Bank Employees Appointed under SC Quota would be Entitled to Retain the Position after the Caste has been De-scheduled: Supreme Court
On August 28, 2024 (Wednesday), the Supreme Court of India was hearing a batch of appeals challenging the Karnataka High Court’s decision that justified the show-cause notices issued by the Canara Bank to certain employees who were under the Scheduled Caste (SC) quota based on a valid caste certificate since their caste was de-scheduled from the SC list. The top court bench constituting Justice Hima Kohli and Justice Sandeep Mehta set aside the show-cause notice. The primary question addressed in the appeals was “Whether a person who joined the services of a Nationalized Bank/Government of India undertaking based on a certificate that identified him/her as belonging to a Scheduled Caste(‘SC’)/Scheduled Tribe(‘ST’) in the State of Karnataka, pursuant to the State Government's notifications, would be entitled to retain the position after the caste/tribe has been de-scheduled.” The top court answered it in affirmation stating that the appellants would be entitled to retain their position even after de-scheduling of the caste. The situation has arisen on account of the State of Karnataka re-designating some castes under the list of SC/ST, in spite of the fact that this jurisdiction is exclusively conferred upon the Parliament by virtue of the scheme under Articles 341 and 342 of the Constitution of India.
In this case, the appellants were employed by the Canara Bank in the SC category based on Caste certificates, certifying that they belonged to the 'Kotegara' community, a synonymous caste that was made equivalent to the caste called ‘Kotegar Matri’ by a Government circular dated November 21, 1977, issued by the State of Karnataka. The bench opined, “A Constitution Bench of this Court in State of Maharashtra v. Milind and Others, held that the State Government has no authority to amend or modify the Scheduled Castes and Scheduled Tribes list published under Articles 341 and 342 of the Constitution of India. A caste can only be classified as a Scheduled Caste a Scheduled Tribe or a Socially and Educationally Backward Caste when the Presidential Order is issued to that effect in exercise of the powers prescribed under Articles 341, 342, and 342A of the Constitution of India respectively.” Based on this, the Ministry of Finance declared the decision of the Karnataka state to include the ‘Kotegara’ caste in the SC list as void. It said, “the State of Karnataka circulars which included the ‘Kotegara’ caste in the list of Scheduled Castes in the State of Karnataka to be non-est.”
After hearing the contentions, the Supreme Court said, “The circular dated 29th March 2003 issued by the Government of Karnataka specifically extended protection to various castes, including those which were excluded in the earlier Government circular dated 11th March 2002. This subsequent circular covered the castes such as Kotegara, Kotekshathriya, Koteyava, Koteyar, Ramakshathriya, Sherugara, and Sarvegara, thus, ensuring that individuals of these castes, holding Scheduled Castes Certificates issued prior to de-scheduling, would be entitled to claim protection of their services albeit as unreserved candidates for all future purposes. Additionally, the communication issued by the Ministry of Finance dated 17th August 2005 reinforced the protective umbrella to the concerned bank employees and also saved them from departmental and criminal action.” It added, “Consequently, we hold that the proposed action of the respondent banks/undertakings in issuing notice(s) to the appellants to show cause as to why their services may not be terminated cannot be sustained and are hereby quashed.”
To read the full judgment, K. Nirmala & Ors. vs. Canara Bank & Anr., Click Here.
