# V. JAGANNADHA RAO AND ORS v. ST ATE OF A.P. AND ORS - **Citation:** [2001] Supp. 5 S.C.R. 179 - **Court:** Supreme Court of India - **Decided:** 2001-11-07 - **Bench:** G.B. Pattanaik, Ruma Pal, Aruit Pasayat - **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/v-jagannadha-rao-and-ors-v-st-ate-of-a-p-and-ors-18101 - **Pages:** 26 ## Headnote B Service Law : Andhra Pradesh Public Employment (Organisation of Local Cadres and Regulation of Direct Recruitment) Ore/er, 1975 : Presidential Ore/er-Paras 3(3), 5(1 )--Presidental Ore/er issued under Art. 371-D to provide for equitable opportunities and.facilities for the people belonging to different parts o.f the State in the matter o.f public employment, edurntion etc.-Ministerial posts o.f Factories and Boilers Department were organised into Local Cadres pursuant to the Presidential Ore/er-Government issued Special Rules under proviso to Art. 309 making Senior Assistant belonging to the Factories and Boilers DepclTlments as well as Labour Department eligible .for appointment by trans.fer to the post of Assistant Labour Officer/ Assistant Inspector o.f Factories in the Andhra Pradesh Labour Suborclinate Service - State Administmtive Tribunal declared that the impugned Rules to the extent they enabled the ministerial em11loyees of the Factories and Boilers Department or any other Department to be considered for appointment to the posts in Labour Department are violative o.f paras 3 and 5 o.f the Presidential Ore/er and, therefore, were void-Correctness of-Held: Art. 371-D( 10) and c D any ore/er made by the President thereunder shall prevail over any Rule made F under proviso to Art. 309 if such Rule is not .framed in accorclance with the Presidential Ore/er-The Special Rule to the extent indicated by the Tribunal is constitutionally i1ll'alid and rightly struck down-Constitution of India, 1950, Arts. 309 arul 371-D-Fundamental Rules, Rr. 2(18) and 15(a). Para 5(2)--Tran.~fer-Scope and ambit of-Held: Transfer means a change of place o.f employment within an organisation-It is an incidence o.f public service-It is essentia/y to a similar post in the same cadre and does not incluc/e promotion-Trans.fer is a lateral and not a vertical movement within the G employer's organisation. Interpretation o.f Statutes : H 179 180 SUPREME COURT REPORTS [2001] SUPP. 5 S.C.R. A Rules qf construction-Intention qf legislature-Detennination qf-Held: B c D Has to be determined.from the la~g~wge'o.f the statute-A cnmtructinn requiring addition or l'Ubstitution o,f words .or rejection of ~vords as n1eaningless has to be avoided. '' . Words and Phrases : I , "Tran~fer"-Meaning of-In the context qf para 5(2) qf Andhra Pradesh Public Employment (Organisation of local Cadres and Regulation of Direct of Recruitment) Order, 1975. The Labour and Factdries Department of the State of A.P. con· sisted of 3 units, namely, La.hour, Factories and Boilers: Subsequently, one more unit, namely, Establishment Unit was created. A Presidential Order,· namely, Andhra Prailesh Public Employment (Organisation) of Local Cadres and Regulation of Direct Recruitn;erit) Order, 1975 was ~ , . I - , ·. ' -: . . . ' - issued under Article 371-D of the Constitution to provide for e9uitable opportunities and facilities for the people belonging to differeni'parts of the State in the matter of pu'blk employment, education etc. Minis.terial posts of Factories and Boile'rs' Department were. organised info Local Cadres pursuant to the Presidential Order. The Government issued Spe· cial Rules under proviso to Article 309 making Senior Assistant belonging E to the Factories and Boilers Departments as well as Labour Department eligible· for appointment by' transfer· to the post of· Ai;sistant Labour Officer/Assistant Inspector of Factories in the Andhra Pradesh Labour Subordinate Service. The Ministerial employees of°the Labour Depart· ment challenged the said Special Rules before the Stale Administrative F Tribunal. The Tribunal declared that the impugned Rules lo the extent they enabled the ministerial·employees of the Factories and Boilers De· partment or any other Department to be c~risidered for appointment to the posts in Labour Department are violative of paras 3 and 5 of the Presidential Order and, therefore, were ·void. Hence this appeal. G ' On behalf of the appellants it ## Text _Characters 0–38,535 of 57,955. This is a partial read: ask again with offset=38535 for what follows._ -- V. JAGANNADHA RAO AND ORS. A v. ST ATE OF A.P. AND ORS. NOVEMBER 7, 2001 [G.B. PATTANAIK, RUMA PAL AND ARUIT PASAYAT, JJ.] B Service Law : Andhra Pradesh Public Employment (Organisation of Local Cadres and Regulation of Direct Recruitment) Ore/er, 1975 : Presidential Ore/er-Paras 3(3), 5(1 )--Presidental Ore/er issued under Art. 371-D to provide for equitable opportunities and.facilities for the people belonging to different parts o.f the State in the matter o.f public employment, edurntion etc.