
HC Dismisses-Plea of J&K-Bank Chairman Seeking Reinstatement
HC Dismisses-Plea of J&K-Bank Chairman Seeking Reinstatement
Legal Verdict Upheld
The High Court, presided over by Chief Justice N. Kotiswar Singh and Justice M.A. Chowdhary, has dismissed the plea of former Chairman of Jammu & Kashmir Bank Ltd, Parvaiz Ahmad Nengroo, seeking to overturn the government’s decision to remove him from his position as Chairman cum-Chief Executive Officer (CEO) of the bank.This decision marks a crucial legal milestone in the ongoing dispute.
Contractual Appointment
The court’s judgment, presented in detail, reinforced the earlier writ court verdict, affirming the legality and tenability of Nengroo’s removal by the government. The court emphasized that Nengroo’s appointment as Director and Chairman-CEO of the bank was contractual in nature, not governed by any statute or typical service conditions applicable to bank employees.
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Writ Not Maintainable
The Division Bench concluded that the Single Judge had meticulously evaluated the case within the bounds of the law. It affirmed that Nengroo’s appointment was contractual and therefore not subject to service law, making any writ challenging his removal as Government nominee Director, Chairman, or CEO of the J&K Bank non-maintainable.
Appeal Dismissed
The Division Bench firmly stated that Nengroo’s transition from a career-level post to a board-level post did not fall under the purview of writ jurisdiction, emphasizing that his appeal lacked grounds for interference with the impugned judgment. As a result, the appeal and all related applications were dismissed, and any interim directions were vacated.
A Civil Court Remedy
The court also made it clear that Nengroo’s remedy lay in the civil court if he wished to challenge the government’s decision to oust him from his position as Chairman cum-Chief Executive Officer of the bank. The court found that Nengroo had accepted the government’s decision, stating, “The appellant/petitioner has thus almost reconciled to what has been decided by the Government of J&K and the management of the J&K Bank.
“Service Conditions Unapplicable
Furthermore, the court firmly established that Nengroo’s tenure as Chairman & CEO was not governed by the service rules of the bank, as he was deemed to have retired from the bank’s service on October 6, 2016. Therefore, any dispute related to this issue, including the challenge to the communication dated July 9, 2019, was deemed non-maintainable.
Perquisites and Benefits
In response to Nengroo’s plea for the release of perquisites and benefits due to him, the court noted that he was in the service of the bank until October 6, 2016. The court clarified that if he was eligible for pensionary benefits under the applicable rules, the bank authorities would consider his case and grant appropriate benefits.Parvaiz Ahmad Nengroo’s appointment as Chairman & CEO of Jammu & Kashmir Bank for a three-year term from October 6, 2016, was initially governed by terms and conditions outlined in an annexure to the RBI’s letter.
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