P.B. Bajanthri, J. - (1.) In this petition, the petitioner has questioned the order dated 29.3.2016 (Annexure P -9), vide which it is communicated that contractual engagement as Financial Service Executive (for short "FSE") will be liable for termination after the completion of the 8th year i.e. on 30.4.2016.
(2.) The Ist respondent, Life Insurance Corporation of India introduced a Scheme called LIC of India (Financial Services Executives) Scheme, 2007. Under the said Scheme LIC engaged eligible candidates purely on contractual basis initially for a period of 3 years. Relevant paragraphs of the said Scheme are paragraph Nos. 3, 6, 23 and 26, which are reproduced herein: - - "3. Nature of Engagement: The engagement shall be purely on Contractual Basis initially for a period of three years. The terms and conditions of engagement will be governed by LIC of India (financial Services Executives) Scheme, 2007. XXX XXX XXX 6. Mode of Selection 1) Selection of Financial Services Executives shall be made by the Zonal Manager by inviting applications through notifications in at least two newspapers having circulation in the area in which the Divisional Officers are situated. Zonal Managers may also circulate the notification to the Employment Exchange of the concerned Divisions. 2) The eligible candidates shall appear for a written test, if required and on being declared successful in the same, for an interview by a committee constituted for the purpose by the Zonal Manager and consisting of one officer not below the rank of Asst. Divisional Manager and two officers not below the rank of Administrative Officer. The Zonal Manager shall decide whether to hold the written test or not. If no written test is required, then, short listed candidates shall be called for interview. The Zonal Manager shall have absolute discretion in the matter of prescription of minimum marks for a candidate to be declared successful in the written test and to stipulate the number of candidates to be called for the interview. The candidates shall be ranked in the order of the aggregate of their marks in the written test and the interview and selection shall be made from among them by the Zonal Manager in the order of their merit having regard to the number of Financial Services Executives (FSE) proposed to be engaged. Where the Zonal Manager does not accept the evaluation of a candidate by the Interview Committee, he shall record the reasons for such disagreement and after, interviewing the candidate himself, pass such orders as he deems fit. XXX XXX XXX 23. Termination of Contract In case a Financial Services Executive does not procure the stipulated minimum New Business in two successive quarters, then his/her contract shall be terminated forthwith without giving any notice to him/her. The Contract shall also be liable for being terminated, if the Financial Services Executive commits breach of any Statutory Provisions or is found to be indulging in activities detrimental to the interests of the Corporation provided however that, before termination of contract for reasons other than for minimum business parameters as stipulated elsewhere in the scheme, a Show Cause Notice shall be issued to the FSE. The engagement of FSE shall remain suspended during the period of issuance of Show Cause Notice and final decision on the reply thereof. The Sr./Divisional Manager -in -charge of the Division shall be the Competent Authority for termination of contract on any of the grounds mentioned herein. XXX XXX XXX 26. Renewal of Contract The contract can be extended for another term of one year and again for another year subject to performance and suitability. The minimum requirement of performance shall be that the Financial Services Executives should have received New Business Incentive for at least 1 Year out of 3 years. Once a Financial Services Executive procures the minimum New Business during the three year contact period as per stipulated norms and is other wise found suitable, the period of Contract may be renewed with some increase in incentive and remuneration, which Chairman is authorized to decide."
(3.) Pursuant to the above Scheme, an advertisement was issued in the year 2007 (Annexure P -1). The petitioner is one of the candidate for the post of Financial Service Executive (contract basis for 3 years). He was selected and appointed as FSE in the year 2008 for a period of three years. It is stated that his contract appointment as FSE was extended from time to time. The latest extension of contract appointment is dated 19.5.2015 (Annexure P -8). Terms of extension reads as follows: - - "1. Terms of Extension : Contractual period extension for 1 (one) year (for 8th year) as a Financial Services Executive at the sole discretion of the Corporation.";