Note

Sub:- O A No. 291/00521/2014 (CAT/JP) filed by Sh A K Katta & others V/s UOI & others.
Ref:-Sr SO Adm-3 note no. at NP-2 of file NWR/HQ/JP/A/cs/Adm-3/Court-Cases dated 08.10.2014.
***
1. In reference to above, Sh A K Katta & others has filed O.A No. 291/00521/2014 (CAT/JP) V/s
UOI & others in MACPs policy matter and challenged order AHQ/S.O.O. No 19 dated
08.09.2014 regarding withdrawal of 3rd MACPs.
2. Vide CP-54 to 56, Railway Board has communicated brief remarks to be incorporated in the
proposed counter reply as a Preliminary Submission as well. The same have been incorporated in
the proposed reply.
3. In compliance of note under reference, parawise remarks of this section are as under:-
Para Administrative Reply
Details of Application
PARTICULARS OF ORDERS AGAINST
WHICH THE PRESENT APPLICATION IS
MADE:
1. This application is made against order dated (i). The applicants have to given 3rd financial
08/09/2014 issued by respondent No. 3 by upgradation only after the mandatory 10 years
which benefits of Modified Assured Career residency from the date of 2nd financial
Progression Scheme (MACPS) by way of upgradation allowed in higher grade pay of Rs 4600
Third Financial Upgradation allowed to the w.e.f. 01.09.2008 as per Railway Board’s letter no.
applicants in the year 2010- 2011 w.e.f. PC- V/2009/ACP/2 dated 29.12.2011 wherein it is
01/09/2008 or date of entitlement has been further clarified that para-1 of Annexure to Board’s
cancelled and also ordered for recovery on the letter dated 10-06-2009 (RBE No.101/2009), wherein
ground that applicants allowed benefits against it is mentioned that the MACP Scheme envisages
the provisions of the scheme and further orders three financial upgradations counted from the direct
issued by Railway Board time to time, inspite entry grade on completion of 10, 20 and 30 years of
of fact that applicants rightly allowed benefits regular service respectively. Financial upgradation
and further due fixation of pay & allowances. under the scheme is admissible wherever an
Beside this applicants granted third financial employee spent 10 years continuously in the same
upgradation, because they were stagnated for grade Pay. It is, thus, evident that 1st financial
10 years in same pay scale and further order of upgradtion would be admissible on completion of 10
recovery of excess payment also not justified as years of regular service from the date of actual
applicants allowed benefits as per orders of the joining of the post in the entry grade, 2nd financial
respondents and respondents cannot cancelled upgradation on completion 20 years service from the
the order without procedure, as date of initial appointment or 10 years from the date
applicants allowed benefits as per of 1st financial upgradation/promotion, whichever
recommendation of screening committee, is earlier and 3rd financial upgradation would be
which is against the procedure as well as admissible on completion of 30 years service from
original scheme and further after the date of initial appointment or 10 years from the
recommendations of sixth pay commission date of 2nd financial upgradation/promotion,
scale Rs. 5000- 8000 as well as Rs. 5500- 9000 whichever is earlier, if the employee has not earned
merged in same grade pay and applicants three promotions in thirty years span of regular
allowed post of Accounts Assistant by way of service. Hence, the applicants were not entitled for
upgradation in the year 1987 and the same is 3rd financial upgradation in Rs 4800 from 2010,
not countable towards benefits. Copy of order 2011, 2012 & 2013 respectively. The illustrations
dated 08/09/2014 is annexed herewith and given in para 28 are for the understanding of the
marked as ANNEXURE A/1. above stipulated position contained in Board's policy
instructions dated 10.6.2009 and demonstrates that
these are independent segments to be assessed
independently for the purpose of implementation of
the Scheme. A bare perusal of para 28(A) (ii)&(iii)
itself demonstrates that third financial upgradation is
admissible either on completion of further 10 years

SUBJECT IN BRIEF:
Arbitrary, illegal and unjustified action of
respondents in connection with cancellation of
benefits of third financial
upgradation under MACP Scheme and further
action also against the provisions of Article 14,
16 and 21 of the Constitution of India and
orders issued by Railway Board from time to
time.
2. JURISDICTION: -
The applicants declare that the subject matter
of this Original Application is within the
jurisdiction of this Hon'ble Tribunal.
3. LIMITATION: -
The applicants declare that the applications of
the humble applicants are within the limitation
period as prescribed in section 21 of the
Administrative Tribunals Act, 1985.
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
(ii). As the applicants were not stagnated for 10
years in same pay scale w.e.f. 01.09.2008 and
erroneous implementation of 3rd MACP needs to be
rectified. Hence, further order of recovery of excess
payment needs to be issued.
(iii). Railway Administration has issued orders for
withdrawal of 3rd MACP by following due
procedure i.e. latest instructions were put up before
screening committee and screening committee has
recommended for withdrawal of benefits. This fact
has been endorsed in cancellation orders.
(iv). It is incorrectly mentioned by the applicants that
after recommendations of sixth pay commission scale
Rs. 5000- 8000 as well as Rs. 5500- 9000 merged in
same grade pay and applicants allowed post of
Accounts Assistant by way of upgradation in the
year 1987 and the same is not countable towards
benefits. Factual position is that the applicants
became Accounts Assistant by promotion in terms of
Para 171(5) of IREM Vol. I as per promotion orders
issued vide Annexures -------- (CP-74 to 83).
To be replied by Railway Advocate.
To be replied by Railway Advocate.
To be replied by Railway Advocate.
4. FACTS OF THE CASE: -
The original application of humble applicants is
most respectfully showeth as under: -
That so for relevant to this application, all the
4.(i) applicants are substantive employee of the
respondent Railway and appointed as Junior
Accounts Assistant between 1984 to 1990 and
thereafter became Accounts Assistant in the
scale Rs. 1200- 2040 and on restructuring
allowed scale Rs. 1400- 2600 between 1987 to
1993 respectively and since applicants working
on the post of Accounts Assistant without any
further promotion. So the applicants remained
in one pay scale since more than ten years.
4.(ii) That after recommendations of sixth pay
commission, Government of India promulgated
Modified Assured Career Progression Scheme
(MACPS) for the
Central Government Civilian Employees for
Placement! in higher scale after completion of
10, 20 & 30 years of service and respondent
department also adopted the same vide order
dated 10/06/2009 and taking into consideration
of the scheme, respondents placed the
applicants in grade pay Rs. 4600 / 4800
showing due date between 1987 to 1993 taking
into consideration of ten years, in one scale
since 1987 / 1993 from the
effective date of the scheme i.e. 01/09/2008 or
from the due date in the year 2010, 2011 &
2012 vide orders 21/12/2009, 07/01/2010,
20/01/2011, 09/04/2012, 01/01/2013 &
22/11/2013. Copies of orders dated 10/06/2009,
21/12/2009, 07/01/2010, 20/01/2011,
09/04/2012, 01/01/2013 & 22/11/2013 are
annexed herewith and marked as
ANNEXURE- A/2, A/3, A/4, A/5, A/6, A/7 &
A/8 respectively.
All the applicants are substantive employee of
Railway and appointed as Junior Accounts Assistant
between 1984 to 1990 and thereafter became Accounts
Assistant by promotion in terms of Para 171(5) of
IREM Vol. I Annexed as Annexure ---------- (CP-85 to
86).as per promotion orders issued vide Annexures 1
to 8. The post in the grade of Account Assistant in
scale of Rs.1400-2600 is filled by promotion of Junior
Account Assistant in scale of Rs.1200-2040 after they
have completed 3 years service in the grade and
passed Appendix-II examination. This is statutory
position regarding appointment to Account Assistant's
grade which categorically stipulates that this is not
only promotion but also laid down the eligibility
criterion viz. 3 years service in JAA grade for the said
promotion. Further, on appointment to AA grade from
JAA grade the employees are also allowed benefit of
pay fixation under FR 22 C as admissible in case of
promotion to the post having higher duties and
responsibilities. They have never became Accounts
Assistant in the scale Rs 1200-2040 as there were no
instructions from Railway Board for allowing
restructure in scale 1400-2600 to the applicants.
Hence, the applicants have availed one promotion.
Instructions regarding MACP Scheme providing for
financial upgradations have been issued vide Board's
letter . PC-V/2009/ACP/2 dated 10.06.2009 (RBE
101/2009), As per para 1 of the Annexure to Board's
letter dated 10.6.2009, the Scheme provides for three
financial upgradations under the MACPS, counted
from the direct entry grade on completion of 10,20
and 30 years of service respectively. Financial up
gradations under the Scheme will be admissible
whenever a person has spent 10 years continuously in
the same Grade Pay. Evidently grant of 3rd financial
upgradations under the MACP Scheme
is admissible either on completion of 30 years of
service from the date of joining of the
post in direct entry grade OR 10 years continuous
regular service from the previous i.e.
2nd promotion/upgradations. Unless any of these two
conditions is fulfilled, the employee
cannot be granted financial upgradation under the
MACP Scheme. With this, the fact that any employee
completing 20 years service on 01.09.2008 without
any prior promotion getting two upgradation on
01.09.2008 implies that there is inherent counting of
notional promotion at the end of 10 years prior to
01.09.2008. Accordingly, the applicants were

4.(iii) That MACP Scheme provides that any
employee remained in same grade pay for 10
years, he is entitle for upgradation for which
Railway Board also issued order dated
29/12/2011 and in pursuance to that taking in to
consideration of due -. date of third financial
upgradation as 2008 onwards allowed higher
grade pay of Rs. 4600 w.e.f. 01/09/2008 and
thereafter Rs. 4800 from 2010, 2011, 2012 &
2013 and respondents allowed due fixation pay
as per' options of the applicants. Copy of order
dated 29/12/2011 is annexed herewith and
marked as ANNEXURE- A/9.
allowed Grade Pay Rs 4600/ 4800 taking into
consideration of ten years in one scale since
1987/1993 from the effective date of the scheme i.e.
01.09.2008 or from the due date in the years 2010,
2011 & 2012 from the date of first promotion.
The applicants have to given 3rd financial
upgradation only after the mandatory 10 years
residency from the date of 2nd financial
upgradation allowed in higher grade pay of Rs 4600
w.e.f. 01.09.2008 as per Railway Board’s letter no.
PC- V/2009/ACP/2 dated 29.12.2011 wherein it is
further clarified that para-1 of Annexure to Board’s
letter dated 10-06-2009 (RBE No.101/2009), wherein
it is mentioned that the MACP Scheme envisages
three financial upgradations counted from the direct
entry grade on completion of 10, 20 and 30 years of
regular service respectively. Financial upgradation
under the scheme is admissible wherever an
employee spent 10 years continuously in the same
grade Pay. It is, thus, evident that 1st financial
upgradtion would be admissible on completion of 10
years of regular service from the date of actual
joining of the post in the entry grade, 2nd financial
upgradation on completion 20 years service from the
date of initial appointment or 10 years from the date
of 1st financial upgradation/promotion, whichever
is earlier and 3rd financial upgradation would be
admissible on completion of 30 years service from
the date of initial appointment or 10 years from the
date of 2nd financial upgradation/promotion,
whichever is earlier, if the employee has not earned
three promotions in thirty years span of regular
service. Hence, the applicants were not entitled for
3rd financial upgradation in Rs 4800 from 2010,
2011, 2012 & 2013 respectively. The illustrations
given in para 28 are for the understanding of the
above stipulated position contained in Board's policy
instructions dated 10.6.2009 and demonstrates that
these are independent segments to be assessed
independently for the purpose of implementation of
the Scheme. A bare perusal of para 28(A) (ii)&(iii)
itself demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already

4.(iv) That original scheme dated 10/06/2009 at
Annexure- A/2 in para 1 provides that: -
vk’kksf/kr lqfuf’pr dSfj;j izksUu;u ;kstuk ds
vUrxZr rhu foRrh; vixzsMs’ku fn, tk;saxs]
ftudh x.kuk lh/ks ,aV/h xszM ds Lrj ls
dze’k% 10] 20 vkSj 30 o"kZ iwjs gksus ds
ckn dh tk,xhA ;fn fdlh O;fDr us ,d xzsM&is
esa 10 o"kkssZa dh fujarj lsok iwjh dj yh gS]
rks mls bl ;kstuk ds vUrxZr foRrh;
vixzsMs’ku vuqes; gksxkA
In view of this position clarifications issued by
Railway Board vide orders dated 14/02/2013,
10/09/2013 and 16/12/2013 against the
provisions of scheme. Copies of clarifications
dated 14/02/2013, 10/09/2013 and 16/12/2013
are annexed herewith and marked as
ANNEXURE- A/10, A/ll & A/12 respectively.
4.(v) That respondent No. 1 vide letter dated
17/01/2014 sought some clarifications from the
respondent No. 2 in connection with benefits
under MACP Scheme and respondent No. 2
vide letters dated 31/01/2014 and 04/02/2014
clarified the position that third MACP benefits
is available after 30 years of service or 10 years
service from second MACP / Promotion, which
is against the provisions of the scheme as
reproduced in para 4.(iv) above. Copies of
letters dated 17/01/2014, 31/01/2014 &
04/02/2014 are annexed herewith and marked as
ANNEXURE- A/13, A/14 & A/15 respectively.
It is further submitted respondent No. 3 vide
letter dated 26/05/2014 directed the authorities
to take action as per Railway Board letters /
clarifications. Copy of letter dated 26/05/2014 is
annexed herewith and marked as ANNEXURE-
A/16.
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
The matter has further been examined in consultation
with the DOP&T, the nodal department on MACPS,
and it has been clarified by the nodal department also
that 3 rd MACP is to be given based on either 10
years from the 2nd MACP/promotion or 30 years of
the overall service. In this connection Railway
Board’s I.D. note no. PC-V/2009/ACP/2/Pt. 3 dated
14.02.2013, DoPT’s I.D. note 35034/2013-Esst(D)
dated 10.09.2013 are placed as Annexure -----------
(CP-58) & Annexure ----------- (CP-59 to 60). With
the grant of 2nd financial upgradation/promotion, the
Grade Pay available to the employee changes and
he/she is no more in the same Grade Pay and,
therefore, can be considered for grant of 3rd financial
upgradation either on completion of 10 years
regular continuous service after grant of 2nd
financial up gradation/ promotion OR 30
years continuous regular service from the date of
joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier. This
position has already been explained
in Board's letter dated 29.12.2011. Further, MACP
Scheme has been introduced with effect from 1-9-
2008 and, therefore, claim of any individual that he is
eligible for the MACP benefit prior to that date is
illogical and unreasonable.
This office letter HQ/NWR/JP/A/cs/Adm /MACPS
dated 26.05.2014 Annexure ------ (CP-2) has been
issued in compliance to Railway Board’s instruction
issued vide letter PC-V/2009/ACP /6/NWR dated
16.12.2013. In this connection further instruction was
issued vide letter Railway Board’s letter no. PC-
V/2009/ACP/2 dated 27.06.2014 Annexures -----
(CP-62). Hence, with the grant of 2nd financial
upgradation/promotion, the Grade Pay available to
the employee changes and he/she is no more in the
same Grade Pay and, therefore, can be
considered for grant of 3rd financial upgradation
either on completion of 10 years
regular continuous service after grant of 2nd
financial up gradation/ promotion OR 30
years continuous regular service from the date of
joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier. This
position has already been explained
in Board's letter dated 29.12.2011. Further, MACP
Scheme has been introduced with effect from 1-9-

