MUNDRIKA DUBEY vs STATE OF BIHAR .

The Supreme Court held that the compulsory retirement of the appellants under Rules 232 and 235 of the Bihar Rajya Shakari Bhumi Vikas Bank Samiti was justified due to the Bank's overstaffing and financial losses. The Court clarified that Rule 235 does not provide a source of power for compulsory retirement, which must be based on inefficiency as per Rule 232. However, the Court upheld the Bank's decision as a necessary measure for survival, affirming the lower court's dismissal of the writ petitions.