Case Note & Summary
The dispute arose from the transfer of employees from the abolished Food Department of the Central Government to the Food Corporation of India (FCI). Following the abolition effective from January 1, 1966, employees were provisionally transferred to FCI, with H.N. Bharti being one of them, who was later promoted ad-hoc to Assistant Manager. A circular issued on May 15, 1975, outlined the procedures for regularization of promotions for both food transferees and direct recruits. The High Court had quashed the seniority list and directed FCI to consider claims based on this circular. The FCI contested the need to quash the entire seniority list, arguing that it should only review the seniority based on the circular. The Supreme Court upheld the High Court's decision regarding the need for review but clarified that the entire seniority list did not need to be quashed. The court directed FCI to determine the inter se seniority of both categories of employees based on the principles in the circular and complete this process within six months. The decision emphasized the importance of following the established procedures for promotions and seniority in accordance with the regulations and the circular issued by FCI.
Headnote
A) Administrative Law - Seniority Fixation - Review of Seniority List - Food Corporation Act, 1964, Section 45 - The court directed the Food Corporation of India to review and determine the seniority of food transferees and direct recruits based on the principles laid down in the circular dated 15.5.1975, rather than quashing the entire seniority list. The circular provided a framework for regularization and seniority determination for both categories of employees. Held that a review suffices instead of a complete quash (Paras 336-337).
Issue of Consideration
Whether the entire seniority list prepared by the Food Corporation of India should be quashed or if it should be reviewed based on the circular dated 15.5.1975.
Final Decision
The Supreme Court dismissed Civil Appeal No. 338 of 1987, upholding the High Court's direction to review the seniority list without quashing it entirely. The court directed FCI to determine the inter se seniority of direct recruits and food transferees based on the circular dated 15.5.1975 within six months.
Law Points
- Promotion procedures
- seniority fixation
- ad-hoc promotions
- probationary period
- regularization of service



