08 January 2016
Supreme Court
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CHAIRMAN AND MANAGING DIRECTOR CENTRAL BANK OF INDIA Vs CENTRAL BANK OF INDIA SC/ST EMPLOYEES WELFARE ASSOCIATION .

Bench: J. CHELAMESWAR,A.K. SIKRI
Case number: R.P.(C) No.-000891-000891 / 2015
Diary number: 4152 / 2015
Advocates: O. P. GAGGAR Vs


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REPORTABLE

IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

REVIEW PETITION (CIVIL) NO. 891 OF 2015 IN

CIVIL APPEAL NO. 209 OF 2015

CHAIRMAN & MANAGING DIRECTOR CENTRAL BANK OF INDIA & ORS. …..PETITIONERS

VERSUS

CENTRAL BANK OF INDIA SC/ST EMPLOYEES WELFARE ASSOCIATION & ORS.

…..RESPONDENTS

W I T H

REVIEW PETITION (CIVIL) NO. 837 OF 2015 IN

CIVIL APPEAL NO. 213 OF 2015

W I T H

REVIEW PETITION (CIVIL) NO. 892 OF 2015 IN

CIVIL APPEAL NO. 211 OF 2015

W I T H

REVIEW PETITION (CIVIL) NO. 903 OF 2015 IN

CIVIL APPEAL NO. 210 OF 2015

W I T H

REVIEW PETITION (CIVIL) NO. 1104 OF 2015 IN

CIVIL APPEAL NO. 212 OF 2015

Review Petition (Civil) No. 891/2015 & Ors. Page 1 of 21

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A N D

REVIEW PETITION (CIVIL) NO. 2131 OF 2015 IN

CIVIL APPEAL NO. 209 OF 2015

J U D G M E N T

A.K. SIKRI, J.

By our judgment dated January 09, 2015, we had decided  

batch of appeals which were preferred by the Union of India as  

well  as  certain  banks.   In  these  appeals,  the  validity  of  the  

judgment of the High Court of Madras was questioned which held  

that in the matter of promotions in the officer grades, there shall  

be  reservation  provided  for  the  officers  belonging  to  the  

Scheduled  Caste  (SC)  and  Scheduled  Tribe  (ST)  categories  

working in  these banks.   This  decision of  the High Court  was  

predicated  on  the  interpretation  to  the  provisions  of  Office  

Memorandum (OM) dated August 13, 1997 issued by the Central  

Government,  along  with  certain  other  connected  Office  

Memoranda.   It  was  concluded  by  the  High  Court  that  the  

aforesaid  OM  dated  August  13,  1997  provides  for  such  a  

reservation in favour of the SC/ST employees.  The plea of the  

appellant  banks  was  that  the  said  OM  does  not  make  any  

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provisions for reservation in respect of SC/ST employees.

2) The question, therefore, that needed determination by this Court  

was as to whether there is any reservation in the promotions from  

one  officer  grade/scale  to  higher  grade/scale,  when  such  

promotions are to be made on selection basis, i.e. on merits.  The  

position taken by the appellant banks was that there is no rule of  

reservation for promotion in Class-A (Class-I) to the post/scales  

having basic salary of more than 5,700 per month and OM dated₹   

August 13, 1997 at best provides only a concession in the manner  

officers  belonging  to  SC/ST category  are  to  be considered  for  

promotion.

3) After hearing the counsel for the parties, judgment dated January  

09, 2015 was rendered.  Provisions of OM dated August 13, 1997  

and  other  related  Office  Memoranda  were  considered  by  this  

Court in that judgment.  This Court, after interpreting the said OM,  

came  to  the  conclusion  that  this  OM  did  not  provide  for  any  

reservation.  Operative portion of the judgment in arriving at the  

aforesaid conclusion reads as under:

“26.  While considering this question, we have to  keep in mind that reservation policy of the Central  Government is applicable to the appellant Banks.  It is the common case of both the parties.  In fact,  as  already  noted  above,  there  is  a  specific  provision  to  this  effect  in  the  promotion  policies  

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framed by the appellant Banks.

