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Thursday, January 9, 2020

whether an appeal against an order of a single judge of a High Court deciding a case related to an Armed Forces personnel pending before the High Court is required to be transferred to the Armed Forces Tribunal or should be heard by the High Court and Whether the AFT is supervisory jurisdiction over the High Court ?

whether an appeal against an order of a single judge of a High Court deciding a case related to an Armed Forces personnel pending before the High Court is required to be transferred to the Armed Forces Tribunal or should be heard by the High Court and Whether the AFT is supervisory jurisdiction over the High Court ?

Section 34 of the Act reads as follows:­
“34.   Transfer   of   pending   cases.—(1)   Every   suit,   or  other proceeding pending before any court including a High Court or other authority immediately before the date of establishment of
the Tribunal under this Act, being a suit or proceeding the cause of action whereon it is based, is such that it would have been within the jurisdiction of the Tribunal, if it had arisen
after   such   establishment   within   the   jurisdiction   of   such Tribunal, stand transferred on that date to such Tribunal. 
(2) Where any suit, or other proceeding stands transferred from any court including a High Court or other authority to the Tribunal under sub­section (1),— 
(a)        the court or other authority shall, as soon as
may  be, after such transfer, forward the records of such
suit, or other proceeding to the Tribunal;
(b)       the Tribunal may, on receipt of such records,
proceed to deal with such suit, or other proceeding, so
far as may be, in the same manner as in the case of an
application made under subsection (2) of section 14,
from the stage which was reached before such transfer
or from any earlier stage or de novo as the Tribunal may
deem fit.”

 Section 14(1) of the Act quoted hereinabove clearly provides that the AFT will exercise powers of all courts except the Supreme
Court or High Court exercising jurisdiction under Article 226 and 227 of the Constitution of India.   Section 34 is very carefully worded.  It states that ‘every suit’, or ‘other proceedings’ pending
before any court including a High Court immediately before the establishment of the Tribunal shall stand transferred on that day to the Tribunal.  The Legislature has clearly not vested the AFT
with the power and jurisdiction of the High Court to be exercised under Article 226 of the Constitution.  We are not going into the question   as   to   whether   the   Tribunal   is   amenable   to   the supervisory jurisdiction of a High Court under Article 227 of the Constitution but there can be no manner of doubt that the High Court can exercise its writ jurisdiction even in respect of orders
passed by the AFT.  True it is, that since an appeal lies to the Supreme Court against an order of the AFT, the High Court may not exercise their extraordinary writ jurisdiction because there is
an   efficacious   alternative   remedy   available   but   that   does   not mean that the jurisdiction of the High Court is taken away.  In a given circumstance, the High Court may and can exercise its
extraordinary writ jurisdiction even against the orders of the High Court.  

The contention of the learned counsel for the appellant, if accepted, would strike at the very root of judicial independence and make the High Court subordinate to the AFT.  This can never
be   the   intention   of   the   Legislature.     The   High   Court   is   a Constitutional   Court   constituted   under   Article   214   of   the Constitution   and   are   courts   of   record   within   the   meaning   of Article 215.  It is obvious that the order of the High Court cannot be challenged before any other forum except the Supreme Court.
1
REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO.131/2020
(@ Special Leave Petition (Civil) No. 6999 of 2017)
BALKRISHNA RAM    …APPELLANT(S)
Versus
UNION OF INDIA AND ANR.        …RESPONDENT(S)
J U D G M E N T
Deepak Gupta, J.
Leave granted.
2. One of the issues raised in this appeal is whether an appeal
against an order of a single judge of a High Court deciding a case
related to an Armed Forces personnel pending before the High
Court is required to be transferred to the Armed Forces Tribunal
or should be heard by the High Court.
2
3. The Armed Forces Tribunal (AFT for short) was constituted
under the Armed Forces Tribunal Act, 2007 (hereinafter referred
to as the Act), enacted with the purpose of constituting an AFT to
adjudicate disputes and complaints of personnel belonging to the
Armed Forces.  Chapter III of the Act, deals with the jurisdiction,
power and authority of the Tribunal.   Section 14(1) of the Act
which is relevant reads as follows:­
“14. Jurisdiction, powers and authority in service matters.
—(1)     Save as otherwise expressly provided in this Act, the
Tribunal shall exercise, on and from the appointed day, all the
jurisdiction,   powers   and   authority,   exercisable   immediately
before that day by all courts (except the Supreme Court or a
High Court exercising jurisdiction under articles 226 and 227
of the Constitution) in relation to all service matters.”
4. Section   15   provides   that   the   Tribunal   shall   exercise
jurisdiction, power and authority in relation to an appeal against
any   order,   decision,   finding   or   sentence   passed   by   a   court
martial.
5. Section 34 of the Act reads as follows:­
“34.   Transfer   of   pending   cases.—(1)   Every   suit,   or  other
proceeding pending before any court including a High Court or
other authority immediately before the date of establishment of
the Tribunal under this Act, being a suit or proceeding the
cause of action whereon it is based, is such that it would have
been within the jurisdiction of the Tribunal, if it had arisen
after   such   establishment   within   the   jurisdiction   of   such
Tribunal, stand transferred on that date to such Tribunal. 
3
(2) Where any suit, or other proceeding stands transferred
from any court including a High Court or other authority to
the Tribunal under sub­section (1),— 
(a)        the court or other authority shall, as soon as
may  be, after such transfer, forward the records of such
suit, or other proceeding to the Tribunal;
(b)       the Tribunal may, on receipt of such records,
proceed to deal with such suit, or other proceeding, so
far as may be, in the same manner as in the case of an
application made under subsection (2) of section 14,
from the stage which was reached before such transfer
or from any earlier stage or de novo as the Tribunal may
deem fit.”
6. A Division Bench of the Allahabad High Court in Union of
India and others  vs.  Ram Baran1 held that the phrase ‘other
proceedings’ in Section 34 of the Act would include all appeals
including   Letters   Patent   Appeals   (hereinafter   referred   to   as
LPAs).  It was held that since the Tribunal is a substitute of the
High Court, the Tribunal could decide an appeal against the
order of a single judge which was required to be transferred to
the Tribunal.
7. We may point out that after the enactment of the Uttar
Pradesh High Court (Abolition of Letters Patent Appeals) Act,
1962 Letters Patents are no longer applicable to the High Court
of Allahabad.  However, Special Appeals are provided against the
judgment of a single judge to a Division Bench.  The High Court
1 Special Appeal Defective No. 445 of 2005
4
held that the term ‘other proceedings’ include all such intracourt appeals.
8. This view was doubted by another Division Bench of the
Allahabad High Court in  W Ex Sigman Nand Kishore Sahoo
vs.  Chief of Army Staff 2
.   Thereafter, the matter was referred
to   a   Full   Bench   in   the   said   case   and   the   Full   Bench   by   a
majority held as follows:­
“In view of the foregoing discussions, we are of the considered
opinion that the special appeal filed under Chapter VIII Rule 5
of the Allahabad High Court Rules, 1952 against the judgment
and order of the learned Single Judge pending adjudication
immediately   prior   to   the   constitution   of   the   Armed   Forces
Tribunal is not liable to be transferred to the Tribunal and the
decision rendered by the division Bench in Ram Baran (Supra)
does not lay down the correct law.”
9. Ms.   Preetika   Dwivedi,   learned   counsel   for   the   appellant
submits that the view of the Allahabad High Court is incorrect.
She contends that it has been held by this Court in a number of
decisions including  Union   of   India   And   Others vs. Major
General   Shri   Kant   Sharma   And   Another3
 that   the   AFT
exercises all the powers of the High Court.  She submits that it
virtually substitutes the High Court in so far as matters governed
by the Act are concerned, and as such an LPA or Special Appeal
2 2012 (1) ESC 386 (All); Special Appeal (Defective) No.610 of 2002
3 (2015) 6 SCC 773
5
against the judgment of a single judge is also required to be
transferred to the AFT.
10. We   are   not   at   all   in   agreement   with   this   submission.
Section 14(1) of the Act quoted hereinabove clearly provides that
the AFT will exercise powers of all courts except the Supreme
Court or High Court exercising jurisdiction under Article 226 and
227 of the Constitution of India.   Section 34 is very carefully
worded.  It states that ‘every suit’, or ‘other proceedings’ pending
before any court including a High Court immediately before the
establishment of the Tribunal shall stand transferred on that day
to the Tribunal.  The Legislature has clearly not vested the AFT
with the power and jurisdiction of the High Court to be exercised
under Article 226 of the Constitution.  We are not going into the
question   as   to   whether   the   Tribunal   is   amenable   to   the
supervisory jurisdiction of a High Court under Article 227 of the
Constitution but there can be no manner of doubt that the High
Court can exercise its writ jurisdiction even in respect of orders
passed by the AFT.  True it is, that since an appeal lies to the
Supreme Court against an order of the AFT, the High Court may
not exercise their extraordinary writ jurisdiction because there is
an   efficacious   alternative   remedy   available   but   that   does   not
6
mean that the jurisdiction of the High Court is taken away.  In a
given circumstance, the High Court may and can exercise its
extraordinary writ jurisdiction even against the orders of the High
Court.  
11. While holding so, we place reliance upon a judgment of a
Constitution Bench of this Court in  L. Chandra   Kumar   vs.
Union  of   India  &  Ors.
4
.   This court clearly held that judicial
review is a part of the basic structure of the Constitution and the
power   of   judicial   review   vested   in   the   High   Courts   and   the
Supreme Court cannot be taken away.  The relevant portion of
the judgment reads as follows:­
“78.     …An   analysis   of   the   manner   in   which   the
Framers   of   our   Constitution   incorporated   provisions
relating to the judiciary would indicate that they were
very greatly concerned with securing the independence of
the judiciary.  These attempts were directed at ensuring
that   the   judiciary   would   be   capable   of   effectively
discharging its wide powers of judicial review. While the
Constitution confers the power to strike down laws upon
the High Courts and the Supreme Court, it also contains
elaborate   provisions   dealing   with   the   tenure,   salaries,
allowances,   retirement   age   of   Judges   as   well   as   the
mechanism for selecting Judges to the superior courts.
The  inclusion  of  such  elaborate provisions  appears  to
have been occasioned by the belief that, armed by such
provisions, the superior courts would be insulated from
any executive or legislative attempts to interfere with the
making of their decisions. The Judges of the superior
courts have been entrusted with the task of upholding
the Constitution and to this end, have been conferred the
4 (1997) 3 SCC 261
7
power to interpret it. It is they who have to ensure that
the balance of power envisaged by the Constitution is
maintained and that the legislature and the executive do
not,   in   the   discharge   of   their   functions,   transgress
constitutional   limitations.   It   is   equally   their   duty   to
oversee that the judicial decisions rendered by those who
man the subordinate courts and tribunals do not fall foul
of   strict   standards   of   legal   correctness   and   judicial
independence.   The   constitutional   safeguards   which
ensure the independence of the Judges of the superior
judiciary,   are   not   available   to   the   Judges   of   the
subordinate   judiciary   or   to   those   who   man   tribunals
created by ordinary legislations. Consequently, Judges of
the   latter   category   can   never   be   considered   full   and
effective   substitutes   for   the   superior   judiciary   in
discharging the function of constitutional interpretation.
We, therefore, hold that the power of judicial review over
legislative action vested in the High Courts under Article
226   and   in   this   Court   under   Article   32   of   the
Constitution is an integral and essential feature of the
Constitution,   constituting   part   of   its   basic   structure.
Ordinarily, therefore, the power of High Courts and the
Supreme   Court   to   test   the   constitutional   validity   of
legislations can never be ousted or excluded.
79.  We also hold that the power vested in the High
Courts   to   exercise   judicial   superintendence   over   the
decisions   of   all   courts   and   tribunals   within   their
respective jurisdictions is also part of the basic structure
of the Constitution. This is because a situation where the
High Courts are divested of all other judicial functions
apart from that of constitutional interpretation, is equally
to be avoided.”
The aforesaid observations in L. Chandra Kumar (supra) leave
no manner of doubt that the power of judicial review vests with
the High Court even with regard to orders passed by the AFT and
this power is part of the basic structure of the Constitution.
12. In L. Chandra Kumar (supra) this Court while dealing with
the issue of exclusion of the power of judicial review held that
8
such power cannot be excluded by legislation or constitutional
amendment.   The   relevant   portion   of   the   judgment   reads   as
follows:­
“90. We may first address the issue of exclusion of the power
of judicial review of the High Courts. We have already held that
in respect of the power of judicial review, the jurisdiction of the
High   Courts   under   Articles   226/227   cannot   wholly   be
excluded. It has been contended before us that the Tribunals
should not be allowed to adjudicate upon matters where the
vires of legislations is questioned, and that they should restrict
themselves to handling matters where constitutional issues
are not raised. We cannot bring ourselves to agree to this
proposition as that may result in splitting up proceedings and
may cause avoidable delay. If such a view were to be adopted,
it would be open for litigants to raise constitutional issues,
many of which may be quite frivolous, to directly approach the
High Courts and thus subvert the jurisdiction of the Tribunals.
Moreover, even in these special branches of law, some areas do
involve   the   consideration   of   constitutional   questions   on   a
regular  basis;   for  instance,   in  service   law   matters,   a   large
majority of cases involve an interpretation of Articles 14, 15
and 16 of the Constitution. To hold that the Tribunals have no
power to handle matters involving constitutional issues would
not serve the purpose for which they were constituted. On the
other hand, to hold that all such decisions will be subject to
the jurisdiction of the High Courts under Articles 226/227 of
the Constitution before a Division Bench of the High Court
within  whose  territorial  jurisdiction the  Tribunal concerned
falls will serve two purposes. While saving the power of judicial
review of legislative action vested in the High Courts under
Articles   226/227   of   the   Constitution,   it   will   ensure   that
frivolous   claims   are   filtered   out   through   the   process   of
adjudication in the Tribunal. The High Court will also have the
benefit of a reasoned decision on merits which will be of use to
it in finally deciding the matter.
91.  It   has  also   been  contended   before   us   that  even   in
dealing with cases which are properly before the Tribunals, the
manner in which justice is dispensed by them leaves much to
be   desired.   Moreover,   the   remedy   provided   in   the   parent
statutes, by way of an appeal by special leave under Article
136 of the Constitution, is too costly and inaccessible for it to
be real and effective. Furthermore, the result of providing such
a remedy is that the docket of the Supreme Court is crowded
with decisions of Tribunals that are challenged on relatively
trivial grounds and it is forced to perform the role of a first
appellate court. We have already emphasised the necessity for
ensuring that the High Courts are able to exercise judicial
9
superintendence   over   the   decisions   of   the   Tribunals   under
Article 227 of the Constitution. In R.K. Jain case, after taking
note of these facts, it was suggested that the possibility of an
appeal from the Tribunal on questions of law to a Division
Bench of a High Court within whose territorial jurisdiction the
Tribunal falls, be pursued. It appears that no follow­up action
has been taken pursuant to the suggestion. Such a measure
would have improved matters considerably. Having regard to
both the aforestated contentions, we hold that all decisions of
Tribunals, whether created pursuant to Article 323­A or Article
323­B of the Constitution, will be subject to the High Court’s
writ jurisdiction under Articles 226/227 of the Constitution,
before   a   Division   Bench   of   the   High   Court   within   whose
territorial jurisdiction the particular Tribunal falls.
      xxx                              xxx                                xxx
93. Before moving on to other aspects, we may summarise
our   conclusions   on   the   jurisdictional   powers   of   these
Tribunals. The Tribunals are competent to hear matters where
the vires of statutory provisions are questioned. However, in
discharging this duty, they cannot act as substitutes for the
High Courts and the Supreme Court which have, under our
constitutional set­up, been specifically entrusted with such an
obligation. Their function in this respect is only supplementary
and   all   such   decisions   of   the   Tribunals   will   be   subject   to
scrutiny before a Division Bench of the respective High Courts.
The Tribunals will consequently also have the power to test the
vires   of   subordinate   legislations   and   rules.   However,   this
power   of   the   Tribunals   will   be   subject   to   one   important
exception.   The   Tribunals   shall   not   entertain   any   question
regarding the vires of their parent statutes following the settled
principle that a Tribunal which is a creature of an Act cannot
declare that very Act to be unconstitutional. In such cases
alone, the High Court concerned may be approached directly.
All other decisions of these Tribunals, rendered in cases that
they are specifically empowered to adjudicate upon by virtue of
their parent statutes, will also be subject to scrutiny before a
Division Bench of their respective High Courts. We may add
that the Tribunals will, however, continue to act as the only
courts of first instance in respect of the areas of law for which
they have been constituted. By this, we mean that it will not
be open for litigants to directly approach the High Courts even
in cases where they question the vires of statutory legislations
(except, as mentioned, where the legislation which creates the
particular   Tribunal   is   challenged)   by   overlooking   the
jurisdiction of the Tribunal concerned.
xxx                                  xxx                                      xxx
                 