4.(vi) That the applicants allowed fixation and to draw Actions have been taken in compliance of Railway
pay & allowances in the pay band Rs. 9300- Board’s instructions as mentioned in Para4.5 above.
34800 with grade pay Rs. 4800, but respondent
No. 3 without extending any chance of hearing
issued order dated 08/09/2014 by which benefits
allowed in the grade pay Rs. 4800 have been
cancelled / withdrawn in pursuance to Railway
Board order dated 29/12/2011 at Annexure- A/9
and by this action recovery is going to be
effected. Copy of order dated 08/09/2014 has
already been annexed as Annexure- A/1.
4.(vii) That the applicants after 1987 / 1993 not
allowed any promotion and remained in receipt
of pay & allowances in the same scale since
1987 / 1993 and thereafter respondents after
implementation of MACP Scheme allowed
second financial upgradation in the grade pay
Rs. 4600 w.e.f. 01/09/2008 on the basis of due
date as 1997 / 2003 after ten years and further
applicants became due for third financial
upgradation in 2007 / 2013 and clarification of
Railway Board at Annexure- A/9 against the
scheme and also after allowing benefits and
cannot given effect retrospectively. So in view
of this position cancellation of benefits against
scheme and applicants rightly allowed benefits
due to stagnation for 20 years.
4.(viii) That applicants appointed between 1984 to 1990
and thereafter scale of Rs. 1400- 2600 as
Accounts Assistant upgradation and ACP
Scheme which provide two financial after 12 &
24 years of service came to into to in effect
w.e.f. 09/08/1999, but applicants no where
allowed benefits of ACP Scheme on the ground
that they not completed 24 years service and
further MACP Scheme effective from
01/09/2008 provides three financial
upgradations after completion of 10, 20 & 30
years of service. In fact applicants allowed
higher scale only in 1987 / 1993 and
respondents rightly allowed benefits of second
MACP as well as third MACP due to stagnation
for 10 years from 1984 / 1990 to 2000 and
thereafter further upto 2004 / 2010 for which
scheme
at Annexure- A/2 also provide in para 1 as
reproduce in para 4.(iv) above. Beside this the
scale of Rs. 1400- 2600 allowed to the post of
Accounts Assistant between the year 1987 to
2008 and, therefore, claim of any individual that he is
eligible for the MACP benefit prior to that date is
illogical and unreasonable.
There are no instructions in Board's letter dated
10.6.2009 providing for grant of 3rd financial
upgradation on completion of 20 years service from
the 1 st promotion overlooking the subsequent
development viz grant of 2nd financial
upgradation/promotions. Thus the contention of the
applicants is not only misplaced but in contravention
of the policy instructions. As per clarification from
Railway Board vide letter no. PC-V/2009/ACP/2
dated 29.12.2011 the applicants have not completed
of 30 years service from the date of initial
appointment or 10 years from the date of 2nd
financial upgradation w.e.f. 01.09.2009 . Hence, the
applicants were not entitled for 3rd financial
upgradation in Rs 4800 from 2010, 2011, 2012 &
2013 respectively.
The applicants are not entitled for allowing 3rd as
explained in para 4.1 to 4.4 above. Further, All the
applicants are substantive employee of Railway and
appointed as Junior Accounts Assistant between
1984 to 1990 and thereafter became Accounts
Assistant by promotion in terms of Para (5) of IREM
Vol. I as per promotion orders issued vide Annexure
1 to 8. They have never became Accounts Assistant
in the scale Rs 1200-2040 under restructuring as
there were no instructions from Railway Board for
allowing restructure scale 1400-2600. Hence, the
applicants have availed one promotion. Thereafter,
the applicants have not completed 24 years of service
so they are not entitled for benefits under ACP
scheme.
 1993 on the basis of upgradation of posts and
further scale Rs. 5000- 8000 and Rs. 5500-9000
merged in the same grade pay Rs. 4200 w.e.f.
01/01/2006 as per recommendation of sixth pay
commission and as per orders passed by Hon'ble
CAT Madras Bench and upheld by Hon'ble
High Court Madras and thereafter Hon'ble
Supreme Court, applicants entitle for benefits of
ACP Scheme for which applicants taking
recourse to extend benefits of above said orders.

4.(ix) That similar controversy is pending before this Matter of record.

Hon'ble Tribunal in O.A. No. 291/ 00357/ 2014
(Rajveer Khurana V /s Union of India and
others) in which this Hon'ble Tribunal stayed
the recovery vide order dated 18/06/2014. Copy
of order dated 18/06/2014 is annexed herewith
and marked as ANNEXURE- A/17.

4.(x) That MACP Scheme promulgated with the
object that employees those facing stagnation be
allowed benefits of the scheme and scheme is
similar to ACP Scheme and for allowing
upgradation 10, 20 & 30 years of service is
required and respondents without any base
withdraw the benefits in the garb of clarification
dated 29/12/2011 (Annexure- A/9) and the same
is against the provision of scheme. Beside this
all employees granted upgradation w.e.f.
01/09/2008 i.e. effective date of MACP Scheme
and as per respondents as clarified no employee
is entitle for further upgradation upto 10 years,
taking into consideration of upgradation allowed
and in the case of applicants as per respondents,
applicants wrongly allowed third financial
upgradation without completing 30 years
service, which is against the scheme, as MACP
Scheme also provides upgradation on
stagnation. In view of this position applicants
rightly allowed benefits and the same cannot be
withdrawn.
5. GROUNDS OF APPLICATION:
This application of the humble applicants
preferred on the following amongst other
grounds: -
This office letter HQ/NWR/JP/A/cs/Adm /MACPS
dated 26.05.2014 Annexure ------ (CP-2) has been
issued in compliance to Railway Board’s instruction
issued vide letter PC-V/2009/ACP /6/NWR dated
16.12.2013. In this connection further instruction was
issued vide letter Railway Board’s letter no. PC-
V/2009/ACP/2 dated 27.06.2014 Annexures -----
(CP-62). Hence, with the grant of 2nd financial
upgradation/promotion, the Grade Pay available to
the employee changes and he/she is no more in the
same Grade Pay and, therefore, can be
considered for grant of 3rd financial upgradation
either on completion of 10 years
regular continuous service after grant of 2nd
financial up gradation/ promotion OR 30
years continuous regular service from the date of
joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier. This
position has already been explained
in Board's letter dated 29.12.2011. Further, MACP
Scheme has been introduced with effect from 1-9-
2008 and, therefore, claim of any individual that he is
eligible for the MACP benefit prior to that date is
illogical and unreasonable.

5. A Because the action of the respondents in
connection with cancellation of benefits under
MACP Scheme is arbitrary, illegal and
unjustified and such action of the respondents is
liable to be quashed and set aside.
The applicants can be considered for grant of 3rd
financial upgradation either on completion of 10
years regular continuous service after grant of 2nd
financial up gradation/ promotion OR 30
years continuous regular service from the date of
joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier.

5. B Because action of respondents against the
provisions of Article 14, 16, 21 and 39 (d) of
the Constitution of India, as other coworkers in
Jaipur / Ajmer Division as
well as in other divisions are in receipt of pay &
allowances and only applicants denied. Thus
action of respondents against facts &
circumstances and such action of the
respondents is liable to be quashed and set
aside.
5. C Because Railway Board vide order dated
29/12/2011 at Annexure- A/9 and further
clarification as regards to benefits after 10 years
of upgradation is against the provisions of
original scheme and the same has been issued
after granting benefits to the applicants and
cannot given effect retrospectively. Thus order
dated 29/12/2011 at Annexure- A/9 and further
clarifications are liable to be quashed and set
aside.
With the grant of 2nd financial upgradation/
promotion, 3rd financial upgradation under MACPs is
to be given only after the mandatory 10 years
residency from the 2nd MACP/Promotion. This
position has already been explained in Board's letter
dated 29.12.2011. Further, MACP Scheme has been
introduced with effect from 1-9-2008 and, therefore,
claim of any individual that he is eligible for the
MACP benefit prior to that date is illogical and
unreasonable.
To be replied by Railway Advocate.
It is incorrect mentioned that coworkers in Jaipur /
Ajmer Division as well as in other divisions are in
receipt of pay & allowances and only applicants
denied. All unit incharges of Accounts Department
have reviewed all such cases of MACPs granted
accordingly and remedial actions have been taken.
Copies of orders are annexed herewith as
Annexure....... (CP-88 to 96).
Vide Railway Board’s letter no. PC- V/2009/ACP/2
dated 29.12.2011, it is further clarified that para-1 of
Annexure to Board’s letter dated 10-06-2009 (RBE
No.101/2009), wherein it is mentioned that the
MACP Scheme envisages three
financial upgradations counted from the direct entry
grade on completion of 10, 20 and 30 years of
regular service respectively. Financial upgradation
under the scheme is admissible wherever an
employee spent 10 years continuously in the same
grade Pay. It is, thus, evident that 1st financial
upgradtion would be admissible on completion of 10
years of regular service from the date of actual
joining of the post in the entry grade, 2nd financial
upgradation on completion 20 years service from the
date of initial appointment or 10 years from the date
of 1st financial upgradation/promotion, whichever
is earlier and 3rd financial upgradation would be
admissible on completion of 30 years service from
the date of initial appointment or 10 years from the
date of 2nd financial upgradation/promotion,
whichever is earlier, if the employee has not earned
three promotions in thirty years span of regular
service.
The illustrations given in para 28 are for the
understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation of the Scheme. A
bare perusal of para 28(A) (ii)&(iii) itself
demonstrates that third financial upgradation is
admissible either on completion of further 10 years

5. D Because applicants allowed financial benefits of
upgradation as per scheme and as per orders
passed by the respondents because applicants
draw pay & allowances for more than 10 years
in one grade and scheme also provide benefits.
Thus action of the respondents cannot be said
just & proper and the same is liable to be
quashed and set aside.
5. E Because respondents without any base put the The applicant relates to erroneous grant of 3rd MACP
applicants in financial loss and snatch the without becoming due for the same as explained
benefits of financial upgradation inspite of fact above needs to be rectified.
that applicants are entitle for the benefits. Thus
action of respondents is against facts &
circumstances and same is liable to be quashed
and set aside.
5. F Because the applicants nowhere miss-
represented while granting benefits and
cancellation also without extending any chance
of hearing and the same is against the principles
of natural justice. So order passed for
cancellation with the recovery cannot be given
effect and such action of the respondent is liable
to be quashed and set aside.
5. G Because the respondents no where considered
matter of the applicants as per original scheme
and also no where extended any chance of
hearing, which is not at all justified and against
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
The applicants can be considered for grant of 3rd
financial upgradation either on completion of 10
years regular continuous service after grant of 2nd
financial up gradation/ promotion which is
01.09.2008 OR 30years continuous regular service
from the date of joining of a post in the direct entry
grade on direct recruitment basis, whichever is
earlier. With the grant of 2nd financial upgradation/
promotion, 3rd financial upgradation under MACPs is
to be given only after the mandatory 10 years
residency from the 2nd MACP/Promotion. This
position has already been explained in Board's letter
dated 29.12.2011. Further, MACP Scheme has been
introduced with effect from 1-9-2008 and, therefore,
claim of any individual that he is eligible for the
MACP benefit prior to that date is illogical and
unreasonable.
The applicants had erroneously allowed 3rd MACPS
on completion of 20 years of service from the of 1st
promotion which needs to be rectified as explained in
Para 4(i) to 4(iv) above.
The applicants had erroneously allowed 3rd MACPS
on completion of 20 years of service from the of 1st
promotion which needs to be rectified as explained in
Para 4(i) to 4(iv) above.
 the procedure. Thus such action of the
respondent is liable to be quashed and set aside.
5. H Because applicants allowed second MACP
w.e.f. 01/09/2008 i.e. about after 23 / 24 years
of service and provisions of the scheme
provides upgradation after 10, 20 & 30 years
and also on stagnation for 10 years and past
services are to be counted. So applicants rightly
allowed benefits being stagnated for more than
20 years within the service period. Thus action
of respondents against the aim & object of the
scheme and such action of respondents with the
clarifications is liable to be quashed and set
aside.
5. I Because the applicants allowed benefits after
due procedure and after recommendations of
screening committee and these
recommendations cannot be undone without
procedure and respondent No. 3 cannot
cancelled the benefits being same authority and
also without reviewing the matters. Thus action
of respondent No. 3 is without competency and
against procedure and the same is liable to be
quashed and set aside with the Annexure- A/l.
5. J Because grade pay of Accounts Assistant
allowed at the relevant time by way of
upgradation and the same cannot be counted
towards benefits of MACP treating as
promotion as per decision of Hon'ble CAT
Bench Madras and upheld by Hon'ble High
Court Madras and thereafter Hon'ble Supreme
Court. Thus action of respondents is also not
justified and the same is liable to be quashed
and set aside.
5. K Because this application is sustainable on so To be replied by Railway Advocate.
many other legal grounds which the applicants
craves leave to urge at the time of admission
The applicants have to given 3rd financial
upgradation as explained in Para (1) above. The case
of the applicant relates to erroneous grant of 3rd
MACP without becoming due and as such the same
needs to be rectified.
Railway Administration has issued orders for
withdrawl of 3rd MACP by following due
procedure i.e. latest instructions were put up before
screening committee and screening committee has
recommended for withdrawal of benefits. This fact
has been endorsed in cancellation orders.
All the applicants are substantive employee of
Railway and appointed as Junior Accounts Assistant
between 1984 to 1990 and thereafter became Accounts
Assistant by promotion in terms of Para 171(5) of
IREM Vol. I as per promotion orders issued vide
Annexures 1 to 8. The post in the grade of Account
Assistant in scale of Rs.1400-2600 is filled by
promotion of Junior Account Assistant in scale of
Rs.1200-2040 after they have completed 3 years
service in the grade and passed Appendix-II
examination. This is statutory position regarding
appointment to Account Assistant's grade which
categorically stipulates that this is not only promotion
but also laid down the eligibility criterion viz. 3 years
service in JAA grade for the said promotion. Further,
on appointment to AA grade from JAA grade the
employees are also allowed benefit of pay fixation
under FR 22 C as admissible in case of promotion to
the post having higher duties and responsibilities.
They have never became Accounts Assistant in the
scale Rs 1200-2040 as there were no instructions from
Railway Board for allowing restructure in scale 1400-
2600 to the applicants. Hence, the applicants have
availed one promotion.
 hearing of this application.

6. DETAILS OF REMEDIES EXHAUSTED: - To be replied by Railway Advocate.

The applicants declare that they have availed of
all the remedies available to him under the
relevant service rules
etc. The applicants do not have any other
equally efficacious, speedy and adequate
remedy except to invoke the extra- ordinary
jurisdiction of this Hon'ble Tribunal.

7. MATTERS Not PREVIOUSLY FILED OR

PENDING BEFORE ANY OTHER COURT:
-
The applicants declare that they have not To be replied by Railway Advocate.
previously filed any application, writ petition or
suit regarding the matter
in respect of which this Application is made
before Any other court or authority or any other
bench of the tribunal and nor
any such application, writ petition or suit is
pending before any of them.

7.A. That the applicants filing the present original To be replied by Railway Advocate.
application jointly against common cause in
connection with cancellation of benefits of
MACP Scheme and are working under
respondent No. 3 at Jaipur and they are drawing
the pay as per fixation allowed by the
respondents and benefits cannot be cancelled
without extending any chance of hearing, so
they having common cause of action. Thus joint
application may kindly be allowed.

8. RELIEFS SOUGHT: -
In view of the facts and grounds mentioned in
para 4 and 5, above the applicants pray for the
following relief: -

8. (i) That the respondents may be directed to hold The applicants are not entitled for allowing 3rd as
good benefits of financial upgradation allowed explained in para 4.1 to 4.4 above and as such the
vide orders dated 21/12/2009, 07/01/2010, same needs to be rectified.
20/01/2011, 09/04/2012, 01/01/2011 &
22/11/2013 (Annexure- A/3 to A/8) with the
other similar orders with due fixation by
quashing order dated 08/09/2014 (Annexure-
A/1)with the 'revised pay fixation with all
consequential benefits.

