IN THE HIGH COURT OF JUDICATURE AT PATNA LPA No.298 of 2007 1. UTTAR BIHAR KSHETRIYA GRAMIN BANK (ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK) HEAD OFFICE –KALAMBAGH ROAD, MUZAFFARPUR THROUGH ITS CHAIRMAN. 2. BOARD OF DIRECTORS, UTTAR BIHAR KSHETRIYA GRAMIN BANK, (ESRTWHILE SIWAN KSHETRIYA GRAMIN BANK), KAMALBAGH ROAD, MUZAFFARPUR. VERSUS 1. OM PRAKASH UPADHYAY, SON OF LATE SHRI BISHWANATH UPADHYAY, RESIDENT OF SHRINAGAR, P.S. SIWAN MUFFASIL, DISTRICT-SIWAN, PRESENTLY POSTED AS BRANCH MANAGER AT UTTAR BIHAR KSHETRIYA GRAMIN BANK, BRANCH OFFICE- HASANPURA, DISTRICT-SIWAN. 2. SRI S.A. KHAN, CHAIRMAN OF THE BANK, RAJVANSHI NAGAR, SIWAN 3. MR. MARUF KHAN, D.D.M. NABARD, DIRECTOR OF THE BANKS BOARD OF DIRECTORS, RAJVANSHI NAGAR, SIWAN. 4. SHRI N.R. DEONATH REGIONAL MANAGER CENTRAL BANK OF INDIA DIRECTOR OF THE BANK’S BOARD OF DIRECTORS, RAJVANSHI NAGAR, SIWAN 5. RAM SOBHIT PASWAN, MEMBER INTERVIEW BOARD, GENERAL MANAGER, SARAN KSHETRIYA GRAMIN BANK, SARAN THROUGH THE BANK RAJVANSHI NAGAR, SIWAN. --------------------- FOR THE APPELLANTS: MR. AJAY KUMAR SINHA, ADV. FOR THE RESPONDENT-BANK: DR. S.N. JHA, SR. ADV. MR. CHAKRAPANI, ADV. WITH LPA No.301 of 2007 1. UTTAR BIHAR KSHETRIYA GRAMIN BANK (ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK) HEAD OFFICE –KALAMBAGH ROAD, MUZAFFARPUR THROUGH ITS CHAIRMAN SHRI A.B. JOG. 2. CHAIRMAN, UTTAR BIHAR KSHETRIYA GRAMIN BANK (ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK) HEAD OFFICE –KALAMBAGH ROAD, MUZAFFARPUR. 3. BOARD OF DIRECTORS, UTTAR BIHAR KSHETRIYA GRAMIN BANK (ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK) KALAMBAGH ROAD, MUZAFFARPUR THROUGH ITS CHAIRMAN SHRI A.B. JOG. VERSUS ANUP KUMAR BARIAR, SON OF LATE JAGDEO PRASAD BARIAR, RESIDENT OF P.O. AND P.S. DAUD NAGAR, DISTRICT-AURANGABAD, PRESENTELY POSTED AS OFFICER OF SIWAN KSHETRIYA GRAMIN BANK(NOW GRAMIN BANK) RAJBANSHI NAGAR, SIWAN. WITH LPA No.310 of 2007 1. SRI BHUPENDRA KUMAR, SON OF LATE DAYA NAND PRASAD, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, CONTROLLING OFFICE, DARBHANGA,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN). 2. SHRI VIRENDRA KUMAR SINGH, SON OF LATE RAM BADAN SINGH, SENIOR MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, MAIN BRANCH, GOPALGANJ,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN). 3. SHRI GOPAL NARAYAN, SON OF CHATURBHUJ NARAYAN, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, AREA OFFICE, HAJIPUR,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. 4. SHRI VINOD KUMAR, SON OF SRI RAMESHWAR PRASAD, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, CONTROLLING OFFICE, BETTIAH,,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN). 5. SHRI JEETENDRA NARAYAN SINGH, SON OF LATE BHAGWAT SINGH, UTTAR BIHAR KSHETRIYA GRAMIN BANK, MAIN BRANCH, SIWAN, (OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN). - 2 - 6. SHRI SATISH CHANDRA, SON OF PUNAM CHAND, SENIOR MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, BRANCH-JAMO BAZAR, DISTRICT- SIWAN ,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. 7. SHRI HEMANT KUMAR, SON OF LATE JAG NARAYAN SRIVASTRAVA, SENIOR MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, HEAD OFFICE, MUZAFFARPUR,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. 8. SHRI ASHOK KUMAR SINGH, SON OF LATE RAM NARAYAN SINGH, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, CONTROLLING OFFICE, SIWAN,,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. VERSUS 1. SRI ANUP KUMAR BARIAR, SON OF LATE JAGDEO PRASAD BARIAR, RESIDNT OF P.O. AND P.S. STATION DAUD NAGAR, DISTRICT- AURANGABAD, PRESENTLY POSTED BRANCH MANAGER AT UTTAR BIHAR KSHETRIYA GRAMIN BANK, BRANCH OFFICE-MURIARI, DISTRICT -SIWAN. (WRIT PETITIONER) 1. UTTAR BIHAR KSHETRIYA GRAMIN BANK (ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK) HEAD OFFICE-KALAMBAGH ROAD, MUZAFFARPUR THROUGH ITS CHAIRMAN 2. CHAIRMAN, UTTAR BIHAR KSHETRIYA GRAMIN BANK, (ESRTWHILE SIWAN KSHETRIYA GRAMIN BANK), HEAD OFFICE, KALAMBAGH ROAD, MUZAFFARPUR. 3. BOARD OF DIRECTORS, UTTAR BIHAR KSHETRIYA GRAMIN BANK, (ESRTWHILE SIWAN KSHETRIYA GRAMIN BANK), KAMALBAGH ROAD, MUZAFFARPUR. WITH LPA No. 340 of 2007 1. SRI BHUPENDRA KUMAR, SON OF LATE DAYA NAND PRASAD, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, CONTROLLING OFFICE, DARBHANGA,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN). 