In Brief
Canara Bank sought relief from a High Court order directing compassionate appointment of the respondent, whose father died while employed by the Bank in 2001. The Supreme Court held that indigence is a fundamental requirement for compassionate appointment. Since the respondent's family received family pension (Rs. 4637.92 p.m.) and terminal benefits (Rs. 3.09 lakh), they were not in indigent circumstances warranting such appointment. The Court also found the High Court erred by not testing the respondent's suitability before directing appointment. Using Article 142 powers, the Court set aside the High Court orders and directed the Bank to pay Rs. 2.5 lakh lump sum to the respondent as final settlement, rather than appointing him to a post."
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