8. (ii) That order dated 29/12/2011 (Annexure- A/9)
with the further clarifications be quashed and set
aside, as the same against the provisions as well
as aim & object of the MACP Scheme at
Annexure- A/2 with all consequential benefits.
Vide Railway Board’s letter no. PC- V/2009/ACP/2
dated 29.12.2011, it is further clarified that para-1 of
Annexure to Board’s letter dated 10-06-2009 (RBE
No.101/2009), wherein it is mentioned that the
MACP Scheme envisages three
financial upgradations counted from the direct entry
grade on completion of 10, 20 and 30 years of

8. (iii) That the respondents be further not to recover
any amount from the applicants in pursuance to
order dated 08/09/2014 (Annexure- All) and to
allow pay & allowances as drawn by the
applicants in the month of August 2014 with all
consequential benefits.
8. (iv) Any other order, direction or relief may be To be replied by Railway Advocate.
passed in favour of the applicants which may be
deemed fit, just and proper under the facts and
circumstances of the case.
regular service respectively. Financial upgradation
under the scheme is admissible wherever an
employee spent 10 years continuously in the same
grade Pay. It is, thus, evident that 1st financial
upgradtion would be admissible on completion of 10
years of regular service from the date of actual
joining of the post in the entry grade, 2nd financial
upgradation on completion 20 years service from the
date of initial appointment or 10 years from the date
of 1st financial upgradation/promotion, whichever
is earlier and 3rd financial upgradation would be
admissible on completion of 30 years service from
the date of initial appointment or 10 years from the
date of 2nd financial upgradation/promotion,
whichever is earlier, if the employee has not earned
three promotions in thirty years span of regular
service.
The illustrations given in para 28 are for the
understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation
of the Scheme. A bare perusal of para 28(A) (ii)&(iii)
itself demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
The applicant have been granted 3rd MACP
erroneously without becoming due for the same
which is needs to be rectified. Accordingly recovery
of excess amount paid, needs to be recovered.
8. (v) That the costs of this application may be To be replied by Railway Advocate.
awarded .

9. INTERIM ORDER IF PRAYED FOR:

Pending the finalisation of this application,
the applicants seeks issue of the following No remarks please.
interim relief:
The respondents may be restrained from
further action initiated vide order dated
08/09/2014 (Annexure- A/1) by staying
operation of the same with the recovery on
account of any excess payment as ordered.

GROUNDS FOR INTERIM RELIEFS

(i) Because the applicants have a prima facie No remarks please.
good case and there is every likelihood of the
same being allowed in his favour,
(ii) Because the applicants are entitle for higher No remarks please.
grade pay as per provisions of MACP Scheme
and further as per service and scale drawn by
him. They would suffer irreparable loss which
cannot be compensated in terms of money.

(iii) Because the balance of convenience is also No remarks please.

in favour of the applicants.

10. This application is being filed through their

counsel.

Submitted for perusal and approval please so that the same may be sent to Railway Advocate to
prepare draft reply for Railway Board’s approval please.

Sr SO/Adm

AFA/Adm
 A. Para-4:-

1) Para - 4.1 :- All the applicants are substantive employee of Railway and appointed as Junior

Accounts Assistant between 1984 to 1990 and thereafter became Accounts Assistant by

promotion in terms of Para 171(5) of IREM Vol. I as per promotion orders issued vide

Annexures 1 to 8. The post in the grade of Account Assistant in scale of Rs.1400-2600 is

filled by promotion of Junior Account Assistant in scale of Rs.1200-2040 after they have

completed 3 years service in the grade and passed Appendix-II examination. This is statutory

position regarding appointment to Account Assistant's grade which categorically stipulates

that this is not only promotion but also laid down the eligibility criterion viz. 3 years service

in JAA grade for the said promotion. Further, on appointment to AA grade from JAA grade

the employees are also allowed benefit of pay fixation under FR 22 C as admissible in case

of promotion to the post having higher duties and responsibilities. They have never became

Accounts Assistant in the scale Rs 1200-2040 as there were no instructions from Railway

Board for allowing restructure in scale 1400-2600 to the applicants. Hence, the applicants

have availed one promotion.

2) Para - 4.2 :- Instructions regarding MACP Scheme providing for financial upgradations have
been issued vide Board's letter . PC-V/2009/ACP/2 dated 10.06.2009 (RBE 101/2009), As
per para 1 ofthe Annexure to Board's letter dated 10.6.2009, the Scheme provides for
three financial upgradations under the MACPS, counted from the direct entry grade on
completion of 10,20 and 30 years of service respectively. Financial up gradations under
the Scheme will be admissible whenever a person has spent 10 years continuously in the
same Grade Pay. Evidently grant of 3rd financial upgradations under the MACP Scheme
is admissible either on completion of 30 years of service from the date of joining of the
post in direct entry grade OR 10 years continuous regular service from the previous i.e.
2nd promotion/upgradations. Unless any of these two conditions is fulfilled, the employee
cannot be granted financial upgradation under the MACP Scheme. With this, the fact that any
employee completing 20 years service on 01.09.2008 without any prior promotion getting
two upgradation on 01.09.2008 implies that there is inherent counting of notional promotion
at the end of 10 years prior to 01.09.2008. Accordingly, the applicants were allowed Grade
Pay Rs 4600/ 4800 taking into consideration of ten years in one scale since 1987/1993 from
the effective date of the scheme i.e. 01.09.2008 or from the due date in the years 2010, 2011
& 2012 from the date of first promotion.
3) Para - 4.3 :- The applicants have to given 3rd financial upgradation only after the mandatory
10 years residency from the date of 2nd financial upgradation allowed in higher grade pay
of Rs 4600 w.e.f. 01.09.2008 as per Railway Board’s letter no. PC- V/2009/ACP/2 dated
29.12.2011 wherein it is further clarified that para-1 of Annexure to Board’s letter dated 10-
 06-2009 (RBE No.101/2009), wherein it is mentioned that the MACP Scheme envisages
three financial upgradations counted from the direct entry grade on completion of 10, 20 and
30 years of regular service respectively. Financial upgradation under the scheme is
admissible wherever an employee spent 10 years continuously in the same grade Pay. It is,
thus, evident that 1st financial upgradtion would be admissible on completion of 10 years of
regular service from the date of actual joining of the post in the entry grade, 2nd financial
upgradation on completion 20 years service from the date of initial appointment or 10 years
from the date of 1st financial upgradation/promotion, whichever is earlier and 3rd financial
upgradation would be admissible on completion of 30 years service from the date of initial
appointment or 10 years from the date of 2nd financial upgradation/promotion, whichever is
earlier, if the employee has not earned three promotions in thirty years span of regular
service. Hence, the applicants were not entitled for 3rd financial upgradation in Rs 4800
from 2010, 2011, 2012 & 2013 respectively. The illustrations given in para 28 are for the
understanding of the above stipulated position contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are independent segments to be assessed
independently for the purpose of implementation of the Scheme. A bare perusal of para
28(A) (ii)&(iii) itself demonstrates that third financial upgradation is admissible either on
completion of further 10 years service from second financial up gradation/promotion or on
completion of 30 years of service from the date of joining of a post in direct recruitment
grade. Viewing this step by step demonstration in a cumulative manner and deciphering any
meaning which is in contravention of the instructions contained in Board's policy instructions
dated 10.6.2009 is erroneous and therefore, not tenable. The Board's instructions dated 16-
12-2013 is not a new instruction/clarification but merely reaffirmation of the instructions
already contained in para 28(A) (ii) & (iii) as already explained hereinabove and as such the
applicants' case is absolutely misplaced. In fact the case of the applicant relates to erroneous
grant of 3rd MACP without becoming due for the same and as such needs to be rectified.
4) Para - 4.4 :- That on demands of Federation the matter has further been examined in
consultation with the DOP&T, the nodal department on MACPS, and it has been clarified by
the nodal department also that 3 rd MACP is to be given based on either 10 years from the
2nd MACP/promotion or 30 years of the overall service. In this connection Railway Board’s
I.D. note no. PC-V/2009/ACP/2/Pt. 3 dated 14.02.2013, DoPT’s I.D. note 35034/2013-
Esst(D) dated 10.09.2013 are placed as Annexure -----------& Annexure -----------
5) Para - 4.5 :- . This office letter HQ/NWR/JP/A/cs/Adm/MACPS dated 26.05.2014 Annexure
------ has been issued in compliance to Railway Board’s instruction issued vide letter PC-
V/2009/ACP /6/NWR dated 16.12.2013. In this connection further instruction was issued
vide letter Railway Board’s letter no. PC-V/2009/ACP/2 dated 27.06.2014 Annexures -----.
Hence, with the grant of 2nd financial upgradation/promotion, the Grade Pay available to the
employee changes and he/she is no more in the same Grade Pay and, therefore, can be
considered for grant of 3rd financial upgradation either on completion of 10 years
regular continuous service after grant of 2nd financial up gradation/ promotion OR 30
years continuous regular service from the date of joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier. This position has already been explained
in Board's letter dated 29.12.2011. Further, MACP Scheme has been introduced with effect
from 1-9-2008 and, therefore, claim of any individual that he is eligible for the MACP
benefit prior to that date is illogical and unreasonable.
6) Para - 4.6 :- Actions have been taken in compliance of Railway Board’s instructions as
mentioned in Para4.5 above.
7) Para - 4.7 :- There are no instructions in Board's letter dated 10.6.2009 providing for grant of
3rd financial upgradation on completion of 20 years service from the 1 st promotion
overlooking the subsequent development viz grant of 2nd financial upgradation/promotions.
Thus the contention of the applicants is not only misplaced but in contravention of the policy
 instructions. As per clarification from Railway Board vide letter no. PC-V/2009/ACP/2
dated 29.12.2011 the applicants have not completed of 30 years service from the date of
initial appointment or 10 years from the date of 2nd financial upgradation w.e.f. 01.09.2009
. Hence, the applicants were not entitled for 3rd financial upgradation in Rs 4800 from 2010,
2011, 2012 & 2013 respectively.
8) Para - 4.8 :- The applicants are not entitled for allowing 3rd as explained in para 4.1 to 4.4
above. Further, All the applicants are substantive employee of Railway and appointed as
Junior Accounts Assistant between 1984 to 1990 and thereafter became Accounts Assistant
by promotion in terms of Para (5) of IREM Vol. I as per promotion orders issued vide
Annexure 1 to 8. They have never became Accounts Assistant in the scale Rs 1200-2040
under restructuring as there were no instructions from Railway Board for allowing restructure
scale 1400-2600. Hence, the applicants have availed one promotion. Thereafter, the
applicants have not completed 24 years of service so they are not entitled for benefits under
ACP scheme.
9) Para - 4.9 :-Matter of record.
10) Part reply of Para - 4.10 :- Matter of record.

Sr SO/Adm-I
 NORTH WESTERN RAILWAY
FA&CAO’s Office,
HQ-NWR-Jaipur
No. NWR/HQ/JP/A/cs/Adm-3/Court Case Date: - 30.10.2014.

Sh V C Gupta, AFA/Adm,
HQ-NWR, Jaipur.

Sub:- O A No. 291/00521/2014 (CAT/JP) filed by Sh A K Katta & others V/s UOI & others.
***
Vide letter E(P&A)II/2012/Misc-6/Court Cases dated 22.05.2014, Railway Board has
instructed to closely monitor court cases involving policy issues.
Sh A K Katta & others has filed O.A No. 291/00521/2014 (CAT/JP) V/s UOI & others in
MACPs policy matter and challenged order AHQ/S.O.O. NO 19 dated 08.09.2014 regarding
withdrawal of 3rd MACPs.
Sr. AFA/Adm or the officer looking after the work of Sr AFA/Adm (Presently Sh V C
Gupta, AFA/Gen) to monitor the case has been nominated to monitor the case as per Board’s
directives.
This has the approval of FA&CAO.

(V C Gupta)
AFA (Adm.)
 North Western Railway
FA&CAO’s Office
N.W.Railway-Jaipur
No. NWR/HQ/JP/A/cs/Adm-3/Court-Cases Date: 29.10.2014

Dy.Director, Pay Commission-V

Railway Board, New Delhi.

Sub:- O A No. 291/00521/2014 (CAT/JP) filed by Sh A K Katta & others V/s UOI &
others (Copy enclosed).

***
Sh A K Katta & others has filed O.A No. 291/00521/2014 (CAT/JP) V/s UOI & others
(copy enclosed) in MACPs policy matter and challenged order AHQ/S.O.O. No 19 dated
08.09.2014 regarding withdrawal of 3rd MACPs.
A copy of above O.A. is sent herewith for providing necessary remarks as Policy letters
have been challenged in Hon’ble CAT/JP so that the same may be incorporated in reply which
will be submitted in CAT/JP.
This has the approval of FA&CAO.
(Manoj Kumar Jain)
Enclosed:- As above Dy.CAO/G
Sub:- O A No. 291/00521/2014 (CAT/JP) filed by Sh A K Katta & others V/s UOI & others.
Ref:-Sr SO Adm-3 note no. at NP-2 of file NWR/HQ/JP/A/cs/Adm-3/Court-Cases dated
08.10.2014.
***
Vide under reference, case file of O.A No. 291/00521/2014 (CAT/JP) filed by Sh
A K Katta & others V/s UOI & others has been received for:-

a. To obtain remarks from Railway Board upon issues pertaining to Railway Board.
b. Provide necessary approved remarks incorporating Railway Board’s remarks.
c. For nomination of a responsible officer to monitor court cases involving policy matters not
below the rank SS/JAG, well- conversant with the case and law. Beside above, This case
has involvement of policy matter of granting MACPs which affect Personnel Department
also, therefore, Personnel Department may also be requested to nominate an officer.

In compliance to above, it is proposed that:-

1. Copy of O.A. may be sent to Railway Board with the approval of FA&CAO and request
them to provide remarks on policy letters challenged in Hon’ble CAT/JP. Draft of letter
written in this regard is placed alongside for perusal and approval please.
2. FA&CAO may kindly be requested to nominated Sr AFA/Adm or the officer looking
after the work of Sr AFA/Adm (Presently Sh V C Gupta, AFA/Gen) to monitor the case
in the line with RB’s letter E(P&A)II/2012/Misc-6/Court Cases dated 22.05.2014(CP-
50).
3. This case has involvement of policy matter of granting MACPs which affect Personnel
Department also, therefore, Personnel Department may also be requested to nominate an
officer. Draft of letter written in this regard is placed alongside for perusal and approval
please.

Submitted please.
Sr SO/Adm
AFA/Adm
 NORTH WESTERN RAILWAY
FA&CAO’s Office,
HQ-NWR-Jaipur
No. NWR/HQ/JP/A/cs/Adm-3/Court Case Date: - 29.10.2014.

The General Manager (P)

HQ-NWR, JAIPUR.

Sub:- O A No. 291/00521/2014 (CAT/JP) filed by Sh A K Katta & others V/s UOI & others.
***
Vide letter E(P&A)II/2012/Misc-6/Court Cases dated 22.05.2014, Railway Board has
instructed to closely monitor court cases involving policy issues.
Sh A K Katta & others has filed O.A No. 291/00521/2014 (CAT/JP) V/s UOI & others
(copy enclosed) in MACPs policy matter and challenged order AHQ/S.O.O. NO 19 dated
08.09.2014 regarding withdrawal of 3rd MACPs which was issued in compliance of Railway
Board’s instructions vide letters no (1) PC-V/2009/ACP/2 dated 29.11.2011, (2) PC-
V/2009/ACP/6/NWR dated 16.12.2013, (3) PC-V/2009/ACP/6/NWR dated 31.01.2014 and
clarification issued to General Secretary, AIRF vide letter PC-V/2011/M/3/AIRF dated
04.02.2014.
From Accounts side, Sr. AFA/Adm has been nominated to monitor the case as per
Board’s directives. As the issue affects Personnel department also, hence, it is requested to
nominate one officer from Personnel side as well in line with Railway Board’s directive for
monitoring.
This has the approval of FA&CAO.

