Civil Services Appellate Tribunal Cannot Entertain Appeal Arising Out Of Service Matter Of Contractual Employee Of Rajasthan Financial Corp: High Court

A division bench of the Rajasthan High Court at Jaipur has set aside an order passed by a single judge bench which dismissed the writ petition filed by a contractual employee of the Rajasthan Financial Corporation challenging his transfer order upon observing that he has an alternative remedy to challenge the impugned transfer order before the Rajasthan Civil Services Appellate Tribunal.

The division bench consisting the Acting Chief Justice Manindra Mohan Shrivastava and Justice Shubha Mehta observed that the Rajasthan Civil Services Appellate Tribunal (Tribunal) does not have jurisdiction to hear an appeal affecting services arising out of any service matter of an employee of Rajasthan Financial Corporation (Corporation).

“Consequence of non-inclusion of services under Rajasthan Financial Corporation as Civil Services by way of notification is that the Tribunal constituted under the Act of 1976 does not have jurisdiction to hear appeal affecting services arising out of any service matter of an employee of Rajasthan Financial Corporation,” the bench noted.

The appellant filed an appeal challenging the correctness of the order dated August 10, 2023, by which his writ petition had been dismissed on the ground that the appellant had an alternative remedy to assail the impugned transfer order dated July 25, 2023, before the Tribunal.

The Counsel appearing for the appellant submitted that as the appellant is a contractual employee of the Corporation, and in the absence of there being a notification as envisaged under Section 2(a) of the Rajasthan Civil Services (Service Matters Appellate Tribunals) Act, 1976 (the Act of 1976), the Tribunal does not have the jurisdiction to entertain service dispute between the Corporation and its employees.

The Court noted that the Rajasthan Civil Services Appellate Tribunal had been constituted and conferred jurisdiction to hear an appeal against the order passed by any officer or authority on any service matter or matters affecting a Government servant in his personal capacity.

It was further observed by the Court that the appellant is an employee of Rajasthan Financial Corporation which is a body corporate constituted under the State Financial Corporation Act, 1951, a Central Enactment.

“The terms and conditions of services of the appellant are governed by the provisions contained in State Financial Corporations Act, 1951. The appellant discharges functions in connection with the affairs of Rajasthan Financial Corporation. All control including disciplinary control power to appoint, dismiss vests only with the competent authority of the Rajasthan Financial Corporation,” the Court said.

The Court further noted that the appellant does not belong to the Civil Services of the State of Rajasthan, therefore, the only manner in which the services under Rajasthan Financial Corporation could be included within the definition of 'Civil Services' as defined in Section 2(a) of Act of 1976 is to notify the services under Rajasthan Financial Corporation as Civil Services.

“Resultantly, we hold that the remedy of statutory appeal to Government servant before the Rajasthan Civil Services Appellate Tribunal is not available to the appellant,” the Court observed.

Thus, the Court set aside the impugned order passed by the single-judge bench and restored the writ petition to its original number for consideration on its own merits.

Kapil Bardhar, Advocate, appeared for the petitioner.

Case Title: Anil Pareek v. State of Rajasthan & Ors.

Case No.: D.B. Special Appeal (Writ) No.711/2023

Click Here To Read/Download Order