-Ministerial posts o.f Factories and Boilers Department were organised into Local Cadres pursuant to the Presidential Ore/er-Government issued Special Rules under proviso to Art. 309 making Senior Assistant belonging to the Factories and Boilers DepclTlments as well as Labour Department eligible .for appointment by trans.fer to the post of Assistant Labour Officer/ Assistant Inspector o.f Factories in the Andhra Pradesh Labour Suborclinate Service - State Administmtive Tribunal declared that the impugned Rules to the extent they enabled the ministerial em11loyees of the Factories and Boilers Department or any other Department to be considered for appointment to the posts in Labour Department are violative o.f paras 3 and 5 o.f the Presidential Ore/er and, therefore, were void-Correctness of-Held: Art. 371-D( 10) and c D any ore/er made by the President thereunder shall prevail over any Rule made F under proviso to Art. 309 if such Rule is not .framed in accorclance with the Presidential Ore/er-The Special Rule to the extent indicated by the Tribunal is constitutionally i1ll'alid and rightly struck down-Constitution of India, 1950, Arts. 309 arul 371-D-Fundamental Rules, Rr. 2(18) and 15(a). Para 5(2)--Tran.~fer-Scope and ambit of-Held: Transfer means a change of place o.f employment within an organisation-It is an incidence o.f public service-It is essentia/y to a similar post in the same cadre and does not incluc/e promotion-Trans.fer is a lateral and not a vertical movement within the G employer's organisation. Interpretation o.f Statutes : H 179 180 SUPREME COURT REPORTS [2001] SUPP. 5 S.C.R. A Rules qf construction-Intention qf legislature-Detennination qf-Held: B c D Has to be determined.from the la~g~wge'o.f the statute-A cnmtructinn requiring addition or l'Ubstitution o,f words .or rejection of ~vords as n1eaningless has to be avoided. '' . Words and Phrases : I , "Tran~fer"-Meaning of-In the context qf para 5(2) qf Andhra Pradesh Public Employment (Organisation of local Cadres and Regulation of Direct of Recruitment) Order, 1975. The Labour and Factdries Department of the State of A.P. con· sisted of 3 units, namely, La.hour, Factories and Boilers: Subsequently, one more unit, namely, Establishment Unit was created. A Presidential Order,· namely, Andhra Prailesh Public Employment (Organisation) of Local Cadres and Regulation of Direct Recruitn;erit) Order, 1975 was ~ , . I - , ·. ' -: . . . ' - issued under Article 371-D of the Constitution to provide for e9uitable opportunities and facilities for the people belonging to differeni'parts of the State in the matter of pu'blk employment, education etc. Minis.terial posts of Factories and Boile'rs' Department were. organised info Local Cadres pursuant to the Presidential Order. The Government issued Spe· cial Rules under proviso to Article 309 making Senior Assistant belonging E to the Factories and Boilers Departments as well as Labour Department eligible· for appointment by' transfer· to the post of· Ai;sistant Labour Officer/Assistant Inspector of Factories in the Andhra Pradesh Labour Subordinate Service. The Ministerial employees of°the Labour Depart· ment challenged the said Special Rules before the Stale Administrative F Tribunal. The Tribunal declared that the impugned Rules lo the extent they enabled the ministerial·employees of the Factories and Boilers De· partment or any other Department to be c~risidered for appointment to the posts in Labour Department are violative of paras 3 and 5 of the Presidential Order and, therefore, were ·void. Hence this appeal. G ' On behalf of the appellants it was contended that the expression 'transfer' used in para 5(2) pf the .Presidential Order had to be given a wider meaning .and that pro!Dolional prospects were clearly inter-linked prospects and could not be divested from a transfer. Dismissing the appeal, the Court \ - - V. JAGANNADHA RAO v. STATE 181 HELD : 1. The object or enacting Article 371-D in the Constitution A is two-fold: (a) to promote equal development or the backward areas of the State or Andhra Pradesh, so far as to secure balanced development of the State as a whole. (b) To provide equitable opportunities to different areas or the State in the matter or education, employment and career prospects in public service. [198-H; 199-A) Chief Justice of Andhra Pradesh v. L. V.A. Dikshitulu, AIR (1979) SC 193, relied on. -2. Para 5(1) or the President Order, namely, Andhra Pradesh PUblic Employment (Organisation or Local Cadres and Regulation of Direct Recmitnient) Order, 1975 is in terms or para 3(3) the~f. Para 3(3) postulates that each department in each. zone shall. be or'g~;nseii. into a separate cadre. Para 5(1) speaks of separate unit ror;~rl>oses "ofl"eC:ruit· ment, appointment, clischarge, seniority, promotion and tr&nSrer and · · such other matters as may be specified by th~ Stat.; Gov'ern~e~t in . -·-· - ' . . '' ,. : '·' ·\, . :·. respect of the category of posts and each part of the State. for which local cadre has been organised ln respect of any category .of jio~ts is .;;,quired to B c D E have a separate unitror the aforesaid purposes. Pa.:S 5(2) is in the nature of an enabling provision, which authorises. Ute State Gove...;'meitt to· make provisions for transfer in certain ·specified circumstances. The . present dispute relates to para 5(2)(c); it speaks of a "tra~er''. An enlarged meaning to the expression "transfer'' to include pr~motional aspects cannot be given. The appellants' contention