27)  Next thing which is to be kept in mind is the  two office memoranda,  one dated 1.11.1990 and  the other dated 13.8.1997, which are referred to by  the  counsel  for  the  parties.   We  have  already  reproduced  the  aforesaid  two  office  memoranda.  Insofar as, Office Memorandum dated 1.11.1990 is  concerned, a bare reading of this provision would  reflect the following two aspects:

(a) In  promotion  by  selection  within  Class-I  (Group-A)  post,  the  SC/ST candidates  are  to  be  given 'concession'.

(b) This concession is available to those SC/ST  employees who are senior enough in the zone of  consideration for promotion so as to be within the  number of vacancies for which select list has to be  drawn up.

Thus, first requirement is that such SC/ST  candidates  who  come  within  the  zone  of  consideration for  promotion are senior  enough to  be  within  the  number  of  vacancies.   Once  they  come within  the  aforesaid  zone of  consideration,  they have to be included in the list, provided they  are not  considered unfit  for  promotion.   It  clearly  follows from the above that once they come under  the zone of consideration for promotion so as to be  within the number of vacancies for which select list  has to be drawn up, for such SC/ST employees the  only embargo to deprive them of promotion is when  they  are  found  unfit  for  promotion.   For  other  officers  in  general  category,  depending  upon  the  rule  of  promotion,  there  may  be  much  stricter  criteria based on comparative merit or selection by  merit, etc.  However, in case of such senior enough  SC/ST  candidates,  the  criteria  appears  to  be  seniority, subject to fitness.

(c) This OM specifically  clears  the doubt  that  the aforesaid  provision is  only  a  concession and  not  reservation  in  favour  of  SC/ST  candidates,  inasmuch as para 3  of  the OM states  that  “It  is  hereby  clarified  that  in  promotion  by  selection   within Group-A post, which carry ultimate salary of   

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₹ 5,700/- per month, there is no reservation”.  It is  clear  from  the  above  that  insofar  as  Office  Memorandum dated 1.11.1990 is concerned, there  was no provision for reservation made in favour of  SC/ST candidates in promotion by selection within  Group-A  posts  carrying  an  ultimate  salary  of  ₹5,700 per month.

28)  No doubt, this Office Memorandum was issued  in the year 1990, that is much before amendment  in Article 16 of the Constitution, which was carried  out  in  the  year  1995  by  inserting  Clause  4A.  However, as already pointed out above, Clause 4A  is an enabling provision which empowers the State  to make reservations in the matter of promotions as  well as in favour of SC/ST employees. There was  no  such  provision  till  1.11.1990  in  the  matter  of  promotion by selection within Group-A post which  carry an ultimate salary of 5,700/- per month.₹

29)   Having  understood  this,  we come to  Office  Memorandum  dated  13.8.1997  to  find  out  as  to  whether this Memorandum makes any provision for  reservations in the matter of promotion in favour of  SC/ST  employees,  inasmuch  as  no  other  Office  Memorandum or Circular or Rule, etc. is produced  on record for this purpose.

30)   We  have  already  noted  above  that  a  nine  Judge  Bench  decision  of  this  Court  in  Indra  Sawhney  (supra) held that Clause 4 of Article 16  does not  cover the cases of  promotion,  meaning  thereby,  as per the said clause no reservation in  favour  of  SC/ST  persons  in  the  matter  of  promotions is permissible.  It is to nullify the effect  of this dicta in the said judgment that Clause 4A  was  inserted  in  Article  16  by  Constitution's  Seventy-Seventh Amendment with effect from 17- 06-1995.  However, it is also a matter of record that  in  Indra Sawhney's  case (supra),  this Court had  also  clarified  that  reservation  for  SC/STs  in  promotion would continue for a period of five years  from 16-11-1992.  What it meant was that if there is  a  provision  of  reservation  made in  the  matter  of  promotions,  notwithstanding  the  dicta  in  the  said  case  that  such  a  reservation  is  not  permissible,  those  provisions  were  allowed  to  continue  for  a  