10
99. In view of the reasoning adopted by us, we hold that
clause 2(d) of Article 323­A and clause 3(d) of Article 323­B, to
the extent they exclude the jurisdiction of the High Courts and
the  Supreme   Court  under  Articles  226/227  and  32   of   the
Constitution, are unconstitutional. Section 28 of the Act and
the “exclusion of jurisdiction” clauses in all other legislations
enacted under the aegis of Articles 323­A and 323­B would, to
the   same   extent,   be   unconstitutional.   The   jurisdiction
conferred upon the High Courts under Articles 226/227 and
upon the Supreme Court under Article 32 of the Constitution
is a part of the inviolable basic structure of our Constitution.
While   this   jurisdiction  cannot  be   ousted,   other  courts   and
Tribunals may perform a supplemental role in discharging the
powers   conferred   by   Articles   226/227   and   32   of   the
Constitution. The Tribunals created under Article 323­A and
Article   323­B   of   the   Constitution   are   possessed   of   the
competence   to   test   the   constitutional   validity   of   statutory
provisions   and   rules.   All   decisions   of   these   Tribunals   will,
however, be subject to scrutiny before a Division Bench of the
High Court within whose jurisdiction the Tribunal concerned
falls.   The   Tribunals   will,   nevertheless,   continue   to   act   like
courts of first instance in respect of the areas of law for which
they have been constituted. It will not, therefore, be open for
litigants to directly approach the High Courts even in cases
where they question the vires of statutory legislations (except
where the legislation which creates the particular Tribunal is
challenged)   by   overlooking   the   jurisdiction   of   the   Tribunal
concerned. Section 5(6) of the Act is valid and constitutional
and is to be interpreted in the manner we have indicated.”
13. Reliance placed by Ms. Dwivedi on the judgment of this
Court in  Major  General  Shri Kant  Sharma  (supra)  is entirely
misplaced.  The issue before this Court in this case was whether
the High Court was justified in entertaining writ petitions against
the orders of the AFT.   This is a judgment by two judges and
obviously it cannot overrule the judgment of the Constitution
Bench in L. Chandra Kumar (supra).  The Division Bench, after
referring   to   various   judgments   including   the   judgment   in  L.
11
Chandra Kumar (supra), summarised its findings in para 36 as
follows:­
“36.  The aforesaid decisions rendered by this Court
can be summarised as follows:
(i)  The   power  of  judicial  review   vested   in  the   High
Court   under   Article  226  is   one  of  the  basic   essential
features of the Constitution and any legislation including
the Armed Forces Tribunal Act, 2007 cannot override or
curtail jurisdiction of the High Court under Article 226 of
the Constitution of India
(ii) The jurisdiction of the High Court under Article
226 and this Court under Article 32 though cannot be
circumscribed by the provisions of any enactment, they
will certainly have due regard to the legislative intent
evidenced   by   the   provisions   of   the   Acts   and   would
exercise their jurisdiction consistent with the provisions
of the Act.
(iii)   When   a   statutory   forum   is   created   by   law   for
redressal   of   grievances,   a   writ   petition   should   not   be
entertained ignoring the statutory dispensation.
(iv) The High Court will not entertain a petition under
Article 226 of the Constitution if an effective alternative
remedy is available to the aggrieved person or the statute
under which the action complained of has been taken
itself contains a mechanism for redressal of grievance.”
What this Court held was that though the power of the High
Court under Article 226 of the Constitution is a basic essential
feature of the Constitution which cannot be taken away, the High
Court should not entertain a petition under Article 226 of the
Constitution if any other effective alternative remedy is available
to the aggrieved person or the statute, under which the action
complained   of   has   been   taken,   itself   contains   a   maxim   for
12
redressal of grievance.   We have our doubt, with regard to the
correctness of the directions (iii) & (iv) of the judgment, since in
our opinion it runs counter to the judgment rendered by the
Constitution Bench. 
14. It would be pertinent to add that the principle that the High
Court should not exercise its extraordinary writ jurisdiction when
an   efficacious   alternative   remedy   is   available,   is   a   rule   of
prudence and not a rule of law.  The writ courts normally refrain
from exercising their extraordinary power if the petitioner has an
alternative efficacious remedy.   The existence of such remedy
however does not mean that the jurisdiction of the High Court is
ousted.  At the same time, it is a well settled principle that such
jurisdiction should not be exercised when there is an alternative
remedy available5
.   The rule of alternative remedy is a rule of
discretion and not a rule of jurisdiction.   Merely because the
Court may not exercise its discretion, is not a ground to hold that
it has no jurisdiction.  There may be cases where the High Court
would be justified in exercising its writ jurisdiction because of
some glaring illegality committed by the AFT.   One must also
remember that the alternative remedy must be efficacious and in
5 Union of India vs. T.R. Varma AIR 1957 SC 882
13
case   of   a   Non­Commissioned   Officer   (NCO),   or   a   Junior
Commissioned Officer (JCO); to expect such a person to approach
the Supreme Court in every case may not be justified.   It is
extremely difficult and beyond the monetary reach of an ordinary
litigant to approach the Supreme Court.  Therefore, it will be for
the High Court to decide in the peculiar facts and circumstances
of each case whether it should exercise its extraordinary writ
jurisdiction   or   not.     There   cannot   be   a   blanket   ban   on   the
exercise of such jurisdiction because that would effectively mean
that the writ court is denuded of its jurisdiction to entertain such
writ petitions which is not the law laid down in  L.   Chandra
Kumar (supra).
15. Ms. Dwivedi, placed reliance on the observations made in
Major General Shri Kant Sharma  (supra) that, “jurisdiction of
the Tribunal constituted under the Armed Forces Tribunal Act is
in substitution of the jurisdiction of the civil court and the High
Court so far as it relates to suit relating to condition of service of
the persons”, subject to the provisions of the Act.  It is clear that
the intention of the court was not to hold that the tribunal is a
substitute of the High Court in so far as its writ jurisdiction is
14
concerned because that is specifically excluded under Section
14(1) of the Act.  We cannot read this one sentence out of context.
It is true that proceedings on the original side even in exercise of
writ jurisdiction are to be transferred to the tribunal for decision
by the AFT because the original jurisdiction now vests with the
AFT.  This however, does not mean that the AFT can exercise all
the powers of the High Court. 
16. In Rojer Mathew    vs.   South Indian Bank Ltd. & Ors.6
the Constitution Bench of this Court, of which one of us (Deepak
Gupta,   J.   was   a   member),   clearly   held   that   though   these
tribunals may be manned by retired judges of High Courts and
Supreme Court, including those established under Articles 323­A
and 323­B of the Constitution, they cannot seek equivalence with
the High Court or the Supreme Court.  The following observations
are relevant:­
“194.    Furthermore,   that   even   though   manned   by
retired judges of High Courts and the Supreme Court,
such Tribunals established under Article 323­A and 323­
B of the Constitution cannot seek equivalence with High
Court or the Supreme Court.   Once a judge of a High
Court or Supreme Court has retired and he / she no
longer   enjoys   the   Constitutional   status,   the   statutory
position occupied by him / her cannot be equated with
the   previous   position   as   a   High   Court   or   a   Supreme
Court   judge.     The   rank,   dignity   and   position   of
Constitutional judges is hence sui generis and arise not
6 2019 (15) SCALE 615
15
merely by their position in the Warrant of Precedence or
the salary and perquisites they draw, but as a result of
the   Constitutional   trust   accorded   in   them.
Indiscriminate   accordance   of   status   of   such
Constitutional   judges   on   Tribunal   members   and
presiding   officers   will   do   violence   to   the   very
Constitutional Scheme.”
17. The contention of the learned counsel for the appellant, if
accepted, would strike at the very root of judicial independence
and make the High Court subordinate to the AFT.  This can never
be   the   intention   of   the   Legislature.     The   High   Court   is   a
Constitutional   Court   constituted   under   Article   214   of   the
Constitution   and   are   courts   of   record   within   the   meaning   of
Article 215.  It is obvious that the order of the High Court cannot
be challenged before any other forum except the Supreme Court.
The provision of intra­court appeal whether by way of Letters
Patents   or   special   enactment   is   a   system   that   provides   for
correction of judgments within the High Courts where a judgment
rendered by a single judge may be subject to challenge before a
Division Bench.  This appeal to the Division Bench does not lie in
all cases and must be provided for either under the Letters Patent
or any other special enactment.  Even where such appeal lies the
appeal is heard by two or more judges of the High Court.   We
cannot envisage a situation where an appeal against the order of
16
a   sitting   judge   of   the   High   Court   is   heard   by   a   Tribunal
comprising of one retired judge and one retired Armed Forces
official.   Therefore, we reject the contention that an intra court
appeal from the judgment of a single judge of the High Court to a
Division   Bench   pending   in   the   High   Court   is   required   to   be
transferred under Section 34 of the Act.
18. As   far   as   the   merits   of   the   case   are   concerned,   the
undisputed fact is that the appellant could not clear the aptitude
test.     It  has   been  urged   that   even   if  he  could   not  clear   the
aptitude test, he should have been considered for appointment in
some other post before being discharged from service.  It is also
urged that in the order of discharge it is not indicated that the
case of the appellant was considered for such alternative service.
19. In our view, it is not necessary to indicate in the order of
discharge whether such consideration took place or not.   From
the records of the case, we find that before discharge, the name of
the appellant was considered for two categories but unfortunately
the appellant could not meet the height criteria for appointment
to either of the posts.  Thus, this clearly shows that his case was
considered   as   per   the   extant   policy   but   he   was   not   fit   for
appointment.  In this view of the matter, we find no merit in the
17
appeal, and hence it is dismissed.  Pending application(s) if any,
stand(s) disposed of.
………………………………….J.
(DEEPAK GUPTA)
………………………………….J.
(ANIRUDDHA BOSE)
New Delhi
January 09, 2020