that though para 5(2) .treats · F promotion and transfer separately, yet that distinction would not be applicable to cases covered by para 5(2), is clearly untenable. [194·C·D] 3.1. Transfer in relation to service reduced to simple terms means a change or place of employment within an organisation. It is. an incidence of public service and generally does not require the consent or the em· G ployee. In most. service rules, there are express provisions relating to transfer. [199-F) New Oxford English Dictionary, 1993 Edn., Vol. 2, 3367, referred to. 3.2. Though definitions may differ and in many cases transfer is H 182 SUPREME COURT REPORTS [2001] SUPP. 5 S.C.R. A conceived in wider terms as a movement to any other place or branch of the organisation, (transfer) it essentially is to a similar post in the same cadre. [200-E] 8. Varadha Rao v. State of Kamataka, AIR (1987) SC 287, relied on. B 3.3. It is now well settled that a government servant is liable to be transferred to a similar post in the same cadre which is a normal feature and incidence of government service and no governmtnt servant can claim to remain in a particular place or in a particular post unless, of course, his appointment itself is to a specified non-transferable post. No C transfer is made to a post higher than what a government servant is holding. In other words, it is generally a lateral and not a vertical movement within the employer's organisation. [200-F] D 4.1. Para 5(2) of the Presidential Order speaks of transfer and not of promotion. It would be haz~rdous to accept the contention of the appellants that promotion is included in the expression 'transfer' and no assistance can be availed of from the distinction ma.de in para 5(1) of the Order. No provisions or word in a statute have to be read in isolation. In fact the statute has to be read as a whole. A statute is an edict of legislature. It cannot be said that without any purpose the distinction was made in para E 5(1) between transfer and promotion and such distinction was not intended to be operative in para 5(2). The intention of the legislature is primarily to be gathered from the language used, which mean that attention should be said as to what has been said as also to what has not been said. As a consequence a construction which requires for its support addiF tion or substitution of words or which resorts for rejection of words as meaningless has to be avoided. [201-G-H; 202-A,B] Mohd. Ali Khan v. Commissioner of Wealth Tax, AIR (1997) SC 1165 and Institute of Charted Acco~ntants {)(India v. Mis. Price Water House, AIR (1998) SC 74 and State of Gujarat v. Dilipbhai Nathibhai Patel, JT (1998) 2 G SC 253, relied on. Robert Wigram Crawford v. Richard Spooner, [1846] 6 Moore PC 1, referred to. 4.2. It is contrary to all rules of construction to read words into an H Act unless it is absolutely necessary to do so. Similarly, it is wrong and - V. JAGANNADHA RAO v. STATE 183 dangerous to proceed by substituting some other words for words of the A statute. In other words, there should be no attempt to substitute or paraphrase of general application. Attention should be confined to what is necessary for deciding a particular case. Much trouble is made by substituting other phrases assumed to be equivalent, which then are reasoned from as if they were in the Act. [202-D] Stock v. Frank Jones (Tiptan) Ltd .. [1978] 1 All ER 948 (HL) and Pinner v. Everett, [1969] 3 All ER 257, referred to. 4.3. It is incumbent on the Court to avoid the construction if reasonably permissible on the language, which would render a part of the statute devoid of any meaning or application. In the interpretation of statutes, the Courts always presume that the Legislature inserted every part thereof for a purpose and the legislative intention is that every part of the statue should have an effect. Therefore, the expression "transfer" does not take within its scope promotion. [202-F] Union of India v. Deoki Nandan Afigarwal, AIR (1992) SC 96, relied on. 5. Article 371-0(10) of the Constitution unequivocally indicates that the said Article and any order made by the President thereunder shall B c D have effect notwithstanding anything in any other provision of the Consti· E tution or in any other law for the time being in force. Necessarily, there· fore, if it is construed and held that the Presidential Order prohibits consideration of the employees from the feeder category from other units then such a rule made by the Governor under the proviso to Article 309 of the Constitution will have to be struck down. Then again in exercise of F powers under paragrnph 5(2) of the Presidential Order if the State Government makes any provision, which is outside the purview of the author· ity of the Government under para 5(2) of the Order itself, theu the said provision also has to be struck down. Having construed the rules framed by the Governor nuder proviso to Article 309 of the Constitution from the aforesaid standpoint, the conclusion is irresistible that the said rule to the extent indicated by the Tribunal is constitutionally invalid and its conclu· sion is unassailable. In the case in hand, the impugned provisions do not appear to have been framed in exercise of powers under paragraph 5(2) of the Presidential Order and as such the same being a rule made under proviso to Article 309 of the Constitution, the Presidential Order would G H si.IPREM!lcoURT RiroR.Ts' r [2001) SUPP. 5 s.e.R. ~ • ·~ .... ' - • • ' • " ,- ··-_, '> ! - ,_,.,,,, ~.