2. SHRI VIRENDRA KUMAR SINGH, SON OF LATE RAM BADAN SINGH, SENIOR MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, MAIN BRANCH, GOPALGANJ, ,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN). 3. SHRI GOPAL NARAYAN, SON OF CHATURBHUJ NARAYAN, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, AREA OFFICE, HAJIPUR, ,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. 4. SHRI VINOD KUMAR, SON OF SRI RAMESHWAR PRASAD, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, CONTROLLING OFFICE, BETTIAH,,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN 5. SHRI JEETENDRA NARAYAN SINGH, SON OF LATE BHAGWAT SINGH, UTTAR BIHAR KSHETRIYA GRAMIN BANK, MAIN BRANCH, SIWAN, (OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN). 6. SHRI SATISH CHANDRA, SON OF PUNAM CHAND, SENIOR MANAGER, UTTAR PRADESH KSHETRIYA GRAMIN BANK, BRANCH-JAMO BAZAR, DISTRICT- SIWAN ,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. 7. SHRI HEMANT KUMAR, SON OF LATE JAG NARAYAN SRIVASTRAVA, SENIOR MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, HEAD OFFICE, MUZAFFARPUR,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. 8. SHRI ASHOK KUAMR SINGH, SON OF LATE RAM NARAYAN SINGH, AREA MANAGER, UTTAR BIHAR KSHETRIYA GRAMIN BANK, CONTROLLING OFFICE, SIWAN,,(OFFICER SCALE-III OF ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK, HEAD OFFICE, SIWAN. VERSUS 1. OM PRAKASH UPADHYAY, SON OF LATE SHRI BISHWANATH UPADHYAY, RESIDENT OF SHRINAGAR, P.S. SIWAN MUFFASIL, DISTRICT-SIWAN, PRESENTLY POSTED AS BRANCH MANAGER AT - 3 - UTTAR BIHAR KSHETRIYA GRAMIN BANK, BRANCH OFFICE- HASANPURA, DISTRICT-SIWAN.(WRIT PETITIONER). 2. UTTAR BIHAR KSHETRIYA GRAMIN BANK (ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK) HEAD OFFICE-KALAMBAGH ROAD, MUZAFFARPUR THROUGH ITS CHAIRMAN. (RESPONDENT) 3. BOARD OF DIRECTORS, UTTAR BIHAR KSHETRIYA GRAMIN BANK, (ERSTWHILE SIWAN KSHETRIYA GRAMIN BANK) KALAMBAGH ROAD, MUZAFFARPUR (RESPONDENT NO.6) 4. SRI S.A. KHAN, CHAIRMAN OF THE BANK, RAJVANSHI NAGAR, SIWAN 5. MR. NURUL HASAN, D.D.M. NABARD, DIRECTOR OF THE BANKS BOARD OF DIRECTORS, RAJVANSHI NAGAR, SIWAN. 6. SHRI N.R. DEONATH REGISONAL MANAGER CENTRAL BANK OF INDIA, DIRECTOR OF THE BANKS BOARD OF DIRECTRS, RAJVANSHI NAGAR, SIWAN. 7. RAM SOBHIT PASWAN, MEMBER INTERVIEW BOARD, GENERAL MANAGER, SARAN KSHETRIYA GRAMIN BANK, SARAN THROUGH THE BANK RAJVANSHI. ------------------------ FOR THE APPELLANTS: MR. SHIVAJI PANDEY, SR. ADV. MR. BINAY KUMAR, ADV. FOR THE RESPONDENT-BANK: MR. AJAY KR. SINHA, ADV. FOR THE RESPONDENT: DR. S. N. JHA, SR. ADV. MR. CHAKRAPANI, ADV. -------------- 7. 07.04.2010 All these four Letters Patent Appeals have been heard together as they arise out of a common judgment dated 2.3.2007 whereby the two writ petitions bearing C.W.J.C. No. 10896 and 11649 of 2005 were allowed. The order/notification dated 13.8.2005 granting promotions to eight employees of the bank to Scale-III posts were quashed and the bank was directed to carry out the exercise for grant of promotion afresh with no minimum qualifying marks for the interview, but to take the entire merits into consideration including performance, appraisal report and the marks obtained in interview. It is not in dispute that eight Officers who were granted promotions to Scale-III posts by the order/notification dated 13.8.2005 and who are the appellants in L.P.A. Nos. 310 and 304 of 2007 were not made parties to the writ petitions and none of them got opportunity of hearing before the order under appeal was passed. On behalf of these employees, a strong grievance has been raised that they could have distinguished the judgments relied upon by the learned Single Judge which were rendered by the Supreme Court under - 4 - different situation when the bank had the freedom to lay down the detailed process of selection for promotion while the rules framed by the Central Government in the year 1988 prescribed, in relation to promotion to Scale-III posts, only the basic guideline that such promotion should be on the basis of seniority- cum- merit. According to these appellants, during the earlier period, the Banks exercised their power to lay down process of selection in