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period of five years from 16-11-1992.  Thereafter,  before  the  expiry  of  five  years,  constitutional  provision was incorporated in the form of  Clause  4A by making provision for reservation in the matter  of promotions as well.  These facts are taken note  of in first two paras of Office Memorandum dated  13-08-1997.  Thereafter, in the 3rd para of the said  Memorandum, it is provided:

“3.   In  pursuance  of  Article  16(4A),  it  has  been decided to continue the Reservation in  promotion  as  at  present,  for  the  Scheduled  Castes  and  the  Scheduled  Tribes  in  the  services/posts under the Central Government  beyond  15.11.1997 till  such  time  as  the  representation  of  each  of  the  above  two  categories  in  each  cadre  reaches  the  prescribed  percentages  of  reservation  whereafter, the reservation in promotion shall  continue to maintain the representation to the  extent  of  the  prescribed percentages  for  the  respective categories.”

31)  What is decided is to continue the reservation  in promotion, which was prevalent at that time, for  the  SC/ST employees,  which  was  to  continue in  terms  of  the  judgment  of  this  Court  in  Indra  Sawhney (supra) till 15-11-1997, even beyond 15- 11-1997,  till  such  time  as  the  representation  of  each of  the above two categories  in  each cadre  reaches the prescribed percentages of reservation  whereof.   It  is,  thus,  crystal  clear  from  a  bare  reading  of  this  para  that  the  existing  provision  relating to reservation in promotion was allowed to  continue  beyond  15-11-1997.   Thus,  this  Memorandum did not make any new provision for  reservation  in  promotion  in  favour  of  SC/ST  employees.

32) We have already noticed above that in matters  of promotion within Group-A posts, which carry an  ultimate salary of ₹5,700/- per month, there was no  provision  for  any  reservation.   On  a  conjoint  reading of these two Office Memorandums, in the  absence of any other provision or Rule evidencing  such a reservation in the matter of promotions, it  cannot  be  said  that  there  was  reservation  in  

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promotion within Group-A posts upto the ultimate  salary of  5,700/- per month.  The High Court in₹   the  impugned  judgment  has  gone  by  the  lofty  ideals  enshrined  in  Articles  15  and  16  of  the  Constitution as well as the fact that in these Banks  there  is  no  adequate  representation  of  SC/ST  category of officers in Group-IV and above.  That  may  be  so.   It  can  only  provide  justification  for  making a provision of this nature.  However, in the  absence of such a provision, same cannot be read  by  overstretching  the  language  of  Office  Memorandum dated 13-08-1997.  It is for the State  to  take  stock  of  the  ground  realities  and  take  a  decision  as  to  whether  it  is  necessary  to  make  provision  for  reservation  in  promotions  to  the  aforesaid post as well.”

4) As pointed out above, since the main issue that had arisen for  

consideration stood answered in favour of the appellant banks, in  

normal course, the appeals should have been allowed reversing  

the judgment  dated December  09,  2009 rendered by the High  

Court.   However,  during  the  course  of  the  arguments,  the  

respondent  employees  had  produced  copy  of  OM  dated  

November 08, 2004 issued by the Department of Enterprises, as  

per which the salary limit of 5,700 mentioned in the OM dated₹   

August 13, 1997, was treated as equivalent  to 18,300 on the₹   

implementation of  the Fifth  Central  Pay Commission Report  in  

respect of those public sector undertakings which were following  

the  Central  Pay  pattern  and  in  the  case  of  public  sector  

undertakings  following  Industrial  Dearness  Allowance  (IDA)  

pattern, monetary ceiling was fixed as 20,800.  On that basis,₹   

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this  Court  proceeded  further  to  discuss  that  aspect  with  the  

observation that the High Court had failed to consider the same.  

