the relevant rules, not by judicial direction. Consequently, the writ petition and related applications were dismissed, with limited permission to file a further application on quota modification.

Issues considered

  • The 6:1:2 quota must be maintained at all times in Group A posts or only for each vacancy cycle.
  • Whether a vacancy arising from retirement of a promotee from a particular feeder category must be filled by promotion from the same feeder category.
  • Whether deviation from the prescribed quota to correct an imbalance is unfair.
  • Whether the Court can direct a change in the quota rule or set a time‑limit for its implementation.

Subjects

Promotion quotaService lawGroup A postsIndian Customs and Central Excise ServiceQuota rule interpretationAd hoc promotionsAdministrative lawSeniorities

Judgment

-t


       ).._              ALL INDIA FEDERATION OF CENTRAL EXCISE                                    A
                                                       v.
                                      UNION OF INDIA AND ORS.

                                           FEBRUARY 22, 1999

                               [K. VENKATASWAMI, G.B. PATTANAIK                                    B

     -.."   .                      AND M. JAGANNADHA RAO, JJ.]

                      Se1vice Law:

                      Indian Customs and Central Excise Service Group A (Amendment)                c
                Rules: Rule 18.

                      Promotion-Feeder posts-Quota for--Retirement of promotee officer
                of a particular feeder category-Vacancy arising due to-Filling up of-Held
                : Need not necessarily be filled up by an officer of that particular feeder
                category only.                                                              D
      _.
        ""
                      Promotion-Feeder posts-Quota rule-Deviation from-Validity-
                 Quota rule of 6:l:2 prescribed for promotion from three feeder categories-Ex-
                cess promotions from one particular feeder category made-More officers
                from other two feeder cfltegories promoted in order to co"ect the imbalance        E
                thereby deviating from the quota rule-Held : Such deviation not unfair.

                        Promotion-Feeder posts-Quota for-Held : Quota rule has to be
                foil owed while making the promotion---lf any change is needed in the quota
                rule, it is for party concerned to make out a case therefor and take appropriate
                                                                                                   F
      ..•       steps for such a modification-No direction for change for quota rule, neces-
                sary.

                      The feeder categories for promotion to the posts in Group A
                services constituting the Indian Customs and Central Excise (Group A)
                Service are :-                                                        G
                      (a) Superintendents of Central Excise, Group B;
.... -..
      ~
                      (b) Superintendents of Customs (P), Group Band

                      (c) (i) Customs Appraisers, Group B;                                         H
                                                      809
                                                                                   +

    810                  SUPREME COURT REPORTS                  [1999] 1 S.C.R.
A         (d) (ii) Promotees from the feeder-cadres of Customs Examiners in
    the ratio of 50:50.

           The Central Government, in order to resolve the grievances of
    various groups of officers, made certain proposals dated 8.6.1989 which
B   were approved by this Court. According to these proposals, vacancies in
    Group A posts were to be filled up in the quota of 6 : 1 : 2. Paragraph 6.3
    of the said proposals also provided that further vacancies were to be filled
    up on the basis of a 'cycle' in the above order. The Indian Customs and
    Central Excise Service Group A (Amendment) Rules, 1998 were according-
    ly issued to give effect to the said proposals.
c
          On behalf of the petitioners it was contended that the quota of 6:1:2
    must be maintained at all times in Group A posts by ensuring that out of
    9 promotee officers in Group A, 6 must be from the Central Excise; that
    as per paragraph 4 of the proposals, which mentioned posts and not
D   vacancies; whenever a vacancy in Group A arose due to the retirement of
    a promotee officer belonging to the Central Excise it must be filled up by
    a promotee officer from Central Excise and not by a promotee officer from ·
    Categories (b) or (c), that the Central Government had deviated from the
    quota rule of 6:1:2 by promoting more officers from the other two feeder
    categories on an ad hoc basis; and that the quota of 6 : 1 : 2 applied to
E   posts and not vacancies.

          Dismissing the petition, this Court

          HELD : 1.1. There is no merit in the contention of the Writ
p   Petitioners that at all times Group A posts must contain a ratio of 6
    promotees of Central Excise for every 9 Group A posts. Such an intention
    does not follow from paragraph 4 or paragraph 6.1. of the proposals dated
    8.6.1989 or the Indian Customs and Central Excise Service Group A
    (Amendment) Rules, 1998. [819-H; 820-A]

G        1.2. The purpose of paragraph 4 of the proposals dated 8.6.1989 is to
  fix a quota of 6:3. between Central Excise and Customs Groups and to fix
  a further s·ub-quota of 1:2. between the two sub-categories in the Customs
  Department. It ·.vas never intended in the said paragraph 4 that there
  should always be 6 promotees from Central Excise for every 9 posts in
H Group A. [820-D-E]
                                                                                       •
      +
                 ALL INDIA FEDERATION OF CENTRAL EXCISE v. U.0.I.                811

 ).             2.1. It is nowhere stated in paragraph 6.1. of the proposals dated      A
          8.6.1989 that posts falling vacant due to the retirement of Central Excise
          promotee officer in Group A are to be filled up only by promotion of
          another officer from Central Excise. [820-G]

