Case Note & Summary
The petitioners, employees of Maharashtra State Electricity Distribution Company Ltd. (MSEDCL), challenged their transfer orders issued by the company. They contended that the transfers were arbitrary, mala fide, and not in accordance with the company's transfer policy. The petitioners argued that the transfer policy required certain criteria to be met, which were not followed. The respondents, MSEDCL, defended the transfers stating that they were made in the interest of administration and in compliance with the transfer policy. The court examined the transfer policy and found that it was binding on all employees. The court noted that the petitioners had accepted the terms of employment, which included adherence to the transfer policy. The court also observed that the petitioners had not impleaded the officer who passed the transfer order, which was necessary to substantiate the allegation of mala fides. The court held that transfer is an incident of service and courts should not interfere with transfer orders unless they are mala fide or contrary to statutory rules. In this case, no such infirmity was found. The court dismissed the writ petition, upholding the transfer orders.
Headnote
A) Service Law - Transfer - Binding Nature of Transfer Policy - Transfer Policy of MSEDCL - The transfer policy framed by the company is binding on all employees, and the petitioners, having accepted the terms of employment, cannot challenge the transfer orders on the ground that the policy was not followed. The court held that the transfer policy is a part of the terms and conditions of service and must be adhered to. (Paras 10-12) B) Service Law - Transfer - Mala Fides - Allegation of Mala Fides - The petitioners alleged mala fides against the transfer order but failed to implead the officer who passed the order. The court held that without impleading the officer, the allegation of mala fides cannot be entertained. (Para 13) C) Service Law - Transfer - Judicial Review - Scope of Interference - Transfer is an incident of service, and courts should not interfere with transfer orders unless they are mala fide or contrary to statutory rules. The court found no such infirmity in the present case. (Paras 14-15)
Issue of Consideration
Whether the transfer orders issued to the petitioners by MSEDCL are valid and not arbitrary or mala fide, and whether the petitioners are bound by the transfer policy of the company.
Final Decision
The writ petition is dismissed. The transfer orders are upheld.
Law Points
- Transfer policy of public sector undertaking is binding on employees
- Transfer orders cannot be challenged on grounds of mala fides without impleading the officer
- Transfer is an incident of service
- Courts should not interfere with transfer orders unless mala fide or contrary to statutory rules
