S.S. BOLA AND ORS. ETC. v. B.D. SARDANA AND ORS. ETC.
vidhipandit.com/case/sc-s-1997-2-507-692
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Headnote — Supreme Court Reports (editorial summary, not part of the judgment)
Held
per curiam :
Reporter's headnote (continued) and case details
S.S. BOLA AND ORS. ETC. A ,.. v. B.D. SARDANA AND ORS. ETC.
JULY 11, 1997
Constitution of India, 1950 :
A1ticles 245, 246 and 309, Seventh Schedule, List II, Ently 41-State c Legislature-Power to enact laws rendering judicial decisions ineffec- tive-Held, Legislature is empowered to render a judicial decisio11 i11effective by enacting valid law within its legislative field fu11dame11tally altering or changing the basis upon which the judicial decision was given-But Legisla- ture in exercise of its powers under Altic/es 245 and 246 ca11 not merely declare a decision of a coult of law to be invalid or to be inopera- D tive-Haryana Se1Vice of Engineers Class-I, Public Works Depaltment (Build- ings and Roads Branch, Public Health Branch and lnigation Branch) Act, 1995 is valid except a pa1t of s. 25 thereof-Besides, the Act is not a validation Act since the Coult in the earlier decisions, had not invalidated any provision • but merely inte1preted the relevant provisions of the Rules-Validation Act-Constitution of India-Alticles 32, 226-Judicial Review-Administra- E tive Law.
Se1vice Law :
Ha1yana Se1vice of Engineers Class I Public Works Depa1tment (Build- ings and Roads Branch), (Public Health Branch) and (Inigation Branch) F Respectively Act, 1995--ss. 5(2), 2(12)(c) a11d 12(2~Harya11a Se1Vice of Engineers Class I Public Works Depwtme11t-Promotio11 tO--Criteria for promotion of direct recmits and promotees-Retrmpective operatio11 to the Act-Held, valid-To have a palticular position in seniodty list in a cadre is not a11 accmed or vested right-Losing some steps in se11iority list withi11 a G cadre and future chances ofpromotion getting delayed thereby is not reduction ___.., in rank-State Govemment to prepare seniority list afresh in accordance with the Act.
s. 25-Repealing provision-&.pressio11 'to the extent that these Rules shall conti11ue to apply to the persons, who were members of the se1vice before H 507
p. 508
( A 1st day of November, 1966' is invalid and is strnck dowit-Remaining part of the section and the proviso will remain operative-f'unjab service of En- gineers, Class-I, Public Works Department (Roads & Building Branch) Rules, 1960, Punjab Service of Engineers Class-I Public Works Department (Public Health Branch) Rules, 1961 and the Punjab Service of Engineers Class-I Public Works Department (Irrigation Branch) Rules, 1964. B Interpretation of Statutes :
Statement of Objects and Reasons of a statute-Held, is to be looked into as an extrinsic aid to find out legislative intent when meaning of statute C by its ordinary language is obscure or ambiguous and not when words of statute are clear and unambiguous.
Principle of casus omissus-Applicability of
In the State of Haryana, on its formation on 1.11.1986, the servii;es of D Class I Engineers in three Branches of Public Works Department, namely, Roads and Buildings Branch, Public Health Branch, and Irrigation Branch, were regulated by the Punjab Service of Engineers, Class I Public Works Department (Roads and Buildings Branch) Rules, 1960, the Punjab Service of Engineers Class I Public Works Department (Public Health Branch) Rules, 1961, and the Punjab Service of Engineers, Class I Public Works E Department (Irrigation Branch) Rules, 1964, respectively. Class I service of Engineers consisted of Executive Engineers, Superintending Engiueers, Chief Engineer and later Engineer-in- Chief also in the respective branches. Assistant Executive Engineers and posts of Class II Subordinate Service both were feeder channels for appointment by promotion as Executive F Engineers, the former being direct recruits and the latter were promotees from the Subordinate Service. In the Roads and Buildings Branch and the Public Health Branch 50% posts in Class I service were filled by promotees and 50% posts by direct recruit Assistant Executive Engineers. But as regards the Irrigation Branch till 8 years of framing of the Rules 75% posts were filled by promotees and 25% by direct recruits and thereafter the posts were to be filled by both the cadres in equal proportion i.e. 50% each. To begin with, 14 officers of the erstwhile Punjab Cadre of Engineers were brought in the State of Haryana in Public Health Branch and since the cadre strength of Haryana was 10, four of them were adjusted against ex-cadre posts. Though the Rules provided quota for direct recruit and promotee officers in the Class I posts, these ten officers were brought on the
S.S. BOLA v. B.D. SARDANA 509 basis or their domicile and the ratio between direct recruits and promotees was not observed.
