NATIONAL FERTILIZERS LTD. vs SOMVIR SINGH

The Supreme Court ruled that the appointments made by the Respondents in a public sector undertaking were invalid due to non-compliance with the Employment Exchange (Compulsory Notification of Vacancies) Act, 1959, and the internal Recruitment and Promotion Rules. The Court emphasized that recruitment on a contractual basis does not entitle an individual to regularization in service. The Court upheld the Appellant's decision to restrict recruitment in the Marketing Division, affirming that proper procedures must be followed for valid appointments, leading to the dismissal of the Respondents' claims.