Andhra Bank vs B. Satyanarayana & Ors

The Supreme Court upheld the decision of the Andhra Pradesh High Court regarding the promotion policy of the appellant-Bank, emphasizing that the guidelines for promotions must comply with Section 19 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980. The Court clarified that while the regulations were not ultra vires, the failure to adhere to the procedural requirements rendered the promotion policy invalid. Consequently, the appeal was dismissed, affirming the High Court's ruling on the necessity of following statutory guidelines in promotion matters.