Sec.148 of NI Act - Conditional Suspension of sentence on deposite of 25% of fine amount - non complainace - suspension of sentence is liable to be vacated.

Sec.148 of NI Act - Conditional Suspension of sentence on deposite of 25% of fine amount - non complainace - suspension of sentence is liable to be vacated.

When suspension of sentence by the trial court is granted on a condition, noncompliance of the condition has adverse effect on the continuance of suspension of sentence. The Court
which has suspended the sentence on a condition, after noticing non-compliance of the condition can
very well hold that the suspension of sentence stands vacated due to non-compliance. The order of the Additional Sessions Judge declaring that due to noncompliance of condition of deposit of 25% of the amount of compensation, suspension of sentence stands vacated is well within the jurisdiction of the Sessions Court and no error has been committed by the Additional Sessions Judge in passing the order dated 20.07.2019.
 It is for the Appellate Court who has granted suspension of sentence to take call on non-compliance
and take appropriate decision. What order is to be passed by the Appellate Court in such circumstances is for the Appellate Court to consider and decide.
However, non-compliance of the condition of suspension of sentence is sufficient to declare
suspension of sentence as having been vacated.
Insofar as the judgment of the Bombay High Court in Ajay Vinodchandra Shah (supra) which has been relied by the learned counsel for the appellant, it is sufficient to observe that the High Court did not have benefit of judgment of this Court dated 29.05.2019 in Surinder Singh Deswal’s case. The
judgment of the Bombay High Court was delivered on 14.03.2019 whereas judgment of this Court in
appellants’ case is dated 29.05.2019. In view of the law laid down by this Court in Surinder Singh
Deswal’s case decided on 29.05.2019, the judgment of Bombay High Court in Ajay Vinodchandra Shah’s case cannot be said to be a good law insofar as consequences of non-compliance of condition of suspension of sentence is concerned.

