Case Note & Summary
The case involves an intra-court appeal by the President of LIC Employees Co-operative Bank Ltd. against a writ order dated 30.03.2023 in W.P.No.3083 of 2014. The first respondent, R. Ponnuvelu, was initially appointed as Assistant on 06.11.1978 and promoted to Assistant Accountant on 01.01.2004 during a ban period, later reverted and regularly promoted on 01.11.2007. He was further promoted to Manager on 29.11.2008 and to Secretary/General Manager on 01.02.2013, after completing five years and three months as Manager. He retired on 30.06.2013. Just before retirement, on 26.06.2013, the Board reverted him to Manager, citing lack of prescribed degree qualification (he had only SSLC with Diploma in Cooperative Training) and insufficient service period (five years three months instead of the required six years under the second proviso to Rule 149 of the Tamil Nadu Cooperative Societies Rules). The first respondent challenged the reversion before the Additional Registrar under Section 153 of the Tamil Nadu Cooperative Societies Act, who upheld the reversion on 17.01.2014. The first respondent then filed a writ petition to quash the revisional order and seek retirement benefits as Secretary/General Manager. The writ court allowed the petition. The appellant society appealed. The High Court considered the arguments: the appellant contended that the promotion was invalid due to lack of qualifications and service period; the first respondent argued that the promotion was approved by the Board and he had a legitimate expectation. The court analyzed Rule 149 and found that the first respondent did not meet the qualification or service requirements. The court held that the promotion was contrary to rules and the reversion was valid. The court set aside the writ order and dismissed the writ petition, allowing the appeal. The court also noted that the first respondent had already retired and the society may consider any ex gratia payment if permissible under rules.
Headnote
A) Service Law - Promotion - Eligibility - Qualification - The first respondent was promoted to Secretary/General Manager without possessing the prescribed degree qualification and without completing the required six years of service as Manager under the second proviso to Rule 149 of the Tamil Nadu Cooperative Societies Rules - The reversion order was held valid as the promotion was contrary to rules - Held that the writ court erred in granting relief (Paras 2-8). B) Cooperative Societies - Reversion - Revision under Section 153 - The revisional authority under Section 153 of the Tamil Nadu Cooperative Societies Act upheld the reversion order after considering the lack of qualifications and service period - The High Court in appeal set aside the writ order and restored the reversion - Held that the revisional authority's order was correct (Paras 3-8).
Issue of Consideration
Whether the reversion of the first respondent from the post of Secretary/General Manager to Manager was valid due to lack of prescribed qualifications and insufficient service period under Rule 149 of the Tamil Nadu Cooperative Societies Rules.
Final Decision
The appeal is allowed. The order dated 30.03.2023 in W.P.No.3083 of 2014 is set aside. The writ petition is dismissed. No costs. Consequently, CMP No. 22001 of 2023 is closed.
Law Points
- Promotion eligibility
- Reversion
- Qualification requirements
- Service period
- Section 153 Tamil Nadu Cooperative Societies Act
- Rule 149 Tamil Nadu Cooperative Societies Rules