• ,,.,.,.~ ,,,.,,l 1· A''" prevail; as provided tinder Article 371-D(lO) or the eonstitution.·Even if it • • ,-. '-. - ·.···;: .. ~ ---- ".,i, .. ; .··-- ,.t ,, •. , .. •;:.: ·; ' is construed to be an Order made under paragraph 5(2) of the Presidential < ,, • ,-" • _.- - • • _:. • -- •' ,, "• ., ' ----:~:i-···-·i· ,. lh;Order;then also the same would· be invalid being beyond the pemussible 1 • ' • : - ' ,- .- . ----·-' - - • • . "'.. - - : • ... ·; ~ • - ,. ... ' ·'' '(•-'limits provided tinder the said paragraph. The Tnlmnal 'rightly held that Ji the provislOn io' the extent it provide5forconsideraiio'n~r eriipl~y~~S'rir the . ' ·-'•. ---~- - ' ·-· . ' ' "' '" ,_, "f .. "'" ,,.,-! d B Factories and Boilers units lo be invalid for the purpose of promotion lo the higher post in the LabOur unit and as such no interference with the said · ''' cohctllSi~r'i'oithe Tnbu~ar ~'caned r~~- rio3~n; F-Hl ; : . . , < , ;•,JI :<.'":,l_::~-,1 ,"' >-:. 'i;-' ,.u. •. '.'-'" • i '' '' •' · •' - ... , State of Andhra Pradesh Y• V.Sadanandam & Ors., (1989) Supp. 1 SeC · !I: -- -'"' •:-1 : . ''.·- ! 1 · . : ; ~<"-:1 -~:; .;; '; '· ;, · ' • ' ., __ ;- • ' · · -- · - • ·' -' ~ -- · · -" · · - · · - - 574 and B. Satyanarayana Rao, [2000] 4 sec 262, overruled.,,,,,, ,<,:,, ) c ·~ ! : : ; ;,_ :~ .:"';l!. ;.'.:, ;.- ·_~:;· -! '.:_-: ':-:." ~; :· .. ~: l .-.-~i ;~ ~:: j~~ '. ' -~ _-· ·:: ~·- -_ ,~-:.: ~ -". --. ; l; .: ~' .. ~: :., -~ ; ·; • ':, '. ;.; ,: ! ~! '._ • . ., ':' "· 6: II would be ID the 1Dleresl ofthe Administration lo have a channel ,.> ·,. .. h•-_,· .. ,_.., -l~/,-.,.:.-,«~-~.,·.,:•;,,j) -·i ;•cr_.-~--,i.-1;_:;0::~_!"•'>_> • 'of promotion for every service; so as to avoid stagnation at a particular ... '. ,,_ -: . - -, ..... , ·" - ' ... ,_ ii -.. -.. :• . '., ,- -_.;. -,, '" " ,._,, ! ,, -:_ .. _.,, ! ,;,,_; « .,, lever;· stibject, however, to the condition thaf the'inciimbents of a .service ~-:-. " -- ,._,. .--·-,~----: ,.,. "._-·1· '•-"f·.,''"i•,:-;' ••.. ~;-1;·· ;_t")•j_•i·;;'..-. " are othernise· qtialified lo shoulder the .responsibilili.S of the higher pro- -- ,_ ... _ • ·__ , .. _.-_ - . -·· ; ·>-''!' ' '~ -·)'· -- . .,-~ .. ,.,,_«,; -}: li;.f . motional post. The appropriate aulhorit.Y" of the Government, therefore, : 1 D should bear' this, in mind and ·consider the feasibility. and, desirability of l;·;;,.)'j ·-·-.: _.;~_ ~ ··- · ... - -·.. . Administrative Tribunal at Hyderabad in R.P. No. 2462 and 2671.of.1987. :<'l.IZJJ-;-:,.d11.r.-,'1.•l.'t . ._,1-.H'. ,_, ..... , ... ,_~, l••'-_,·-. "-'; _.. ·' -' .. ; .- r. •>1._"•; --· ·,-.'~ ,.;_: ;-, 1~·:·::.·1.-t··; ::·r·.1;; '; ·-:'''"'i-'.:··.,; ·-<· :· ·''' ""' "' · P.N: Mishra; a:: Seshagiri' Rao· and S: ·Muralidhar for the Appellants. 1 1-;r:~·srf .1·./;r:··.;:llJ L>:'!J·~1:~·.- ;!_.;i,n:;l. _Hrt•:>~_i ,!_-_,;;.ii<.·;;. ·-1 "''·" ··.· · '1 · -- G ..• , ••·:~.N:'Rio;'s. sari~~'krisii~ru.;1,~.'~aj,'~-~::,su~s~~:'s .. ~day •Kumar· Sagar' and K.R..Nagaraja· for'the' Respondents; ... ,...... · ·'·,l'., !: 11-'{. ;·;i"!'"!·i "(t•-;,,-;;1·i.i-:."''i/J;.i!.·;-.1<:<:1 ;-i~ -'? :;-~;)_):!'..': ·; , - · '" .-:. SmL·K.> Amareswari,iR;'Madhavi .Latlia for T.V. Ratnam for Govt of A.P.:... i·;- :;:.-~ - .;, .... ;.·,.,.,.,:·'.L:.,·;.-· -'':·.· ""'-:', . ' '"·•·, H . . , The Judgment of the Court was delivered by · V. JAGANNADHA RAO v. STATE [ARIJIT PASAYAT, J.] 185 ARUIT PASAYAT, J. I.Doubting correctness of the view expressed A i~ two decisions rendered by two Hon'ble Judges in Stare of Andhra Pradesh and Anr. v. V. Sadanandam & Ors., [ 1989] Supp. 1 SCC 574 and Govt. of A.P .. & Anr. v. B. Suryanarayana Rao (Dead) by Lrs. & Ors., [2000] 4 SCC 262 regarding scope and ambit of para 5(2) of the Presidential Order issued under Article 37 ID of the Constitution of India 1950 (in short the "ConstituB tion") a reference has been made to a three Judges Bench, and that is how the matter was listed before us. The question for consideration in these appeals is whether the judgment of Andhni Pradesh Administrative Tribunal (in short "Tribunal") striking down certain provisions of the Special Rules framed under Article 309 of the C Constitution holding them to be violative of the Presidential Order issued under Article 37 ID of the Constitution is correct. 