Existing SC/ST quota benefits not lost even if caste later excluded from reservation list: Gujarat HC

The Gujarat High Court recently held that removing a caste from the scheduled castes or scheduled tribes (SC/ST) list cannot take away reservation benefits already earned by individuals belonging to that caste [Employees' Provident Fund Organisation & Ors. v. Ranjit Vasantlal Makwana].

A Division Bench of Justice NS Sanjay Gowda and Justice JL Odedra said the parliament may modify or exclude a caste from the SC/ST list under Article 341 of the Constitution. However, such changes can only operate prospectively and cannot divest individuals of rights that had already vested in them.

“The exclusion of a caste from the list of scheduled castes can only be prospective and the benefits that had accrued on a person who had been born into the caste when it was included in the list of scheduled castes would continue to adhere to him during his life time,” the Court noted.

Pertinently, the Court held that the relevant criteria for deciding whether a person would get the benefit of reservation is to ascertain whether the person was born into the concerned caste at a time when it was recognised as a scheduled caste.

Such a person will not lose the scheduled caste status midway even if the parliament excludes the caste from the SC list later.

"Persons born into a scheduled caste, when it had been specified as scheduled caste or a person who had taken the benefit of reservation because his caste had been specified as a scheduled caste at that point in time, will be entitled to all the benefits of reservation during his entire lifetime and would not loose it midway. Consequentially, any person who is born into a caste which was not specified as a scheduled case at the time of his birth (even though his caste was previously specified as scheduled caste) will not be entitled to any benefit of reservation," the Court held.

This is fundamentally because a caste is thrust upon a person at the time of his birth and would continue till his death and as a consequence any person who is born into a caste, which at that time was specified as a scheduled caste, will have to be considered as a person belonging to a scheduled caste till his death, the Court explained.

The case arose from a dispute over the promotion of an employee of Employees’ Provident Fund Organisation (EPFO), one Ranjit Vasantlal Makwana.

Makwana, who belongs to the Mochi community, joined the EPFO as a lower division clerk in 1995 under the scheduled caste quota. At the time, all Mochis in Gujarat were recognised as scheduled castes under the Constitution (Scheduled Castes and Scheduled Tribes Orders) (Amendment) Act, 1976.

The parliament amended the scheduled castes list in 2002 and restricted scheduled caste status for Mochi community to persons from Dang district and Umbergaon taluka of Valsad district.

Makwana was promoted as an enforcement officer/ accounts officer in 2003. Nearly nine years later, the EPFO reverted him to his substantive post, holding that he was no longer entitled to reservation benefits after the 2002 amendment.

Makwana challenged the same before the Central Administrative Tribunal (CAT), which ruled in his favour and restored his promotion. The CAT held that the vacancy against which he had been promoted arose before the 2002 amendment.

Aggrieved by the CAT’s order, the EPFO approached the High Court.

Before the High Court, the EPFO argued that the relevant date was the date of promotion and not the date on which the vacancy arose. Since Makwana was promoted in 2003 after parliament had amended the scheduled castes list, he could no longer claim reservation benefits as a scheduled caste candidate, it was conteded.

On the other hand, Makwana argued that caste is acquired by birth and that the constitutional benefits flowing from scheduled caste status cannot be taken away midway through a person’s life merely because parliament later modifies the scheduled castes list. He also contended that once reservation benefits had lawfully accrued, they become vested rights that could not subsequently be taken away.

The High Court accepted Makwana’s contention.

It held that a person, who was born into a caste when it was recognised as a scheduled caste or who had lawfully availed reservation benefits while the caste enjoyed that status, would continue to enjoy those benefits throughout life.

“A person who is born into a caste acquires a vested right to gain the benefits of reservation because of the fact that his caste had been specified as a scheduled caste when he was born. Similarly, when a caste is specified as a scheduled caste, all the persons who belong to that caste at that point in time also acquire a vested right to be considered as a scheduled caste,” it noted.

The Bench, however, did not agree with the CAT's reasoning that the relevant date was when the promotional vacancy arose. It said that question became irrelevant once it held that Makwana continued to enjoy scheduled caste status throughout his service despite the 2002 amendment.

Further, it said the parliament undoubtedly has the power to include, modify or exclude castes from the scheduled castes list under Article 341. However, it held that this power cannot retrospectively extinguish rights that have already vested in individuals.

If not, it will effectively leave individuals, who had legitimately received constitutional protection, without that protection midway through life.

The Bench also clarified that persons born after exclusion of their caste by the parliament from the SC/ST list would not be entitled to reservation benefits flowing from that caste.

However, those who were born when the caste was recognised as a scheduled caste, or had already lawfully availed reservation benefits while it enjoyed that status, would continue to receive those benefits throughout their lifetime.

“The persons born into a scheduled caste, when it had been specified as Scheduled caste or a person who had taken the benefit of reservation because his caste had been specified as a Scheduled caste at that point in time, will be entitled to all the benefits of reservation during his entire lifetime and would not loose it midway,” it said.

Applying that principle, the High Court held that Makwana could not be stripped of the promotion he had earned while his community enjoyed scheduled caste status.

Therefore, it upheld the CAT’s order restoring his promotion and dismissed the EPFO’s writ petition.

[Read Judgement]