Later, when the gradation lists were prepared, dispute arose between direct recruits and promotees of Roads and Buildings Branch and the Public Health Branch; and writ petitions were filed in the High Court. The B decisions of the High Court were challenged before this Court. This Court decided the matter regarding seniority of Roads and Buildings Branch in the case ofA.N. Sehgal and Others v. Raje Ram Sheoran and Others, [1992] 1 SCC 304 and that relating to Public Health Branch, in S.L. Chopra and Ors. v. State of Haryana and Others, [1992] Supp. 1 SCC 391. The Court, after considering Rules 3(1), 3(2), 5(1)(9), 6, 7, 11(1), 12(2) and 12(3) of C the respectives Rules, held that a direct recruit would always be recruited and appointed to a substantive vacancy, and from the date he started discharging the duty he would be a member of the 'service' whereas a promotee officer, irrespective of initial officiating promotion to a tern· porary vacancy or substantive vacancy, would become member of the D 'service' on his appointment to a substantive vacancy within the 50% quota meant for promotee officers. Thus a promotee occupying a post within 50%
. quota of direct recruits on their not being available, acquired no right to the post and would yield to direct recruits though promoted later to the senior posts i.e. Executive Engineer, Superintending Engineer and Chief E Engineer. The officiating period of the promotee officer between the date of initial promotion and the date of availability of the cadre post would thus ·be rendered fortuitous and stood excluded. This Court interpreted the relevant provisions of the Rules and directed the Government to determine the cadre post regularly, from time to time, allot the posts in F each year of allotment as contemplated under Rule 12 read with Rule 5(2)(a), issue orders appointing the officers substantively to the respective posts within the quota and determine the inter se seniority between direct recruits and promotees accordingly.
The State Government, in pursuance of the directions issued by this G Court, fixed the cadre strength for each year commencing from 1966 and determined the inter se seniority of the promotees and the direct recruits, and prepared a seniority list dated 6.4.1992. As regards the initial 10 posts, which constituted the service initially on 1.11.1966, five were treated as direct recruits fictionally and five as promotees. Against this seniority list H
p. 510
A writ petitions were filed in the High Court. The High Court quashed the list, and aggrieved parties filed petitions for special leave before this Court.
Meanwhile the State Legislature passed the Haryana Service of B Engineers, Class I, Public Works Department (Buildings and Roads Branch, Public Health Branch and Irrigation Branch) Act, 1995 giving the Act retrospective effect from 1.11.1966, thus making the decisions of this Court rendered in Sehgal and Chopra ineffective. The Act was challenged in writ petitions before the High Court and the said writ petitions were transferred to this Court. During the pendency of the matters before this C Court, two other seniority lists were prepared on 13.3.1997 and 19.3.1997 and both these lists were also challenged before this Court.
So far as the Punjab Service of Engineers, Class I, Public Works \ Department (Irrigation Branch) Rules, 1964 were concerned, the said rules D were not considered by this Court earlier. However, the dispute of seniority between direct recruits and promotees arose in the years 1976 and the matter was ultimately disposed of by the High Court in Letters Patent Appeals by its judgment dated 27.8.1992. The State Government as also the promotee officers challenged the said order in appeals before this E Court. When the Act came into force, one of the direct recruits challenged the validity of the Act by filing a writ petition before the High Court. The said writ petition was also transferred to this Court.
It was contended for the direct recruits that the Act was an usurpa- tion of judicial power by the Legislature to annul the judgments of this F Court in Sehgal and Chopra as was clear from the Statement of Objects and Reasons of the Act, and the affidavit filed on behalf of the State Government; that the Act merely declared the earlier judgments to be invalid, and therefore, the Act was invalid and inoperative; that the man- damus issued by this Court in Sehgal and Chopra had to be complied with G and the State Legislature had no power to make the mandamus ineffective and to override the said judgments by enacting the Act; and, that in any case the Legislature could not have given the Act retrospective operation. It was also contended that the Act took away the rights accrued in favour of the direct recruits pursuant to the judgment of this Court, and, there- H fore, the Act should be struck down.