                2.2. Paragraph 6.3. of the proposals dated 8.6.1989 clearly refers to
          vacancies. There is no conflict between paragraphs 4, 6.1. and 6.3. On the    B
...       other hand, they from a harmonious scheme. Once officers from the three
          feeder categories are promoted to Group A, they cease to have their
          birthmarks of Group B in the promoted category of Group A. There would
          then be no question of filling up a vacancy in Group A created by the
          retirement of a promotee from Central Excise by another officer from the      C
          same Group. This is because, once promoted to Group A, the identity of
          the feeder channel from which they are promoted ceases to exist. [821-B]

                2.3. R.K Sabharwal's case is not applicable to the instant case
          because that case deals with the promotion of SC/ST officers for whom
          special provision has been made in Article 335 of the Constitution relating   D
          to adequate representation of the SC/STs in the services •. The birthmarks
          there remain even on promotion inasmuch as a particular number of posts
          in the promotional category are reserved to be filed in only from among
          SC/STs. But this is not so in the case of normal quota rules between two
          feeder channels for recruitment or promotion. [821-C-D-E]                     E

               Paramjit Siligh v. Ram Rakha, (1982) 3 SCC 19; State of Punjab v. Dr.
          R.N. Bhatnagar, [1998] 6 SCALE 642 and State of J & K v. Trilokhi Nath
          Khosa, (1974] 1 SCR 771, relied on.

 ~              R.K Sabharwal v. State of Punjab, [1995] 2 SCC 745, held inap~          F
          plicable.

               All India Federation ofCentral Excise v. Union of India, [1997] 1 SCC
          520 and Gagan Bakshi Yadav v. Union of India, JT (1996) 5 SC 118, referred
          to.
                                                                                        G
                 3. There have been excess promotions to Group A from the
          petitioners' category of Central Excise and, therefore, in order to correct
          this imbalance more officers from the other two feeder channels have been
          promoted on an ad hoc basis. Such a deviation from the quota rule of 6 :
          1 : 2 cannot be said to be unfair. [823-H; 824-A]                           H
    812                   SUPREME COURT REPORTS                    [1999) 1 S.C.R.
A         4. As long as a particular quota for promotion is fixed by a rule, it
    will have to be followed till the quota fixed therein is altered by appropriate
    amendment of the relevant rules. If any change of the quota is needed it
    is for the party concerned to make a case therefor and take appropriate
    steps for such a modification. It is not for this Court to issue any direc-
    tions in this regard. [824-H; 825-A]
B
          V.B. Badami v. State of Mysore, [1976) 2 SCC 901, relied on.
                                                                                      ...~



          CIVIL ORIGINAL JURISDICTION : I.A.Nos. 4.6-8 in Writ Peti-
    tion (C) No. 306 of 1988.
c                                       With

          Writ Petition (C) No. 651 of 1997.

          (Under Article 32 of the Constitution of India).
D         Ms. Shyamala Pappu, M.N. Krishnamani, A.K. Ganguli P.P. Rao,                4


    Rakesh Diwedi, Dr. Rajiv Dhawan, Anoop Choudhary, (Suman J.                        ...
    Khaitan,) for M/s. Khaitan & Co., M.R. Krishnamurthi, G. Dewansi, Ashok
    K. Mahajan, Ms. Chandan Ramamurthi, R.C. Parija, Debasish Mohanty,
    J.R. Das, Amitesh Kumar, Ms. Vimla Sinha, L.R. Singh, Dev H. Sobhani,
E   (In-person), Ashok K. Srivastava, P. Parmeswaran and V.K. Verma for the
    appearing parties.

          The Judgment of the Court was delivered by

          M. JAGANNADHA RAO, J. We have before us writ petition - W.P.
F 651 of 1997 and certain Interlocutory Applications bearing Nos. IA 4, 6 to              .,
    8 filed in an earlier Writ Petition No. 306 of 1988. The said W.P. No. 306
    of 1988 was disposed of by this Court by Judgment dated 22.11.1996 All
    India Federation of Central Excise v. Union of India, (1997) (1) SCC 520.
    Aggrieved by certain subsequent events, various parties have filed the writ
G   petitions and I.As.

          For the purpose of appreciating the disputes in these matters, it is
     necessary to set out the following facts:                                            ""

        The feeder categories for promotion to the posts in Group A services
H constituting the Indian Customs and Central Excise (Group A) Service are:
                  ALL INDIA FEDERATION OF CENTRAL EXCISE v. U.0.1. [M. JAGANNADHA RAO, J.) 813

         )._             (a) Superintendents of Central Excise, Group B (which consists          A
                             of all promotees from lower cadres;

                         (b) Superintendents of Customs (P) Group B (again all
                             promotees from lower cadres); and

                         (c) (i) Cust;lms Appraisers Group B (consisting of officers             B
         _,
        ..                   directly recruited through UPSC;

                              (ii) Promotees from the feeder-cadres of Customs Examiners
                              in ratio of 50:50).