1
REPORTABLE
IN THE SUPREME COURT OF INDIA
CRIMINAL APPELLATE JURISDICTION
CRIMINAL APPEAL NOS.1936-1963 OF 2019
SURINDER SINGH DESWAL
@ COL. S.S. DESWAL & ORS. ... APPELLANTS
VERSUS
VIRENDER GANDHI & ANR. ... RESPONDENTS
J U D G M E N T
ASHOK BHUSHAN, J.
These appeals have been filed against a common
judgment of the Punjab and Haryana High Court dated
10.09.2019 dismissing 28 petitions filed by the
appellants under Section 482 of Cr.P.C.
2. Brief facts of the case giving rise to these
appeals are:
Appellant Nos. 1 and 2 are partners of appellant
No.3, M/s. Bhoomi Infrastructure Co., now known as
GLM Infratech Private Limited. Respondent No.1,
Virender Gandhi, who was also a partner of the Firm
retired with respect of which Memorandum of
Understanding dated 30.11.2013 was entered into. A
2
cheque No.665643 dated 31.03.2014 drawn on Canara
Bank amounting to Rs.45,84,915/- was issued by the
appellant to respondent No.1 against the part payment
of the retirement dues. Similarly, 63 other cheques
were issued by the appellants in favour of respondent
arising out of the same transaction. On 06.04.2015,
respondent No.1 deposited cheque No.665643 in his
Bank that is Karnataka Bank Ltd., Sector-11,
Panchkula. The cheque was dishonoured and returned
vide memo dated 07.04.2015 with the remarks “funds
insufficient”. Other 63 cheques were also
dishonoured.
3. Respondent No.1 sent the statutory demand notice
under Section 138 of the Negotiable Instruments Act,
1881 (hereinafter referred to as “NI Act”) on
06.05.2015. Complaints were filed by respondent No.1
against the appellants under Section 138 of the NI
Act before the Judicial Magistrate, Ist Class,
Panchkula. In all 28 complaints were filed. The
complaints were decided by Judicial Magistrate vide
his judgment dated 30.10.2018 holding the appellant
Nos.1 and 2 guilty for the offence punishable under
3
Section 138 of the NI Act, who were accordingly
convicted. By order dated 13.11.2018 the appellants
were sentenced to undergo imprisonment for a period
of two years and to pay jointly and severally an
amount equal to the amount involved in the present
case i.e. cheque amount plus 1% of this amount as
interest as well as litigation expenses.
4. The appeal was filed by the appellants against
the judgment dated 30.10.2018 and sentence dated
30.11.2018 in the Court of Sessions Judge, Panchkula.
In the appeal the appellants had filed an application
under Section 389 of Cr.P.C. for suspension of
sentence. The learned trial court has suspended the
sentence of the appellants by order dated 13.11.2018
for 30 days. The Appellate Court vide order dated
01.12.2018 entertained the appeal and suspended the
sentence during the pendency of the appeal, subject
to furnishing of bail bond and surety bond in the sum
of Rs.50,000/- with one surety in the like amount and
also subject to deposit of 25% of the amount of
compensation awarded by the learned trial court in
favour of the complainant. The appellants were
4
directed to deposit the amount within four weeks by
way of demand draft in the name of the Court.
5. The appellants were convicted in all 28 cases and
the total amount to be deposited under the order of
the Appellate Court was, in all cases,
Rs.9,40,24,999/-. The appellants preferred an
application seeking extension of time to deposit the
amount of 25% of the compensation amount. The learned
Sessions Judge allowed the application on 19.12.2018
granting time to deposit the amount till 28.01.2019.
The appellants filed an application under Section 482
Cr.P.C. seeking quashing of the part of the order
dated 01.12.2018 passed by the learned Additional
Sessions Judge, Panchkula, whereby the said Court has
imposed a condition to deposit 25% of the amount of
compensation while suspending the sentence.
6. The High Court vide its judgment dated 24.04.2019
dismissed the petition of the appellants under
Section 482 Cr.P.C. and other connected petitions.
The appellants preferred Special Leave
Petition(Criminal) Nos.4948-4975/2019 before this
5
Court against the judgment dated 24.04.2019 of the
Hight Court of Punjab and Haryana at Chandigarh.
7. This Court vide its judgment dated 29.05.2019
dismissed the criminal appeals arising out of the
SLPs(Criminal). Learned Additional Sessions Judge,
Panchkula in view of the non-compliance of the order
dated 20.07.2019 directed the appellants to surrender
in the trial court within four days. The appellants
were also not present when the case was taken by the
Additional Sessions Judge on 20.07.2019. Another
petition under Section 482 Cr.P.C. was filed by the
appellants challenging the order dated 20.07.2019
passed by the Additional Sessions Judge. The 28
petitions under Section 482 Cr.P.C. filed by the
appellants have been dismissed by the impugned
judgment of the Punjab and Haryana High Court dated
10.09.2019. Aggrieved by which judgment these appeals
have been filed by the appellants.
8. Shri Balbir Singh, learned senior counsel
appearing for the appellants questioning the order of
the Additional Sessions Judge dated 20.07.2019 and
judgment of the High Court submits that by mere non-
6
deposit of 25% of the amount of compensation as
directed on 01.12.2018 cannot result in vacation of
suspension of sentence. Learned counsel submits that
the direction to deposit 25% of the compensation as
directed by the trial court could not have been made
under Section 148 of the NI Act. Section 148 of the
NI Act having come into force on 01.09.2018 could not
have been relied by the Courts below. Since, the
complaint was filed in the year 2015 alleging offence
under Section 138 of the NI Act which was much before
the enforcement of Section 148 of the NI Act. He
further submits that non-deposit of 25% of the amount
of compensation could not lead to vacation of the
order suspending the sentence rather it was open to
the respondents to recover the said amount as per the
procedures prescribed under Section 421 Cr. P.C.
9. Learned counsel for the appellants submits that
this Court in Criminal Appeal No.1160 of 2019 (G.J.
Raja vs. Tejraj Surana) decided on 30.07.2019 has
held the provisions of Section 143A of NI Act to be
prospective only that is to apply with respect to
offence committed after insertion of Section 143A
7
w.e.f. 01.09.2018. He submits that both Sections 143A
and Section 148 inserted in NI Act by amendment Act
20 of 2018, hence Section 148 was not attracted in
the present case which was only prospective and could
have been utilised in offences which were committed
after 01.09.2018. He has also placed reliance on the
judgment of Bombay High Court in Ajay Vinodchandra
Shah vs. State of Maharashtra, (2019) 4 Mah LJ 705
and another judgment of Punjab and Haryana High Court
at Chandigarh dated 18.07.2019 in CRM-M-29187 of
2019(O&M)(Vivek Sahni and another vs. Kotak Mahindra
Bank Ltd.).
10. We have considered the submissions of learned
counsel for the parties and have perused the records.
11. The appellants had challenged the order dated
01.12.2018 passed by the Additional Sessions Judge,
Panchkula by which while entertaining the criminal
appeal of the appellants, Appellate Court has
suspended the substantive sentence of the appellants
subject to deposit 25% of the compensation awarded by
the trial court in favour of the complainant. The
8
petitions under Section 482 Cr.P.C. filed by the
appellants questioning the order dated 01.12,2019
were dismissed by the High Court vide its judgment
dated 24.04.2019 against which judgment the
appellants have also filed SLP(Criminal)Nos.4948-4975
of 2019) which were dismissed by this Court on
29.05.2019. All arguments raised by the appellants
questioning the order dated 01.12.2018 have been
elaborately dealt with by this Court and rejected.
The submissions regarding challenge to the order
dated 01.12.2018 of the learned Additional Sessions
Judge which have been addressed before us have been
considered by this Court and rejected. It is useful
to refer paragraph 8., 8.1 and 9 of the judgment of
this Court which are to the following effect:
“8. It is the case on behalf of the
Appellants that as the criminal complaints
against the Appellants Under Section 138 of
the N.I. Act were lodged/filed before the
amendment Act No. 20/2018 by which Section
148 of the N.I. Act came to be amended and
therefore amended Section 148 of the N.I.
Act shall not be made applicable. However,
it is required to be noted that at the time
when the appeals against the conviction of
the Appellants for the offence Under
Section 138 of the N.I. Act were preferred,
Amendment Act No. 20/2018 amending Section
148 of the N.I. Act came into force w.e.f.
9
1.9.2018. Even, at the time when the
Appellants submitted application/s Under
Section 389 of the Code of Criminal
Procedure to suspend the sentence pending
appeals challenging the conviction and
sentence, amended Section 148 of the N.I.
Act came into force and was brought on
statute w.e.f. 1.9.2018. Therefore,
considering the object and purpose of
amendment in Section 148 of the N.I. Act
and while suspending the sentence in
exercise of powers Under Section 389 of the
Code of Criminal Procedure, when the first
appellate court directed the Appellants to
deposit 25% of the amount of
fine/compensation as imposed by the learned
trial Court, the same can be said to be
absolutely in consonance with the Statement
of Objects and Reasons of amendment in
Section 148 of the N.I. Act.
8.1. Having observed and found that
because of the delay tactics of
unscrupulous drawers of dishonoured cheques
due to easy filing of appeals and obtaining
stay on proceedings, the object and purpose
of the enactment of Section 138 of the N.I.
Act was being frustrated, the Parliament
has thought it fit to amend Section 148 of
the N.I. Act, by which the first appellate
Court, in an appeal challenging the order
of conviction Under Section 138 of the N.I.
Act, is conferred with the power to direct
the convicted Accused - Appellant to
deposit such sum which shall be a minimum
of 20% of the fine or compensation awarded
by the trial Court. By the amendment in
Section 148 of the N.I. Act, it cannot be
said that any vested right of appeal of the
Accused - Appellant has been taken away
and/or affected. Therefore, submission on
behalf of the Appellants that amendment in
Section 148 of the N.I. Act shall not be
made applicable retrospectively and more
10
particularly with respect to
cases/complaints filed prior to 1.9.2018
shall not be applicable has no substance
and cannot be accepted, as by amendment in
Section 148 of the N.I. Act, no substantive
right of appeal has been taken away and/or
affected. Therefore the decisions of this
Court in the cases of Garikapatti Veeraya
(supra) and Videocon International Limited
(supra), relied upon by the learned senior
Counsel appearing on behalf of the
Appellants shall not be applicable to the
facts of the case on hand. Therefore,
considering the Statement of Objects and
Reasons of the amendment in Section 148 of
the N.I. Act stated hereinabove, on
purposive interpretation of Section 148 of
the N.I. Act as amended, we are of the
opinion that Section 148 of the N.I. Act as
amended, shall be applicable in respect of
the appeals against the order of conviction
and sentence for the offence Under Section
138 of the N.I. Act, even in a case where
the criminal complaints for the offence
Under Section 138 of the N.I. Act were
filed prior to amendment Act No. 20/2018
i.e., prior to 01.09.2018. If such a
purposive interpretation is not adopted, in
that case, the object and purpose of
amendment in Section 148 of the N.I. Act
would be frustrated. Therefore, as such, no
error has been committed by the learned
first appellate court directing the
Appellants to deposit 25% of the amount of
fine/compensation as imposed by the learned
trial Court considering Section 148 of the
N.I. Act, as amended.
9. Now so far as the submission on
behalf of the Appellants that even
considering the language used in Section
148 of the N.I. Act as amended, the
appellate Court "may" order the Appellant
to deposit such sum which shall be a
11
minimum of 20% of the fine or compensation
awarded by the trial Court and the word
used is not "shall" and therefore the
discretion is vested with the first
appellate court to direct the Appellant -
Accused to deposit such sum and the
appellate court has construed it as
mandatory, which according to the learned
Senior Advocate for the Appellants would be
contrary to the provisions of Section 148
of the N.I. Act as amended is concerned,
considering the amended Section 148 of the
N.I. Act as a whole to be read with the
Statement of Objects and Reasons of the
amending Section 148 of the N.I. Act,
though it is true that in amended Section
148 of the N.I. Act, the word used is
"may", it is generally to be construed as a
"rule" or "shall" and not to direct to
deposit by the appellate court is an
exception for which special reasons are to
be assigned. Therefore amended Section 148
of the N.I. Act confers power upon the
Appellate Court to pass an order pending
appeal to direct the Appellant-Accused to
deposit the sum which shall not be less
than 20% of the fine or compensation either
on an application filed by the original
complainant or even on the application
filed by the Appellant-Accused Under
Section 389 of the Code of Criminal
Procedure to suspend the sentence. The
aforesaid is required to be construed
considering the fact that as per the
amended Section 148 of the N.I. Act, a
minimum of 20% of the fine or compensation
awarded by the trial court is directed to
be deposited and that such amount is to be
deposited within a period of 60 days from
the date of the order, or within such
further period not exceeding 30 days as may
be directed by the appellate court for
sufficient cause shown by the Appellant.
Therefore, if amended Section 148 of the
12
N.I. Act is purposively interpreted in such
a manner it would serve the Objects and
Reasons of not only amendment in Section
148 of the N.I. Act, but also Section 138
of the N.I. Act. Negotiable Instruments Act
has been amended from time to time so as to
provide, inter alia, speedy disposal of
cases relating to the offence of the
dishonoured of cheques. So as to see that
due to delay tactics by the unscrupulous
drawers of the dishonoured cheques due to
easy filing of the appeals and obtaining
stay in the proceedings, an injustice was
caused to the payee of a dishonoured cheque
who has to spend considerable time and
resources in the court proceedings to
realise the value of the cheque and having
observed that such delay has compromised
the sanctity of the cheque transactions,
the Parliament has thought it fit to amend
Section 148 of the N.I. Act. Therefore,
such a purposive interpretation would be in
furtherance of the Objects and Reasons of
the amendment in Section 148 of the N.I.
Act and also Section 138 of the N.I. Act.”
12. This Court having already upheld the order of the
Appellate Court dated 01.12.2018 suspending the
sentence subject to deposit 25% of the amount of
compensation any submission questioning the order of
the Appellate Court directing the suspension of
sentence subject to deposit of 25% of the
compensation amount needs no further consideration.
By dismissal of the criminal appeals of the
13
appellants on 29.05.2019 by this Court the challenge
stands repelled and cannot be allowed to be reopened.
13. The second round of litigation which was
initiated by the appellant by filing application
under Section 482 Cr.P.C. was against the order dated
20.07.2019 passed by the Additional Sessions Judge,
Panchkula by which Additional Sessions Judge held
that the appellant having not complied with the
direction dated 01.12.2018 to deposit 25% of the
amount of compensation, the order of suspension of
sentence shall be deemed to have been vacated. The
order dated 20.07.2019 was an order passed by the
Additional Sessions Judge on account of failure of
the appellant to deposit 25% of the amount of
compensation. The suspension of sentence on
01.12.2018 was subject to the condition of deposit of
25% of the amount of compensation, when the condition
for suspension of sentence was not complied with,
learned Additional Sessions Judge was right in taking
the view that order of suspension of sentence shall
be deemed to have been vacated. Challenge to order
dated 20.07.2019 has rightly been repelled by the
14
High Court by its elaborate and well considered
judgment dated 10.09.2019.
14. Learned counsel for the appellant has placed
reliance on the judgment of this Court dated
30.07.2019 in Criminal Appeal No.1160 of 2019 (G.J.
Raja vs. Tejraj Surana). This Court in the above case
was considering provisions of Section 143A of the
N.I. Act which was inserted by the same Amendment Act
20 of 2018 by which Section 148 of the N.I. Act has
been inserted. This Court took the view that Section
143A is prospective in nature and confined to cases
where offences were committed after the introduction
of Section 143A i.e. after 01.09.2018. In paragraph
22 of the judgment following has been held:
“22. In our view, the applicability of
Section 143A of the Act must, therefore, be
held to be prospective in nature and
confined to cases where offences were
committed after the introduction of Section
143A, in order to force an accused to pay
such interim compensation.”
15. The judgment of this Court which was delivered in
the case of the present appellants i.e. Criminal
Appeal Nos.917-944 of 2019 (Surinder Singh Deswal @
Col. S.S. Deswal and others vs. Virender Gandhi) (in
15
which one of us M.R.Shah, J was also a member) was
also cited before the Bench deciding the case of G.J.
Raja. This Court in its judgment dated 29.05.2019 has
rejected the submission of the appellants that
Section 148 of N.I. Act shall not be made applicable
retrospectively. This Court held that considering the
Statement of Objects and Reasons of the amendment in
Section 148 of the N.I. Act, on purposive
interpretation of Section 148 of the N.I. Act as
amended, shall be applicable in respect of the
appeals against the order of conviction and sentence
for the offence under Section 138 of the N.I. Act,
even in a case where the criminal complaints for the
offence under Section 138 of the N.I. Act were filed
prior to amendment Act No.20/2018 i.e. prior to
01.09.2018.
16. The Bench deciding G.J. Raja’s case has noticed
the judgment of this Court in the appellants’ case
i.e. Surinder Singh Deswal’s case and has opined that
the decision of this Court in Surinder Singh Deswal’s
case was on Section 148 of the N.I. Act which is a
stage after conviction of the accused and
16
distinguishable from the stage in which the interim
compensation was awarded under Section 143A of the
N.I.Act. When the Bench deciding G.J. Raja’s
case(supra) itself has considered and distinguished
the judgment of this Court in appellants’ own case
i.e. Surinder Singh Deswal’s, reliance by the learned
counsel for the appellants on the judgment of this
Court in G.J. Raja’s case is misplaced. It is useful
to refer to paragraph 23 of the judgment in G.J.
Raja’s case which is to the following effect:
“23. We must, however, advert to a
decision of this Court in Surinder Singh
Deswal and Ors. v. Virender Gandhi (2019) 8
SCALE 445 where Section 148 of the Act
which was also introduced by the same
Amendment Act 20 of 2018 from 01.09.2018
was held by this Court to be retrospective
in operation. As against Section 143A of
the Act which applies at the trial stage
that is even before the pronouncement of
guilt or order of conviction, Section 148
of the Act applies at the appellate stage
where the Accused is already found guilty
of the offence Under Section 138 of the
Act. It may be stated that there is no
provision in Section 148 of the Act which
is similar to Sub-Section (5) of Section
143A of the Act. However, as a matter of
fact, no such provision akin to Sub-section
(5) of Section 143A was required as
Sections 421 and 357 of the Code, which
apply post-conviction, are adequate to take
care of such requirements. In that sense
said Section 148 depends upon the existing
17
machinery and principles already in
existence and does not create any fresh
disability of the nature similar to that
created by Section 143A of the Act.
Therefore, the decision of this Court in
Surinder Singh Deswal (2007) 13 SCC 492
stands on a different footing.”
In view of the above, the judgment of this Court in
the case of G.J. Raja does not help the appellants.
17. The judgment of Punjab and Haryana High Court in
Vivek Sahni and another(supra) which has been relied
by the learned counsel for the appellants has been
noted and elaborately considered by the High Court in
the impugned judgment. In paragraph 14 and 15 of the
impugned judgment of the High Court reasons have been
given for distinguishing the Vivek Sahni’ case.
18. The High Court is right in its opinion that
question No.2 as framed in Vivek Sahni’s case was not
correctly considered. When suspension of sentence by
the trial court is granted on a condition, noncompliance of the condition has adverse effect on the
continuance of suspension of sentence. The Court
which has suspended the sentence on a condition,
after noticing non-compliance of the condition can
18
very well hold that the suspension of sentence stands
vacated due to non-compliance. The order of the
Additional Sessions Judge declaring that due to noncompliance of condition of deposit of 25% of the
amount of compensation, suspension of sentence stands
vacated is well within the jurisdiction of the
Sessions Court and no error has been committed by the
Additional Sessions Judge in passing the order dated
20.07.2019.
19. It is for the Appellate Court who has granted
suspension of sentence to take call on non-compliance
and take appropriate decision. What order is to be
passed by the Appellate Court in such circumstances
is for the Appellate Court to consider and decide.
However, non-compliance of the condition of
suspension of sentence is sufficient to declare
suspension of sentence as having been vacated.
20. Insofar as the judgment of the Bombay High Court
in Ajay Vinodchandra Shah (supra) which has been
relied by the learned counsel for the appellant, it
is sufficient to observe that the High Court did not
have benefit of judgment of this Court dated
19
29.05.2019 in Surinder Singh Deswal’s case. The
judgment of the Bombay High Court was delivered on
14.03.2019 whereas judgment of this Court in
appellants’ case is dated 29.05.2019. In view of the
law laid down by this Court in Surinder Singh
Deswal’s case decided on 29.05.2019, the judgment of
Bombay High Court in Ajay Vinodchandra Shah’s case
cannot be said to be a good law insofar as
consequences of non-compliance of condition of
suspension of sentence is concerned.
21. It is further to note that even Bombay High Court
while modifying the direction to deposit 25% of the
amount of total compensation directed the accused to
deposit 20% of the amount of compensation within 90
days.
22. In view of the foregoing discussion, we do not
find any merit in the submission of the appellants.
The appeals are dismissed.
......................J.
 ( ASHOK BHUSHAN )
......................J.
 ( M.R. SHAH )
New Delhi,
January 08, 2020.