(V C Gupta)
AFA (Adm.)
 Note
Sub:- O A No. 291/00391/2015 (CAT/JP) filed by Sh.Shiv Charan Lal MeenaV/s UOI & others.
Ref:-Sr SO Adm-3 note no. at NP-2 of file NWR/HQ/JP/A/cs/Adm-3/Court-Cases dated 17.07.2015.
***
1. In reference to above, Sh Shiv Charan Lal MeenaV has filed O.A No. 291/00391/2015 (CAT/JP) V/s
UOI & others in MACPs policy matter and challenged order AHQ/S.O.O. No 06 dated 09.06.2015
regarding withdrawal of 3rd MACPs.
2. In compliance of note under reference, parawise remarks of this section are as under:-
Para
Details of Application
PARTICULARS OF ORDERS AGAINST
WHICH THE PRESENT APPLICATION IS
MADE:
1. This application is made against order dated
09/06/2015 issued by respondent No. 3 by
which benefits of Modified Assured Career
Progression Scheme (MACPS) by way of
Second & Third Financial Upgradation allowed
to the applicants in grade pay Rs.4600 & 4800
w.e.f. 01/09/2008 & 10/07/2010 have been
withdrawn and applicant allowed third
Financial Up gradation in pay band Rs.4600
w.e.f. 05/12/2010without assigning any
reasons. However,it has been come to notice
that respondents counting promotion to the post
of Stock Verifier in the same scale allowed to
the applicant in the year 2000 as per
clarifications issued by respond No.2 inspite of
facts that applicant rightly allowed benefits of
second & third financial upgradation with due
fixtion of pay & allowances. beside this
applicant granted second 7 third financial
upgradation, because he was stagnated for 20
years in same pay scale and further order of
recovery of excess payment also not justified as
applicant allowed benefits as per orders of the
Respondents.as regards recovery the same
cannot be affected from the applicant as held
by the Hon’ble Supreme Court in the case of
State of Punjab and others etc.V/S Rafiq Masih
(White Washer) etc. decided on18/12/2014
Copy of order dated 09/06/2015 is annexed
herewith and marked as ANNEXURE A/1.
Administrative Reply
(i). The applicant have to given 3rd financial
upgradation only after the mandatory 10 years
residency from the date of 2nd financial
upgradation allowed in higher grade pay of Rs 4600
w.e.f. 01.09.2008 as per Railway Board’s letter no.
PC- V/2009/ACP/2 dated 29.12.2011 wherein it is
further clarified that para-1 of Annexure to Board’s
letter dated 10-06-2009 (RBE No.101/2009), wherein
it is mentioned that the MACP Scheme envisages
three financial upgradations counted from the direct
entry grade on completion of 10, 20 and 30 years of
regular service respectively. Financial up gradation
under the scheme is admissible wherever an
employee spent 10 years continuously in the same
grade Pay. It is, thus, evident that 1st financial
upgradtion would be admissible on completion of 10
years of regular service from the date of actual
joining of the post in the entry grade, 2nd financial
upgradation on completion 20 years service from the
date of initial appointment or 10 years from the date
of 1st financial upgradation/promotion, whichever
is earlier and 3rd financial upgradation would be
admissible on completion of 30 years service from
the date of initial appointment or 10 years from the
date of 2nd financial upgradation/promotion,
whichever is earlier, if the employee has not earned
three promotions in thirty years span of regular
service. Hence, the applicant was not entitled for 3rd
financial upgradation in Rs 4800 from 2010
respectively. The illustrations given in para 28 are for
the understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation of the Scheme. A
bare perusal of para 28(A) (ii)&(iii) itself
demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up
gradation/promotion or on completion of 30 years of

SUBJECT IN BRIEF:
Arbitrary, illegal and unjustified action of
respondents in connection with cancellation of
benefits of Second & third financial
upgradation under MACP Scheme and further
action also against the provisions of Article 14,
16 and 21 of the Constitution of India and
orders issued by Railway Board from time to
time.
2. JURISDICTION: -
The applicants declare that the subject matter
of this Original Application is within the
jurisdiction of this Hon'ble Tribunal.
3. LIMITATION: -
The applicants declare that the applications of
the humble applicants are within the limitation
period as prescribed in section 21 of the
Administrative Tribunals Act, 1985.
4. FACTS OF THE CASE: -
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
(ii). As the applicants were not stagnated for 10
years in same pay scale w.e.f. 01.09.2008 and
erroneous implementation of 3rd MACP needs to be
rectified. Hence, further order of recovery of excess
payment needs to be issued.
(iii). Railway Administration has issued orders for
withdrawal of 3rd MACP by following due
procedure i.e. latest instructions were put up before
screening committee and screening committee has
recommended for withdrawal of benefits. This fact
has been endorsed in cancellation orders.
(iv). It is incorrectly mentioned by the applicants that
after recommendations of sixth pay commission scale
Rs. 5000- 8000 as well as Rs. 5500- 9000 merged in
same grade pay and applicants allowed post of
Accounts Assistant by way of upgradation in the
year 1987 and the same is not countable towards
benefits. Factual position is that the applicants
became Accounts Assistant by promotion in terms of
Para 171(5) of IREM Vol. I as per promotion orders
issued vide Annexures -------- (CP-43 to 51).
To be replied by Railway Advocate.
To be replied by Railway Advocate.
To be replied by Railway Advocate.
 The original application of humble applicants is
most respectfully showeth as under: -
That so for relevant to this application, the
4.(i) applicant is substantive employee of the
respondent Railway and appointed as Junior
Accounts Assistant on 10/07/1987 and
thereafter became Accounts Assistant in the
scale Rs. 1200- 2040 and on restructuring
allowed scale Rs. 1400- 2600 and further
applicant allowed post of Stock verifier (SV)
by way of alternate promotion on option in the
same scale Rs.5000-8000 by placing him on
panel vide orders dated 07/11/2000,27/11/200
and 05/12/2000 and since than applicant
working on the post of Stock Verifier (SV)
without any further promotion. So the
applicants remained in one pay scale since
more than twenty years. Copies of orders dated
07/11/2000, 27/11/2000 & 05/12/2000 are
annexed herewith and marked annexed as
ANNEXURE-A/2,A/3 & A/4 respectively. It
is further submitted that in order dated
27/11/2000 at Annexure-A/3 it has been
mentioned that pay may be fixed as per extent
rules and the option may be obtained for
fixation of pay, but respondents no. where
obtained option and fix the pay of the applicant
in the same scale without any benefits by
allowing due increments. So in view of this
position, applicants allowed to the post of
Stock Verifier without any benefits and further
pay of the applicant fixed in the pay band
Rs.9300-34800 with grade pay
Rs.4200w.e.f.01/01/2006on the
recommendations of sixth pay commission.
4.(ii) That after recommendations of sixth pay
commission, Government of India promulgated
Modified Assured Career Progression Scheme
(MACPS) for the
Central Government Civilian Employees for
Placement in higher scale after completion of
10, 20 & 30 years of service and respondent
department also adopted the same vide order
dated 10/06/2009 and taking into consideration
of the scheme, respondents placed the
applicants in grade pay Rs. 4600 showing
Second financial upgradation taking into
consideration of ten years in one scale since
from 1990 to 2000, from the effective date of
the scheme i.e. 01/09/2008 vide order date
25/03/2010 in which name of the applicant find
place at S.No.4 in which also provision has
The applicant is substantive employee of Railway and
appointed as Junior Accounts Assistant on 10/07/1987
and there after became Accounts Assistant by
promotion in terms of Para 171(5) of IREM Vol. I
Annexed as Annexure ---------- (CP-14 to 15).as per
promotion orders issued vide Annexures 2 to 3. The
post in the grade of Account Assistant in scale of
Rs.1400-2600 is filled by promotion of Junior
Account Assistant in scale of Rs.1200-2040 after they
have completed 3 years service in the grade and
passed Appendix-II examination. This is statutory
position regarding appointment to Account Assistant's
grade which categorically stipulates that this is not
only promotion but also laid down the eligibility
criterion viz. 3 years service in JAA grade for the said
promotion. Further, on appointment to AA grade from
JAA grade the employee also allowed benefit of pay
fixation under FR 22 C as admissible in case of
promotion to the post having higher duties and
responsibilities. They have never became Accounts
Assistant in the scale Rs 1200-2040 as there were no
instructions from Railway Board for allowing
restructure in scale 1400-2600 to the applicant.
Hence, the applicant has availed one promotion.
Instructions regarding MACP Scheme providing for
financial upgradations have been issued vide Board's
letter . PC-V/2009/ACP/2 dated 10.06.2009 (RBE
101/2009), As per para 1 of the Annexure to Board's
letter dated 10.6.2009, the Scheme provides for three
financial upgradations under the MACPS, counted
from the direct entry grade on completion of 10,20
and 30 years of service respectively. Financial up
gradations under the Scheme will be admissible
whenever a person has spent 10 years continuously in
the same Grade Pay. Evidently grant of 3rd financial
upgradations under the MACP Scheme
is admissible either on completion of 30 years of
service from the date of joining of the
post in direct entry grade OR 10 years continuous
regular service from the previous i.e.
2nd promotion/upgradations. Unless any of these two
 been made for fixation of pay from the date of
upgradation or from the date of next increment
for which respondents no where allowed
benefits. Copies of orders dated 10/06/2009 &
25/03/2010 are annexed herewith and marked
as ANNEXURE- A/5, A/6 respectively. It is
submitted that respondent No.2 further clarified
vide letter dated 21/02/2011 that promotions
earned in the post carrying same Grade pay in
the promotional hieraechy as per Recruitment
Rules shall be counted for the purpose of
MACPS.Copy of letter dated 21/02/2011 is are
annexed herewith and marked as
ANNEXURE- A/7.
4.(iii) That MACP Scheme provides that any
employee remained in same grade pay for 10
years, he is entitle for upgradation as
mentioned in para 1 of the scheme at
ANNEXURE- A/5 which read as follow-
There shall be three financial upgradation
under the MACPS, counted from the direct
entry grade on completion of 10,20,and 30
years of service respectively.Financial
upgradation under the Scheme will be
admissible whenever a person has spent
10years continuously in the same Grade pay.
For which Railway Board also issued order
dated 29/12/2011 and in pursuance to that
taking in to consideration of due date of third
financial upgradation as 2010, applicant
allowed third financial upgradation in the grade
pay Rs. 4800 w.e.f. 10/07/2010with due
fixation of pay vide order dated 21/03/2011.
Copy of order dated 29/12/2011 and
21/03/2011 are annexed herewith and marked
as ANNEXURE- A/8 & A/9 respectivly.
conditions is fulfilled, the employee
cannot be granted financial upgradation under the
MACP Scheme. With this, the fact that the employee
completing 20 years service on 01.09.2008 without
any prior promotion getting two upgradation on
01.09.2008 implies that there is inherent counting of
notional promotion at the end of 10 years prior to
01.09.2008. Accordingly, the applicant were allowed
Grade Pay Rs 4600/ 4800 taking into consideration
of ten years in one scale since 10/07/1987 from the
effective date of the scheme i.e. 01.09.2008 or from
the due date in the years 2010 from the date of first
promotion.
The applicant has to given 3rd financial upgradation
only after the mandatory 10 years residency from the
date of 2nd financial upgradation allowed in higher
grade pay of Rs 4600 w.e.f. 01.09.2008 as per
Railway Board’s letter no. PC- V/2009/ACP/2 dated
29.12.2011 wherein it is further clarified that para-1
of Annexure to Board’s letter dated 10-06-2009
(RBE No.101/2009), wherein it is mentioned that the
MACP Scheme envisages three
financial upgradations counted from the direct entry
grade on completion of 10, 20 and 30 years of
regular service respectively. Financial upgradation
under the scheme is admissible wherever an
employee spent 10 years continuously in the same
grade Pay. It is, thus, evident that 1st financial
upgradtion would be admissible on completion of 10
years of regular service from the date of actual
joining of the post in the entry grade, 2nd financial
upgradation on completion 20 years service from the
date of initial appointment or 10 years from the date
of 1st financial upgradation/promotion, whichever
is earlier and 3rd financial upgradation would be
admissible on completion of 30 years service from
the date of initial appointment or 10 years from the
date of 2nd financial upgradation/promotion,
whichever is earlier, if the employee has not earned
three promotions in thirty years span of regular
service. Hence, the applicant was not entitled for 3rd
financial upgradation in Rs 4800 from 10.07.2010
respectively. The illustrations given in para 28 are for
the understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation of the Scheme. A
bare perusal of para 28(A) (ii)&(iii) itself
demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up

4.(iv) That respondent No.3 vide letter dated
14/07/2014 directed the authorities to take
action as per Railway Board clarification dated
21/02/2011 at annexure-A/7.Copy of letter
dated 14/07/2014 is annexed herewith and
marked as ANNEXURE- A/10.
4.(v) That the applicant allowed fixation and to draw
pay & allowances in the pay band Rs.9300-
34800 with grade pay Rs.4600 & 4800,but
respondents No.3 without extending any change
of hearing issued order dated09/06/2015 by
which benefits allowed in the grade pay
Rs.4600 & 4800 have been cancelled/withdrawn
w.e.f. 01/09/2008 and 10/07/2010 and applicant
only allowed grade pay Rs.4600 w.e.f.
05/12/2010 being third financial upgradation in
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
The matter has further been examined in consultation
with the DOP&T, the nodal department on MACPS,
and it has been clarified by the nodal department also
that 3 rd MACP is to be given based on either 10
years from the 2nd MACP/promotion or 30 years of
the overall service. In this connection Railway
Board’s I.D. note no. PC-V/2009/ACP/2/Pt. 3 dated
14.02.2013, DoPT’s I.D. note 35034/2013-Esst(D)
dated 10.09.2013 are placed as Annexure -----------
(CP-) & Annexure ----------- (CP- to ). With the
grant of 2nd financial upgradation/promotion, the
Grade Pay available to the employee changes and
he/she is no more in the same Grade Pay and,
therefore, can be considered for grant of 3rd financial
upgradation either on completion of 10 years
regular continuous service after grant of 2nd
financial up gradation/ promotion OR 30
years continuous regular service from the date of
joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier. This
positio7 has already been explained in Board's
letter dated 29.12.2011. Further, MACP Scheme has
been introduced with effect from 1-9-2008 and,
therefore, claim of any individual that he is eligible
for the MACP benefit prior to that date is illogical
and unreasonable.
This office letter HQ/NWR/JP/A/cs/Adm /MACPS
dated 14.05.2014 Annexure ------ (CP-2) has been
issued in compliance to Railway Board’s instruction
issued vide letter PC-V/2009/ACP /6/NWR dated
16.12.2013. In this connection further instruction was
issued vide letter Railway Board’s letter no. PC-
V/2009/ACP/2 dated 27.06.2014 Annexures -----
(CP-53). Hence, with the grant of 2nd financial
upgradation/promotion, the Grade Pay available to
the employee changes and he/she is no more in the
 pursuances to Railway Board dated 21/02/2011
atAnnexure-A/7 and by this action recovery is
going to be effected .Copy of order dated
09/06/2015 has already been annexed as
Annexure-A/1.
4.(vi) That the applicant after 1990 not allowed any
promotion and allowed post of Stock Verifier as
alternate promotion on option in the same scale
which is not countable towards the benefits of
the scheme and applicant rightly allowed grade
pay Rs.4600 on the basis of due date in the year
2000 and thereafter in 2010 and clarifications of
Railway Board against the scheme and in facts
cannot given effect respectively.So in view of
this position cancellation of benefits against
scheme and applicant rightly allowed benefits
due to stagnation for 20 years.
4.(vii) That similar controversy is pending before this
Hon’ble Tribunal in O.A. No.291/00521/2014
(Ashok Kumar Katta & others V/S Union of
India and others) in which this Hon’ble Tribunal
stayed the recovery vide order dated 24/09/2014
Copy of letter dated 24/09/2014 is annexed
herewith and marked as ANNEXURE- A/11.
4.(viii) That MACP Scheme promulgated with the
object that employees those facing stagnation be
allowed benefits of the scheme and scheme is
similar to ACP Scheme and for allowing
upgradation 10,20 & 30 years of service is
required and respondents without any base
withdraw the benefits in the garb of clarification
dated 21/02/2011 and 29/12/2011(Annexure-A7
& A/8) and the same is against the provision of
scheme .Beside this all employees granted
upgradation w.e.f.01/09/2008 i.e. effective date
of MACP Scheme and as per respondents as
same Grade Pay and, therefore, can be
considered for grant of 3rd financial upgradation
either on completion of 10 years
regular continuous service after grant of 2nd
financial up gradation/ promotion OR 30
years continuous regular service from the date of
joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier. This
position has already been explained in Board's
letter dated 29.12.2011. Further, MACP Scheme has
been introduced with effect from 1-9-2008 and,
therefore, claim of any individual that he is eligible
for the MACP benefit prior to that date is illogical
and unreasonable.
Actions have been taken in compliance of Railway
Board’s instructions as mentioned in Para4.5 above.
There are no instructions in Board's letter dated
10.6.2009 providing for grant of 3rd financial
upgradation on completion of 20 years service from
the 1 st promotion overlooking the subsequent
development viz grant of 2nd financial
upgradation/promotions. Thus the contention of the
applicant is not only misplaced but in contravention
of the policy instructions. As per clarification from
Railway Board vide letter no. PC-V/2009/ACP/2
dated 29.12.2011 the applicant have not completed of
30 years service from the date of initial appointment
or 10 years from the date of 2nd financial
upgradation w.e.f. 01.09.2009 . Hence, the applicant
was not entitled for 3rd financial upgradation in Rs
4800 from 2010, 2011, 2012 & 2013 respectively.
The applicant is not entitled for allowing 3rd as
explained in para 4.1 to 4.4 above. Further, All the
applicants are substantive employee of Railway and
appointed as Junior Accounts Assistant 10/07/1987
and thereafter became Accounts Assistant by
promotion in terms of Para (5) of IREM Vol. I as per
promotion orders issued vide Annexure 1 to 8. the
applicant have never became Accounts Assistant in
the scale Rs 1200-2040 under restructuring as there
were no instructions from Railway Board for
allowing restructure scale 1400-2600. Hence, the
applicant have availed one promotion. Thereafter, the
 clarified no employee is entitle for further applicant has not completed 24 years of service so
upgradation upto 10 years, taking into they are not entitled for benefits under ACP scheme.
consideration of upgradation allowed . In view
of this position applicant rightly allowed
benefits and the same cannot be withdrawn.