a manner which violated the principle of seniority-cum-merit provided under the rules and, therefore, the Supreme Court interfered in the matter. It was submitted that now under the Statutory Rules of 1988 framed by the Government of India in exercise of powers conferred by Section 29 of the Regional Rural Banks Act, 1976, while prescribing principle of seniority-cum-merit for promotion to Class-III posts, in the rules itself provision has been made that interview will carry 25 marks and the minimum qualifying marks in the interview is 50 per cent. Learned counsel for the appellants-bank in L.P.A. Nos. 298 and 301 of 2007 has also forwarded similar submissions and has emphasized that since both the provisions–one providing for seniority- cum- merit and the other for requirement to achieve 50 per cents marks in the interview, are incorporated in the statutory rules, the bank cannot ignore either of them unless for some good reasons, this Court strikes down one of those provisions on the basis of contention that they can not be reconciled or for any other reasons. According to the learned counsel for the appellant-bank, unless the legality and validity of relevant provision in the rules providing for requirement to obtain 50 per cent marks in interview was challenged and the challenge succeeded, no interference should have been made by the - 5 - Writ Court with the process of selection and granting of promotion. He has also supported the plea on the part of promoted Officers who are the appellants that they should have been made parties and heard before the order/notification for their promotions was quashed. On behalf of the respondent an attempt was made to show that the Principles laid down by the Supreme Court in the two judgments referred and relied upon by the learned Single Judge are applicable even in the facts of the present case. So far as grievance of the promoted Officers that they were not made parties is concerned, the stand of the writ petitioners is that their interest should have been protected by the bank itself which had granted them promotions. At this stage, we are of the view that the grievance raised by the promoted Officers that they should have been made parties and heard before deciding relevant issues is justified and it will not be proper to hold that the bank which is only the employer would have acted as their agent to protect their interest in a effective and proper manner. In such a view, it is not necessary for us to go into the merits of the controversy between the parties and the same is left upon to be decided by the Writ Court after hearing the necessary parties. For this, the appellants of L.P.A. Nos. 310 and 340 of 2007, who will represent the promoted Officers, shall be added as parties to the two writ petitions. For the purpose of fresh hearing without any prejudice, the judgment and order under appeal is set aside but with a clarification that we have not applied out mind to the merits of the matter and the same shall be decided afresh by the Writ Court in accordance with law. - 6 - On behalf of the writ petitioners, a further prayer was made that they be given opportunity that in case of necessity, they may make a prayer for amendment of the writ petition so as to challenge the vires of the concerned rules. If such prayer is made before the Writ Court, the same may be considered on its own merits. In order to avoid delay in hearing of the writ petition, the promoted Officers who are appellants in two of the appeals undertake to appear in the two writ petitions by filing Vakalatnama within three weeks from today and within the same period, the learned counsel for those Officers shall be served copies of the writ petitions and there will be no requirement of further notice to the promoted Officers. On behalf or the writ petitioners, it has been submitted that the stage of promotion to Scale-IV may arise soon and hence observations and directions be made that the writ petition be heard expediously. In view of such submission, we request the Writ Court to take up the matter expediously and decide the same without delay. The four appeals are allowed to the aforesaid extent without any order as to costs. (Shiva Kirti Singh, J.) (C.M. Prasad, J.) Ravi/-