State can not take plea of adverse possession over the property of its subject = The State being a welfare State, cannot be permitted to take the plea of adverse possession,which allows a trespasser i.e. a person guilty of a tort, or even a crime, to gain legal title over such property for over 12 years. The State cannot be permitted to perfect its title over the land by invoking the doctrine of adverse possession to grab the property of its own citizens, as has been done in the present case. The Appellant now almost 80 years old, was undisputedly the owner of land admeasuring about 3.34 Hectares comprised in Khata/Khatuni No. 105 min/127, Khasra No. 70 in Tika Jalari Bhaddirain, Mauja Jalari, Tehsil Nadaun, Dist. Hamipur, Himachal Pradesh. - The Respondent–State took over the land of the Appellant in 1967–68 for the construction of a major District Road being the Nadaun – Sujanpur Road, a major District Road without taking recourse to acquisition proceedings, or following due process of law.The construction of the road was completed by 1975.-The Appellant, being an illiterate widow, coming from a rural background, was wholly unaware of her rights and entitlement in law, and did not file any proceedings for compensation of the land compulsorily taken over by the State.-The Appellant submits that she learnt of these proceedings in 2010, when she alongwith her two daughters filed C.W.P. No. 1736 of 2010 before the Himachal Pradesh High Court, praying that the State be directed to pay compensation for the land acquired in 1967–68; or, in the alternative, direct the State to initiate acquisition proceedings under the Land Acquisition Act, 1894.- The Respondent–State filed its reply before the High Court, wherein it was admitted that the Department had used land in the ownership of the Appellant for the construction of the Nadaun – Sujanpur road, a major district road in 1967–68. The State had been in continuous possession of the property since 1967–68, i.e., for the last 42 years, and the title of the Respondent–State got converted into “adverse possession” - Apex court held that We are surprised by the plea taken by the State before the High Court, that since it has been in continuous possession of the land for over 42 years, it would tantamount to “adverse” possession. The State being a welfare State, cannot be permitted to take the plea of adverse possession,which allows a trespasser i.e. a person guilty of a tort, or even a crime, to gain legal title over such property for over 12 years. The State cannot be permitted to perfect its title over the land by invoking the doctrine of adverse possession to grab the property of its own citizens, as has been done in the present case. - The present case is one where the demand for justice is so compelling since the State has admitted that the land was taken over without initiating acquisition proceedings, or any procedure known to law. We exercise our extraordinary jurisdiction under Articles 136 and 142 of the Constitution, and direct the State to pay compensation to the Appellant.-In view of the aforesaid facts and circumstances of the present case, the Respondent–State is directed to pay the compensation on the same terms as awarded by the Reference Court vide Order dated 07.07.2015 in Anakh Singh’s case (i.e. Land Reference No.1 of 2011 RBT No.01/13) alongwith all statutory benefits including solatium, interest, etc. within a period of 8 weeks, treating it as a case of deemed acquisition.