4.(ix) That placement in same scale by pay of Matter of record.

promotion or otherwise cannot be counted
towards benefits of MACPS, as no benefits
were allowed at the relevant time and applicant
allowed post of Stock Verifier in the same scale
without any benefits and provisions of the
scheme as well as clarifications issued by the
respondents does not speak regarding old pay
scales and only clarified the position of grade
pay.
5. GROUNDS OF APPLICATION:
This application of the humble applicant
preferred on the following amongst other
grounds: -

5. A Because the action of the respondents in
connection with cancellation of benefits under
MACP Scheme is arbitrary, illegal and
unjustified and such action of the respondents is
liable to be quashed and set aside.
The applicant can be considered for grant of 3rd
financial upgradation either on completion of 10
years regular continuous service after grant of 2nd
financial up gradation/ promotion OR 30
years continuous regular service from the date of
joining of a post in the direct entry grade
on direct recruitment basis, whichever is earlier.
With the grant of 2nd financial upgradation/
promotion, 3rd financial upgradation under MACPs is
to be given only after the mandatory 10 years
residency from the 2nd MACP/Promotion. This
position has already been explained in Board's letter
dated 29.12.2011. Further, MACP Scheme has been
introduced with effect from 1-9-2008 and, therefore,
claim of any individual that he is eligible for the
MACP benefit prior to that date is illogical and
unreasonable.

5. B Because action of respondents against the

provisions of Article 14, 16, 21 and 39 (d) of
the Constitution of India, as other co-workers in
Jaipur / Ajmer Division as
well as in other divisions are in receipt of pay &
allowances and only applicants denied. Thus
action of respondents against facts &
circumstances and such action of the
respondents is liable to be quashed and set
aside.
5. C Because Railway Board vide order dated
29/12/2011 at Annexure- A/8 and further
clarification as regards to benefits after 10 years
of upgradation is against the provisions of
original scheme and the same has been issued
To be replied by Railway Advocate.
It is incorrect mentioned that co-workers in Jaipur /
Ajmer Division as well as in other divisions are in
receipt of pay & allowances and only applicant
denied. All unit incharges of Accounts Department
have reviewed all such cases of MACPs granted
accordingly and remedial actions have been taken.
Copies of orders are annexed herewith as
Annexure....... (CP-85 to 92).
Vide Railway Board’s letter no. PC- V/2009/ACP/2
dated 29.12.2011, it is further clarified that para-1 of
Annexure to Board’s letter dated 10-06-2009 (RBE
No.101/2009), wherein it is mentioned that the
MACP Scheme envisages three financial
 after granting benefits to the applicants and
cannot given effect retrospectively. Thus order
dated 29/12/2011 at Annexure- A/8 and further
clarifications are liable to be quashed and set
aside.
5. D Because applicants allowed financial benefits of
upgradation as per scheme and as per orders
passed by the respondents because applicants
draw pay & allowances for more than 10 years
in one grade and scheme also provide benefits.
Thus action of the respondents cannot be said
just & proper and the same is liable to be
quashed and set aside.
upgradations counted from the direct entry grade on
completion of 10, 20 and 30 years of regular service
respectively. Financial upgradation under the scheme
is admissible wherever an employee spent 10 years
continuously in the same grade Pay. It is, thus,
evident that 1st financial upgradtion would be
admissible on completion of 10 years of regular
service from the date of actual joining of the post in
the entry grade, 2nd financial upgradation on
completion 20 years service from the date of initial
appointment or 10 years from the date of 1st
financial upgradation/promotion, whichever is earlier
and 3rd financial upgradation would be admissible
on completion of 30 years service from the date of
initial appointment or 10 years from the date of 2nd
financial upgradation/promotion, whichever is
earlier, if the employee has not earned three
promotions in thirty years span of regular service.
The illustrations given in para 28 are for the
understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation of the Scheme. A
bare perusal of para 28(A) (ii)&(iii) itself
demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
The applicant can be considered for grant of 3rd
financial upgradation either on completion of 10
years regular continuous service after grant of 2nd
financial up gradation/ promotion which is
01.09.2008 OR 30 years continuous regular service
from the date of joining of a post in the direct entry
grade on direct recruitment basis, whichever is
earlier. With the grant of 2nd financial upgradation/
promotion, 3rd financial upgradation under MACPs is
to be given only after the mandatory 10 years
 residency from the 2nd MACP/Promotion. This
position has already been explained in Board's letter
dated 29.12.2011. Further, MACP Scheme has been
introduced with effect from 1-9-2008 and, therefore,
claim of any individual that he is eligible for the
MACP benefit prior to that date is illogical and
unreasonable.

5. E Because respondents without any base put the The applicant relates to erroneous grant of 3rd MACP
applicants in financial loss and snatch the without becoming due for the same as explained
benefits of financial upgradation inspite of fact above needs to be rectified.
that applicants is entitle for the benefits. Thus
action of respondents is against facts &
circumstances and same is liable to be quashed
and set aside.

5. F Because the applicant nowhere miss-represented The applicant had erroneously allowed 3rd MACPS
while granting benefits and cancellation also on completion of 20 years of service from the of 1st
without extending any chance of hearing and the promotion which needs to be rectified as explained in
same is against the principles of natural justice. Para 4(i) to 4(iv) above.
So order passed for cancellation with the
recovery cannot be given effect as held by
Hon’ble Supreme Court in the case of state of
Punjab and others etc. V/S Rafic Masih (White
Washer)etc. decided on 18/12/2014.Thus such
action of the respondent is liable to be quashed
and set aside.
5. G Because the respondents nowhere considered The applicant had erroneously allowed 3rd MACPS
matter of the applicant as per original scheme on completion of 20 years of service from the of 1st
and also no where extended any chance of promotion which needs to be rectified as explained in
hearing, which is not at all justified and against Para 4(i) to 4(iv) above.
the procedure. Thus such action of the
respondent is liable to be quashed and set aside.

5. H Because applicant allowed second MACP w.e.f. The applicant have to given 3rd financial upgradation
01/09/2008 i.e. about after 18 years of service as explained in Para (1) above. The case of the
and provisions of the scheme provides applicant relates to erroneous grant of 3rd MACP
upgradation after 10, 20 & 30 years and also on without becoming due and as such the same needs to
stagnation for 10 years and past services are to be rectified.
be counted. So applicant rightly allowed
benefits being stagnated for more than 20 years
within the service period. Thus action of
respondents against the aim & object of the
scheme and such action of respondents with the
clarifications is liable to be quashed and set
aside.

5. I Because the applicant allowed benefits after due
procedure and after recommendations of
screening committee and these
recommendations cannot be undone without
procedure and respondent No. 3 cannot
cancelled the benefits being same authority and
also without reviewing the matters. Thus action
Railway Administration has issued orders for
withdrawl of 3rd MACP by following due
procedure i.e. latest instructions was put up before
screening committee and screening committee has
recommended for withdrawal of benefits. This fact
has been endorsed in cancellation orders.
 of respondent No. 3 is without competency and
against procedure and the same is liable to be
quashed and set aside with the Annexure- A/l.

5. J Because on the post of Stock Verifier being
alternate promotion on option and the same
scale in which no benefits extended and the
same cannot be counted as promotion. Thus
action of promotion against the facts &
circumstances and also not justified and the
same is liable to be quashed and set aside.
The applicant is substantive employee of Railway and
appointed as Junior Accounts Assistant 10/07/1987
and thereafter became Accounts Assistant by
promotion in terms of Para 171(5) of IREM Vol. I as
per promotion orders issued vide Annexures 1 to 8.
The post in the grade of Account Assistant in scale of
Rs.1400-2600 is filled by promotion of Junior
Account Assistant in scale of Rs.1200-2040 after they
have completed 3 years service in the grade and
passed Appendix-II examination. This is statutory
position regarding appointment to Account Assistant's
grade which categorically stipulates that this is not
only promotion but also laid down the eligibility
criterion viz. 3 years service in JAA grade for the said
promotion. Further, on appointment to AA grade from
JAA grade the employees are also allowed benefit of
pay fixation under FR 22 C as admissible in case of
promotion to the post having higher duties and
responsibilities. They have never became Accounts
Assistant in the scale Rs 1200-2040 as there were no
instructions from Railway Board for allowing
restructure in scale 1400-2600 to the applicants.
Hence, the applicants have availed one promotion.

5. K Because the para-8 of the scheme at Annexure- To be replied by Railway Advocate.

A/5 also against the aim & object of the scheme
and same cannot be made applicable in the
cases where no benefits of have been allowed
while allowing promotion in same scale and
para 8 also applicable in the cases of grade pay
not in the cases of earlier scale available prior to
01/01/2006. Thus para 8 of the scheme is liable
to be struck down and the same is not
sustainable in the eyes of law.

5. L Because this application is sustainable on so

many other legal grounds which the applicant
craves leave to urge at the time of admission /
hearing of application.
6. DETAILS OF REMEDIES EXHAUSTED: - To be replied by Railway Advocate.
The applicants declare that he has availed of the
all the remedies available to him under the
relevant service rules etc. The applicant does
not have any other equally efficacious, speedy
and adequate remedy except to invoke the extra-
ordinary jurisdiction of this Hon’ble Tribunal.
7. MATTERS NOT PREVIOUSLY FILED OR
PENDING BEFORE ANY OTHER COURT:
-
The applicants declare that he has not To be replied by Railway Advocate.
previously filed any application, writ petition or
 suit regarding the matter
in respect of which this Application is made
before Any other court or authority or any other
bench of the tribunal and nor
any such application, writ petition or suit is
pending before any of them.
8. RELIEFS SOUGHT: -
In view of the facts and grounds mentioned in
para 4 and 5, above the applicants pray for the
following relief: -
8. (i) That the respondents may be directed to hold The applicant is not entitled for allowing 3rd as
good benefits of financial upgradation allowed explained in para 4.1 to 4.4 above and as such the
vide orders dated 25/03/2010, 21/03/2011 same needs to be rectified.
(Annexure- A/6 to A/9) by quashing order dated
09/06/2015 (Annexure- A/1) with the revised
pay fixation with all consequential benefits.
8. (ii) That para-8 of the scheme dated 10/06/2009
(Annexure- A/5) be declared ultra-virus against
the provisions treating promotion in the same
grade pay with the clarification be quashed and
set aside, as the same against the provisions as
well as aim & object of the MACP Scheme at
Annexure- A/5 with all consequential benefits.
Vide Railway Board’s letter no. PC- V/2009/ACP/2
dated 29.12.2011, it is further clarified that para-1 of
Annexure to Board’s letter dated 10-06-2009 (RBE
No.101/2009), wherein it is mentioned that the
MACP Scheme envisages three financial
upgradations counted from the direct entry grade on
completion of 10, 20 and 30 years of regular service
respectively. Financial upgradation under the scheme
is admissible wherever an employee spent 10 years
continuously in the same grade Pay. It is, thus,
evident that 1st financial upgradtion would be
admissible on completion of 10 years of regular
service from the date of actual joining of the post in
the entry grade, 2nd financial upgradation on
completion 20 years service from the date of initial
appointment or 10 years from the date of 1st
financial upgradation/promotion, whichever is earlier
and 3rd financial upgradation would be admissible
on completion of 30 years service from the date of
initial appointment or 10 years from the date of 2nd
financial upgradation/promotion, whichever is
earlier, if the employee has not earned three
promotions in thirty years span of regular service.
The illustrations given in para 28 are for the
understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation
of the Scheme. A bare perusal of para 28(A) (ii)&(iii)
itself demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
 demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.

8. (iii) That the respondents be further not to recover
any amount from the applicants in pursuance to
order dated 09/06/2015 (Annexure- A/1) and to
allow pay & allowances as drawn by the
applicants in the month of May 2015 with all
consequential benefits.
The applicant has been granted 3rd MACP
erroneously without becoming due for the same
which is needs to be rectified. Accordingly recovery
of excess amount paid, needs to be recovered.

8. (iv) Any other order, direction or relief may be To be replied by Railway Advocate.
passed in favour of the applicants, which may
be deemed fit, just and proper under the facts
and circumstances of the case.

8. (v) That the costs of this application may be To be replied by Railway Advocate.
awarded .

9. INTERIM ORDER IF PRAYED FOR:

Pending the finalisation of this application,
the applicants seeks issue of the following No remarks please.
interim relief:
The respondents may be restrained from
further action initiated vide order dated
09/06/2015 (Annexure- A/1) by staying
operation of the same with the recovery on
account of any excess payment as ordered.

GROUNDS FOR INTERIM RELIEFS

(i) Because the applicants have a prima No remarks please.
facie good case and there is every
likelihood of the same being
allowed in his favour.
(ii)
(ii) Because the applicants is entitle for higher No remarks please.
grade pay as per provisions of MACP Scheme
and further as per service and scale drawn by
him. He would suffer irreparable loss which
cannot be compensated in terms of money.

(iii) Because the balance of convenience is also No remarks please.

in favour of the applicants.
10. This application is being filed through their
counsel.

Submitted for perusal and approval please so that the same may be sent to Railway Advocate to
prepare draft reply for Railway Board’s approval please.

