CHANDRA PRAKASH SINGH & ORS. versus CHAIRMAN, PURVANCHAL GRAMIN BANK & ORS.

Citation: [2008] 3 S.C.R. 287 · Decided: 22-02-2008 · Supreme Court of India · Bench: P.P. NAOLEKAR · Disposal: Dismissed

Judgment (excerpt)

[2008] 3 S.C.R. 287 
-t 
CHANDRA PRAKASH SINGH & ORS. 
A 
v. 
CHAIRMAN, PURVANCHAL GRAMIN BANK & ORS. 
(Civil Appeal No.1495 of 2008) 
FEBRUARY 22, 2008 
B 
[P.P. NAOLEKAR & LOKESHWAR SINGH PANTA, JJ.] 
Regional Rural Banks Act, 1976 : s.29 - Malafide and 
arbitrariness - Burden to prove - Result of written test for post 
of officer in Gramin Bank challenged by unsuccessful c 
candidates on the ground of pias and ma/a tides by the then 
Chairman of Bank - High Court ordered State Government to 
conduct inquiry -
Inquiry committee submitted report 
regarding improper functioning of Bank - High Court dismissed 
·-I 
writ petition - On appeal, held: Inquiry ordered to be conducted D 
by State Government in regard to mismanagement and other 
irregularities of Bank, was ex pa rte without giving any intimation 
to the Board of Directors of the Bank - State Government ex 
facie does not exercise any control over the Gramin Bank as 
it is governed by the policies of Central Government under E 
s. 29 - Also examining body not made party in writ petition -
Burden of proving bias is heavy on the person who alleges it-
No specific and definite real danger of bias has been made to 
, 
indicate how Chairman was in a position to influence or 
Jo.-
manipulate the result of the written test - Hence, interference 
with the order of High Court not warranted. 
F 
The respondent Gramin Bank was constituted under 
s.3 of the Regional Rural Banks Act, 1976. In the year 2001, 
47 posts of Scale II officer and 16 posts of Scale I officer 
were required to be filled in the Gramin Bank. The Board G 
of Directors of the Gramin Bank approved the holding of 
v 
the written examination by the Institute of Banking 
I 
Personnel Selection, Mumbai for filling up these posts. 
All the appellants appeared at the written test held on 
287 
H 
288 
SUPREME COURT REPORTS 
[2008] 3 S.C.R. 
A 18.8.2002 without any protest. The names of appellants 
did not appear in the list of successful candidates. 
The appellants filed writ petition in the High Court 
praying for quashing of the test held on 18.08.2002 on 
the ground that the test was conducted by the then 
8 Chairman of the Gramin Bank, Respondent No.10, in spite 
of the fact that his real brother and cousin who were 
working as clerk-cum-cashiers, were also the candidates 
for promotion to the post of officer Scale I. Respondent 
No.10 on 28.05.2004 was transferred but he still declared 
C the result of the examination on 1.6.2004. The State 
Government appointed inquiry committee which 
submitted its report on 18.07.2004. 
The two member committee appointed by the State 
0 Government in its report made certain observations that 
respondent No.10 had declared the result of the written 
test on 1.6.2004, despite the fact that he stood transferred 
on 28.5.2004, the answer-sheets should not have been 
sent to the Banking Institute, Mumbai, by courier service 
and the answer-sheets and the question papers were not 
E kept in the joint custody, but the respondent No.10 had 
kept them in his own custody and that one candidate had 
appeared at the examination even though he was on leave 
are not substantiated by any evidence. 
F 
The appellants prayed that in view of the report 
submitted against improper functioning of the officers of 
the Gramin Bank, the examinations should be cancelled 
and fresh examinations be conducted. As per records, 
after the written test was held on 1'8.08.2002, the Workers' 
G Association of the Gramin Bank had filed a civil suit in 
which an injunction was granted and the result of the 
written test was not declared. On 31.05.2004, the trial. Court 
rejected the application for grant of temporary injunction. 
Thereafter the candidates were called for interview after 
declaration of the result of the written test. 
H 
.,. 
\ 
. ' 
~·. 
v i 
CHANDRA P. SINGH & ORS. v. CHAIRMAN, 
289 
PURVANCHAL GRAMIN BANK & ORS. 
The High Court dismissed the writ petition of the A 
appellants holding that the Banking Institute, Mumbai, an 
examining body, was not a party in writ petition; that the 
appellants have failed to prove allegation of mala fide 
against respondent no. 1 O; that the appellants are 
estopped from challenging. the examination held on s 
18.8.2002 as they had participated in the said 
examination; that the appellants were members of 
Workers' Union who filed the suit in the trial Court and as 
such they were playing hide and seek with the Court. 
Hence the present appeal. 
c

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