(1.) The respondent, C.S.N. Murthy, was an Assistant Engineer in the Telecommunications Training Centre at Hyderabad. He was normally due to retire from service in 1980. However, the provisions of Rule 560(j) of the Fundamental Rules were invoked in his case. A high powered committee consisting of the Secretary to the Ministry of Finance and the Joint Secretary to the Cabinet Scretariat reviewed the service records of 96 persons belonging to the Department. The committee recommended, on an overall assessment of the confidential records, that there was no justification for continuing the petitioner and two others (with whom we are not here concerned in service. Accepting the recommendations of the committee, the Posts and Telegraphs Board issued a notice on the respondent on 19-10-73 giving him notice of compulsory retirement under Fundamental Rule 560 (J) with effect from the expiry of three months from the date of service of the notice on him ' Consequent thereupon, the respondent's services came to an end, by way of compulsory retirement, in February, 1974.
(2.) The respondent filed a writ petition in the Andhra Pradesh High Court challenging the validity of the order of compulsory retirement but the writ petition was unsuccessful. However, the appeal preferred by him to a Division Bench of the High Court was allowed. The Division Bench, in its judgment and order dated 19-7-76, came to the conclusion that the impugned order of retirement was not founded on any relevant material and was arbitrary and capricious. The impugned order was, therefore, quashed and the petitioner was directed to be reinstated forthwith with all the benefits that could have accrued to him had the order not been implemented against him. The Union of India has preferred the present appeal.
(3.) The modalities for the invocation of Fundamental Rule 560(j) have been examined by a number of decisions of this Court. All these judgments have been reviewed and the legal principles applicable thereto have been summarised by B. P. Jeevan Reddy, J., speaking for the Supreme Court, in Baikuntha Nath Das v. Chief District Medical Officer, Baripada, JT 1992 (2) SC 1 . These principles have been set out in paragraph 32 of the judgment, which can be extracted here for purposes of convenient reference