Case Note & Summary
The Union of India and the Senior Divisional Personnel Officer, Southern Railway, appealed against the order of the Kerala High Court which affirmed the Central Administrative Tribunal's decision granting financial upgradation under the Modified Assured Career Progression Scheme to three respondents, Rosamma Benny, Jessy S. Babu, and Sreekala P.V., who were working as Enquiry-Cum-Reservation Clerks. The respondents had been appointed to the post of ECRC under the promotion quota after clearing the Limited Departmental Competitive Examination. The Tribunal and High Court held that they were entitled to financial upgradation in pay band-II with grade pay of Rs. 4600 w.e.f. 01.11.2013, having completed ten years in the cadre of ECRC. The appellants contended that the respondents' appointment was under the promotion quota and not direct recruitment, and relied on a circular dated 12.09.2012 issued by the Ministry of Railways, which clarified that if the relevant Recruitment Rules prescribe a promotion quota to be filled on the basis of LDCE, such appointment would be treated as promotion for MACP benefits, and past regular service would be counted. The Supreme Court found that the Tribunal and High Court had not examined the circular dated 12.09.2012 and Clause 129 of the Indian Railway Establishment Manual, which prescribes the method of filling ECRC posts. The Court noted that there was no clarity on facts, particularly whether the respondents' posting as Commercial Clerks on transfer could be treated as the first promotion, and whether there was any merger of pay scales or upgradations affecting the MACP Scheme. Consequently, the Supreme Court set aside the impugned orders and remanded the matter to the Tribunal for fresh adjudication on merits, directing the parties to appear before the Tribunal on 30.03.2020. The appeal was allowed without any order as to costs.
Headnote
A) Service Law - Modified Assured Career Progression Scheme - Financial Upgradation - Promotion Quota vs Direct Recruitment - The issue pertains to entitlement of financial upgradation under MACP for employees appointed as Enquiry-Cum-Reservation Clerks under promotion quota through LDCE - The Supreme Court set aside the orders of the Tribunal and High Court and remanded the matter for fresh consideration, noting that the circular dated 12.09.2012 and Clause 129 of the Indian Railway Establishment Manual were not examined - Held that the Tribunal must independently apply its mind to facts and legal position after calling for additional affidavits (Paras 4-7).
Issue of Consideration
Whether the respondents, appointed as Enquiry-Cum-Reservation Clerks under the promotion quota, are entitled to financial upgradation under the Modified Assured Career Progression Scheme counting past service, and whether the Tribunal and High Court correctly applied the circular dated 12.09.2012 and Clause 129 of the Indian Railway Establishment Manual.
Final Decision
The Supreme Court allowed the appeal, set aside the impugned orders of the High Court and the Tribunal, and remanded the matter to the Central Administrative Tribunal for fresh adjudication on merits, without being influenced by the earlier orders. The parties were directed to appear before the Tribunal on 30.03.2020. No order as to costs.
Law Points
- Modified Assured Career Progression Scheme
- Financial Upgradation
- Promotion Quota
- Direct Recruitment
- Limited Departmental Competitive Examination
- Indian Railway Establishment Manual