                        During the pendency of the earlier writ petition, W.P. No. 306 of        c
                1988, the Government of India came forward with certain proposals dated
                8.6.1989 to resolve the long standing grievances of various groups of
                officers and to shorten litigation. This Court heard all the parties and their
                respective views on these proposals and accepted them. So far as the
                inter-se dispute between the two sub-categories in the third feeder category     D
          ...   (c) was concerned - namely promotee and direct recruit Customs Ap-
        ·-'
....'           praisers Group B, it was stated that the decision in Gagan Bakshi Yadav
                v. Union of India, J.T. (1996) 5 SC 118 would govern. In respect of
                promotion to Group A posts from all the three feeder groups, (a), (b) and
                (c) ·it was agreed that the proposals of the Government of India dated
                8.6.89 would govern. Under those proposals a new quota rule of 6:1:2 was         E
                to apply to these three feeder channels in Group B for promotion to Group
                A This Court observed that the proposals were just fair and equitable and
                accordingly, the Union of India should amend the Rules so far as promo-
                tion to Group A service was concerned and review all post- 1979 adhoc
         >':
                promotions to the posts of Senior Superintendent/Assistant Collector. This       F
                exercise was limited to the promotee quota of 50% of Group A posts from
                the three feeder channels because the remaining 50% in Group A was to
                be filled by direct recruitment. Certain other consequential directions were
                also given. The Writ Petition stood disposed of in terms of the said
                directions by Judgment dated 22.11.1996.
                                                                                                 ~
                      As stated in the counter-affidavit of the Union of India, thereafter,


1:
                Rule 18 of the Rules was amended on 23.3.1998 by the Indian Customs and
                Central Excise Service Group A (Amendment) Rules, 1998. Subsequently,
                the All India seniority List of Superintendents of Customs (P) and_ Super-
                intendents of Central Excise in Group A on the basis of their continuous         H
  •
   814                     SUPREME COURT REPORTS                   [1999] l S.C.R.

A length of service in Group B was issued. The seniority list of Customs
  Appraisers was also revised from 1961 and a final seniority list was pub-
  lished. In addition, a proposal for review of 1979 promotions was also
  started by requesting the UPSC to convene a meeting of the ·ope for
  reviewing the ad hoc promotees from 1980 onwards. Various other stages
B of review of the promotions at the level of Assistant Commissioner (Group
  A) and Deputy Commissioner were referred to in the counter affidavit of
  the Government of India. After the review of all promotions is completed,
  it was proposed to bring about a final list of Assistant Commissioners by
  interpolating the Direct recruit Officers in Group A and the promotees
  from Group B, as promoted from the three feeder categories. But in the
C meantime, in view of the delay in the review to be done by the UPSC, it
  had become necessary to make further 'ad hoc' promotions to Group A
  posts. As the bulk of these adhoc promotions had not come from the feeder
  category of Superintendents, Central Excise Group B, they had filed W.P.
  No. 651 of 1997 questioning these ad hoc promotions. They also raised
D questions regarding interpretation of the Government's decision dated
  8.6.89 and the subsequent amendment of the Rules in 1998. I.A. No. 4 was
  filed by the Direct recruit Customs Appraisers. I.A. No. 6 was filed by the
  Customs Superintendents (p). The Writ petitioner filed Contempt Petition
  No. 513 of 1997 and this Court ordered on 6.4.1998 the same to be
  registered as an I.A. IA 8 goes alongwith W.P. 651 of 1997. We shall deal
E with these matters one after the other.
    Writ Petition No. 651 of 1997:

         The petitioners in W.P. No. 651 of 1997 represented by learned
  senior counsel Smt. Shyamla Pappu, are the members of the All India
F Federation of Central Excise Gazetted Executive Officers Association who
  are Superintendents of Central Excise in Group B, representing the first
  of the three feeder groups. They contend that the true basis of the proposal
  of the Union of India dated 8.6.89 as reflected by para 4 and para 6.1
  thereof is that at all times the ratio of 6: 1:2 from the three feeder categories
G of Superintendent's Central Excise, Superintendents of Customs (Preven-
  tion) and Customs Appraisers, - all in the Group B - is to be reflected in
  the Group A posts. They contend that this was what was accepted by this
  Court in the Judgment dated 22.11.96 and that this principle is also
  incorporated in the Rules as amended in 1998. According to the
  petitioners, the intention behind these rules also is that at all times,
                                                                                      -
H whenever computation .is to be made, the Superintendents of Central
          -+
                 ALLINDIAFEDERATION OF CENlRAL EXCISE v_ U.0.1. [M-JAGANNADHA RAO, J.] 815