Discussing this aspect, this Court held that even when there was  

no policy of reservation for the post carrying pay-scale of more  

than 5,700 per month, the reservation was there in respect of₹   

the post carrying basic pay of upto 5,700 per month and with the₹   

implementation of  the Fifth  Central  Pay Commission Report,  it  

would  follow  that  such  reservation  was  applicable  to  the  post  

carrying pay-scale of 18,300.  On that basis, it  was held that₹   

since pay-scale of the posts upto Scale VI was 18,300, insofar₹   

as promotions from Scale I to Scale II, Scale II to Scale III, Scale  

III to Scale IV, Scale IV to Scale V and Scale V to Scale VI are  

concerned,  reservation  is  to  be  provided.   It  is  this  

direction/portion of the judgment in respect of which the instant  

review petitions are filed.  Thus, it would be apt to reproduce the  

discussion touching upon this aspect in the judgment.  The same  

reads as under:

“33.  Having said so, one other aspect which has to  be necessarily addressed to at this stage calls for  our attention.  This aspect, which we are going to  point out now, has been totally glossed over by the  learned Single Judge as well as the Division Bench  of the High Court in their respective judgments.

34.  It is provided in Office Memorandum dated 01- 11-1990,  and  we  have  repeatedly  stated  above,  that  there  is  no  reservation  in  promotion  by  

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selection  within  only  those  Group-A posts  which  carry an ultimate salary of 5,700/- per month.  In₹   such cases, it is only concession that applies.  We  have  accepted  the  contention  of  the  appellant  Banks  in  this  behalf,  as  per  the  discussion  contained hereinabove.  Significantly, what follows  is  that  reservation  is  provided  in  promotion  by  selection    qua    those posts which carry an ultimate    salary  of  less  than  5,700/-  per  month  (pre-₹ revised).

35.   The  Department  of  Public  Enterprises  had  issued an Office Memorandum dated 08-11-2004  as to the salary limit of 5,700/- mentioned for the₹   purposes of  reservation as 18,300/-  (5₹ th Central  Pay Commission) and in the case of Public Sector  Undertakings who are following Industrial Dearness  Allowance (IDA) pattern, the monetary ceiling was  fixed as 20,800/- (from 01-01-1996, i.e. 5₹ th Central  Pay Commission).  The said pay ceiling is achieved  in the appellant Banks only when an officer reaches  Scale-VII.   As  a  fortiorari,  the  policy  of  no  reservation in the matter of promotion is applicable  only from Scale-VII and above.  It, therefore, clearly  follows  that  insofar  as  promotion  from Scale-I  to  Scale-II, Scale-II to Scale-III, Scale-III to Scale-IV,  Scale-IV  to  Scale-V,  Scale-V  to  Scale-VI  are  concerned,  reservation  is  to  be  provided.   The  appellant  Banks,  therefore,  cannot  take  umbrage  under  the  aforesaid  Memorandum  and  deny  reservation  in  favour  of  SC/ST employees  while  carrying out promotions upto to Scale-VI.

36.  Upshot of the aforesaid discussion would be to  allow these appeals party.  While setting aside the  impugned judgment of the High Court to the extent  it holds that Office Memorandum dated 13-08-1997  makes a provision for reservation, it is clarified that  at present there is no provision for reservation in  promotion  by  selection  only  in  respect  of  those  posts which carry an ultimate salary of 5,700/- per₹   month  (revised  to  18,300/-  by  5₹ th Central  Pay  Commission and 20,800/- per month in respect of₹   those  Public  Sector  Undertakings  following  IDA  pattern).   Qua  appellant  Banks,  that  would be in  respect of Scale-VII and above.  Therefore, to carry  out promotions from Scale-I upwards upto Scale-

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VI,  reservation  in  promotion  in  favour  of  SC/ST  employees  has  to  be  given.   It  would  have  the  effect  of  allowing  the  writ  petitions  filed  by  the  respondents/unions  partly  with  directions  to  the  appellant Banks to make provision for reservations  while  carrying  out  promotions  from Scale-I  to  to  Scale-II and upward upto Scale-VI.