State can not take plea of adverse possession over the property of its subject = The   State   being   a   welfare   State, cannot be permitted to take the plea of adverse possession,which allows a trespasser i.e. a person guilty of a tort, or even a crime, to gain legal title over such property for over 12 years. The State cannot be permitted to perfect its title over the land by invoking the doctrine of adverse possession to grab the property of its own citizens, as has been done in the present case.

The Appellant now almost 80 years old, was undisputedly the owner of land admeasuring about 3.34 Hectares comprised in Khata/Khatuni No. 105 min/127, Khasra No. 70 in Tika Jalari Bhaddirain,   Mauja   Jalari,   Tehsil   Nadaun,   Dist.   Hamipur, Himachal Pradesh. - The Respondent–State took over the land of the Appellant in 1967–68 for the construction of a major District Road being
the Nadaun – Sujanpur Road, a major District Road without taking recourse to acquisition proceedings, or following due process of law.The construction of the road was completed by 1975.-The Appellant, being an illiterate widow, coming from a rural background, was wholly unaware of her rights and entitlement in law, and did not file any proceedings for compensation of the land compulsorily taken over by the State.-The Appellant submits that she learnt of these proceedings in 2010, when she alongwith her two daughters filed C.W.P. No. 1736   of   2010   before   the   Himachal   Pradesh   High   Court, praying that the State be directed to pay compensation for the land acquired in 1967–68; or, in the alternative, direct the State   to   initiate   acquisition   proceedings   under   the   Land Acquisition Act, 1894.- The Respondent–State filed its reply before the High Court, wherein it was admitted that the Department had used land in the ownership of the Appellant for the construction of the Nadaun – Sujanpur road, a major district road in 1967–68.
The State had been in continuous possession of the property since 1967–68, i.e., for the last 42 years, and the title of the Respondent–State got converted into “adverse possession” - 
Apex court held that We are surprised by the plea taken by the State before the High Court, that since it has been in continuous possession of   the   land   for   over   42   years,   it   would   tantamount   to “adverse”   possession.   The   State   being   a   welfare   State, cannot be permitted to take the plea of adverse possession,which allows a trespasser i.e. a person guilty of a tort, or even a crime, to gain legal title over such property for over 12 years. The State cannot be permitted to perfect its title over the land by invoking the doctrine of adverse possession to grab the property of its own citizens, as has been done in the present case. - The present
case is one where the demand for justice is so compelling since the State has admitted that the land was taken over without initiating acquisition proceedings, or any procedure known to
law. We exercise our extraordinary jurisdiction under Articles 136 and 142 of the Constitution, and direct the State to pay compensation to the Appellant.-In view of the aforesaid facts and circumstances of the present case,   the   Respondent–State   is   directed   to   pay   the compensation on the same terms as awarded by the Reference Court  vide  Order   dated   07.07.2015   in  Anakh   Singh’s  case (i.e. Land Reference No.1 of 2011 RBT No.01/13) alongwith all statutory benefits including solatium, interest, etc. within a period of 8 weeks, treating it as a case of deemed acquisition.




REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NOS.  60­61     OF 2020
(Arising out of SLP (Civil) Nos. 467­468/2020 @D..No.36919/2018)