               Excise in Group A category must consist of promotees of Central Excise            A
               Superintendents from Group B in proportion of 6 out of 9. This is because
               in practice, most of these officers are aged and no sooner they are
               promoted, they are retiring. Therefore, it is contended, the ratio must be
               applied vis-a-vis the posts in Group A but not to the vacancies in Group
               A as and when they arise. If the ratio is to be applied as a:nd when the
               vacancies arise, then even though some Central Excise Superintendents             B
               Group B get their promotions as per the above quota, the required
..,.._.        proportion of 6 out of 9 in Group A posts will not always be m<Jintained
               because of the frequent retirements of these promotees drawn from
               Central Excise Superintendents Group B category. Reliance is placed upon
               R.K. Sabharwal v. State of Punjab, [1995) 2 SCC 745 by the learned senior
               counsel for the petitioners.
                                                                                                 c
                     This contention is opposed by almost all the learned senior counsel
               for the respondents, namely Shri Anoop Chowdhury for the Union of India, ·
               Sri Rajeev Dhawan and by Sri P.P. Rao for the other feeder categories.
               Respondents' counsel rely on para 6.3 of the proposals dated 8.6.89 where D
   ,.._        the procedure for filling the vacancies has been set out and also on State
               of Punjab v. Dr. R.N. Bhatnagar, [1998) 6 SCALE 642, to contend that in
               a quota rule like the one before us dealing with promotions, there is no
               question of filling up the vacancy in the higher cadre caused by retirement
               of a Excise Superintendent Group A promoted from the cadre of Excise
               Superintendent Group B, by another officer from the same feeder group E
               in Group B.

                     The point therefore turns upon the true intention behind the
               proposals of the Union Government dated 8.6.89, the text of which has
               been incorporated in the earlier Judgment of this Court and also upon an
               interpretation of the Rules as amended in 1998, pursuant to the Judgment.         F
               As the question primarily depends upon the interpretation of the various
               paragraphs of the proposals dated 8.6.89, it becomes necessary to set out
               the same once again:

                       "16. The relevant portions of the proposal are set out below:
                                                                                                 G
                       2.2. The seniority list of each of the above three feeder cadres is
                       local and is maintained by each collectorate/Custom House- wise.
                       The all-India lists of the first two feeder cadres are prepared on
                       the basis of continuous length of regular service in the grade,
                       subject to maintenance of inter se seniority of each local cadre.         H



                                                                                             •
        816                SUPREME COURT REPORTS                     [1999) 1 S.C.R.

A             The inter se ranking in the 3rd feeder cadre (that is, Customs
              Appraisers) was as per the 'General Principles of determining
              seniority of various categories of persons employed in Central
              Service' (generally known as quota-rota principles) stipulated in
              the Ministry of Home Affairs OM No.9/11/55- RPS dated
              22.12.1959 (which were modified by the Department of Personnel
    B         and Training OM No.35014/2/80-Estt. (D) dated 7.9.1986), prior
              to the framing of the Indian Customs and Central Excise Service
              Group 'A' Rules, 1987. In these Rules of 1987, it has been provided
              vide sub-rule (2) of Rule 18 that--

    C             (a) The vacancies to be filled by promotion shall be filled in
              accordance with the common seniority list of the three Group 'B'
              categories of the officers mentioned in sub-rule (1) above.

                  (b) The seniority of the officers in Group 'B' feeder categories
              of service for eligibility for promotion to Group 'A' shall be
    D
              determined on the basis cif their regular length of service in their
              respective Group 'B' categories, subject to the condition that the
              inter se seniority in each feeder category of service shall be main-
              tained.

    E         3.1 The question of determining the seniority of the Group 'B'
              Officers of the different feeder cadres in the quota for promotion to
              the grade of Assistant Collector/Senior Superintendent Group 'A' has
              been the subject-matter of dispute in a number of cases, and thus,
              unfortunately, remained unresolved so far. There have been claims
    F         and counter- claims by the officers of the different feeder cadres.
              Even at present, this dispute is the subject-matter of a number of writ
              petitions, inter alia before the Hon'ble Supreme Court.

              3.2 Careful thought has once again been given to find a just and
              fair solution with a view to resolving this long outstanding dispute
    G         taking into account the reasonable prospects of promotion of
              officers of different feeder cadres. It is expected and hoped that,
              given the goodwill and a sense of reason on the part of all the
              concerned parties, it should be possible to find a solution which is
              just and fair to find a solution from both the streams - namely
    H         Customs and Central Excise.




