Case Note & Summary
The dispute arose between the National Institute of Technology and U. Dinakar regarding the pay scale applicable to Dinakar's position as Deputy Registrar. Dinakar was appointed in March 1979 and opted for the Central pay scale in July 1993. However, a subsequent notification from the Government of India indicated that new appointments would be on State pay scales. In 1999, the Institute discovered that Dinakar was receiving a higher salary than entitled due to an error in his appointment letter, which led to an enquiry and subsequent rectification of his pay scale. Dinakar challenged this rectification in a writ petition, which was initially dismissed by the High Court. However, upon appeal, the High Court ruled in favor of Dinakar, citing bias in the enquiry process. The Supreme Court, upon reviewing the case, found that the High Court had erred in its judgment, particularly regarding the bias allegations, which were not substantiated. The court held that the Institute acted within its rights to correct the pay scale error and set aside the High Court's order, allowing the appeal. The court emphasized the importance of providing an opportunity for the concerned employee to respond to any alleged mistakes in their appointment.
Headnote
A) Administrative Law - Pay Scale Entitlement - Rectification of Appointment Order - Central Government Notification - The appellant rectified the pay scale of the respondent from Central to State scale based on a clerical error in the appointment letter. The court held that the competent authority has the power to correct such mistakes after providing an opportunity to the concerned employee (Full Act Name, Year, Section(s) - Not applicable) (Paras 24-27). B) Administrative Law - Bias in Enquiry - Allegations of Bias - The court found that allegations of bias against the enquiry committee were not substantiated, and the High Court erred in concluding bias without sufficient evidence. The court emphasized that allegations must be proven beyond doubt (Full Act Name, Year, Section(s) - Not applicable) (Paras 28-28).
Issue of Consideration
Whether the appellant was justified in rectifying the pay scale of the respondent based on the appointment order and whether the High Court erred in finding bias in the enquiry process.
Final Decision
The Supreme Court set aside the High Court's order dated 8th November 2011, allowing the appeal and confirming the rectification of the pay scale from Central to State scale as per the notification dated 29th July 1994.
Law Points
- Administrative law
- Pay scale entitlements
- Rectification of appointment orders
- Bias in administrative proceedings


