NASEER AHMAD KHAN and others vs PRESIDENT, UBL and others
This matter involves civil petitions for leave to appeal filed by employees of the United Bank Limited against judgments of the Federal Service Tribunal, which had dismissed their service-related grievances. The core legal question concerned the entitlement of these employees to pensionary benefits and the proper adjustment of loans following the termination of their services. Relying on the principle of consistency established in the precedent of Akram Zahoor v. Federation of Pakistan (2000 SCMR 1232), the Supreme Court observed that the controversy was identical to previously decided cases. Consequently, the Court converted the petitions into appeals and remanded the cases to the respondent-Bank for reconsideration. The Court held that loan adjustments must be made strictly according to the specific loan agreements executed between the petitioners and the Bank, and that pensionary benefits must be granted only to those entitled under the Service Rules in force at the time of service termination. The Court directed the appellants to file individual applications for redress, mandating the Bank to dispose of these claims within a specified timeframe, while preserving the right of aggrieved parties to approach the Service Tribunal thereafter.
- Are bank employees entitled to pensionary benefits upon termination of service regardless of the Service Rules in force at that time?
- Must loan adjustments between a bank and its employees be governed by the specific loan agreements executed between the parties?
- Can the Supreme Court remand cases to a respondent-bank for reconsideration of service grievances based on a rule of consistency with previous judgments?
' IRSHAD HASAN KHAN, C.J.---Through this common judgment we propose to dispose of the above two sets of Civil Petitions for Leave to Appeal arising respectively, out of consolidated judgments delivered by the Federal Service Tribunal (hereinafter referred to as the Tribunal) in Appeals Nos.1203-L of 1998, etc. On 1-6-2000 and Appeals Nos.961-L of 1998 etc. On 14-6-2000.
2. About 135 petitions filed by the employees of the United Bank Limited which were dismissed by the Tribunal following the' decision rendered by this Court reported as United Bank Limited through President v. Shahmim Ahmed Khan (PLD 1999 SC 990) and the cases were remanded to the respondent-Bank for disposal vide judgment of this Court in Akram Zahoor v. Federation of Pakistan (2000 SCM R 1232), in the following terms:--
(i) Adjustment of loans obtained by the petitioners herein from the respondent-bank shall be made strictly in accordance with the respective loan agreements executed between each of the petitioners and the respondent-bank.
(ii) The grant of pensionary benefits shall be available to those petitioners who are found entitled in accordance with the Service Rules of the respondent-bank in force at the time of termination of their services."
3. The controversy raised in these petitions is in pari materia with the controversy set at rest in Akram Zahoor (supra). Following the rule of consistency, the petitioners are also entitled to equal treatment.' When faced with this, Mr. Muhammad Akram Sheikh, learned Senior Advocate Supreme Court for the petitioners as well as Raja Muhammad Akram, learned Senior Advocate Supreme Court for the respondent-Bank agreed to the remand of the cases to the bank in the following terms:--
(i) Adjustment of loans obtained by the petitioners herein from the respondent-bank shall be made strictly in accordance with the respective loan agreements executed between each of the petitioners and the respondent-bank.
(ii) The grant of pensionary benefits shall be available to those petitioners who are found entitled in accordance with the Service Rules of the respondent-bank in force at the time of termination of their services."
4. Resultantly, we convert these petitions into appeals and while maintaining the orders of termination from service of the petitioners, remand the cans to the respondent-Bank for reconsideration to the extent indicated in the preceding paragraph. All the appellants herein shall file separate applications to the respondent-Bank for redress of their grievances in terms of the above settlement stating therein with particularity, the details of their respective claims against the bank within 60 days from today. The applications moved shall be disposed of by the Bank within 90 days from the expiry of the aforesaid period of receipt of the applications on merits and in accordance with law. If any one of the appellants feels aggrieved of the decision of the Bank to his extent, he shall be within his right to approach the appropriate Service Tribunal after exhausting the departmental remedy in that behalf. No costs.