•
              ALL INDIA FEDERATION OF CENTRAL EXCISE v. U.o.J. [M. JAGANNADHA RAO, J.J 817

                    4, With this object in view, the Board have taken stock of the nature A
                    of Group 'A' entry grade posts (Senior Superintendents/Assistant
                    Collectors) which are the subject-matter of dispute. For this pur-
                    pose, the total number of posts in the entry grade of Group 'A'
                    Service have been divided as (i) Central Excise posts and (ii)
                    Customs posts, on the basis of functions which each post is re- _ B
                    quired to perform. Posts required to perform wholly or
      ...           predominantly functions under the Central Excise posts. Similarly
    '1-- ,_
                    posts required to perform wholly or predominantly functions under
                    the Customs Act have been treated as Customs posts. The ratio
                    so arrived at has been applied for dividing the common posts in
                    the Directorates and CEGAT. This calculation gives the ratio of
                                                                                             c
                    65:36 as between Central Excise and Customs posts. Since the
                    posts and persons manning them cannot be divided into fractions,
                    the figures have been rounded to 67:33 so as to give the workable
                    ratio of 2: 1.
                                                                                             D
       -+
-   --             5.1 The proposal is that the promotee quota vacancies in the Group
                   'A' grade of Senior Superintendent/Assistant Collector may be
                   filled from Central Excise and Customs Group 'B' Officers in the
                   ratio of 2: 1, the number of vacancies falling to the share of Customs
                   Group 'B' Officers being further apportioned between the two              E
                   feeder cadres of customs - namely, Customs Appraisers and Cus-
                   toms (Preventive) Superintendents in the ratio of their respective
                   sanctioned strength (which, rounded off to workable ratio, comes
                   to 2:1).
                                                                                             F
       -~

    _.             5.2 The need to further sub-divide the number of vacancies in the
                   share of the Customs Group 'B' Officers between the Customs
                   Appraisers and Customs (P) Superintendents arises because : (a)
                   the two feeder cadres of Customs Appraisers and Customs (P)
                   Superintendents are different and separate, (b) their seniority lists G
                   are separate, ( c) whereas recruitment to Customs (P)
                   Superintendents' Grade is 100% by promotion, in the case of
    -.
     ...           Customs Appraisers, it is 50% by direct recruitment and 50% by
                   promotion, and (d) in terms of the General Principles governing
                   determination of seniority laid down by the M.H.A./DOP&T, H
    818                SUPREME COURT REPORTS                 [1999] 1 S.C.R.
A         where there are more than one feeder cadres, the inter se seniority
          of each feeder cadre is required to be maintained while preparing
          the seniority list in the higher grade to which promotions are to
          be made, which is also the promotion in the 1987 Recruitment
          Rules of IC & CES Group 'A'.
B         6.1 It is noticed that Central Excise Group 'B' Officers get their
          promotion to Group 'B' after having put in, by and large, very long
          years of service in Group 'C' and, consequently, they are of much
          older age group as compared to Customs Appraisers. Therefore,
          placing the Superintendents of Central Excise first and placing
c         Customs Officers thereafter, in the promotion panel would not
/
          present any ~aterial disadvantage to Customs Officers. The age
          group of Superintendents of Central Excise is, by and large, such
          that they would retire before their turn for next promotion to the
          grade of Deputy Collector comes. As of now, there is hardly any
D         Deputy Collector of Central Excise anywhere in India who is a
          promotee from Group 'B' in the Central Excise; Central Excise
          Officers would generally retire as Assistant Collectors, thereby
          increasing the chances of officers of younger age group from the
          Customs stream for their next promotion to the grade of Deputy
E         Collector.

          6.2 By and large, similar position would be there in the case of
          Customs (P) Superintendents vis-a-vis Direct Recruit Customs
          Appraisers. Therefore, a reasonable placement in the combined
          all- India seniority list may be in the following order:
F
             (i) Superintendents of Central Excise, Group 'B'

             (ii) Superintendents of Customs (P) Group 'B'

             (iii) Customs Appraisers.
G
          6.3 To sum up, according to the above formula, each bunch of 9
          vacancies in the promotion quota for Group 'B' feeder cadres will
          be apportioned in the ratio 6: 1:2 consisting of Central Excise
          Superintendents, Customs (P) Superintendents and Customs Ap-
H         praisers respectively. To illustrate, if 9 vacancies exist for the
                 ALLINDIA FEDERATION OF CENTRAL EXCISE v. U.0.1. [M. JAGANNADHA RAO, J.) 819

                       promotee quota in Group 'A' entry point, the fust six vacancies A
                       would go to Superintendents of Central Excise, the seventh vacancy
                       to customs (P) Superintendents and the eighth and ninth to Ap-
                       praisers; further vacancies to be filled up on the basis of a 'cycle' .
                       in the above order.

                       7. For the purpose of making promotions to Group 'A' separate           B
    -~
                       consideration lists of Superintendents of Central Excise on the one
    ~      .           hand, and Appraisers (both direct recruits and promo tees) and
                       Preventive Superintendents of Customs on the other hand, would
                       be drawn up first on all-India basis. While Group 'B' Officers of
                       the two feeder cadres-namely, Superintendents of Central Excise         c
                       and Superintendents of Customs (P) - may be placed in their
                       respective consideration lists on the basis of their continuous
                       length of service in Group 'B', the Gro'up 'B' Officers of the feeder
                       cadre of Appraisers may be placed in their list on the basis of the
                       principles of quota-rota as in the General Principles laid down
                       from time to time in the instructions of MHA/DOP&T applicable           D
    ...
        ~
                       to all the Services under the Union of India, circulated on
                       22.12.1959 and 7.2.1986."