2.Background facts in a nutshell are as under:- Prior to the formation of the State of Andhra Pradesh on 1.11.1956 and D . thereafter, the Labour and Factories Department consisted of 3 units, namely, Labour, Factories and Boilers. The employees belonging to the ministerial .cadres in all the 3 units had a channel of promotion to higher non-technical executive posts like Assis\ant Inspector of Labour, District Inspector of Labour . etc. Further promotional avenues Jed to the posts of Assistant Commissioner E of Labour, Deputy Commissioner of Labour, Joint Commissioner of Labour and Additional Commissioner of Labour. On 16.9.1963 Factories Unit in the department was bifurcated and subjects relating to Shops and Establishment Act, Minimum Wages Act, Motor Transport Workers Act and Payment of Wages Act in respect of non-factory establishments were transferred to the Labour unit. On 8.12. l 965 one more unit, namely, Establishment Unit was c~eated in the Labour Department by transferring non-technical posts of District Inspector of Labour (re-designated as Labour Officer) and Assistant Inspector of Labour (re-designated as Assistant Labour Officer) from the Fa~tories \Ying. Prior to this arrangement the aforesaid non-technical posts were .under the control of the Factories Wing. On 15.9.1966 Government . issued Rules under the prcviso to Article 309 making Superintendents in the . Factories and Boilers Wings and Assistant Inspectors of Labour retained in that Wing (re-designated as Assistant Inspector of Factories) eligible for appointment by transfer as District Inspector of Labour (now Labour Officer). On 28.1.1971 Government ordered that the ministerial staff in all the 4 units, F G H 186 SUPREME COURT REPORTS [2001] SUPP. 5 S.C.R. A namely, Labour, Factories, Boilers and Establishment at the headquarters were to be treated as one unit. On 6.8.1974 Government ordered that the Factories and Boilers units were to function with Chief Inspector of Factories and Boilers as the head of the department, and the Labour and Establishment units were to function under the control of Commissioner of Labour. It was B c D clarified that the ministerial staff in all the 4 units were eligible for appointment by transfer to the post of Assistant Inspector of Labour (re-designated as Assistant Labour Officer) and District Inspector of Labour (re-designated as Labour Officer). On 18.!0.1975 the Presidential Order was issued under Article 371-D of the Constitution to provide for equitable opportunities and facilities for the people belonging to different parts of the State in the matter of public employment, education etc. On 20.5.1976 ministerial posts of Factories and Boilers Department were organized into Local cadres pursuant to the Presidential Order. Similarly, the posts in the Labour Department were also organised into local cadres. On 11.5.1977 posts of Labour Enforcement Officer (previously designated as Deputy Inspector of Labour and subsequently re-designated as Labour Officer) were organized into multi-zone cadre posts. On 2.9.1977 by the Rules made under proviso to Article 309, UDC's of the Labour Department and Factories and Boilers Department were made eligible for recruitment by transfer to the posts of Assistant Inspector of Labour/Assistant Inspector of Factories. On 20.7.1982 in G.0.503 the E Government directed that the concessions given in G.0.607 dated 6.8.1974 to the effect that the ministerial staff in the Factories and Boilers Department shall be eligible for appointment by transfer to the post of Assistant Inspector of Labour (Assistant Labour Officer) and District Inspector of Labour (Labour Officer) shall continue to the last person in the department as on 20.7.1982 F and the concession will be withdrawn in respect of persons appointed thereafter in the Factories and Boilers department. The said concession was extended to the last person in the department by a memorandum dated 19.5.1983. By G.O.Ms.No.72 Government issued Rules under proviso to Article 309 making Senior Assistant belonging to the Factories and Boilers departments G as well as Labour department eligible for appointment by transfer to the post of Assistant Labour Officer/ Assistant Inspector of Factories. These were treated to be zonal non-gazetted posts, unit of appointment being the zone. In G.O. Ms 170 Rules under proviso to Article 309 were issued constituting the posts of Labour Officer into multi-zonal cadre posts. H 3. Ministerial employees of the Labour department challenged the Rules V. JAGANNADHA RAO v. STATE [ARIJIT PASAYAT, l.] 187 issued in G.0.Ms 72 dated 25.2.1986 and G.0.Ms.117 dated 28.5.1986 before A the Tribunal. A Full Bench of the Tribunal allowed the petitions and declared that the impugned Rules to the extent they enable the ministerial employees of the Factories and Boilers department or any other department to be considered for appointment to the posts in Labour department are violative of paras 3 and 5 of the Presidential Order and, therefore, were void. However, liberty was B given to the Government to create posts in the Factories and Boilers Departments for persons who were regularly appointed more than 3 years prior to the filing of the petitions before the Tribunal in the Executive posts in Labour Department, without affecting the rights of the employees of the Labour Department in the respective zones. 