(emphasis supplied)”

5) Review petitions are filed by the Union of India as well as certain  

banks  which  were  parties  to  the  appeals.   In  these  review  

petitions,  applications  for  intervention/impleadment  are  filed  by  

Indian Banks' Association supporting the plea taken in the review  

petitions.  On the other hand, All India Central Bank SC/ST/OBC  

Employees Association-Kolkata,  Bank of  Maharashtra SC/ST &  

OBC Employees' Association-Pune and State Bank of Travancore  

SCs & STs Welfare Association have also filed applications for  

intervention/impleadment  with  intent  to  oppose  the  review  

petitions.

6) Notice was issued to the respondent-employees/associations in  

these review petitions.  They have filed their counter affidavits to  

the review petitions.  We have heard counsel for all the parties  

before us.  It was also pleaded by the counsel on either side that  

since the issue raised in the review petitions has bearing on the  

merits of the case, the issue raised itself be finally decided.

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7) Mr.  Mukul  Rohatgi,  learned Attorney General  appearing for  the  

Union of India, submitted that a fundamental error, which was an  

error apparent on the face of the record, had crept in in paragraph  

34 of the judgment wherein it  was observed that reservation is  

provided in promotion by selection qua those posts which carry an  

ultimate salary of less than 5,700 (pre-revised).  He pointed out₹   

that  in  the  earlier  portion  of  the  same  paragraph  (which  is  

reproduced  and  highlighted  above),  this  Court  had  reiterated,  

after detailed discussion, that there is no reservation in promotion  

by selection in Group-A posts which carry an ultimate salary of  

5,700 per month and in such cases it is only the concession that₹   

applies.  He further submitted that in such a situation, OM dated  

November 08, 2005 issued by the Department of Enterprises, that  

too at the fag end of the hearing of the appeals, had no relevance  

at all. He further submitted that promotions were only up to Scale  

VI in these banks as the hierarchical structure would reveal that  

Scale VII and above were in fact Board level posts which are filled  

up by the Government and not by the Departmental Promotion  

Committee of the concerned banks.  In this manner, he argued  

that in spite of deciding the main issue against the respondents,  

because of the aforesaid error in the judgment, the said benefit  

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was still bestowed by giving reservations to the officers belonging  

to  SC/ST  category  from  Scale  I  to  Scale  VI.   He  further  

demonstrated that in these banks, there were four categories of  

employees,  namely,  sub-staff  (Class  IV),  clerical,  officers  and  

Board level posts.  The promotions were provided from sub-staff  

to clerical as well  as from clerical to junior management grade  

(Scale-I).  However, there was no further promotion from Scale-I  

upward.   The learned Attorney General  further  argued that  the  

entire case of the respondent employees was based on OM dated  

August  13,  1997  and  relying  upon  the  same,  the  respondent  

employees  had  argued  that  this  OM  provides  for  reservation.  

However,  this  precise  contention  of  the  employees  was  

specifically turned down and repelled by this Court  by interpreting  

the said OM to mean that it does not provide for any reservation,  

but only gives certain concessions to the employees belonging to  

SC/ST categories while considering their cases for promotion.  As  

a consequence, no further discussion was required.

8) We find adequate force in the aforesaid submission of the learned  

Attorney  General.   We  have  already  reproduced  those  

paragraphs of the judgment, i.e. paragraph Nos. 26 to 32, wherein  

after  interpreting OM dated August  13,  1997, it  is  categorically  

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held that this OM does not provide for any reservation.  This is so  

stated  in  the  opening  lines  of  paragraph  34  as  well  by  

emphasizing that there is no reservation in promotion by selection  

within Group-A posts, which carry an ultimate salary of 5,700 per₹   

month and it is only concession that applies.  This conclusion is  

followed with the observation that contention of the banks in this  

behalf has been accepted.  In spite thereof, in the very next line of  

paragraph 34, it is observed:

“34... Significantly, what follows is that reservation  is  provided  in  promotion  by  selection  qua  those  posts which carry an ultimate salary of  less than  

5,700 per month (pre-revised).”₹

9) It  is clearly an error on the face of the record inasmuch as no  

such consequence follows.  In fact, the aforesaid quoted portion is  

directly in conflict with not only the earlier portion of paragraph 34,  

but the entire conclusion on the issue on which there is a detailed  

discussion  from paragraph  Nos.  26  to  32  and  even  in  earlier  

paragraphs of the judgment.  It is this error, which is apparent on  

the  face  of  the  record,  viz.  the  reservation  is  provided  in  

promotion by selection respect  of  posts carrying salary of  less  

than 5,700 per  month,  that  has led to further  error  that  such₹   

reservation in the matter of promotion is applicable from Scale I  

upward up to Scale VI.  What constitutes an error apparent on the  

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face of the record is explained in  State of Rajasthan & Anr.  v.  

Surendra Mohnot & Ors.1, with the aid of an earlier judgment, in  

the following manner:

“25.   To  appreciate  what  constitutes  an  error  apparent  on  the  face  of  the  record,  the  observations  of  the  Court  in  Satyanarayan  Laxminarayan  Hegde  v.  Mallikarjun  Bhavanappa  Tirumale, AIR 1960 SC 137, are useful: (AIR p.137)

“An error  which  has  to  be  established  by  a  long-drawn  process  of  reasoning  on  points  where there may conceivably be two opinions  can hardly be said to be an error apparent on  the face of the record.  Where an alleged error  is  far  from  self-evident  and  if  it  can  be  established,  it  has  to  be  established,  by  lengthy and complicated arguments, such an  error  cannot  be  cured  by  a  writ  of  certiorari  according to the rule governing the powers of  the superior court to issue such a writ.”

26.  In the case at hand, as the factual score has  uncurtained,  the  application  for  review  did  not  require a long-drawn process of reasoning.  It did  not  require any advertence on merits  which is  in  the  province  of  the  appellate  court.   Frankly  speaking it was a manifest and palpable error.  A  wrong authority which had nothing to do with the lis  was cited and that was conceded to.  An already  existing binding precedent was ignored.  At a mere  glance it would have been clear to the Writ Court  that the decision was rendered on the basis of a  wrong authority.  The error was self-evident.  When  such self-evident errors come to the notice of the  Court  and  they  are  not  rectified  in  exercise  of  review jurisdiction or jurisdiction of recall which is a  facet of plenary jurisdiction under Article 226 of the  Constitution,  a  grave  miscarriage  of  justice  occurs...”

10) The Court also made the following pertinent observations:

1 (2014) 14 SCC 77

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“28.  We have already stated the legal position with  regard to legal impact as regards the concession  pertaining to  the position in law.   That  apart,  we  think that an act of the Court should not prejudice  anyone  and  the  maxim  actus  curiae  neminem  gravabit gets squarely applicable...”

11) Learned counsel appearing for the respondent employees could  

not dispute the aforesaid error having been occurred.  It is for this  

reason,  the main  argument  on the  part  of  the  counsel  for  the  

respondents  was  that  insofar  as  Union  of  India  is  concerned,  

review petition was not maintainable as it had not challenged the  

judgment of the High Court.  It was also argued that the review  

petition filed by banks was against the public policy as there was  

no adequate representation of  SC/ST employees in  the higher  

posts and by not providing such a reservation, the Government  

was  failing  to  subscribe  to  the  Constitutional  spirit  behind  

reservation provisions.  Counsel also endeavoured to argue that  

the appeals which were filed against  the judgment of  the High  

Court themselves were not maintainable as a circular was issued  

by the Union of  India impressing upon the banks to follow the  

judgment of the High Court.