Sr SO/Adm

AFA/Adm
 Note
Sub:- O A No. 291/00391/2015 (CAT/JP) filed by Sh.Shiv Charan Lal MeenaV/s UOI & others.
Ref:-Sr SO Adm-3 note no. at NP-2 of file NWR/HQ/JP/A/cs/Adm-3/Court-Cases dated 17.07.2015.
***
1. In reference to above, Shri- Shiv Charan Lal Meena has filed O.A No. 291/00391/2015 (CAT/JP) V/s
UOI & others in MACPs policy matter and challenged order AHQ/S.O.O. No 06 dated 09.06.2015
regarding withdrawal of 3rd MACPs.
2. In compliance of note under reference, parawise remarks of this section are as under:-
Para
Details of Application
PARTICULARS OF ORDERS AGAINST
WHICH THE PRESENT APPLICATION IS
MADE:
1. This application is made against order dated
09/06/2015 issued by respondent No. 3 by
which benefits of Modified Assured Career
Progression Scheme (MACPS) by way of
Second & Third Financial Upgradation allowed
to the applicants in grade pay Rs.4600 & 4800
w.e.f. 01/09/2008 & 10/07/2010 have been
withdrawn and applicant allowed third
Financial Up gradation in pay band Rs.4600
w.e.f. 05/12/2010without assigning any
reasons. However,it has been come to notice
that respondents counting promotion to the post
of Stock Verifier in the same scale allowed to
the applicant in the year 2000 as per
clarifications issued by respond No.2 inspite of
facts that applicant rightly allowed benefits of
second & third financial upgradation with due
fixtion of pay & allowances. beside this
applicant granted second 7 third financial
upgradation, because he was stagnated for 20
years in same pay scale and further order of
recovery of excess payment also not justified as
applicant allowed benefits as per orders of the
Respondents.as regards recovery the same
cannot be affected from the applicant as held
by the Hon’ble Supreme Court in the case of
State of Punjab and others etc.V/S Rafiq Masih
(White Washer) etc. decided on18/12/2014
Copy of order dated 09/06/2015 is annexed
herewith and marked as ANNEXURE A/1.
Administrative Reply
(i). The NW Railway’s order dated 09.06.2015
(Annexure A/1) was issued in light of Railway
Board’s clarification provided to NWR in terms of
Railway Board’s letter no. PC-V/2009/ACP/6 /NWR
dated 16.12.2013 (Annexure- ) in which Railway
Board has explained the correct interpretation of
MACP scheme provisions regarding provision of 3rd
financial upgradation. RB in its letter dated
16.12.2013 (Annexure- ) advised that the NWR has
incorrectly allowed 3rd financial upgradation on
completion of 20 years of service from first
promotion of the employees . In this context, RB
further advised that 3rd financial upgradation under
MACP scheme has been implemented w.e.f.
01.09.2008, it is absolutely erroneous to construe that
any employee is eligible for MACPS benefits prior to
that date. In the light of RB’s instructions, the case
was reviewed and 3rd financial upgradation extended
to applicants was cancelled.
In this connection, it is submitted that MACPS was
implemented by RB vide RB’s letter no. RBE
101/2009 dated 10.06.2009 (Annexure A/5). As per
para 1of the annexure to this letter dated 10.06.2009,
the scheme provides for three financial upgradation
under the MACPS counted from the direct entry
grade on the completion of 10, 20 and 30 years of
service respectively. Financial upgradation under the
Scheme will be admissible whenever a person has
spent 10 years continuously in same grade pay.
Evidently grant of 3rd financial upgradation under the
MACPS is admissible either on completion of 30
years of service from the date of joining of the post
in direct entry grade OR 10 years continuous regular
service from the previous i.e. second promotion/
upgradation . Unless any of these two conditions is
fulfilled, the employee cannot be granted financial
upgradation under MACP scheme.
The illustrations given in para 28 are for the
understanding of above stipulated position counted
in Board’s policy instructions dated 10.06.2009 and
demonstrates that these are independent segments to
be assessed independently for the purpose of
implementation of the scheme. A bare perusal para
28 (A) (ii) & (iii) itself demonstrates that 3rd financial
upgradation is admissible either on completion of
further 10 years service second financial
upgradation/ promotion or on completion 30 years of
service from the date of joining of post indirect
recruitment grade . Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board’s policy
instructions dated 10.06.2009 is erroneous and
therefore, not tenable. The Board’s instructions dated
16.12.2013 (Annexure- ) is not a new instruction /
clarification but merely reaffirmation of the
instructions already contained in para28(A)(ii) & (iii)
As already explained here in above and as such the
applicant’s case is absolutely misplaced. In fact the
case of the applicant related to erroneous grant of 3rd
MACP without becoming due for the same and such
needs to be rectified.
As the applicant has neither completed 30 years of
service from the date of joining of the post in direct
entry grade OR 10 years continuous regular service
from the previous i.e. second upgradation w.e.f.
01.09.2008, therefore, the applicant was not entitled
for 3rd financial upgradation. MACP scheme has
been introduced w.e.f. 01.09.2008 and therefore,
claim of any individual that he is eligible for the
MACP benefit prior to that date is illogical and
unreasonable.

There are no instructions in board’s letter dated

10.06.2009 providing for grant of 3rd financial
upgradation on completion of 20 years service from
the 1st promotion overlooking the subsequent
development viz grant of 2nd financial upgradation/
promotions. Thus, the contention of the applicants is
not only misplaced but is in contravention of the
policy instructions.

Further, the statement that they was stagnated for 10

years in the same pay is incorrect, irrelevant and
without any basis because MACP scheme has been
launched w. e. f. 01.09.2008 and they have been
given second financial upgradation w. e. f.
01.09.2008.

Erroneous grant of 3rd financial upgradation to be

rectified and recovery of excess payment needed to
be done in the light of RB’s clarifications. Therefore,
the incorrectly granted 3rd financial upgradation
under MACPS has been withdrawn in terms of RB’s
clarification by following due procedure of scrutiny
and recommendation by MACP committee.

Railway Administration has issued orders for

withdrawal of 3rd MACP by following due
procedure i.e. latest instructions/ clarifications was
put up before screening committee and screening
committee has recommended for withdrawal of
benefits.
It is incorrectly mentioned by the applicant that after
recommendations of sixth pay commission scale
Rs.5000-8000 as well as Rs. 5500-9000 merged in
same grade pay and applicant allowed post of
Account Assistant by way of upgradation in the year
1987 and same is not countable towards benefits.
Factual position is that the applicant became Account
Assistant by promotion in terms of para 171 (5) of
IREM Vol.1 (Annexure R/2) ( Placed at CP- to CP- )
as per promotion order issued vide Annexure R/3 to
Annexure R/11 which is to be counted as first
financial upgradation. As regards to merger of
scales,it is stated that merged grades have been duly
taken into consideration as combined financial
upgradation by Railway Administration while
granting MACPS.
Recently Hon’ble CAT/Madras Bench, Madras in its
order dated 11.03.2015 in case of O.A. no.383/2013
& 384/2013 and Hon’ble CAT/Chandigarh Bench,
Chandigarh in its order dated 13.11.2014 in case
O.A.no 1673/PB/2013 has decided cases similar to
present O.A . Both the Hon’ble CATs in their
decisions have conducted that there is no merit in
respective OAs of the applicant and the same were
rejected .

Following details are submitted which are relevant to

the instant case :--
a)That provisions regarding recruitment and
promotions of Accounts Staff are contained in para
171 of IREM vol.1 and as per para 171 (5), the post
in the grade of Account Assistant in scale of
Rs.1400-2600 will be filled by promotion of Junior
Accounts Assistant in scale Rs.1200-2040 after they
have completed 3 years service in the grade and
passed Appendex-II examination . This is statury
position regarding appointment to AccountAssistants
grade which categorically stipulates that this is not
only promotion but also laid down the eligibility
criterion viz.3 year service in JAA grade for the said
promotion. It also establishes that JAA’s post
constitutes as feeder for promotion to AA’s post.
Further, on appointment to AA grade from JAA
grade the employees are also allowed benefit of pay
fixation under FR 22 C as admissible in case of
promotion to the post having higher duties and
responsibilities.

b) The Board’s instructions No. PC-IV/86-imp/30,

dated 18-06-1987 and E(NG) 1-86/PM-9/8, dated 27-
08-87, while providing for introduction of higher
functional scale of Rs. 1400-2600 in Accounts cadre
to the extent of 80% of post of Clerk Grade – 1/Rs.
1200-2040 (including existing Sub-Heads) also laid
down that staff in Grade Rs. 1200-2040 will be
eligible for promotion to the higher grade after
minimum 3 years service in Rs. 1200-2040 provide
he have passed Appendix-II A examination. In this
regard, it is stated that Hon’ble Supreme Court in the
matter of P.R. Subramaniyam (SCC1978Vol. I page
158) has held that the order issued by the Railway
Board for general application to Non-Gazetted
Railway Servant is treated as rules, having force of
provision to Article 309 of the Constitution of India.
Evidently, the aforementioned order dated 18-06-87
and 27-08-87 prescribing for introduction of higher
functional grade and condition for promotion to that
higher functional grade carries statutory force.

c) That in terms of clarification issued against S.No.

31 of Board’s letter dated 19-02-2002 regarding ACP
scheme, when only a part of the post is placed in a
higher scale and rest is retained in existing grade
thereby involving re-distribution of post, then it
involves creations of another grade in the hierarchy
requiring framing of separate recruitment rule for the
upgraded post. Placement of existing incumbent to
the extent of upgradation involve in the upgraded
post shall also be treated as promotion/upgradation
and offset against entitlement under the ACP
Scheme. Evidently, the case of Accounts staff stands
squarely covered with aforementioned instructions
and, therefore, their promotion/upgradation to the
post of AA from JAA is to be taken into account for
the purpose of ACP Scheme and the notion that only
promotion has to reckoned for the purpose of ACP
Scheme and that upgradation is not to be reckoned
for the purpose of ACP Scheme is correct.

d) That the ACP/MACP Schemes provides for grant

of financial upgradation to the employee subject to
the fulfillment of terms and conditions prescribed for
the respective Schemes. Therefore, as per principle of
equity any upgradation granted otherwise is requires
to be taken into account for the purpose of grant of
financial upgradation under the ACP/MACP Scheme.
In repect of many other categories, DOP&T, the
nodal department of Govt. on ACP/MACP Scheme ,
has clarified that every financial upgradation to be
counted as upgradation and off set against the

SUBJECT IN BRIEF:
Arbitrary, illegal and unjustified action of
respondents in connection with cancellation of
benefits of Second & third financial
upgradation under MACP Scheme and further
action also against the provisions of Article 14,
16 and 21 of the Constitution of India and
orders issued by Railway Board from time to
time.
2. JURISDICTION: -
The applicants declare that the subject matter
of this Original Application is within the
jurisdiction of this Hon'ble Tribunal.
3. LIMITATION: -
The applicants declare that the applications of
the humble applicants are within the limitation
period as prescribed in section 21 of the
Administrative Tribunals Act, 1985.
4. FACTS OF THE CASE: -
The original application of humble applicants is
most respectfully showeth as under: -
4.(i) That so for relevant to this application, the
applicant is substantive employee of the
respondent Railway and appointed as Junior
Accounts Assistant on 10/07/1987 and
thereafter became Accounts Assistant in the
scale Rs. 1200- 2040 and on restructuring
allowed scale Rs. 1400- 2600 and further
applicant allowed post of Stock verifier (SV)
by way of alternate promotion on option in the
same scale Rs.5000-8000 by placing him on
panel vide orders dated 07/11/2000,27/11/200
and 05/12/2000 and since than applicant
working on the post of Stock Verifier (SV)
without any further promotion. So the
applicants remained in one pay scale since
more than twenty years. Copies of orders dated
financial upgradation under the MACPS.
e)From the factual position brought out in para a)- b)
above it is evident that :--
(i) In term of statutory provisions the appointment
from Junior Account Assistant (JAA) post to
Account Assistant (AA) post is promotion .
(ii) That as per the extent instruction regarding
ACP/MACP Scheme it is not only promorion but
upgradation as well are to be taken into account for
the purpose these Schemes.
From the position brought out herein above the
claim of the applicant is benefit of any mert and
therefore legally not tenable.
To be replied by Railway Advocate.
To be replied by Railway Advocate.
To be replied by Railway Advocate.
The applicant is substantive employee of Railway and
appointed as Junior Accounts Assistant on 10/07/1987
and there after became Accounts Assistant by
promotion in terms of Para 171(5) of IREM Vol. I as
(Annexure ---------- 0(placed at CP-14 to 15).as per
promotion orders issued vide Annexures 2 to 3. The
post in the grade of Account Assistant in scale of
Rs.1400-2600 is filled by promotion of Junior
Account Assistant in scale of Rs.1200-2040 after he
has completed 3 years service in the grade and passed
Appendix-II examination. This is statutory position
regarding appointment to Account Assistant's grade
which categorically stipulates that this is not only
promotion but also laid down the eligibility criterion
viz. 3 years service in JAA grade for the said
promotion. Further, on appointment to AA grade from
07/11/2000, 27/11/2000 & 05/12/2000 are
annexed herewith and marked annexed as
ANNEXURE-A/2,A/3 & A/4 respectively. It
is further submitted that in order dated
27/11/2000 at Annexure-A/3 it has been
mentioned that pay may be fixed as per extent
rules and the option may be obtained for
fixation of pay, but respondents no. where
obtained option and fix the pay of the applicant
in the same scale without any benefits by
allowing due increments. So in view of this
position, applicants allowed to the post of
Stock Verifier without any benefits and further
pay of the applicant fixed in the pay band
Rs.9300-34800 with grade pay
Rs.4200w.e.f.01/01/2006on the
recommendations of sixth pay commission.
JAA grade, the employee is also allowed benefit of
pay fixation under FR 22 C as admissible in case of
promotion to the post having higher duties and
responsibilities. He has never became Accounts
Assistant in the scale Rs 1200-2040 but became
Accounts Assistant in scale 1400-2600 on promotion
as per promotion order issued vide Annexure ……..
Hence, the applicant has availed one promotion at the
time of becoming Accounts Assistant from junior
Accounts Assistant.
Recently, Hon’ble CAT/Mdras Bench, Madras in its
order dated 11.03.2015 in case of OA No. 383/2013 &
384/2013 and Hon’ble CAT/Chandigarh in its order
dated 13011.2014 in case of OA No. 1673/PB/2013
has decided cases similar to present OA. Both the
Hon’ble CAT’s in their decisions have concluded that
there is no merit in respective OAs of the applicants
and the same was rejected.
Following details are submitted which are relevant to
the instant case:-
a)That provisions regarding recruitment and
promotions of Accounts Staff are contained in para
171 of IREM Vol. I and as para 171(5), the post in the
grade of Accounts Assistant in scale of Rs. 1400-2600
will be filled by promotion junior Accounts Assistant
in scale of Rs. 1200-2040 after he has completed 3
years service in the grade and passed Appendix-II
examination. This is statutory position regarding
appointment to Accounts Assistant’s grade which
categorically stipulates that this is not only promotion
but also laid down the eligibility criterion viz. 3 years
service in JAA grade for the said promotion. It also
establishes that JAA’s post constitutes as feeder for
promotion to AA’s post. Further, on appointment to
AA grade from JAA grade the employee is also
allowed benefit of pay fixation under FR 22 C as
admissible in case of promotion to the post having
higher duties and responsibilities.
b) The Board’s instructions No. PC-IV/86-Imp/30,
dated 18-06-1987 and E(NG) 1-86/PM-9/8, dated 27-
08-87, while providing for introduction of higher
functional scale of Rs. 1400-2600 in Accounts Cadre
to the extent of 80% of the post of Clerk grade – 1/Rs.
1200-2040 (including existing Sub Heads) also laid
down that staff in Grade Rs. 1200-2040 will be
eligible for promotion to the higher Grade after
minimum 3 years service in Rs. 1200-2040 provide he
has passed Appendix-II A examination. In this regard,
it is stated that Hon’ble Supreme Court in the matter
of P.R. Subramaniyam (SSC 1978 Vol.1 page 158)
has held that the order issued by the Railway Board
for general application to Non-Gazetted Railway
 Servant is treated as rules, having force of provision to
Article 309 of Constitution of India. Evidently, the
aforementioned orders dated 18-06-87 prescribing for
introduction of higher functional grade and condition
for promotion to that higher functional grade carries
statutory force.

c)From the factual position brought out in para a) – b)

above it is evident that:

(i)In term of statutory provisions the appointment

from Junior Assistants(AA) post is promotion.
(ii) That as per the extent instruction regarding
ACP/MACP Scheme it is not only promotion but
upgradation as well are to be taken into account for the
purpose these Scheme.

