(1.) The above appeals were disposed of by this Court on 16-8-1972. The Court set aside the seniority list prepared by the department on 15-7-1968 and gave directions as to how the same was to be prepared. The principal point which was decided in these appeals related to the validity of the quota rule and the seniority rule in their operation after 15-1-1959. This court held that on Government's decision to promote a large number of Income-tax Officers from Class II to class I, the quota rule which gave 66 2/3% of the posts to the direct recruits and 33 1 / 3% of the posts to the promotees collapsed and with the collapse of that quota rule, the seniority rule which gave weightage to the promotees of 2 to 3 years also broke down. The court observed :
(2.) Accordingly, on February 9, 1973 the President under the proviso to Article 309 of the Constitution made rules called the Income-tax Officers (Class I) Service (Regulation of Seniority) Rules, 1973 to come into force from 16-1-1959. Rule 3 which is referred to hereinafter as the new seniority rule is as follows :
(3.) It is necessary to recall that in the 1950 there were several years when the promotees were appointed to posts which were in excess of their quota. Though the appointments were irregular when made, they were regularised in later years when posts from their quota became available for them. But when this court held on 16-8-1972 that the old quota Rule had collapsed on 16-1-1959 a new situation arose rendering further regularization impossible in the absence of any quota rule allocating the posts between the direct recruits and the promotees. Therefore, when the present seniority list was prepared, Government had on its hands 73 promotees who, thought appointed earlier between 1956-1958, had no quota posts for their absorption. On 16-1-1959 the 73 promotees, who are described as 'Spill overs' on 16-1-1959, as also subsequent promotees had to be absorbed in the service and this could only be done by a special rule framed in this behalf.