Vidya Devi               …Appellant
Versus
The State of Himachal Pradesh & Ors.           …Respondents
J U D G M E N T
INDU MALHOTRA, J.
Delay condoned.  Leave granted.
1The Appellant now almost 80 years old, was undisputedly the
owner of land admeasuring about 3.34 Hectares comprised in
Khata/Khatuni No. 105 min/127, Khasra No. 70 in Tika Jalari
Bhaddirain,   Mauja   Jalari,   Tehsil   Nadaun,   Dist.   Hamipur,
Himachal Pradesh. 
2The Respondent–State took over the land of the Appellant in
1967–68 for the construction of a major District Road being
1
the Nadaun – Sujanpur Road, a major District Road without
taking recourse to acquisition proceedings, or following due
process of law.
   The construction of the road was completed by 1975.
3The Appellant, being an illiterate widow, coming from a rural
background, was wholly unaware of her rights and entitlement
in law, and did not file any proceedings for compensation of
the land compulsorily taken over by the State.
4In 2004, some similarly situated persons whose lands had also
been taken over by the Respondent–State for the same public
purpose, filed CWP No.1192 of 2004 titled Anakh Singh & Ors.
v.  State of Himachal Pradesh & Ors.  claiming compensation
before the High Court of Himachal Pradesh.
       The High Court  vide  Order dated 23.04.2007, allowed
CWP No.1192 of 2004, and directed the Respondent–State to
acquire   the   lands   of   the   Writ   Petitioners   under   the   Land
Acquisition Act, 1894.
5Pursuant   to   the   Order   of   the   High   Court   in   2008,   the
Respondent–State initiated acquisition proceedings under the
Land Acquisition Act, 1894 only with respect to the lands of
2
the  Writ  Petitioners,  and  not  the  other land­owners whose
lands had also been taken over.
6The Appellant submits that she learnt of these proceedings in
2010, when she alongwith her two daughters filed C.W.P. No.
1736   of   2010   before   the   Himachal   Pradesh   High   Court,
praying that the State be directed to pay compensation for the
land acquired in 1967–68; or, in the alternative, direct the
State   to   initiate   acquisition   proceedings   under   the   Land
Acquisition Act, 1894.
       The Respondent–State filed its reply before the High
Court, wherein it was admitted that the Department had used
land in the ownership of the Appellant for the construction of
the Nadaun – Sujanpur road, a major district road in 1967–68.
The State had been in continuous possession of the property
since 1967–68, i.e., for the last 42 years, and the title of the
Respondent–State got converted into “adverse possession”. It
was   submitted   that   the   statutory   remedy   available   to   the
Appellant was by filing a Civil Suit.
    The State has further admitted that a Notification under
Section 4 of the Land Acquisition Act had been issued in 2008
3
with respect to the land of Anakh Singh a neighbouring landowner,   whose   land   was   similarly   taken   over   for   the   same
purpose. Furthermore, the Writ Petition was barred by laches,
since the road was constructed in 1967–68, and metalled since
1975. The land was utilized by the Respondent–State after the
Appellant   and   her   predecessors­in­interest   had   verbally
consented to the land being taken over without any objection.
7The High Court  vide  the impugned Judgment and Order dated
11.09.2013 held that the matter involved disputed questions of
law   and   fact   for   determination   on   the   starting   point   of
limitation, which could not be adjudicated in Writ proceedings.
The Appellant was granted liberty to file a Civil Suit.
8Aggrieved,   the   Appellant   filed   a   Review   Petition   against   the
Judgment and Order dated 11.09.2013 which was dismissed
vide Order dated 13.05.2014.
9The Appellant has filed the present Appeals before this Court, to
challenge the Judgment dated 11.09.2013 passed in the Writ
Petition and Order dated 13.05.2014 passed in the Review
Petition.
4
10 We have heard learned Counsel for the parties and perused
the record.
10.1. The Appellant was forcibly expropriated of her property in
1967, when the right to property was a fundamental right
guaranteed by Article 31 in Part III of the Constitution.
Article 31 guaranteed the right to private property1
,
which could not be deprived without due process of law and
upon just and fair compensation.
10.2. The right to property ceased to be a fundamental right by
the   Constitution   (Forty   Fourth   Amendment)   Act,   1978,
however, it continued to be a human right2
  in a welfare
State, and a Constitutional right under Article 300 A of the
Constitution. Article 300 A provides that no person shall be
deprived of his property save by authority of law. The State
cannot   dispossess   a   citizen   of   his   property   except   in
accordance   with   the   procedure   established   by   law.   The
obligation   to   pay   compensation,   though   not   expressly
included in Article 300 A, can be inferred in that Article.3
1 The State of West Bengal v. Subodh Gopal Bose and Ors. AIR 1954 SC 92.
2 Tukaram Kana Joshi & Ors. v. M.I.D.C. & Ors. (2013) 1 SCC 353.
3 K T Plantation Pvt. Ltd. v. State of Karnataka (2011) 9 SCC 1.
5
To forcibly dispossess a person of his private property,
without following due process of law, would be violative of a
human right, as also the constitutional right under Article
300 A of the Constitution.
Reliance   is   placed   on   the   judgment   in  Hindustan
Petroleum   Corporation   Ltd.  v.  Darius   Shapur   Chenai4
,
wherein this Court held that:
“  6. … Having regard to the provisions contained in
Article   300­A   of   the   Constitution,   the   State   in
exercise   of   its   power   of   "eminent   domain"   may
interfere with the right of property of a person by
acquiring   the   same   but   the   same   must   be   for   a
public   purpose   and  reasonable   compensation
therefor must be paid.”
   (emphasis supplied)
In N. Padmamma v. S. Ramakrishna Reddy5
, this Court
held that:
“21. If the right of property is a human right as also
a   constitutional   right,   the   same   cannot   be   taken
away except in accordance with law.  Article 300­A
of   the   Constitution   protects   such   right.   The
provisions of the Act seeking to divest such right,
keeping in view of the provisions of Article 300­A of
the Constitution of India, must be strictly construed.”
(emphasis supplied)
4 (2005) 7 SCC 627.
5 (2008) 15 SCC 517.
6
In Delhi Airtech Services Pvt. Ltd. & Ors. v. State of U.P.
& Ors.6
, this Court recognized the right to property as a
basic human right in the following words:
“30.  It is accepted in every jurisprudence and by
different   political   thinkers   that   some   amount   of
property right is an indispensable safeguard against
tyranny   and   economic   oppression   of   the
Government.  Jefferson was of the view that liberty
cannot long subsist without the support of property.
"Property   must   be   secured,   else   liberty   cannot
subsist" was the opinion of John Adams. Indeed the
view that property itself is the seed bed which must
be   conserved   if   other   constitutional   values   are   to
flourish is  the  consensus  among political thinkers
and jurists.”
(emphasis supplied)
In Jilubhai Nanbhai Khachar  v. State of Gujarat,7
this
Court held as follows :
“48. …In other words, Article 300­A only limits the
powers of the State that no person shall be deprived
of his property save by authority of law. There has
    to be no      deprivation  without any sanction of law.
Deprivation by any other mode is not acquisition or
taking   possession   under   Article   300­A.  In   other
words, if there is no law, there is no deprivation.”
(emphasis supplied)
10.3. In this case, the Appellant could not have been forcibly
dispossessed of her property without any legal sanction,
and without following due process of law, and depriving her
6 (2011) 9 SCC 354.
7 (1995) Supp. 1 SCC 596.
7
payment of just compensation, being a fundamental right
on the date of forcible dispossession in 1967.
10.4. The   contention   of   the   State   that   the   Appellant   or   her
predecessors had “orally” consented to the acquisition is
completely baseless. We find complete lack of authority and
legal sanction in compulsorily divesting the Appellant of her
property by the State.
10.5. In a democratic polity governed by the rule of law, the State
could not have deprived a citizen of their property without
the sanction of law. Reliance is placed on the judgment of
this Court in Tukaram Kana Joshi & Ors. v. M.I.D.C. & Ors.8
wherein it was held that the State must comply with the
procedure   for   acquisition,   requisition,   or   any   other
permissible statutory mode. The State being a welfare State
governed by the rule of law cannot arrogate to itself a status
beyond what is provided by the Constitution.
This Court in State of Haryana v. Mukesh Kumar held
that the right to property is now considered to be not only a
constitutional or statutory right, but also a human right.
8 (2013) 1 SCC 353.
8
Human   rights   have   been   considered   in   the   realm   of
individual rights such as right to shelter, livelihood, health,
employment, etc. Human rights have gained a multi­faceted
dimension.
10.6. We are surprised by the plea taken by the State before the
High Court, that since it has been in continuous possession
of   the   land   for   over   42   years,   it   would   tantamount   to
“adverse”   possession.   The   State   being   a   welfare   State,
cannot be permitted to take the plea of adverse possession,
which allows a trespasser i.e. a person guilty of a tort, or
even a crime, to gain legal title over such property for over
12 years. The State cannot be permitted to perfect its title
over the land by invoking the doctrine of adverse possession
to grab the property of its own citizens, as has been done in
the present case.
10.7. The contention advanced by the State of delay and laches of
the   Appellant   in   moving   the   Court   is   also   liable   to   be
rejected. Delay and laches cannot be raised in a case of a
continuing cause of action, or if the circumstances shock
the judicial conscience of the Court. Condonation of delay is
9
a  matter  of judicial  discretion,  which  must  be exercised
judiciously and reasonably in the facts and circumstances
of a case. It will depend upon the breach of fundamental
rights, and the remedy claimed, and when and how the
delay arose. There is no period of limitation prescribed for
the courts to exercise their constitutional jurisdiction to do
substantial justice.
In   a   case   where   the   demand   for   justice   is   so
compelling,   a   constitutional   Court   would   exercise   its
jurisdiction with a view to promote justice, and not defeat
it.9
In Tukaram Kana Joshi & Ors. v. M.I.D.C. & Ors.,
10 this
Court while dealing with a similar fact situation, held as
follows :
“There are authorities which state that delay and
laches extinguish the right to put forth a claim. Most
of these authorities pertain to service jurisprudence,
grant   of   compensation   for   a   wrong   done   to   them
decades ago, recovery of statutory dues, claim for
educational facilities and other categories of similar
cases, etc. Though, it is true that there are a few
authorities   that   lay   down   that   delay   and   laches
debar   a   citizen   from   seeking   remedy,   even   if   his
fundamental right has been violated, under Article
9 P.S. Sadasivaswamy v. State of T.N. (1975) 1 SCC 152.
10 (2013) 1 SCC 353.
10
32 or 226 of the Constitution, the case at hand deals
with a different scenario altogether. Functionaries of
the State took over possession of the land belonging
to the Appellants without any sanction of law.  The
Appellants   had  asked  repeatedly  for  grant  of   the
benefit   of   compensation.  The   State   must   either
comply with the procedure laid down for acquisition,
or   requisition,   or   any   other   permissible   statutory
mode.”
(emphasis supplied)
11 In the present case, the Appellant being an illiterate person,
who is a widow coming from a rural area has been deprived of
her   private   property   by   the   State   without   resorting   to   the
procedure prescribed by law. The Appellant has been divested
of her right to property without being paid any compensation
whatsoever for over half a century. The cause of action in the
present   case  is  a   continuing   one,  since   the  Appellant   was
compulsorily   expropriated   of   her   property   in   1967   without
legal sanction or following due process of law.   The present
case is one where the demand for justice is so compelling since
the State has admitted that the land was taken over without
initiating acquisition proceedings, or any procedure known to
law. We exercise our extraordinary jurisdiction under Articles
136 and 142 of the Constitution, and direct the State to pay
compensation to the Appellant.
11
12 The   State   has   submitted   that   in   2008   it   had   initiated
acquisition proceedings in the case of an adjoining land owner
viz.  Shri Anakh Singh pursuant to a direction given by the
High   Court   in   C.W.P.No.1192   of   2004.   The   State   initiated
acquisition only in the case where directions were issued by
the High Court, and not in the case of other land owners
whose   lands   were   compulsorily   taken   over,   for   the   same
purpose, and at the same time. As a consequence, the present
land   owner   has   been   driven   to   move   the   Court   in   their
individual cases for redressal.
13 In view of the aforesaid facts and circumstances of the present
case,   the   Respondent–State   is   directed   to   pay   the
compensation on the same terms as awarded by the Reference
Court  vide  Order   dated   07.07.2015   in  Anakh   Singh’s  case
(i.e. Land Reference No.1 of 2011 RBT No.01/13) alongwith all
statutory benefits including solatium, interest, etc. within a
period of 8 weeks, treating it as a case of deemed acquisition.
An Affidavit of compliance is directed to be filed by the State
before this Court within 10 weeks.
12
  It   is   informed   that   an   appeal   has   been   preferred   by
Ravinder Singh s/o Anakh Singh & Ors. being RFA No.35 of
2016 which is pending before the High Court of Himachal
Pradesh at Shimla. 
 Taking note thereof, if an appeal is filed by the present
appellant within 8 weeks from the date of compensation being
paid to her by the State, the appeal will be treated to be within
limitation,   and   would   be   decided   on   its   own   merits   in
accordance with law.
   The Respondent­State is directed to pay legal costs and
expenses of Rs.1,00,0000/­ to the present appellant.
14 The   Appeals   are   accordingly   allowed.   The   Orders   dated
11.09.2013 and 13.05.2014 passed by the High Court are set
aside.
Ordered accordingly.
…..……...........................J.
(INDU MALHOTRA)
..….……..........................J.
(AJAY RASTOGI)
New Delhi
January 08, 2020.
13

Compensate appointment = We have to keep in mind the basic principles applicable to the cases of compassionate employment, i.e., succor being provided at the stage of unfortunate demise, coupled with compassionate employment not being an alternate method of public employment. If these factors are kept in mind, it would be noticed that the respondents had the wherewithal at the relevant stage of time, as per the norms, to deal with the unfortunate situation which they were faced with. Thus, looked under any Schemes, the respondents cannot claim benefit, though, as clarified aforesaid, it is only the relevant Scheme prevalent on the date of demise of the employee, which could have been considered to be applicable, in view of the judgment of this Court in Canara Bank3 . It is not for the Courts to substitute a Scheme or add or subtract from the terms thereof in judicial review, as has been recently emphasized by this Court in State of Himachal Pradesh & Anr. v. Parkash 3(supra) 10 Chand4 . We may have sympathy with the respondents about the predicament they faced on the demise of Shri Jagdish Raj, but then sympathy alone cannot give remedy to the respondents, more so when the relevant benefits available to the respondents have been granted by the appellant-Bank and when respondent No.1, herself, was in employment having monthly income above the benchmark.

Compensate appointment = We have to keep in mind the basic principles applicable to the cases of compassionate employment, i.e., succor being provided at the stage of unfortunate demise, coupled with compassionate employment not being an alternate method of public employment. If these factors are kept in mind, it would be noticed that the respondents had the wherewithal at the relevant stage of time, as per the norms, to deal with the unfortunate situation which they were faced with. Thus, looked under any Schemes, the respondents cannot claim benefit, though, as clarified aforesaid, it is only the relevant Scheme prevalent on the date of demise of the employee, which could have been considered to be applicable, in view of the judgment of this Court in Canara Bank3 . It is not for the Courts to substitute a Scheme or add or subtract from the terms thereof in judicial review, as has been recently emphasized by this Court in State of Himachal Pradesh & Anr. v. Parkash 3(supra) 10 Chand4 .  We may have sympathy with the respondents about the predicament they faced on the demise of Shri Jagdish Raj, but then sympathy alone cannot give remedy to the respondents, more so when the relevant benefits available to the respondents have been granted by the appellant-Bank and when respondent No.1, herself, was in employment having monthly income above the benchmark. 