From the position brought out herein above the claim

of the applicant that he has remain one pay scale since
more than ten years is incorrect & devoid of any merit.

4.(ii) That after recommendations of sixth pay
commission, Government of India promulgated
Modified Assured Career Progression Scheme
(MACPS) for the
Central Government Civilian Employees for
Placement in higher scale after completion of
10, 20 & 30 years of service and respondent
department also adopted the same vide order
dated 10/06/2009 and taking into consideration
of the scheme, respondents placed the
applicants in grade pay Rs. 4600 showing
Second financial upgradation taking into
consideration of ten years in one scale since
from 1990 to 2000, from the effective date of
the scheme i.e. 01/09/2008 vide order date
25/03/2010 in which name of the applicant find
place at S.No.4 in which also provision has
been made for fixation of pay from the date of
upgradation or from the date of next increment
for which respondents no where allowed
benefits. Copies of orders dated 10/06/2009 &
25/03/2010 are annexed herewith and marked
as ANNEXURE- A/5, A/6 respectively. It is
submitted that respondent No.2 further clarified
vide letter dated 21/02/2011 that promotions
earned in the post carrying same Grade pay in
the promotional hieraechy as per Recruitment
Rules shall be counted for the purpose of
MACPS.Copy of letter dated 21/02/2011 is are
annexed herewith and marked as
ANNEXURE- A/7.
Instructions regarding MACP scheme providing
from financial upgradation has been issued vide
Board’s letter no. PC-V/2009/ACP/2 dated
10.06.2009 (RBE 101/2009). As per para ! of
Annexure to Board’s letter dated 10.06.2009, the
Scheme provides from three financial upgradations
under the MACPS, counted from the direct entry
grade on completion of 10, 20 and 30 years of
service respectively. Financial up gradations under
the scheme will be admissible whenever a person has
spent 10 years continuously in the same Grade pay.
Evidently grant of 3rd financial upgradation under the
MACP Scheme is admissible either on completion of
30 years of service from the date of joining of the
post in direct entry grade OR 10 years continuous
regular service from the previous i.e. 2nd
promotion/upgradation. Unless any of these two
conditions is fulfilled, the employee cannot be
granted financial upgradation under the MACP
Scheme. The 3rd MACP was erroneously granted by
assuming notional second financial upgradation after
first promotion which effectively lead to grant of
second financial upgradation ever before the date of
implementation of MACP Scheme i.e. before
01.09.2008. This anomaly has been indicated in
clarification given by RB in terms of RB’s letter
dated 16.12.2013 (Annexure A/ ) and hence,
thereafter, it was rectified by following proper
procedure.
4.(iii) That MACP Scheme provides that any
employee remained in same grade pay for 10
years, he is entitle for upgradation as
mentioned in para 1 of the scheme at
ANNEXURE- A/5 which read as follow-
There shall be three financial upgradation
under the MACPS, counted from the direct
entry grade on completion of 10,20,and 30
years of service respectively.Financial
upgradation under the Scheme will be
admissible whenever a person has spent
10years continuously in the same Grade pay.
For which Railway Board also issued order
dated 29/12/2011 and in pursuance to that
taking in to consideration of due date of third
financial upgradation as 2010, applicant
allowed third financial upgradation in the grade
pay Rs. 4800 w.e.f. 10/07/2010with due
fixation of pay vide order dated 21/03/2011.
Copy of order dated 29/12/2011 and
21/03/2011 are annexed herewith and marked
as ANNEXURE- A/8 & A/9 respectivly.
As per para 1 of the ennexure to this letter dated
10.06.2009 (Annexure R/1), the scheme provides for
three financial upgradation under the MACPS,
counted from the direct entry grade on the
completion of 10, 20 and 30 years of service
respectively. Financial upgradation under the scheme
will be admissible whenever a person has spent 10
years continuously in the same grade pay. Evidently
grant of third financial upgradation under the MACP
scheme is admissible either on completion of 30
years of service from the date of joining of the post
in direct entry grade OR 10 years continuous regular
service from the previous i. e. second
promotion/upgradation. Unless any of these two
conditions is fulfilled, the employee cannot be
granted financial upgradation under the MACP
scheme.
The illustrations given in para 28 are for the
understanding of the above stipulated position
contained in Board’s policy instructions dated
10.06.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation of the Scheme. A
bare perusal of para 28(A) (ii) & (iii) itself
demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial upgradation/promotion
or on completion of 30 years of service from the date
of joining of a post in direct recruitment grade.
Viewing this step by step demonstration in a
cumulative manner and deciphering any meaning
which is in contravention of the instructions
contained in Board’s policy instructions dated
10.06.2009 (Annexure R/1) is erroneous and
therefore, not tenable. The Board’s instructions dated
16.12.2013 (Annexure A/ ) is not a new
instruction/clarification but merely reaffirmation of
the instructions already contained in para 28(A) (ii)
& (iii) as already explained hereinabove and as such
the applicants case is absolutely misplaced. In fact
the case of the applicant relates to erroneous grant of
3rd MACP without becoming due for the same and as
such needs to be rectified.
That with the grant of 2nd financial
upgradation/promotion, the grade pay available to the
employee changes and he is no more in the same
grade pay and, therefore, can be considered for the
grant of 3rd financial upgradation either on
completion of 10 years regular continuous service
after grant 2nd financial upgradation/promotion OR
30 years continuous regular service from the date of
joining of a post in the direct entry grade on direct
recruitment basis, whichever is earlier. This position
has been explained in Board’s letter dated
29.12.2011 (Annexure A/ ). Further, MACP
Scheme has been introduced w.e.f. 01.09.2008 and
therefore, claim of any direct recruitment grade.
Viewing this step by step demonstration in a
cumulative manner and deciphering any meaning
which is in contravention of the instructions
contained in Board’s policy instructions dated
10.06.2009 is erroneous and therefore, not tenable.
The Board’s instructions dated 16.12.2013 is not a
new instruction/clarification but merely reaffirmation
of the instructions already contained in para 28(A)
(ii)&(iii) as already explained hereinabove and as
such the applicant case is absolutely misplaced. In
fact the case of the applicant relates to erroneous
grant of 3rd MACP without becoming due for the
same and as such needs to be rectified.

That on demands of federation, the matter has further

been exmined in consultation with DOP&T, the
nodal department on MACPS, and it has been
clarified by the nodal department also that 3rd MACP
is to be given based on either 10 years from 2nd
MACP/Promotion or 30 years of the overall service
(Annexure A/ ,A/ ).

With the grant of 2nd financial

upgradation/promotion, the grade Pay available to
the employee changes and he is no more in the same
Grade Pay and, therefore, can be considered for grant
of 3rd financial upgradation either on completion of
10 years regular continuous service after grant of 2nd
financial upgradation/promotion OR 30 years
continuous regular service from date of joining of a
post in the direct entry grade on direct recruitment
basis, whichever is earlier. This position has already
been explained in Board’s letter dated 29.12.2011.
Further, MACP Scheme has been introduced with
effect from 01-09-2009 and, therefore, claim of any
individual that he is eligible for the MACP benefit
prior to that he is eligible for the MACP benefit prior
to that date is illogical and unreasonable.

There are no instructions in Board’s letter dated

10.06.2009 providing for grant of 3rd financial
upgradation on completion of 20 years service from
the 1st promotion overlooking the subsequent
development viz grant of 2nd financial
upgradation/promotion. Thus, the contention of the
applicant is not only misplaced but is in
contravention of the individual that he is eligible for
the MACP benefit prior to that date is illogical and
unreasonable.

There are no instructions in Board’s letter dated

 10.06.2009 providing to grant of 3rd financial
upgradation on completion of 20 years service from
the 1st promotion overlooking the subsequent
development viz grant of 2nd financial
upgradation/promotion. Thus, the contention of the
applicant is not only misplaced but is in
contravention of the policy instructions.

The applicant has to be given 3rd financial

upgradation only after the 10 years from the date of
2nd financial upgradation in higher grade pay of Rs.
4600 granted w. e. f. 01.09.2008. Hence, the
applicant were not entitled for 3rd financial
upgradation in Rs. 4800 from 2010, 2011, 2012 &
2013 respectively.

4.(iv) That respondent No.3 vide letter dated

14/07/2014 directed the authorities to take
action as per Railway Board clarification dated
21/02/2011 at Annexure-A/7. Copy of letter
dated 14/07/2014 is annexed herewith and
marked as Annexure-A/10.

4.(v) That the applicant allowed fixation and to draw

pay & allowances in the pay band Rs.9300-
34800 with grade pay Rs.4600 & 4800,but
respondents No.3 without extending any change
of hearing issued order dated09/06/2015 by
which benefits allowed in the grade pay
Rs.4600 & 4800 have been cancelled/withdrawn
w.e.f. 01/09/2008 and 10/07/2010 and applicant
only allowed grade pay Rs.4600 w.e.f.
05/12/2010 being third financial upgradation in
pursuances to Railway Board dated 21/02/2011
atAnnexure-A/7 and by this action recovery is
going to be effected .Copy of order dated
09/06/2015 has already been annexed as
Annexure-A/1.

4.(vi) That the applicant after 1990 not allowed any

promotion and allowed post of Stock Verifier as
alternate promotion on option in the same scale
which is not countable towards the benefits of
the scheme and applicant rightly allowed grade
pay Rs.4600 on the basis of due date in the year
2000 and thereafter in 2010 and clarifications of
Railway Board against the scheme and in facts
cannot given effect respectively.So in view of
this position cancellation of benefits against
scheme and applicant rightly allowed benefits
due to stagnation for 20 years.
4.(vii) That similar controversy is pending before this
Hon’ble Tribunal in O.A. No.291/00521/2014
(Ashok Kumar Katta & others V/S Union of
 India and others) in which this Hon’ble Tribunal
stayed the recovery vide order dated 24/09/2014
Copy of letter dated 24/09/2014 is annexed
herewith and marked as ANNEXURE- A/11.

4.(viii) That MACP Scheme promulgated with the

object that employees those facing stagnation be
allowed benefits of the scheme and scheme is
similar to ACP Scheme and for allowing
upgradation 10,20 & 30 years of service is
required and respondents without any base
withdraw the benefits in the garb of clarification
dated 21/02/2011 and 29/12/2011(Annexure-A7
& A/8) and the same is against the provision of
scheme .Beside this all employees granted
upgradation w.e.f.01/09/2008 i.e. effective date
of MACP Scheme and as per respondents as
clarified no employee is entitle for further
upgradation upto 10 years, taking into
consideration of upgradation allowed . In view
of this position applicant rightly allowed
benefits and the same cannot be withdrawn.

4.(ix) That placement in same scale by pay of

promotion or otherwise cannot be counted
towards benefits of MACPS, as no benefits
were allowed at the relevant time and applicant
allowed post of Stock Verifier in the same scale
without any benefits and provisions of the
scheme as well as clarifications issued by the
respondents does not speak regarding old pay
scales and only clarified the position of grade
pay.
5. GROUNDS OF APPLICATION:
This application of the humble applicant
preferred on the following amongst other
grounds: -

5. A Because the action of the respondents in
connection with cancellation of benefits under
MACP Scheme is arbitrary, illegal and
unjustified and such action of the respondents is
liable to be quashed and set aside.
RB in letter dated 16.12.2013 advised that
N.W.Railway has incorrectly allowed 3rd financial
upgradation on completion of 20 years of service
from first promotion of the employee. In this context,
RB further advised that 3rd financial upgradation
under MACP scheme would be admissible either on
completion of 30 years of service from the date of
initial appointments or 10 years from the date of 2nd
financial upgradation/promotion whichever is earlier.
Further, RB stated that since the MACP scheme has
been implemented w. e. f. 01.09.2008. It is absolutely
erroneous to construe that any employee is eligible
for MACP benefits prior to that date. In the light of
RB’s instructions, the case was reviewed and 3rd
financial upgradation extended to applicant was
 cancelled, as the applicant has neither completed 30
years of service from the date of joining of the post
in direct entry grade OR 10 years continuous regular
service from the previous i. e. 2nd upgradation w. e. f.
01.09.2008, therefore, the applicant was not entitled
for 3rd financial upgradation.

In this connection, it is submitted that MACP scheme

was implemented by RB vide RB’s letter no.
RBE/2009 dated 10.06.2009. As per para 1 of the
annexure to this letter dated 10.06.2009, the scheme
provides for three financial upgradation under the
MACPS, counted from the direct entry grade on the
completion of 10, 20 and 30 years of service
respectively. Financial upgradation under the scheme
will be admissible whenever a person has spent 10
years continuously in the same grade pay. Evidently
grant of 3rd financial upgradation under the MACP
scheme is admissible either on completion of 30
years of service from the date of joining of the post
in direct entry grade OR 10 years continuous regular
service from the previous i. e. 2nd
promotion/upgradation. Unless any of these two
conditions is fulfilled, the employee cannot be
granted financial upgradation under the MACP
scheme.

As the applicant has neither completed 30 years of

service from the date of joining of the post in direct
entry grade OR 10 years continuous regular service
from the previous i. e. 2nd upgradation w. e. f.
01.09.2008, therefore, the applicant was not entiled
for 3rd MACP Scheme has been introduced w. e. f.
01.09.2008 and therefore, claim of any individual
that he is eligible for the MACP benefit prior to that
date is illogical and unreasonable.

There are no instructions in Board’s letter dated

10.06.2009 providing for grant of 3rd financial
upgradation on completion of 20 years service from
the 1st promotion overlooking the subsequent
development viz grant of 2nd finanacial
upgradation/promotions. Thus the contention of the
applicant is not only misplaced but in contravention
of the plicy instructions.

As per provision of MACPS, the applicant has not

completed of 30 years service from the date of initial
appointment or 10 years from the date of 2nd financial
upgradation w. e. f. 01.09.2008. hence, the applicant
was not entitled for 3rd financial upgradation.