4. Tribunals' conclusions essentially are as follows:- The Presidential Order was enforced on 18.10.1975. The post of Senior Assistant is required to be organised in a zonal cadre and for the Labour Department there has to be an additional city cadre. Organising cadre in each department under para 3 includes determination of cadre strengths both in respect of permanent and temporary posts. In accordance with definition of cadre in the fundamental rules the first step which was required to be taken for implementation of the Presidential Order was localization of cadres by determining cadre strength of each post required to be organised in local cadre. In Schedule Two of the Presidential Order, the requirements indicated include geographical spread of the zone and the ratio and also the administrative needs of the department. The local cadre is the unit under para 5(1) of the Presidential Order for recruitment, appointment, seniority, promotion and transfer. Therefore, the zone is the unit for the organised cadre of the zone. Para 9 speaks of the carry forward of a post and not a vacancy. According to para 5(1) the essential cadre of the department will be unit for the purpose of recruitment, appointment, seniority, promotion, transfer etc. Even a transfer to an equivalent post is required to be restricted within the zone. Para 5(2) enables to the State Government to make provisions for transfer of a person from and to a post in a category and a post in the same category outside the zonal cadre. It is to be noted that the essential cadre of each department is the unit not only for direct recruitment but also for recruitment by transfer, seniority and promotion in the department. An additional feeder category of ministerial employees organised in six separate cadres of another department will violate the requirements of para 3(3) and 5(1), as the seniority in the departmental cadre should be the criteria for the purposes of c D E F G H A B c D E F G 188 SUPREME COURT REPORTS [2001] SUPP. 5 S.C.R. promotion and appointment to higher posts in the department.· Accordingly, the Rules were held to be violative of Article 371-D. 5. When the matter was placed for hearing after grant of leave reliance . was placed by learned counsel for. the appellants on .the. decisions in . V. ' Sadanandam (supra) and B. Satyanarayana Rao (supra} to contend that this Court has upheld similar provisions which have been• struck down by the Tribunal as void. However, the Bench hearing the appeals expressed doubt about the correctness of the view expressed in these cases and as noted above· the appeals were directed to be placed before a 3 Judges Bench. 6. Mr. P.N. Mishra, learned senior counsel appearing for the appellants submitted that the two decisions referred to above were squarely applicable to the facts of this case. In any event the Rules have been made in consonance with the Presidential Order and there is no inconsistency. Para 5(2} of the Presidential Order authorises the State Government to pass nec;,i;sar)' or'ders in the circumstances indicated in the said paragraph. According to him, · public interest is paramount in the case and taking into account "the background facts it was felt by the 'Government that in order to provide ·for equitable opportunities and facilities for the people belonging to different parts of the State in the matter of public employment, impugnea Rules were formulated. If the interpretation by the Tribunal is accepted it would mean the denial of opportunities and would be against the very spirit of the Presidential Order. It was also submitt~d that the expression 'transfer' used in para 5(2) has to be given a wider meaning, and promotional prospects are clearly. inter-linked and cannot be divested from a transfer. If necessary, according to him, a purposive interpretation has to be made. Per contra, learned counsel appearing for the respondents who were the petitioners before the Tribunal submitted that the very object of the Presidential Order is to provide better employment facilities to persons of neglected· areas and the scope for a departure is rather limited and if the State wanted to make a departure it is authorized to do so within the four corners of"the prescriptions in the Presidential Order. Transfer according to him, is permissible in respect of similar posts, and by no stretch of imagination this is permissible to include a promotional prospect or avenue. 7 .Learned counsel for the State of Andhra Pradesh submitted that H though it is contended by appellant about States' stand before the Tribunal -l V. JAGANNADHA RAO r. STATE [ARIJIT PASAYAT, J.] 189 being correctness of the impugned Rules, yet on a closer reading• of the provisions it has be.en noticed that the Tribunal's Judgment does not suffer from any infirmity and, therefore, appeals were not filed by the State. It is also pointed out that supernumerary posts have been created. tCl effectuate the Tribunal's judgment. In order to appreciate the rival submissions, it would be necessary to note a few statutory provisions which have' reliance so far as the' dispute' is concerned. Article 371-D so far as relevant reads as follows:' ··,,. "3710.