Union. of India and Ors. v. Executive Officers Association Group C
FAIZAN UDDIN, J. 1. Delay condoned.
2. Leave granted. The counsel for parties are heard.
3. This appeal has been directed' by the appellants aginst the judg-
ment dated May 28, 1993 passed by the Central Administrative Tribunal,
Guwahati Bench (hereinafter referred to as Tribunal) in O.A. No. 172 of
1972. By the said judgment the Tribunal held that the respondents are
entitled to Special Duty Allowance in terms of Office memorandum dated
December 14, 1983 with effect from the date specifically indicated in the
said Office Memorandum and directed the appellants herein to pay and
clear the Special Duty Allowance to the respondents herein within 90 days
from the date of receipt of copy of the judgment in respect of the arrears
d~e and to release the current Special duty Allowance with effect from the
month of June, 1993.
4. The respondent No. 1 is an Association of Group (C) Inspectors
of Customs and Central Excise under the Collectorate of Customs and
Central Excise, ShiUong and respondent Nos. 2 and 3 are its President and
General Secretary respectively. The respondents approached the Tribunal
claiming Special Duty Allowance on the strength of Office Memorandum
No. 20014/2/83-E.IV dated December 14, 1983 and the Office Memoran-
dum No. 20014/16/86.IV/E.Il(B) dated December 1, 1988 issued by the
Ministry of Finance, Government of India. The respondent-Assocation
claimed that its members have all India transfer liability under the Central
Excise and Land Cus_toms Department Goup ( C) Posts Recruitment Rules,
1979 which were applicable to its members and in pursuance of which three
278 SUPREME COURT REPORTS (1995) 2 S.C.R.
A of its members had been transferred and one Smt. Lisa L. Rynjan of
Shillong had been posted at Goa under the said recruitment Rules and,
therefore, they are eligible and entitled to claim Special Duty Allowance.
The appellants herein opposed and contested the aforesaid claim of the
respondents before the Tribunal. The appellants took the defence by
B stating that the Office Memorandum No. 20014/3/83.E/IV dated April 20,
1987 had clarified that the Special Duty Allowance is payable only to those
officers, incumbents of Group (C) of posts who are having all India transfer
liability defined in the said Office Memorandum keeping in view the
original Office Memorandum dated March 14, 1983 and that the conditions
stipulated in the Recruitment Rules, 1979 referred to above cannot be
C taken as basis for saddling the respondents or its members with all India
transfer liability and consequent payment of Special Duty Allowance to
them. The appellants also took the plea that all India transfer liability of
the members of any service/cadre or incumbent of any posts/Group of posts
is to be determined by applying the tests of recruitment to the ser-
D vice/cadre/post made on all India basis and that mere clauses in the
Recruitment Rules/Appointment Order stipulating all India transfer
liability does not make him/them eligible for grant of Special Duty Al
lowance in terms of Ofice Memorandum dated December 14, 1983.
E 5. After considering the rival contentions the Tribunal observed that
the contents of Office Memorandum dated April 12, 1984 as well as the
letter No. 7/47/48.EA dated September 28, 1984 have been fully discussed
by the Full Bench, Calcutta and held that the real test/criteria for deter
mination is whether all India transfer liability exists and opined that without
F recalling the Office Memorandum issued in 1983 the concerned depart
ments had no reason to deny the benefit of memorandum available to
certain classes of employees and to withdraw its application to certain
other classes. Relying on the said Bench decision of the Central Ad
ministrative Tribunal, Calcutta, the Tribunal allowed the application of the
respondents by the impugned judgment and granted the relief as staed
G above against which this appeal has been preferred.
6. Learned counsel for the appellants submitted that the Tribunal has
failed to appreciate the true meaning, intention and spirit behind the term
all India transfer liability which occurred in the Finance Ministry Office,
H Memorandum referred to above and has thus seriously er-£ed in holding
'
U.O.lv. EXECUTIVEOFFICERSASSN.[FAIZANUDDIN,J.] 279
that the members of the respondent-Association are entitled to the Sepcial A
Duty Allowance. He further submitted that the package of incentives
contained in the Ministry's Office Memorandum dated December 14, 1983
(as amended) as based on the recommendations of the committee to review
the facilities and allowance admissible to Central Government Employees
in the North-Eastern Region and it was with a view to attract and r.etain B
competent officers service in the States and Union Territories in the
Noth-Eastern Region that the Government of India on the recommenda
tions of the committee made the provision for Special Duty Allowance to
be paid to such officers who come on posting and deputation to North
Eastern Region from other Regions. It was, therefore, submitted that since C
the members of the respondent-Association belonged to the North-Eastern
Region itself who were recruited and posted in the same Region, they were
not ·entitled for Special Duty Allowance.
