In Brief
The Supreme Court reversed the High Court's decision granting pensionary benefits to former Government servants who were transferred to Dairy Federations. The Court held that once these employees were permanently absorbed in the Dairy Federations through selection process, their lien with the State Government was terminated under Rule 18(2) of the Rajasthan Service Rules, 1951. A person cannot hold substantive lien on two different posts simultaneously. As the respondents were explicitly informed in 1976 that their lien would last only two years or until confirmation in the new employer, and they worked, got promotions, and received retirement benefits from the Dairy Federations, they cannot later claim government pensionary benefits. The appeal was allowed.
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