 REPORTABLE
IN THE SUPREME COURT OF INDIA
CIVILAPPELLATE JURISDICTION
CIVIL APPEAL NO.2798 OF 2010
INDIAN BANK & ORS. … Appellants
VERSUS
PROMILA & ANR. …Respondents
J U D G M E N T
SANJAY KISHAN KAUL, J.
1. One Jagdish Raj, husband of respondent No.1 and father of
respondent No.2, was appointed as a Clerk-cum-Shroff in the appellantBank, where he continued to work till his unfortunate demise on 15.1.2004.
He was drawing a gross monthly salary of Rs.16,486.60 at the time of his
demise. Consequent to his death, the benefits available for the family of
Jagdish Raj were calculated and sanctioned to the tune of Rs.5,45,872, but
on account of deductions for staff housing and vehicle loans, post
1
adjustment, a net payment of Rs.2,99,672 was made to the family, apart
from the grant of a monthly pension of Rs.5,574.12. An issue has been
raised about the amount being paid less to the family of Jagdish Raj, but that
has really not been debated before us.
2. Late Shri Jagdish Raj was survived by his wife and three minor
children. As it transpires, respondent No.1 was already employed and
earning a salary at the time of the demise of her husband, which information
came to the knowledge of the appellant-Bank, later. The cause for the
present dispute arises from an application made on behalf of the son
(respondent No.2 herein) seeking compassionate employment on account of
demise of Shri Jagdish Raj. We may add at the threshold that this
application was made on 24.1.2004, on which date the son was a minor.
Needless to say that any such request for compassionate employment had to
be in terms of the prevalent scheme at that time. There has been some
confusion as to the scheme applicable and, thus, this Court directed the
scheme prevalent, on the date of the death, to be placed before this Court for
consideration, as the High Court appears to have dealt with a scheme which
was of a subsequent date. The need for this also arose on account of the
legal position being settled by the judgment of this Court in Canara Bank
2
& Anr. v. M. Mahesh Kumar,1
qua what would be the cut-off date for
application of such scheme. It is trite to emphasise, based on numerous
judicial pronouncements of this Court, that compassionate appointment is
not an alternative to the normal course of appointment, and that there is no
inherent right to seek compassionate appointment. The objective is only to
provide solace and succour to the family in difficult times and, thus, the
relevancy is at that stage of time when the employee passes away. An
aspect examined by this judgment is as to whether a claim for
compassionate employment under a scheme of a particular year could be
decided based on a subsequent scheme that came into force much after the
claim. The answer to this has been emphatically in the negative. It has also
been observed that the grant of family pension and payment of terminal
benefits cannot be treated as a substitute for providing employment
assistance. The crucial aspect is to turn to the scheme itself to consider as to
what are the provisions made in the scheme for such compassionate
appointment.
3. On the relevant scheme being placed before us, what emerges is that
vide Circular No.56/79, a scheme was brought into force for compassionate
appointment on 4.4.1979. This is the scheme which was applicable on
1(2015) 7 SCC 412
3
15.1.2004, i.e. on the date of the death of Shri Jagdish Raj. A provision was
made for compassionate appointment, but subject to the terms & conditions
of the scheme. Para 7 of the scheme reads as under:
“7. According to an agreement with the Union, the dependant will
either be paid gratuity as if the deceased employee has served the full
term of service, which will be calculated as per gratuity rules on the
basis of his/her last drawn pay at the time of his/her death or given
the option for appropriate employment for one dependent subject to
the rules framed for appointment under compassionate grounds. It is
therefore, obvious that appointments under compassionate grounds
will be open only to dependents who do not opt for payment of
gratuity for the full term of service of the employee who died while
in service.”
The aforesaid paragraph, thus, makes it clear that either gratuity or
compassionate appointment can be availed of by the dependents. The result
is that if the dependents opted for payment of gratuity for the term of service
of the employee who died while in service, no compassionate appointment
could be granted. The admitted position is that the benefit of gratuity was
availed of by the dependents in the present case.
4. Another relevant paragraph of the scheme is para 8, which reads as
under:
“8. No person or dependent can claim, as a matter of right,
4
employment in the Bank under this Scheme and appointments will be
considered purely at the sole discretion of the Bank. The Bank
reserves to itself the right to modify, suspend, or withdraw the
scheme at any time at its sole discretion and the Bank’s decision in
this regard will be final and cannot be called in question.”
The aforesaid paragraph makes the consideration for appointment on
compassionate grounds at the discretion of the Bank, and not as a matter of
right. This really only emphasizes the settled position of law, discussed
aforesaid.
5. A new Scheme was promulgated on 5.11.1985, but para 4 of the
Scheme clarifies as under:
“the norms prescribed under scheme for appointment in the Bank of a
dependent of a confirmed employee who dies while in service
remains unchanged.”
Thus, though this may be a new Scheme, it, in effect, continued the
older Scheme, and that is the reason the terms of that Scheme applied on the
date of death of Shri Jagdish Raj, on 15.1.2004.
6. The first communication was addressed by respondent No.1, on
24.1.2004, to the CMD of the appellant-Bank, seeking compassionate
appointment for her son, respondent No.2. The aforesaid arrangement, thus
being applicable even at that time.
5
7. A development post the demise, and this application, was a new
Scheme being brought into force through a Board meeting of the appellantBank w.e.f. 27.4.2004, by way of Circular No. PRNL/09/2004-05, in
supersession of the previous Scheme. However, the qualification for such
Scheme was the death of an employee on account of injury sustained while
performing official duty, with a second condition that the monthly income
of the family (including terminal benefits, insurance claims, investments,
etc. as well as pension and spousal income) was less than 60% of the last
drawn gross salary, net of taxes, of the deceased employee and that the
application for such compassionate appointment had to be submitted within
three (3) months from the demise of such deceased employee. There was
also an option to provide ex gratia compensation with the same second
qualification as aforesaid, if such application is made within three (3)
months from the demise of the deceased employee. The Scheme also refers
to a lumpsum compensation, even where this 60% bar is crossed, and for
Clerks like Shri Jagdish Raj, the amount specified is Rs.2 lakh.
8. The appellant-Bank, thus, in response to the application for
compassionate appointment, sent a communication to respondent No.1,
6
asking her to submit a fresh application under the new Scheme within a
month, i.e., by 9.8.2004. The intent, really, was that only cash
compensation could be made available. This period, for tendering an
application seeking cash compensation, was further extended repeatedly, but
it appears that the respondents did not apply for the same as they appeared
to be only interested in compassionate appointment.
9. A Circular No. PRNL/72/2005-06 dated 30.8.2005 was issued
whereby the benefit of compassionate appointment was denied to a
dependent of an employee who died in harness. Thus, only cash
compensation was the benefit which would accrue. The norm of 60%
eligibility criterion was still made applicable and the application had to be
preferred within six (6) months from demise. This Scheme came into force
from 10.8.2005.
10. Respondent No.1 made available her gross salary declaration of
Rs.15,912 only on 17.2.2006, which crossed the benchmark of 60% and,
thus, the respondents were informed vide letters dated 10.5.2006 and
30.6.2006 that even cash compensation was not available to the family, and
that there could be no question of compassionate appointment.
7
11. It is in the aforesaid circumstances that the respondents filed CWP
No.17105/2006 on 27.10.2006, seeking consideration of compassionate
appointment under the 2004 Scheme, upon respondent No.2 attaining age of
majority. Ex gratia benefits, which were held back, were also sought, along
with interest.
12. The High Court of Punjab & Haryana vide impugned order dated
11.8.2008, granted Rs.2 lakh ex gratia payment, while leaving it open to the
respondents to make an appropriate application regarding any terminal
benefits, if not paid. This Rs.2 lakh benefit is in consonance with the
subsequent Schemes of 2004 and 2005 which had come into force, and
appears to have been so done more out of sympathy than any other factor.
13. The appellant-Bank aggrieved by this order filed a Special Leave
Petition and interim order of stay was granted on 16.1.2009. Leave was
granted subsequently and the interim order was made absolute.
14. We have examined the aforesaid factual matrix and the contentions
raised by learned counsel for the parties.
8
15. The question of applicability of any subsequent Scheme really does
not apply in view of the judgment of this Court in Canara Bank2
. Thus, it
would not be appropriate to examine the case of the respondents in the
context of subsequent Schemes, but only in the context of the Scheme of
4.4.1979, the terms of which continued to be applicable even as per the new
Scheme of 5.11.1985, i.e. the Scheme applicable to the respondents. There
is no provision in this Scheme for any ex gratia payment. The option of
compassionate appointment was available only if the full amount of gratuity
was not taken, something which was done. Thus, having taken the full
amount of gratuity, the option of compassionate appointment really was not
available to the respondents.
16. We may also notice that though the subsequent Schemes were not
applicable, even if benefit was sought to be given of those Schemes, initial
non-disclosure and subsequent disclosure by respondent No.1, of her
employment and her emoluments would disentitle her under those Schemes,
too. Thus, when the appellant was calling upon the respondents to apply
under the subsequent Schemes, that could have been beneficial to the
2(supra)
9
respondents only if they were entitled to any of the benefits under that
Scheme. That could not happen because the benchmark provided in those
subsequent Schemes took the emoluments of respondents beyond the
prescribed limit, so as to disentitle them from both, compassionate
employment and ex gratia payment.
17. We have to keep in mind the basic principles applicable to the cases
of compassionate employment, i.e., succor being provided at the stage of
unfortunate demise, coupled with compassionate employment not being an
alternate method of public employment. If these factors are kept in mind, it
would be noticed that the respondents had the wherewithal at the relevant
stage of time, as per the norms, to deal with the unfortunate situation which
they were faced with. Thus, looked under any Schemes, the respondents
cannot claim benefit, though, as clarified aforesaid, it is only the relevant
Scheme prevalent on the date of demise of the employee, which could have
been considered to be applicable, in view of the judgment of this Court in
Canara Bank3
. It is not for the Courts to substitute a Scheme or add or
subtract from the terms thereof in judicial review, as has been recently
emphasized by this Court in State of Himachal Pradesh & Anr. v. Parkash
3(supra)
10
Chand4
.
18. We may have sympathy with the respondents about the predicament
they faced on the demise of Shri Jagdish Raj, but then sympathy alone
cannot give remedy to the respondents, more so when the relevant benefits
available to the respondents have been granted by the appellant-Bank and
when respondent No.1, herself, was in employment having monthly income
above the benchmark.
19. We have, thus, no option but to reluctantly set aside the impugned
order and dismiss the writ petition originally filed by the respondents.
20. The appeal is accordingly allowed, leaving the parties to bear their
own costs.
...……………………………J.
[Sanjay Kishan Kaul]
...……………………………J.
[K.M. Joseph]
New Delhi.
January 8, 2020.
4(2019) 4 SCC 285
11