7. The main source for claiming the Special Duty Allowance is the
Office Memorandum dated December 14, 1983 the very first paragraph of D
which reads as under :-
''The need for attracting and retaining the services of competent
officers for service in the North-Eastern Region comprising the
States of Assam, Meghalaya, Manipur, Nagaland and Tripura and E
the Union Territories of Arunachal Pradesh and Mizoram have
been engaging the attention of the Government for some time. The
Government had appointed a Committee under the Chairmanship
of Secretary Department of Personnel & Administrative Reforms,
to review the existing allowances and facilities admissible to the
various categories of Civilian Central Government employees serv
ing in this region and to suggest suitable improvements. The
recommendations of the Committee have been carefully con
sidered by the Government and the President is now pleased to
decide a5 follows."
8. A careful perusal of the opening part of the Office Memorandum
reproduced above would show that the Government had appointed a
Committee under the Chairmanship of the" Secretary Department of Per- H
280 SUPREME COURT REPORTS (1995) 2 S.C.R.
A sonnel and Administrative Reforms to review the existing allowances and
facilities admissible to the various categories of Civilian Central Govern
ment Employees serving in the North-Eastern Region so that compete;1t
officers may be attracted and retained in the North-Eastern Region States.
The use of words attracting ami retaining in senice are very much sig-
B nificant which only suggest that it means the competent officers belonging
to the Region other than the North-Eastern Region. The question of
attracting and retaining the services of competent officers who belong to
North-Eastern Region itself would not arise. The intention of the Govern
ment and spirit behind the Office Memorandum is to provide an incentive
C and attraction to the competent officers belonging to the Region other than
the North-Eastern region to come and serve in the North-Eastern Region.
It can hardly be disputed that the geographical, climatic, living and food
conditions of people living in North-Eastern Region and the States com
prising therein are different from other Regions of the country. The
D North-Eastern Region is considered to be hard zone for various reasons
and it appears that it is for these reasons that the Government provided
certain extra allowance, benefits and other facilities to attract competent
officers in the North-Eastern Region at least for two to three years of
tenure posting. The Ministry's Office Memorandum in question came up
for consideration before this Court in Chief General Manager (Telecom) v.
E S. Raj ender C.H. Bhattacharjee & Ors., JT (19'J5) 1SC440 which was decided
by us by judgment dated January 18, 1995 in which this Court took the view
that the said Office Memorandas are meant for attracting and retaining the
services of competent officers in the North-Eastern Region, from other
parts of the country and not the persons belonging to that region where
F they were appointed and posted; This was also the view e:iquessed by this
Court in yet another case reported in J.T. (1994) 6 443 - Union of lndiil v.
S. Vijaya Kumar & Ors., In Vijaya Kumar (Supra) the point for considera
tion-was exactly identical, with regard to the entitlement to Special Duty
Allowance to those employees/officers who are residents of North-Eastern
G Region itself. After considering the memorandum dated December 14,
1983 and other related Office Memorandums indicated above, it was held
that the purpose of _the jillowance was to attract persons from outside the
North-Eastern ~}tegi<fri;r (to work in the North-Eastern Region because of
inaccessibility and- difficult tefrain. · In the facts and circumstances stated
H --above the view taken b~ t~p Txibunal cannot be upheld and deserves to be
/
U.0.1. v. EXECUTIVE OFFICERS ASSN. [FAIZAN UDDIN, J.] 281
set aside.
9. For the reasons stated above the appeal is allowed. The impugned
order of the tribunal is set aside and the application filed by the respon
dents before the tribunal for grant of Special Duty Allowance to them is
dismissed. In the facts and circumstances of the case, we make no order
as to costs.
A.G. Appeal allowed.