HC orders issue of notices to Ministry, Chairman, Repco Bank

The Madras High Court today ordered issue of notices to the Union Home Secretary and the Chairman of Repco Bank, Chennai, on a petition challenging continuation of R Varadharajan as Managing Director and K Rajendran as Executive Director even after completing 60 years.
As per service conditions, an officer of the bank should retire on completion of 60 years, R Nagaraj, a shareholder of the bank, who filed the petition against their extension of service submitted.
The Fifth Pay Commission had completely banned extension of service beyond the age of superannuation for all government servants and autonomous bodies. But medical and scientific specialists were exempted from this, he submitted.

But contrary to rules, Varadarajan and Rajendran are continuing in office. "The two are acting against the interests of the bank to achieve their personal agendas with ulterior motive", he alleged.
They are continuing in the job without any valid government order granting them any special exemption, he submitted.
Therefore, the Centre as well the bank Chairman ought not to have permitted the two to continue in office beyond 60 years.

He said that he has already sent representations to the Centre as well the Chairman of Repco Bnak asking them not to permit the two to continue in office in view of the Repco Bank regulations in 1994 and office memorandum issued in 1998. But so far, no action had been taken, he submitted.

Repco bank was registered as a cooperative society with jurisdiction over Tamil Nadu, Andhra Pradesh, Karnataka, Kerala and Puducherry with more than 51 shares held by the union government.
The Managing Director, the Executive Director and the Board of Directors are appointed by the Centre.
Justice K K Sasidharan ordered issue of notices to the Union Home Secretary and the Chairman of Repco Bank, Chennai, and directed to file a counter by April 20.