S. B. Sinha, J. - (1.) The Appellant is a Government Company. It is a public sector undertaking. It is State within the meaning of Article 12 of the Constitution of India. A policy decision was taken by the Appellant not to make any further recruitment in Marketing Division in any category of post stating :"It has been decided that with immediate effect the strength of the Marketing Division be pagged to the number of individuals in position in the Marketing Division as on 31-3-1998. It has also been decided that no further recruitment be made in the Marketing Division in any category of post. However as and when if any post is required to be filled up in any category due to exigencies of work, the approval of D(F)/MD be obtained and the paper routed through the Corporate Office Personnel Department."
(2.) Despite such ban the Respondents had been appointed. Before such appointment the employment exchange was not intimated about the vacancy in terms of the provisions of Employment Exchange (Compulsory Notification of Vacancies) Act, 1959 (for short "the 1959 Act"). Admittedly, no advertisement was also issued. According to the Respondent, he worked at the Shimla Office of the Appellant for a period of six months and, thus, he was entitled for recruitment in terms of Rule1.5(g) of the Recruitment and Promotion Rules. Rule 1.5(g) of the Rules does not envisage regular recruitment but a recruitment on a contractual basis. The Respondent, thus, on his own showing was appointed on a contractual basis. It is trite that a person who obtained recruitment on contractual basis cannot claim regularisation in service. The Respondents herein filed applications for their recruitment without any vacancy having been notified. They were said to have been interviewed on 24-3-1991 by a purported Committee constituted by the General Manager. Appointment letters were issued on or about 9-4-1991. An advertisement was admittedly issued only on 30-11-1993 for the post of Peon-cum-Messenger.
(3.) The Appellant in the year 1994, however, took a decision to fill up the posts in the Marketing Division inter alia stating : "During the co-ordination committee meeting held in October 1994, at C.O. the recognized union of marketing division requested for removal of ban in filling up vacant posts in marketing division. It was agreed that action to fill up the vacant posts in marketing division will be taken by marketing division, keeping in view the recruitments within the overall manpower strength." ;