(1) The President may by order.made with respect to the State A B of Andhra Pradesh provide, having regard to the requirements of the C State as a whole, for. equitable opportunities and .facilities for the people belonging to different parts of the State, in the matter of public employment and in the matter of education, and different provisions may be made for various parts 'ofihe Siate. · ' '' (2) An order made under clause (I) may, in particular' (a) require the StateGovernm.ent to organize any class or. classes of posts in a civil service of, or any class or classes.of c_ivil posts. under, the State i~to different local cadres for differentparts of the State and allot in accordance with such principles and procedure as may be specified in the order the persons holding such posts to the local cadres so organized; (b) specify any part or parts of the State. which shall be regarded as the local area - (i) for direct recruitment to posts in any local cadre (whether organised in pursuance of an order under this Article or constituted otherwise) under the State Government; (ii) for direct recruitment to posts in any cadre under any local D E F authority within the State; and G (iii) for the purposes of admission to any University within the State or to any other educational institution which is subject to the control of the State Government; ( c) specify the extent to which, the manner in which and the H 190 A B c D E F G H SUPREME COURT REPORTS [2001] SUPP. 5 S.C.R. conditions subject to which, preference or reservation shall be given or made - (i) (ii) in the matter of direct recruitment to posts in any such cadre referred to in sub-clause (b) as may be specified in this behalf in the order; in the matter of admission to any such University or other educational institution referred to in sub-clause (b) as may be specified in this behalf in the order, to or in favour of candidates who have resided or studied for any period specified in the order in the local area in respect of such cadre, Univer-sity or other educational institution, as the case may be. (3) The President may, by order, provide for the constitution of an Administrative Tribunal for the State of Andhra Pradesh to exercise such jurisdiction, powers and authority [including any jurisdiction, power and authority which immediately before the commencement ' of the Constitution (Thirty-second Amendment) Act, 1973, was exercisable by any court (other than the Supreme Court) or by any tribunal or other authority] as may be specified in the order with respect to the following maters, namely:- (a) appointment, allotment or promotion to such class or cla,ses of posts in any civil service of the State, or to such class or classes of civil posts under the State, or to such class or classes of posts under the control of any local authority within the State, as may be specified in the order; (b) seniority of person appointed, allotted or promoted to such; class or classes of posts in any civil service of the State, or to such class or classes of civil posts under the State, or to such class or classes of posts under the control of any local authority within the State, as may be specified in the order; (c) such other conditions of service of persons appointed, allotted or promoted to such class or classes of posts in any civil service of the State or to such class or classes of civil posts under the State or to such class or classes of posts under the control of any local authority within the State, as may be specified in the order. • - V. JAGANNADHA RAO v. STATE [ARIJIT PASAYAT, J.) (4) 191 (5) (6) (7) (8) (9) Notwithstanding any judgment, decree or order of any court, tribunal or other authority - (a) no appointment, posting, promotion or transfer of any person - (i) made before the !st day of November, 1956, to any post under the Government of, or any local authority within, the State of Hyderabad as it existed before that date; or (ii) made before the commencement of the Constitution (ThirtyseconJ Amendment) Act, 1973, to any post under the Government of, or any local or other authority within the State of Andhra Pradesh; and (b) no action taken or thing done by or before any person referred to A B c D in sub-clause (a), shall be deemed to be illegal or void or ever to have become illegal or void merely on the ground that the appointment, E posting, promotion or transfer of such person was not made in accordance with any law, then in force, providing for any recquirement as to residence within the State of Hyderabad or, as the case may be, within any part of the State of Andhra Pradesh, in respect of such appointment, posting, promotion or transfer. F ( 10) The provisions of this Article and of any order made by the President thereunder shall have effect notwithstanding anything in any other provision of this Constitution or in any other law for the time being in force." "Impugned Rules: (so far as relevant read as follows). ORDER The following notification shall be published in the Andhra Pradesh G Gazette:- H 192 A B c D E F G H SUPREME COURT REPORTS NOTIFICATION (2001) SUPP. 5 S.C.R. In exercise of the powers conferred by the proviso to Article 309 of the Constitution of India, the Governor of Andhra Pradesh hereby makes the following· Special Rules for the posts of Assistant labour Officers in the Andhra Pradesh Labour Subordinate Services: The rules hereby made shall be deemed to have come into force with effect from the 2nd September, 1985; RULES 1. CONSTITUTION: this category shall consist of Assistant Labour Officers including Labour Inspectors of factories in the Andhra Pradesh Labour Subordinate Service. 