FOOD CORP. OF INDIA & ORS. versus ASHIS KUMAR GANGULY & ORS.

Citation: [2009] 8 S.C.R. 806 · Decided: 12-05-2009 · Supreme Court of India · Bench: S.B. SINHA · Disposal: Dismissed
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Judgment (excerpt)

A 
B 
[2009) 8 S.C.R. 806 
FOOD CORP. OF INDIA & ORS. 
v. 
ASHIS KUMAR GANGULY & ORS. 
(Civil Appeal No. 3481 of 2009) 
MAY 12, 2009 
[S.B. SINHA AND CYRIAC JOSEPH, JJ.] 
Service Law: 
c 
Food Corporations Act, 1964 - Sections 12, 12AI 
Regulation 81 - Grant of advance increments to deputationist 
employees - Directed by the High Court - Correctness of -
Held, Correct - The High Court has rightly found that in the 
matter of grant of benefits under proviso appended to 
0 Regulation 81, all employees were similarly situated -
Constitution of India, Articles 14, 39A. 
Food Corporation of India & Ors. v. F.C.I. Deputationists 
Assocn. & Ors. SLP (C) No. 16416of1996 decided by S.C. 
on 29.8.1996; State of Tamil Nadu v. Seshachalam (2007) 
E 10 SCC 137; The State of Madhya Pradesh v. G.C. 
Mandawar AIR 1954 SC 493; Union of India v. R. 
Rajeshwaran & Anr. (2003) 9 SCC 294; State of Haryana & 
Ors. v. Charanjit Singh & Ors. (2006) 9 SCC 321; Union of 
India & Ors. v. Dineshan K.K. (2008) 1 SCC 586 and 
F Haryana State Minor Irrigation Tubewells Corporation & Ors. 
v. G.S. Uppal & Ors. (2008) 7 SCC 375, referred to. 
G 
H 
Case Law Reference : 
SLP (C) No. 16416 of 1996 Referred to 
(2007) 10 SCC 137 
Referre(I to 
AIR 1954 SC 493 
(2003) s sec 294 
Referred to 
Referred to 
806 
Para 5 
Para 21 
Para 23 
Para 23 
-.. 
FOOD CORP. OF INDIA & ORS. v. ASHIS KUMAR 
807 
GANGULY & ORS. 
(2006) 9 sec 321 
Referred to 
Para 28 
A 
(2008) 1 sec 586 
Referred to 
Para 28 
(2008) 1 sec 375 
Referred to 
Para 28 
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 
B 
3481 of 2009. 
r 
From the Judgment & Order dated 29.11.2006 of the High 
Court of Calcutta in F.M.A. No. 356 of 2002. 
A. Sharan, ASG, Suruchii Aggarnal, Amit Anand Tiwari c 
and A.K. Singh, for the Appellants. 
Bhaskar P. Gupta, Pijush K. Roy and G. Ramakrishna 
Prasad for the Respondents. 
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The Judgment of the Court was delivered by 
D 
S.B. SINHA, J. 1. Leave granted. 
2. Food Corporation of India constituted and incorporated 
under the Food Corporations Act, 1964 (for short "the Act") is 
E 
before us questioning the correctness of a judgment and order 
dated 29.11.2006 passed by a Division Bench of the Calcutta 
High Court in F.M.A. No. 356 of 2002 directing it to grant 
' 
advance increments to 57 deputationist employees. 
3. The services of the employees of the Food Department' 
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of the Central Government as also the State Government were 
initially taken for running the affairs of the Corporation. 
Respondents before us were employees of the State of West 
Bengal. They were on deputation to the Food Corporation of 
India from several States. 
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' 
I 
4. The Act was enacted to provide for the establishment 
of Food Corporations for the purpose of trading in foodgrains 
and other foodstuffs and for matters connected therewith and 
incidental thereto. The matter relating to recruitment of staff in 
H 
808 
SUPREME COURT REPORTS 
[2009] 8 S.C.R. 
A the Food Corporation of India is governed by Section 12 of the 
Act, which reads as under: 
B 
c 
"12. Officers and other employees of Corporation -(1) The 
Central Government shall, after consultation with the 
Corporation, appoint a person to be the Secretary of the 
Corporation. 
(2) Subject to such rules as may be made by the Central 
Government in this behalf, the Corporation may appoint 
such other officers and employees as it considers 
necessary for the efficient performance of its functions." 
5. In the year 1968, however, Section 12A was inserted 
in the Act so as to enable the Central Government to make an 
order directing its employees to be transferred to the services 
0 of the Food Corporation of India. Those employees who had 
been working as deputationists from the Central Government 
were absorbed. They admittedly were given one extra 
increment purported to be on the basis of a circular letter issued 
in this behalf. In the year 1984, an option was given to the 
E respondents herein for being absorbed in the Food Corporation 
of India upon tendering resignation in their parent cadre; 
pursuant to or in furtherance whereof the respondents herein 
opted to join the Food Corporation of India. They were so 
absorbed but were posted as Assistant Grade Ill. They filed a 
F wr!t petition questioning their absorption in the said grade 
contending that they were entitled to be posted as Assistant 
Grade II. The said question came up before this Court in Food 
Corporation of India & Ors. v. F.C.I. Deputationists
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