Bombay High Court Examines Writ Petition Against Tribunal Order Denying MACP Benefits to Junior Engineers. Clause 2(b)(3) of GR 2010 and Prior Upgradation Under GR 1984 Are Central to Dispute Over Second Benefit Entitlement.

High Court: Bombay High Court Bench: BOMBAY
  • 8
Judgement Image
Font size:
Print

Case Note & Summary

The petitioners, an association of subordinate service engineers and its members, challenged the order of the Maharashtra Administrative Tribunal dismissing their original application. The petitioners were initially appointed as Junior Engineers in various departments of the State of Maharashtra. By Government Resolution dated 16th April 1984, the government granted gazetted status to degree-holder junior engineers immediately and to diploma-holder and unqualified junior engineers after specified years of service, creating two cadres: Assistant Engineers Grade-II and Sectional Engineers, both in the same pay scale. In 2001, the Assured Career Progression (ACP) Scheme was introduced, replacing the Time-Bound Promotion Scheme, and the Sectional Engineers were granted its benefit after 12 years of service. With the implementation of the Sixth Pay Commission, the Modified Assured Career Progression (MACP) Scheme was introduced by GR dated 1st April 2010, effective from 1st October 2006. Under this scheme, eligible employees were entitled to a second benefit of promotional pay scale. Clause 2(b)(3) of the MACP GR provided that any non-functional or analogous higher pay scale given earlier without increase in duties would be treated as the first benefit. The petitioners were initially granted the second benefit under MACP and their pay was fixed in the promotional scale. However, on 13th June 2016, the State Finance Department issued a circular withdrawing the second benefit, directing refixation of pay and recovery of excess payments, on the ground that the upgradation under the 1984 GR constituted the first benefit under MACP and the subsequent ACP benefit was the second benefit, making the MACP benefit an impermissible third benefit. Aggrieved, the petitioners filed Original Application No. 837 of 2016 before the Maharashtra Administrative Tribunal. They contended that the 1984 upgradation was not a benefit under ACP/MACP and that clause 2(b)(3) did not apply as it was not a non-functional pay structure. The State argued that the upgradation was indeed a non-functional pay structure benefit and must be treated as the first benefit under MACP. The Tribunal accepted the State's contention and dismissed the original application on 2nd February 2017. The petitioners then filed the present writ petition before the Bombay High Court. The High Court heard the matter on 24th January 2019 and reserved judgment. The judgment was pronounced on 6th February 2019. The provided text does not include the court's analysis and final decision.

Headnote

A) Service Law - MACP Scheme - Upgradation as first benefit - Clause 2(b)(3) of GR 01.04.2010 - The dispute pertained to whether the upgradation of Junior Engineers to Sectional Engineers under GR 16.04.1984 could be treated as a non-functional pay structure benefit and thus the first benefit under the MACP scheme - The tribunal had held that the upgradation constituted such a benefit and dismissed the original application. The High Court heard arguments and reserved judgment. (Paras 6-9)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the upgradation of Junior Engineers to Sectional Engineers under Government Resolution dated 16th April 1984 constitutes the first benefit under the Modified Assured Career Progression Scheme (MACP) as per clause 2(b)(3) of the Government Resolution dated 1st April 2010.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The High Court heard the matter and reserved judgment on 24.01.2019; the final decision is not included in the provided text.

Law Points

  • Interpretation of Modified Assured Career Progression Scheme (MACP) rules
  • treatment of non-functional upgradation as first benefit
  • withdrawal of second benefit under MACP due to mistaken grant
  • recovery of excess payment
  • applicability of clause 2(b)(3) to earlier upgradation
Subscribe to unlock Law Points Subscribe Now

Case Details

2019 LawText (BOM) (03) 39

Writ Petition No. 2605 of 2017

2019-02-06

B. R. Gavai, N. J. Jamadar

Mr. Pradeep Deshmukh (for Petitioners), Mr. D. B. Khaire (Special Counsel for Respondents)

The Association of the Subordinate Service of Engineers Maharashtra State & Ors.

The State of Maharashtra through the Chief Secretary & Ors.

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Challenge by an association of engineers and its members to the Maharashtra Administrative Tribunal's dismissal of their Original Application seeking declaration that upgradation under GR 1984 should not count as first benefit under MACP, and to quash the Circular dated 13th June 2016 withdrawing the second benefit already granted.

Remedy Sought

Petitioners sought a declaration that Clause 2(b)(3) of GR dated 1st April 2010 does not apply to them, and that the Government Circular dated 13th June 2016 withdrawing the second MACP benefit and directing refixation and recovery be quashed.

Filing Reason

The State Government issued Circular dated 13th June 2016 withdrawing the second benefit under MACP scheme already granted to the petitioners, on the ground that the upgradation under GR 1984 constituted the first benefit under MACP, making the subsequent grant a third benefit which is impermissible.

Previous Decisions

Original Application No. 837 of 2016 was dismissed by the Maharashtra Administrative Tribunal on 2nd February 2017, accepting the State's contention that the upgradation under GR 1984 was a non-functional pay structure and thus the first benefit under MACP.

Issues

Whether the upgradation of Junior Engineers to Sectional Engineers under GR dated 16th April 1984 amounts to grant of non-functional pay structure and can be treated as the first benefit under the Modified Assured Career Progression Scheme (MACP) under Clause 2(b)(3) of GR dated 1st April 2010?

Submissions/Arguments

Petitioners argued that the upgradation under GR 1984 was not a benefit under ACP/MACP and that Clause 2(b)(3) did not apply because it was not a non-functional pay structure; it was a creation of a separate cadre with gazetted status, and no time-bound promotion scheme existed at that time. State argued that the upgradation of Junior Engineers to Sectional Engineers constituted grant of non-functional pay structure benefit, and as per Clause 2(b)(3) of GR 2010 it must be treated as the first benefit under MACP; thus the grant of second benefit under MACP was a mistake and amounted to a third benefit, which required withdrawal and recovery.

Judgment Excerpts

Clause 2(b)(3) provided that while considering the admissibility of the first benefit i.e. 'nonfunctional pay structure', extended to the employees, after putting in a specified years of service, without there being any increase in the duties and responsibilities, shall be reckoned as the 'first benefit' under the scheme. The Government introduced Assured Career Progression Scheme ('ACP Scheme') vide GR dated 20th July, 2001, to address, inter alia, the issue of stagnation.

Procedural History

The applicants originally filed Original Application No. 837 of 2016 before the Maharashtra Administrative Tribunal challenging the withdrawal of MACP second benefit. By judgment and order dated 02.02.2017, the Tribunal dismissed the OA. The applicants then filed Writ Petition No. 2605 of 2017 before the Bombay High Court. The High Court heard the matter and reserved judgment on 24.01.2019, and pronounced it on 06.02.2019.

Acts & Sections

  • Government Resolution dated 16th April, 1984: Entire resolution
  • Government Resolution dated 20th July, 2001 (ACP Scheme): Entire resolution
  • Government Resolution dated 1st April, 2010 (MACP Scheme): Clause 2(b)(3)
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Examines Writ Petition Against Tribunal Order Denying MACP Benefits to Junior Engineers. Clause 2(b)(3) of GR 2010 and Prior Upgradation Under GR 1984 Are Central to Dispute Over Second Benefit Entitlement.
Related Judgement
Supreme Court Supreme Court Partly Allows Contempt Appeal: Editor's Conviction Upheld, Politician's Quashed for Pre-Arrest Statement on Murder Conspiracy. Majority holds pre-arrest statement not contempt as proceedings not imminent; editor liable as publication po...