                     It will be noticed from para 4 of the above proposals of the Govern-
               ment of India dated 8.6.89 that as between the Excise Department Officers       E
               and the Customs Department Officers, the promotions from Group B to
               Group A are to be in the ratio of 2:1 or 6:3, that is to say, 6 will go to
               promotees from Central Excise Superintendents Group B, thereafter, out
               of the next 3 promotions meant for the Customs Department, one will go
               to Superintendents (P) Customs and 2 to Customs Appraisers Group B.
                                                                                               F
               The order of the promotions is also set out in the ratio of 6: 1:2 between
    _.'•       Superintendents Excise, Superintendents (P) Customs and Appraisers,
               Customs, namely first 6, then one and lastly two, respectively from these
               three feeder channels. Para 6: I refers to the factual aspect of the Central
               Excise Superintendents Group A - promoted from Central Excise Super-
               intendent Group B - retiring frequently. Para 6.3 gives an example as to        G
               how the vacancies in Group A, as and when they arise, are to be filled.
    ~>
"                     In our opinion, there is no merit in the contention of the Writ
    •          Petitioners that at all times Group A posts must contain a ratio of 6
               promotees of Central Excise Superintendents Group B for every 9 Group           H
   820                   SUPREME COURT REPORTS                  (1999] 1 S.C.R.

A A posts. Such an intention does not follow from para 4 or para 6.1 of the
    proposals dated 8.6.89 or the Rules as amended in 1998.

        It will be noticed that prior to the proposals 8.6.89, there was no
  quota as between the three feeder groups for purpose of promotion to
  Group A and it appears promotions were being made on rhe basis of the
B length of service or continuous officiation. But then, it was found over a
  period that such a procedure created various grievances among the three         >
  feeder groups. Therefore, introduction of a quota system was found to be
  necessary. Then the next question before the Department was as to what
  was to be the quota between the various groups. Obviously it was to be one
C providing an equitable distribution of Group A posts between the three
  feeder groups. For that purpose the department went into the question as
  to the posts having distinctive functions in the two main groups, the Excise
  and the Customs Departments and then it went into the same question in
  the two sub groups of the Customs officers. After finding out the number
  of posts in the two main groups of Excise and Customs, it was obviously
D decided that a quota of 2:1 or 6:3 would be fair as between Excise &
  Customs groups and that a further sub-quota of 1:2 would be, just as
  between the two sub categories in the Customs Department. That was how
                                                                                  ... _
  the quota of 6:1:2 appears to have been arrived at. We are clear in our
  mind that, on a fair reading of the whole of para 4, that was all the purport
E of para 4 and it was never intended in the said para 4 that in the promoted
  category of Group A officers, there should always be 6 promotees from
  Excise Superintendents, Group B for every 9 posts in Group A.
                                                                                          -
         Learned counsel for the petitioners relied also upon para 6.1. There
  is .no doubt a reference in para 6.1 to the frequent retirements of those
F Group A officers who are promoted from the category of Excise Superin-
  tendents Group B but that fact, in our opinion, has been referred there for
  the limited purpose of giving precedence to the Excise Superintendents
  Group B for promotion to the first 6 vacancies in. Group A, in every cycle
  of 9 vacancies. It is no where stated in para 6.1 that because of such
  retirement of Excise Superintendents Group B on promotion to Group A,
G every such vacancy is to be filled only by promotion of another officer from
  Central Excise Superintendents Group B.

       The respondents are therefore right in relying on para 6.3. That para
  works out an example. It says that as and when vacancies arise in Group
H A give first 6 vacancies to 6 from Excise Superintendents Group B, then
               All INDIA FEDERATION OF CEN1RAL EXCISE~ U.O.L [M JAGANNADHA RAO, J.) 821

    ::..     the next vacancy to Customs Superintendent (P) and then the further- two     A
             vacancies to the Custonis Appraisers, in that order. Thus, on an analysis
             of paras 4, 6.1 and 63, we find no conflict whatsoever between the said
             paras. On the other hand, they form a harmonious scheme. The result is
            . that once officers from these three feeder categories are promoted to
              Group A, they cease to have their birthmarks of Group B in the promoted
              category of_ Group A. There would then be no question of filling up a
                                                                                          B

...'         vacancy in Group A created by the retirement of a promotee Excise
             Superintendent Group B by another officer from the same group. This is
             because, once promoted to Group A, the identity of the feeder channel
             from which they are promoted ceases to exist.
                                                                                          c
                   Reliance by the petitioners is placed upon R.K. Sabilarwal's case
            (1995) 2 sec 745. That case deals with the principle that the posts vacated
            by an officer recruited from SC/ST category must be filled in only by the
            same reserved category. This is because of the special provision in Article
            335 of the Constitution of India relating to adequate representation of the
     ...    SC/STs ui the services. The birth marks there remain even on promotion
                                                                                         D
    ...     inasmuch its a particular number of posts in the promotional category are
            reserved to be filled in only from among SC/STs. bn the other hand, so
            far as a normal quota rule between two feeder channels for recruitment or
            promotion is concerned, be it between direct recruits and promotees or
~
            promotion by a quota between different feeder groups (as in the case -E
            before us), the relevant precedents, are Paramjit Singh & Others v. Ram
            Rakha & Others, (1982) 3 SCC 191 and State of Punjab & Others v. Dr. R.N.
            Bhatnagar & Another, [1998) 6 SCALE 642. In Paramjit Singh's case which
            related to recruitment from among promotees and direct recruits, DA.