2. APPOINTMENT: Appointment to the category shall be made': (i) by direct recruitment; (ii) by recruitment by transfer from the categories of senior assistants and senior stenographers of the Labour Department and Factories and Boilers Department in the Andhra Pradesh Min~ isterial Services restricted to those working in the zones in which the vacancies arise; (iii) by recruitment by transfer from among the personnel working in the Labour Welfare Centres of the Labour Department under the Andhra Pradesh General Subordinate Service, restricted to those working in the· zones in which the vacancies arise. Provided that all appointments by transfer to the category shall be made on grounds of seniority cum efficiency. Provided further that among the senior assistants, senior stenographers and the personnel working in the Labour Welfare Centres, in the Labour Department, the appointment to the post of Assistant ,,_ · Labour Officers shall be made in the ratio of 8: 1: I respectively in the following rotation:- ,. 1. Senior Assistant 2. Senior Assistant >- V. JAGANNADHA RAO v. STATE [ARIJIT PASAYAT, !.) 193 3. Senior Assistant A 4. Labour Welfare Centre Staff 5. Senior Assistant 6. Senior Assistant 7. Senior Assistant B 8. Senior Stenographer 9. Senior Assistant JO. Senior Assistant; Provided also that in a unit of 10 vacancies other than leave C vacancies, the 1st, 4th, 7th and 10th vacancies shall be filled in by direct recruitment and the remaining six vacancies shall be filled in the .appointment by transfer. Provided also that among the Senior Assistants and Senior Stenographers of the Directorate and the senior assistants and senior D stenographers of the subordinate offices, the appointment shall be in the ratio of 2:3 respectively in the following rotations: !st vacancy - Subordinate Office 2nd vacancy - Directorate Office 3rd vacancy - Subordinate Office 4th vacancy - Directorate Office 5th vacancy - Subordinate Office Provided also that if an eligible candidate belonging to Directorate Office or Subordinate Office including Labour Welfare Centre Staff, is not available for appointment in the turn allotted for them in the order of rotation, the turn allotted for them in the order of rotation, the turn shall lapse and the vacancy shall be filled in by candidate of next turn in the order of rotation. 3. APPOINTING AUTHORITY: the Deputy CommissionerofLabour in the respective zones concerned shall be the appointing authority for the posts of Assistant Labour Officers. E F G 4. UNIT OF APPOINTMENT: For the purposes of recruitment, H 194 A B c D E F G H SUPREME COURT REPORTS [2001] SUPP. 5 S.C.R. appointment, discharge for want of vacancy, seniority, promotion, transfer and appointment as full member, there shall be seven separate units as detailed below: ZONE - I : Comprising the districts of Srikakularn, Vizianagararn and Visakhapatnarn. ZONE - II : Comprising the districts of East Godavari, West Godavari and Krishna. ZONE - III : Comprising the districts of Guntur, Prakasarn and Nellore. ZONE - IV : Comprising the districts of Kurnool, Cuddapah, Anantapur and Chittor. ZONE - V : Comprising the districts of Adilabad, Karimnagar, Warangal and Khammam. ZONE - VI: Comprising the districts of Ragareddy, Nalgonda, Mahaboobnagar, Medak and Nizarnabad. ZONE - VII : Twin cities of Hyderabad and Secundrabad." PRESIDENTIAL ORDER : (so far as relevant) reads as follows: "The following Order of President of India, G.S.R. 524(E), dated the 18th October, 1975 is republished :- THE ANDHRA PRADESH PUBLIC EMPLOYMENT (ORGANISATION OF LOCAL CADRES AND REGULATION OF DIRECT RECRUITMENT) ORDER, 1975. ORDER G.S.R. 524(e): - In exercise of the powers conferred by clauses (I) and (2) of Articles 371-D of the Constitution, the President hereby makes, with respect to the State of Andhra Pradesh, the following Order, namely:- I. Short title, extent and commencement - (i) This Order may be called the Andhra Pradesh Public Employment (Organisation of ' V. JAGANNADHA RAO v. STATE [ARIJIT PASAYAT, J.J 195 Local Cadres and Regulation of Direct Recruitment) Order, 1975. A (2) It extends to the whole of the State of Andhra Pradesh. (3) It shall come into force at once. 2. Interpretation - (1) In this Order, unless the context otherwise requires - B - (a) (b) (c) 'local area', in relation to any local cadre, means the local area c specified in paragraph 6 for direct recruitment to posts in such local cadre, and includes, in respect of posts belonging to the category of Civil Assistant Surgeons, the local areas specified in sub-paragraph (5),of paragraph 8 of this Order; (d) 'local authority' does not include any local authority which is not D subject to the control of the State Government; (e) 'local cadre' means any local cadre of posts under the State Government organised in pursuance of paragraph 3, or constituted otherwise, for any part of the State; E (f) 'local candidate' in relation to any local area, means a candidate who qualifies under paragraph 7 as a local candidate in relation to such local area; {g) F (h) 'Schedule' means a Schedule appended to this Order; (i) ....:.J (j) G (k) 'State Government' means the Government of Andhra Pradesh. ...._ - (I) (m) 'Zone' means a zone specified in the Second Schedule comprising the territories mentioned therein; H 196 A B c D E F G H SUPREME COURT REPORTS [2001] SUPP.