Supreme Court Allows Employer's Appeal Against Mandamus to Fill Vacancies from Expired Rank List. Mere Empanelment Does Not Confer Indefeasible Right to Appointment; Financial Constraints Are Valid Grounds for Not Filling Vacancies.

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Case Note & Summary

The Supreme Court allowed appeals by the Kerala State Road Transport Corporation against a High Court order directing appointments against 97 vacancies for Blacksmith Grade II. The sanctioned cadre strength was 800, with 395 substantive appointments. The Corporation requisitioned 405 vacancies from the Kerala Public Service Commission, which recommended 351 initially, then six more, and later twenty-three against non-joining vacancies. Respondents were empanelled at serial nos. 284 and 294, but appointments were made only up to rank 278. The rank list expired on 21.10.2017. The High Court held the Corporation obliged to fill requisitioned vacancies including those arising subsequently during the life of the rank list. The Supreme Court held that mere empanelment does not create an indefeasible right to appointment. The employer has discretion not to fill vacancies for valid reasons, such as financial crunch and skewed staff/bus ratio, which are genuine grounds. The court cannot substitute its views. Vacancies arising subsequently cannot be clubbed with the earlier requisition. The High Court's order was set aside, and the appeals were allowed.

Headnote

A) Service Law - Appointment - Indefeasible Right - Mere empanelment does not create any indefeasible right to appointment - The employer has discretion not to fill up all requisitioned vacancies for valid and germane reasons not afflicted by arbitrariness - The court cannot substitute its views over that of the employer (Paras 4-5).

B) Service Law - Mandamus - Subsequent Vacancies - Vacancies arising subsequently during the life of the rank list cannot be clubbed with earlier requisition and must be part of another selection process - Mandamus cannot be issued to fill such vacancies from the panel (Paras 4-5).

C) Service Law - Financial Crunch - Valid Ground - Financial crunch and skewed staff/bus ratio are valid and genuine grounds for not making further appointments - Court cannot issue mandamus imposing obligations the employer is unable to meet (Para 5).

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Issue of Consideration

Whether mere empanelment can justify a mandamus to make appointments because vacancies may exist, and whether mandamus can be issued to make appointments from the panel on vacancies that arose subsequently during the life of the rank list.

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Final Decision

Appeals allowed. High Court orders set aside. No order as to costs.

Law Points

  • Mere empanelment does not create indefeasible right to appointment
  • Employer discretion not to fill vacancies for valid reasons
  • Court cannot substitute its view over employer's financial constraints
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Case Details

2019 LawText (SC) (4) 76

Civil Appeal No. 3346 of 2019 (Arising out of SLP(C) No. 8395 of 2019 (Diary No. 21878/2018))

2019-04-01

Arun Mishra, Navin Sinha

Kerala State Road Transport Corporation and Another

Akhilesh V. S. and Others

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Nature of Litigation

Civil appeals against High Court order directing appointments against vacancies from expired rank list.

Remedy Sought

Appellants sought setting aside of High Court mandamus to fill 97 vacancies.

Filing Reason

Appellants aggrieved by direction to make appointments against 97 vacancies on the post of Blacksmith Grade II.

Previous Decisions

High Court directed appointments against requisitioned vacancies including those arising subsequently during life of rank list.

Issues

Whether mere empanelment justifies mandamus to make appointments because vacancies exist. Whether mandamus can be issued to make appointments from panel on vacancies arising subsequently during life of rank list.

Submissions/Arguments

Appellant: Financial crunch and skewed bus to passenger ratio; did not wish to make further appointments; appointed committee for remedial measures. Respondents: Empaneled in rank list; vacancies existed; entitled to appointment.

Ratio Decidendi

Mere empanelment does not create an indefeasible right to appointment. The employer has discretion not to fill vacancies for valid and germane reasons, such as financial constraints. The court cannot substitute its views over the employer's decision. Vacancies arising subsequently during the life of the rank list cannot be clubbed with the earlier requisition and must be part of another selection process.

Judgment Excerpts

The law stands settled that mere existence of vacancies or empanelment does not create any indefeasible right to appointment. The employer also has the discretion not to fill up all requisitioned vacancies, but which has to be for valid and germane reasons not afflicted by arbitrariness. The court cannot substitute its views over that of the appellant, much less issue a mandamus imposing obligations on the appellant corporation which it is unable to meet.

Procedural History

The High Court directed the appellant to make appointments against 97 vacancies. The appellant appealed to the Supreme Court. Delay condoned, leave granted, impleadment application allowed. Appeals allowed, High Court orders set aside.

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Supreme Court Supreme Court Allows Employer's Appeal Against Mandamus to Fill Vacancies from Expired Rank List. Mere Empanelment Does Not Confer Indefeasible Right to Appointment; Financial Constraints Are Valid Grounds for Not Filling Vacancies.
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