    -
            Desai, J. pointed out that if a quota rule between direct recruits and
      ...   promotees were treated as a rule of reservation, then because of the
                                                                                         F
            frequent retirements of the promotees who were generally closer to retire-
            ment, most vacancies in the promotional posts would repeatedly go to the
            aged promotees leaving little scope for direct recruitment. At page 196, the
            learned Judge clarified as follows:
                                                                                          G
                     'What this Court meant while saying that when a quota rule is
    ~.               prescribed for recruitinent to a cadre, it meant that quota should
      "'             be co-related to the vacancies which are to be filled in. Who retired
                     and from what source he was recruited may not be very relevant
                     because retirement from service may not follow-the quota rule."       H
    822                   SUPREME COURT REPORTS                  [1999) 1 S.C.R.
A The learned Judge further pointed out:

            'Promotees who come to the service at an advanced age may retire
            early and direct recruits who enter the service at a comparatively
            young age may continue for a long .-time. If, therefore, in a given
            year larger number of promotees retire and every time the vacancy
B
            is filled in by referring to the wurce from which the retiring person
            was recruited, it would substantially disturb the quota rule itself.
            Therefore, while making recruitment quota rule is required to be
            strictly adhered to."

C        On the facts of that case, it was pointed out that the quota there for
  recruitment was 4:1 between promotees and direct recruits and that there-
  fore, 'whenever vacancies occur in the service, the appointing authority h~
  to go on recruiting according to quota. In other words, whenever vacancies
  occur, first recruit four promotees i"espective of the factors or circumstances
D causing the vacancies and as soon as four promotees are recruited bring in
  a direct recruit".

         A like situation arose in State of Punjab & Others~- RN. Bhatnagar
    & Another, [1998) 6 SCALE 642. That was again a case of recruitment by ·
    promotion to the posts of Professors -from the category of Additional
E Professors and also by way of direct recruitment, in the ratio of 3:1. The
  Additional Professors, who represented the promotee feeder group having
  a quota of 3 vacancies in the cadre of Professors contended that whenever
  a Professor retired, one has to find out whether he was a promotee or a
  direct recruit. If the vacancy was created by retirement of a promotee, then
F the said vacancy in the promotional cadre had to be filled only by a
  promotee from the lower cadre and not by way of direct recruitment.
  Reliance -for the said contention was placed by the promotees on
  Sabharwal's case. This Court distinguished Sabharwal's case as relating to
  a scheme of reservation and observed that in a system of quota between
  promotees and direct recruits, once the posts in the higher cadre were
G filled, thereafter if vacancies arose (say) by retirements, then it was not
  permissible to treat the vacancy as a vacancy earmarked for the category
  to which the retiree belonged before being promoted or recruited. Once
  the recruitment was made from two chaunels, the birth marks got erased
  as stated in State of J & K v. Trilokhi Nath Khosa, [1974) 1 SCR 771). In
H Dr. Bhatnagar's case [1998) 6 Scale 642, Majmudar, J. observed (at p.652)
                ALL INDIA FEDERATION OF CENTRAL EXCISE v. V.0.1. (M. JAGANNADHA RAO, J.J 823

              as follows:                                                                      A
                      "The quota o•f perc!!ntage of departmental promotees and direct
                      recruits has to be worked out on the basis of the roster points
                      taking into .consideration vacancies that fall due at a given point
                      of time. As stated earlier, as the roster for 3 promotees and one
                      direct recrJ!lit moves forward, there is no question of filling up the   B
      ~.              vacancy cteated by the retirement of a direct recruit by a direct
    -., ..            recruit or the vacancy created by a promotee by a promotee.
                      Irrespecfrve of the identity of the person retiring, the post is to be
                      filled by '1'.he onward motion of 3 promotees and one direct recruit."

              The position in• regard to the quota of 6:1:2 in the case before us is no
                                                                                               c
              different.

                    For th.e aforesaid reasons, we are unable to agree with the contention
              of learned .senior counsel for the writ petitioners Smt. Shyamala Pappu.
       ....                                                                                    D
    ....              Le-arned senior counsel for writ petitioners furnished some data by
              way of tabular statements to show that those in Group A promoted from
              Supe•rintendents of Excise Group B are a diminishing number and are
              newer 6 out of 9 in the promoted post. But, in our view, that is not the way
              'llf lookiug at the problem in a case of ordinary quota as distinct from a
               scheme of reservation. The procedure indicated in the Government of E
               India's proposals dated 8.6.89 in para 6.3 appears to us to be the correct
               one. We have already referred to it. It says that if vacancies arise in the
               Group A posts (towards the 50% quota of promotees as distinct from 50%
               quota for direct recruits to Group A) they are to be filled up from among