12) The aforesaid arguments of learned counsel for the respondent  

employees fail  to cut  any ice as there are not  germane to the  

issue  with  which  the  Court  is  concerned  with  in  these  review  

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petitions.  Even if the review petition filed by the Union of India is  

to be discarded, that would be immaterial inasmuch as the banks,  

which were the appellants, have also filed the review petition on  

the same grounds and, therefore, this Court is necessarily called  

upon to  decide  the  issue  at  hand.   Further,  when an  error  is  

pointed  out  and  the  Court  also  finds  that  there  is  an  error  

apparent on the face of the record, it would not shy away from  

correcting that error.

13) We would be candid in our remarks that once an error is found in  

the order/judgment, which is apparent on the face of record and  

meets the test of review jurisdiction as laid down in Order XLVII  

Rule (1) of the Supreme Court Rules, 2013 read with Order XLVII  

Rule (1) of the Code of Civil Procedure, 1908, there is no reason  

to feel hesitant in accepting such a mistake and rectify the same.  

In fact, the reason for such a frank admission is to ensure that this  

mind of patent error from the record is removed which led to a  

wrong  conclusion  and  consequently  wrong  is  also  remedied.  

For adopting such a course of action, the Court is guided by the  

doctrine of ex debito justitiae as well as the fundamental principal  

of the administration of justice that no one should suffer because  

of  a  mistake  of  the  Court.   These  principles  are  discussed  

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elaborately, though in a different context, in A.R. Antulay v. R.S.  

Nayak2.

14) We would also like to reproduce the following observations in S.  

Nagaraj v. State of Karnataka3:

“18.   Justice  is  a  virtue  which  transcends  all  barriers.   Neither  the  rules  of  procedure  nor  technicalities of law can stand in its way.  The order  of  the Court  should not be prejudicial  to anyone.  Rule of stare decisis is adhered for consistency but  it  is  not  as  inflexible  in  Administrative Law as in  Public  Law.   Even the  law bends  before  justice.  Entire concept of writ jurisdiction exercised by the  higher courts is founded on equity and fairness.  If  the Court finds that the order was passed under a  mistake  and  it  would  not  have  exercised  the  jurisdiction but for the erroneous assumption which  in fact did not exist and its perpetration shall result  in  miscarriage  of  justice  then  it  cannot  on  any  principle  be  precluded  from  rectifying  the  error.  Mistake  is  accepted  as  valid  reason to  recall  an  order.  Difference lies in the nature of mistake and  scope of rectification, depending on if it is of fact or  law.  But the root from which the power flows is the  anxiety to avoid injustice.  It is either statutory or  inherent.  The latter is available where the mistake  is of the Court.  In Administrative Law the scope is  still  wider.   Technicalities  apart  if  the  Court  is  satisfied of the injustice then it is its constitutional  and legal  obligation to set  it  right  by recalling its  order.  Here as explained, the Bench of which one  of us (Sahai, J.) was a member did commit an error  in placing all the stipendiary graduates in the scale  of First Division Assistants due to State's failure to  bring correct  facts  on record.   But  that  obviously  cannot stand in the way of the Court correcting its  mistake.  Such inequitable consequences as have  surfaced  now due to  vague affidavit  filed  by  the  State cannot be permitted to continue.”

2 (1988) 2 SCC 602 3 1993 Supp (4) SCC 595

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15) The argument of public policy pressed by the respondents is of no  

avail.   We  are  conscious  of  the  fervent  plea  raised  by  the  

respondent  employees  that  employees  belonging  to  SC/ST  

category should be made eligible for promotion by providing the  

reservation  in  the  promotional  posts  as  well,  as  their  

representation is abysmally minimal.  However, whether there is  

any such justification in  the demand or  not  is  for  the State to  

consider  and  make  a  provision  in  this  behalf.   This  was  so  

recorded in the judgment itself in the following manner:

“24.   In  the  first  instance,  we make it  clear  that  there is no dispute about the constitutional position  envisaged in Articles 15 and 16, insofar as these  provisions  empower  the  State  to  take  affirmative  action  in  favour  of  SC/ST  category  persons  by  making reservations for them in the employment in  the Union or  the State  (or  for  that  matter,  public  sector/authorities which are treated as State under  Article  12  of  the  Constitution).   The  laudable  objective underlying these provisions is also to be  kept  in  mind  while  undertaking  any  exercise  pertaining  to  the  issues  touching  upon  the  reservation  of  such  SC/ST  employees.   Further,  such a reservation can not  only  be made at  the  entry  level  but  is  permissible  in  the  matters  of  promotions as wells.  At the same time, it is also to  be borne in mind that Clauses 4 and 4A of Article  16  of  the  Constitution  are  only  the  enabling  provisions which permit the State to make provision  for  reservation  of  these  category  of  persons.  Insofar as making of provisions for reservation in  matters of promotion to any class or classes of post  is  concerned,  such  a  provision  can  be  made  in  favour  of  SC/ST  category  employees  if,  in  the  

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opinion  of  the  State,  they  are  not  adequately  represented in services under the State.  Thus, no  doubt,  power  lies  with  the  State  to  make  a  provision,  but,  at  the  same  time,  courts  cannot  issue any mandamus to  the State  to  necessarily  make such a provision.  It is for the State to act, in  a given situation, and to take such an affirmative  action.  Of course, whenever there exists such a  provision  for  reservation  in  the  matters  of  recruitment  or  the promotion,  it  would bestow an  enforceable right in favour of persons belonging to  SC/ST category and on failure on the part of any  authority  to  reserve  the  posts,  while  making  selections/promotions,  the  beneficiaries  of  these  provisions  can  approach  the  Court  to  get  their  rights enforced.  What is to be highlighted is that  existence of provision for reservation in the matter  of selection or promotion, as the case may be, is  the  sine qua non for  seeking mandamus as it  is  only when such a provision is made by the State, a  right  shall  accrue  in  favour  of  SC/ST candidates  and not otherwise.”

16) Once we find an error apparent on the face of the record and to  

correct the said error, we have to necessarily allow these review  

petitions.  

17) In  view  of  the  foregoing,  the  review  petitions  are  allowed  by  

deleting  paragraph  Nos.  33  to  36  of  the  judgment  and  the  

directions contained therein, as well as the directions contained in  

paragraph  No.  37.   Instead,  after  paragraph  No.  32,  following  

paragraph shall be inserted and numbered as 33, and paragraph  

No. 38 should be re-numbered as 34:

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“33.  Result of the aforesaid discussion would be to  allow these appeals and set aside the judgment of  the High Court.  While doing so, we reiterate that it  is for the State to take stock of the ground realities  and take a decision as to whether it is necessary to  make a provision for reservation in promotions from  Scale I  to  Scale  II  and upward,  and if  so,  up to  which  post.   The  contempt  petition  also  stands  disposed of.

34.  In the peculiar facts of this case, we leave the  parties to bear their own costs.”

18) All the interlocutory applications for impleadment/intervention also  

stand disposed of.   

19) Before  we  part  with,  we  would  like  to  observe  that  we  have  

mentioned  in  para  15,  which  was  also  recorded  in  the  main  

judgment,  that  the  grievance  of  the  employees  belonging  to  

SC/ST  category  is  that  there  is  negligible  representation  of  

employees belonging to their community in the officers' category  

at all  levels.  Keeping in view the statistical figures which have  

been placed on record showing their  representation in  officers'  

scales, it would be open to the concerned authority, namely, the  

State and the Banks to consider whether their demand is justified  

and  it  is  feasible  to  provide  reservation  to  SC/ST  category  

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persons in the matter of promotion in the officers' category and if  

so, upto which scale/level.   

.............................................J. (J. CHELAMESWAR)

.............................................J. (A.K. SIKRI)

NEW DELHI; JANUARY 08, 2016.

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