Mukherjea, J. - (1.) This appeal arises out of the judgment and decree dated April 16, 1969, passed by R. M. Datta, J. in the suit instituted by the plaintiff-appellant against the Life Insurance Corporation of India & Anr., inter alia, for a declaration that the plaintiff is still in the employment of the defendants and the impugned order of termination of the plaintiff-appellant's employment dated October 16, 1958, is bad, void, illegal and inoperative; a decree for all arrears of salaries and other emoluments from the date of the termination of service, alternatively for a decree for Rs.2,94,968/- as damages.
(2.) On or about October 16, 1952, the appellant was appointed as Inspector by the National Insurance Co. Ltd. On January 1, 1953, the appellant was promoted to be a Divisional Superintendent in the said company. On January 19, 1956, the Life Insurance (emergency Provision) Ordinance of 1956 was promulgated whereby the controlled business of, amongst others, the National Insurance Co. became transferred to and vested in the Central Government from the said date. By virtue of the provision of the said Ordinance the appellant continued to be an employee of the Central Government.
(3.) On September 1, 1956, the Life Insurance Corporation of India was established by a notification issued under section 3 of the Life Insurance Corporation Act (Act XXXI) of 1956. All whole-time employees of the insurers, whose controlled business vested in the Corporation became employees of the Corporation on the same terms and conditions on which they held office under their previous employees. On or about December 2, 1957, certain rules were framed by the Life Insurance Corporation of India under section 49 of the Life Insurance Corporation of India Act for the purpose of categorization or fitting in of the existing salaries of field workers. The said rules are known as categorization order and have been set out at PP. 184 to 189 of the Paper Book.;