      ..'*'    the three feeder categories, the first six vacancies by Superintendents F
               Central Excise in Group B, the seventh vacancy Customs (P) Superinten-
               dents and the eighth and ninth the Customs Appraiser group. That corn-
               pletes one cycle. The further vacancies as and when they arise in Group A
'              are to be filled again by following the same procedure. There was a
               grievance raised by the writ petitioners that pending consideration of
               names by the UPSC for promotion to Group A, adhoc promotions have G
               been made to Group A and rnemlers from the first feeder category, .
    .,.,       namely, Superintendents of Excise Group B were not promoted. This was
        ~
               particularly so after the earlier judgment. In other words, the complaint is
               that for the said adlwc promotions, the quota rule of 6:1:2 has not been
               followed. The answer of the Union of India in this behalf is that it has been H
                                                                                          .l>'

    824                   SUPREME COURT REPORTS                    [1999) 1 S.C.R.
                                                                                      I
A found that earlier there have been excess promotions to Group A from the                 ~

    petitioners' category of Excise Superintendents Group )3 and therefore
    presently, more officers from the other two feeder chahnels ' have been'
    promoted ori an adhoc basis so that there will be no imbalcmce when the
    final review takes place. Even assuming that for purposes of i1dhoc promo-
    tions it would have been fair to follow the ratio of 6:2: 1, the respondents
B   have shown adequate justification for not following the sai(j ratio while·
    !llaking adhoc promotions. Thus if or.e of these groups in t~e quota has
    had more promotions earlier and if the Government of India wants to off-
                                                                                            ..
                                                                                            >·


    set the said advantage, such an action cannot be said to be unfair.

c         For the aforesaid reasons, this W.P. No. 651 of 1997 is lil\ble to be
    dismissed. The same points are raised in IA 8 and for the same. reasons,
    the said IA is also liable to be dismissed.

           In IA. No. 4, the applicants are the Customs Appraisers (C>irect
    recruits) and their learned senior counsel, Sri Rajeev Dhawan contends
D   that it will be sufficient that this Court fixes some time limit for impleml~n-         .,.
    tation of the judgment of this Court dated 22.11.96 and directs preparatio'11            ·-4.

    of an inter se seniority .list .of direct recruits Assistant Collectors ana'
    promotee Assistant Collectors within their quota and also for review of all                         I
    promotions. There can be no objection for fixing some. reasonable time                          I
    limit.                                                                                          ~
E
            IA. No.6 and IA.No. 7 are connected. I.A. No. 7 is filed for permis-
    sion to file I.A. No.6. I.A. No.6 is filed by the Customs Superintendents (P)
    and their learned senior counsel Sri P.P. Rao contended that the ratio of
    6:1:2 was based upon the cadre strength of 1989 and that the said ratio was
F   liable to be altered going by the cadre strength or posts now available. The             ~


    learned counsel contended that such a principle was already imbedded in
    the proposals dated 8.6.89 of the Government of India as extracted in the
    earlier judgment. According to him the department could not be permitted
    to proceed on the assumption that the ratio of 6: 1:2 was to be followed for
    a:ll time.
G
         It may be noted that as long as a particular quota is fixed by a rule,
  it will have to be followed till the quota fixed therein is altered by ap-
  propriate amendment of the relevant rules. As held in V.B. Badami v. State
                                                                                             ·-
                                                                                             ..,
  of Mysore, [1976) 2 SCC 901 at 910, quotas which are fixed can only be                                t
H altered by a fresh determination of the quota. It will be for the applicants
               ALL INDIA FEDERATION OF CEN1RAL EXCISE v. U.0.1. (M. JAGANNADHA RAO, J.( 825

      .,     to take such steps as they_ deem fit, if they feel aggrieved about the existing   A
i     '""'   quota but the filing of this IA is not the proper remedy. We are not also
             prepared to accept that the proposals of the Government of India dated
             8.6.89 themselves visualised a constant change in the quota from time to
             time. Such a change, in our view, has to be done by a fresh determination
             and it is for the applicants to make out a case therefor and take the
             necessary steps for such modification.
                                                                                               B

    -. •           For the aforesaid reasons, Writ petition No. 651of1997 and I.A.No.8
             are dismissed. IA No.7 is allowed granting permission to file IA No.6. But
             IA N o.6 is dismissed leaving it to the applicants to make out a case for
             change of the quota and take appropriate steps as the applicants may deem         C
             fit. We express no opinion as to the merit of such claim. The above matters
             are all disposed of as stated above.

                   IA No.4 in Writ Petition No.306 of 1988, there will be a direction to
             the Union of India to take steps for implementation of the judgment of this
                                                                                               D
    ..       Court dated 22.11.1996 in Writ Petition No.306 of 1988 as expeditiously as
             possible and at any rate within a period of six months from the date of
             receipt of this judgment.

             v.s.s.                                              I.A Nos. 4, 6 disposed of.
                                                                   I.A. No. 5 dismissed of.




    .....


Search Indian case law

Ask in plain English, not just keywords. 25,000 AI words free, no card.

Try "Promotion quota"Sign in to search

For a digitally signed copy suitable for filing, refer to the court's own website. Only the court can issue one.