5. B Because action of respondents against the

provisions of Article 14, 16, 21 and 39 (d) of Applicant has made a vague statement which is not
the Constitution of India, as other co-workers in supported by any specific case details. The statement
 Jaipur/Ajmer Division as well as in other
divisions are in receipt of pay & allowances and
only applicant denied. Thus action of
respondents against facts & circumstances and
such action of the respondents is liable to be
quashed and set aside.
5. C Because Railway Board vide order dated
29/12/2011 at Annexure- A/8 and further
clarification as regards to benefits after 10 years
of upgradation is against the provisions of
original scheme and the same has been issued
after granting benefits to the applicants and
cannot given effect retrospectively. Thus order
dated 29/12/2011 at Annexure- A/8 and further
clarifications are liable to be quashed and set
aside.
made made by applicant is incorrect because all
accounts department units of N. W. Railway have
already been advised (Annexure A/ ) for reviewing
and rectifying the similar cases of incorrect grant of
3rd financial upgradation under MACPS in the light
of clarification received by
It is incorrect mentioned that co-workers in Jaipur /
Ajmer Division as well as in other divisions are in
receipt of pay & allowances and only applicant
denied. All unit incharges of Accounts Department
have reviewed all such cases of MACPs granted
accordingly and remedial actions have been taken.
Copies of orders are annexed herewith as
Annexure....... (CP-85 to 92).
Vide Railway Board’s letter no. PC- V/2009/ACP/2
dated 29.12.2011, it is further clarified that para-1 of
Annexure to Board’s letter dated 10-06-2009 (RBE
No.101/2009), wherein it is mentioned that the
MACP Scheme envisages three financial
upgradations counted from the direct entry grade on
completion of 10, 20 and 30 years of regular service
respectively. Financial upgradation under the scheme
is admissible wherever an employee spent 10 years
continuously in the same grade Pay. It is, thus,
evident that 1st financial upgradtion would be
admissible on completion of 10 years of regular
service from the date of actual joining of the post in
the entry grade, 2nd financial upgradation on
completion 20 years service from the date of initial
appointment or 10 years from the date of 1st
financial upgradation/promotion, whichever is earlier
and 3rd financial upgradation would be admissible
on completion of 30 years service from the date of
initial appointment or 10 years from the date of 2nd
financial upgradation/promotion, whichever is
earlier, if the employee has not earned three
promotions in thirty years span of regular service.
The illustrations given in para 28 are for the
understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation of the Scheme. A
bare perusal of para 28(A) (ii)&(iii) itself
demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and

5. D Because applicants allowed financial benefits of
upgradation as per scheme and as per orders
passed by the respondents because applicants
draw pay & allowances for more than 10 years
in one grade and scheme also provide benefits.
Thus action of the respondents cannot be said
just & proper and the same is liable to be
quashed and set aside.
5. E Because respondents without any base put the The applicant relates to erroneous grant of 3rd MACP
applicants in financial loss and snatch the without becoming due for the same as explained
benefits of financial upgradation inspite of fact above needs to be rectified.
that applicants is entitle for the benefits. Thus
action of respondents is against facts &
circumstances and same is liable to be quashed
and set aside.
5. F Because the applicant nowhere miss-represented
while granting benefits and cancellation also
without extending any chance of hearing and the
same is against the principles of natural justice.
So order passed for cancellation with the
recovery cannot be given effect as held by
Hon’ble Supreme Court in the case of state of
Punjab and others etc. V/S Rafic Masih (White
Washer) etc. decided on 18/12/2014.Thus such
action of the respondent is liable to be quashed
and set aside.
5. G Because the respondents nowhere considered
matter of the applicant as per original scheme
and also no where extended any chance of
hearing, which is not at all justified and against
the procedure. Thus such action of the
respondent is liable to be quashed and set aside.
5. H Because applicant allowed second MACP w.e.f. The applicant have to given 3rd financial upgradation
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
The applicant can be considered for grant of 3rd
financial upgradation either on completion of 10
years regular continuous service after grant of 2nd
financial up gradation/ promotion which is
01.09.2008 OR 30 years continuous regular service
from the date of joining of a post in the direct entry
grade on direct recruitment basis, whichever is
earlier. With the grant of 2nd financial upgradation/
promotion, 3rd financial upgradation under MACPs is
to be given only after the mandatory 10 years
residency from the 2nd MACP/Promotion. This
position has already been explained in Board's letter
dated 29.12.2011. Further, MACP Scheme has been
introduced with effect from 1-9-2008 and, therefore,
claim of any individual that he is eligible for the
MACP benefit prior to that date is illogical and
unreasonable.
The applicant had erroneously allowed 3rd MACPS
on completion of 20 years of service from the of 1st
promotion which needs to be rectified as explained in
Para 4(i) to 4(iv) above.
The applicant had erroneously allowed 3rd MACPS
on completion of 20 years of service from the of 1st
promotion which needs to be rectified as explained in
Para 4(i) to 4(iv) above.
 01/09/2008 i.e. about after 18 years of service
and provisions of the scheme provides
upgradation after 10, 20 & 30 years and also on
stagnation for 10 years and past services are to
be counted. So applicant rightly allowed
benefits being stagnated for more than 20 years
within the service period. Thus action of
respondents against the aim & object of the
scheme and such action of respondents with the
clarifications is liable to be quashed and set
aside.
5. I Because the applicant allowed benefits after due
procedure and after recommendations of
screening committee and these
recommendations cannot be undone without
procedure and respondent No. 3 cannot
cancelled the benefits being same authority and
also without reviewing the matters. Thus action
of respondent No. 3 is without competency and
against procedure and the same is liable to be
quashed and set aside with the Annexure- A/l.
5. J Because on the post of Stock Verifier being
alternate promotion on option and the same
scale in which no benefits extended and the
same cannot be counted as promotion. Thus
action of promotion against the facts &
circumstances and also not justified and the
same is liable to be quashed and set aside.
5. K Because the para-8 of the scheme at Annexure- To be replied by Railway Advocate.
A/5 also against the aim & object of the scheme
and same cannot be made applicable in the
cases where no benefits of have been allowed
while allowing promotion in same scale and
para 8 also applicable in the cases of grade pay
not in the cases of earlier scale available prior to
as explained in Para (1) above. The case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due and as such the same needs to
be rectified.
Railway Administration has issued orders for
withdrawl of 3rd MACP by following due
procedure i.e. latest instructions was put up before
screening committee and screening committee has
recommended for withdrawal of benefits. This fact
has been endorsed in cancellation orders.
The applicant is substantive employee of Railway and
appointed as Junior Accounts Assistant 10/07/1987
and thereafter became Accounts Assistant by
promotion in terms of Para 171(5) of IREM Vol. I as
per promotion orders issued vide Annexures 1 to 8.
The post in the grade of Account Assistant in scale of
Rs.1400-2600 is filled by promotion of Junior
Account Assistant in scale of Rs.1200-2040 after they
have completed 3 years service in the grade and
passed Appendix-II examination. This is statutory
position regarding appointment to Account Assistant's
grade which categorically stipulates that this is not
only promotion but also laid down the eligibility
criterion viz. 3 years service in JAA grade for the said
promotion. Further, on appointment to AA grade from
JAA grade the employees are also allowed benefit of
pay fixation under FR 22 C as admissible in case of
promotion to the post having higher duties and
responsibilities. They have never became Accounts
Assistant in the scale Rs 1200-2040 as there were no
instructions from Railway Board for allowing
restructure in scale 1400-2600 to the applicants.
Hence, the applicants have availed one promotion.
 01/01/2006. Thus para 8 of the scheme is liable
to be struck down and the same is not
sustainable in the eyes of law.

5. L Because this application is sustainable on so

many other legal grounds which the applicant
craves leave to urge at the time of admission /
hearing of application.
6. DETAILS OF REMEDIES EXHAUSTED: - To be replied by Railway Advocate.
The applicants declare that he has availed of the
all the remedies available to him under the
relevant service rules etc. The applicant does
not have any other equally efficacious, speedy
and adequate remedy except to invoke the extra-
ordinary jurisdiction of this Hon’ble Tribunal.
7. MATTERS NOT PREVIOUSLY FILED OR
PENDING BEFORE ANY OTHER COURT:
-
The applicants declare that he has not To be replied by Railway Advocate.
previously filed any application, writ petition or
suit regarding the matter
in respect of which this Application is made
before Any other court or authority or any other
bench of the tribunal and nor
any such application, writ petition or suit is
pending before any of them.

8. RELIEFS SOUGHT: -
In view of the facts and grounds mentioned in
para 4 and 5, above the applicants pray for the
following relief: -

8. (i) That the respondents may be directed to hold The applicant is not entitled for allowing 3rd as
good benefits of financial upgradation allowed explained in para 4.1 to 4.4 above and as such the
vide orders dated 25/03/2010, 21/03/2011 same needs to be rectified.
(Annexure- A/6 & A/9) by quashing order dated
09/06/2015 (Annexure- A/1) with the revised
pay fixation with all consequential benefits.

8. (ii) That para-8 of the scheme dated 10/06/2009
(Annexure-A/5), be declared ultra-virus against
provisions treating promotion in the same grade
pay with the clarification dated 21/02/2011 &
29/12/2011 (Annexure-A/7 & A/8) with the
further clarifications be quashed and set aside,
as the same against the provisions as well as aim
& object of the MACP Scheme at Annexure-
A/5 with all consequential benefits.
Vide Railway Board’s letter no. PC- V/2009/ACP/2
dated 29.12.2011, it is further clarified that para-1 of
Annexure to Board’s letter dated 10-06-2009 (RBE
No.101/2009), wherein it is mentioned that the
MACP Scheme envisages three financial
upgradations counted from the direct entry grade on
completion of 10, 20 and 30 years of regular service
respectively. Financial upgradation under the scheme
is admissible wherever an employee spent 10 years
continuously in the same grade Pay. It is, thus,
evident that 1st financial upgradtion would be
admissible on completion of 10 years of regular
service from the date of actual joining of the post in
the entry grade, 2nd financial upgradation on
completion 20 years service from the date of initial
appointment or 10 years from the date of 1st

8. (iii) That the respondents be further not to recover
any amount from the applicants in pursuance to
order dated 09/06/2015 (Annexure- A/1) and to
allow pay & allowances as drawn by the
applicants in the month of May 2015 with all
consequential benefits.
8. (iv) Any other order, direction or relief may be To be replied by Railway Advocate.
passed in favour of the applicant, which may be
deemed fit, just and proper under the facts and
circumstances of the case.
8. (v) That the costs of this application may be To be replied by Railway Advocate.
awarded .
9. INTERIM ORDER IF PRAYED FOR:
Pending the finalisation of this application,
the applicants seeks issue of the following No remarks please.
interim relief:
The respondents may be restrained from
financial upgradation/promotion, whichever is earlier
and 3rd financial upgradation would be admissible
on completion of 30 years service from the date of
initial appointment or 10 years from the date of 2nd
financial upgradation/promotion, whichever is
earlier, if the employee has not earned three
promotions in thirty years span of regular service.
The illustrations given in para 28 are for the
understanding of the above stipulated position
contained in Board's policy instructions dated
10.6.2009 and demonstrates that these are
independent segments to be assessed independently
for the purpose of implementation
of the Scheme. A bare perusal of para 28(A) (ii)&(iii)
itself demonstrates that third financial upgradation is
admissible either on completion of further 10 years
service from second financial up
gradation/promotion or on completion of 30 years of
service from the date of joining of a post in direct
recruitment grade. Viewing this step by step
demonstration in a cumulative manner and
deciphering any meaning which is in contravention
of the instructions contained in Board's policy
instructions dated 10.6.2009 is erroneous and
therefore, not tenable. The Board's instructions dated
16-12-2013 is not a new instruction/clarification but
merely reaffirmation of the instructions already
contained in para 28(A) (ii) & (iii) as already
explained hereinabove and as such the applicants'
case is absolutely misplaced. In fact the case of the
applicant relates to erroneous grant of 3rd MACP
without becoming due for the same and as such
needs to be rectified.
The applicant has been granted 3rd MACP
erroneously without becoming due for the same
which is needs to be rectified. Accordingly recovery
of excess amount paid, needs to be recovered.
 further action initiated vide order dated
09/06/2015 (Annexure- A/1) by staying
operation of the same with the recovery on
account of any excess payment as ordered.

GROUNDS FOR INTERIM RELIEFS

(i) Because the applicant have a prima facie No remarks please.
good case and there is every likelihood of the
same being allowed in his favour.

(ii) Because the applicants is entitle for higher No remarks please.

grade pay as per provisions of MACP Scheme
and further as per service and scale drawn by
him. He would suffer irreparable loss which
cannot be compensated in terms of money.

(iii) Because the balance of convenience is also No remarks please.

in favour of the applicant.
10. This application is being filed through their
counsel.

Submitted for perusal and approval please so that the same may be sent to Railway Advocate to
prepare draft reply for Railway Board’s approval please.

Sr SO/Adm

AFA/Adm

The applicant is substantive employee of Railway and appointed as Junior Accounts Assistant on
10.07.1987 and there after became Accounts Assistant by promotion in terms of para171(5) IREM
vol.I(Annexure R/2)(placed at CP- to ) as per promotion order issued vide Annexure R/3 to Annexure R/11
(placed a CP- to ). The post in the grade of Accounts Assistant in scale Rs. 1400-2600 is filled by
promotion of Junior Accounts Assistant in scale of Rs. 1200-2040 after he has completed 3 years service in the
grade and passed Appendix-II examination. This is statutory position regarding appointment to Accounts
Assistant grade which categorically stipulates that this is not only promotion but also laid down the eligibility
criterion viz. 3 years service in JAA grade for the said promotion. further, on appointment to AA grade from
JAA grade, the employee is also allowed benefit of pay fixation under Fr 22 C as admissible in case of
promotion to the post having higher duties and responsibilities. He has never became Accounts Assistant in the
scale Rs. 1200-2040 but became Accounts Assistant in scale Rs. 1400-2600 on promotion as per promotion
order issued vide Annexure R/3 to Annexure R/11. Hence, the applicant has availed on promotion at the time
of becoming Accounts Assistant from Junior Accounts Assistant.

The applicant was not allowed second financial upgradation under earlier ACP scheme because he had not
completed the required 24 years of service during ACP scheme & thus was not entitled for second financial
upgradation under earlier ACP scheme.

The applicant was not allowed second financial upgradation w.e.f. 01.09.2008 under MACP scheme.

Further, the applicant is not entitled for 3rd financial upgradation under MACP scheme as already explained in
detail in para 4(i) to 4(vii) above.

As the applicant has relied upon the order of Hon’ble CAT/Madras in the matter of V.Venkataraman (O.A.
No.-355/07), it is imperative to submit that the vital statutory and factual position which was crucial for
deciding that case was not placed before the Tribunal at the time of that case. These vital statutory and factual
position was subsequently submitted by the Railways in latest case of OA No. 383/2013 & 384/2013 in
Hon’ble CAT/Madras. The Hon’ble CAT/Madras while deciding these OAs has dismissed the plea of
applicant and has held in its order dated 11/03/2015 that promotion from held that the promotion that
promotion from JAA to AA cannot be ignored and this promotion is to be treated as a promotion to the
applicant. The relevant facts is reiterated as under:

a) That provisions regarding recruitment and promotion of Accounts staff is contained in para 171 of IREM
vol. 1 and as per para 171(5), the post in the grade of Accounts Assistant in scale Rs. 1400-2600 will be filled
by promotion of Junior Accounts Assistant in scale of Rs. 1200-2040 after he has completed 3 years service in
the grade and passed Appendix-II examination. This is statutory position regarding appointment to Accounts
Assistant grade which categorically stipulates that this is not only promotion but also laid down the eligibility
criterion viz. 3 years service in JAA grade for the said promotion. It also establishes that JAA’s post
constitutes as feeder for promotion to AA’s post. Further, on appointment to AA grade from JAA grade the
employee is also allowed benefit of pay fixation under FR 22 C as admissible in case of promotion to the post
having higher duties and responsibilities.

b) The Board’s instructions No. PC-IV/86-imp/30, dated 18-06-1987 and E(NG) 1- 86/PM-9/8, dated 27-08-
87, while providing for introduction of higher functional scale of Rs. 1400-2600 in Accounts Cadre to the
extent of 80% of post of Clerk Grade-1/Rs. 1200-2040 (including existing Sub-Heads) also laid down that
Staff in Grade Rs. 1200-2040 will be eligible for promotion to the higher grade after minimum 3 years service
in Rs. 1200-2040 provide he has passed Appendix-II A examination. In this regard, it is stated that Hon’ble
Supreme Court in the matter of P.R. Subramaniyam (SCC 1978 Vol.1 page 158) has held that the order issued
by the Railway Board for general application to Non-Gazetted Railway Servant is treated as rules, having force
of provision to Article 309 of the Constitution of India. Evidently, the aforementioned order dated 18-06-87
and 27-08-87 prescribing for introduction of higher functional grade and condition for promotion to that higher
functional grade carries statutory force.