S.S. BOLA v. B.D. SARDANA 511 The contention on behalf of the State Government and the promotee officers was that the State Legislature under Articles 245 and 246 of the Constitution had power to make the law determining the service conditions of the employees of the State and giving it retrospective effect; that the legislature having been aware of the inequitous situation which had been the result of the Rules for determination of inter se seniority between the direct recruits and the promotees as interpreted by this Court in Sehgal and Chopra, intervened in enacting the Act to remove the inequities not by merely declaring the interpretation given by this Court to the relevant provisions of the Rules in the said judgments to be invalid but by making substantial alterations and changes to the basis itself by altering the definition of service, by providing that quota of promotees could exceed beyond 50% as per proviso to 's. 5(2), and by changing the very criterion for determination of seniority, namely, the continuous length of service as engrafted ins. 12(2); and as such the Legislature could not be said to have encroached upon the field of judiciary nor could the legislation be said to be an act of usurpation of judicial power by the Legislature. D Disposing of the matters, this Court
(i) Legislature is empowered to render a judicial decision ineffective E by enacting a valid law fundamentally altering or changing the basis upon , which the judicial decision was given; such a law can also be given retrospective operation. But, Legislature cannot declare a decision of a court of law to be invalid or to be inoperative, in which· case it would be held to be an exercise of judicial power which the Legislature do not possess. F
(ii) To have a particular position in seniority list is not an accrued or a vested right. Chances of promotion are not condition of service.
Per majority (Pattanaik and S. Saghir Ahmad, JJ.) G (i) The Haryana Service of Engineers, Class I, Public Works Depart· ment. (Buildings and Roads Branch), (Public Health Branch) and (Irriga· tion Branch) Respectively Act. 1995 is valid. The changes and alterations in the service rules, brought by the Act and giving the Act retrospective effect rendered the decisions of this Court in the cases of Sehgal and H ,.
512 . SUPREME COURT REPORTS [1997] SUPP. 2S.C.R. A Chopra ineffective. It is not a case of Legislature overriding a judicial decision but a case of rendering a judicial decision ineffective by enacting a valid law within the competence of the Legislature.
(ii) The nature of mandamus which had been issued by this Court B in Sehgal and Chopra was merely a declaration of principles of seniority as the Rules then existing. The Legislature by enacting the Act and giving it retrospective effect made several vital changes both to the definition of service as also to criteria for determining inter se seniority between direct recruits and promotees. The Act has not taken away any accrued right of the direct recruits. c Per Minority (K. Ramaswamy, J.)
(i) The Legislature of Haryana was competent to enact the Haryana Service of Engineers, Class I, Public Works Department (Buildings and D Roads, Branch), (Public Health Branch) and Irrigation Branch) Respec- tively Act, 1995. But since the Act has with retrospective effect, in substance and in effect, declared the law laid down by this Court in Sehgal and Chopra as unenforceable by an indirect side track process of legislative fiat, it is unconstitutional. The Act is unconstitutional to the extent of its ret.rospec- tive operation. The prospective effect does not have any effect on settled E rights of the parties to these litigations.
(ii) The relevant Rules as interpreted by this Court in Sehgal and Chopra is the law under Article 141 of the Constitution. The mandamus issued therein operates inter parties and binds the State Government. The F Act made with retrospective effect is a fraud on the Constitution and is, therefore, unconstitutional. It, therefore, does not affect the vested rights of the direct recruits which are still available to them and they are entitled to have their seniority determined accordingly.
Per Pattanaik, J. G
1. The Haryana Service of Engineers Class I, Public Works Depart- ment, (Buildings and Roads, Branch), (Public Health Branch) and (Irriga- tion Branch) Respectively Act, 1995, is a valid piece of legislation enacted by the State Legislature over which they had legislative competence under H Article 309 and Entry 41 of List II of Vllth Schedule to the Constitution.
S.S. BOLA v. B.D. SARDANA 513 Though by giving the enactment retrospective effect the earlier judgments A of this Court in Sehgal * and Chopra ** have become ineffective, this does not tantambunt to a mere declaration of invalidity of an earlier judgment nor does it amount to an encroachment by the Legislature into the judicial sphere. The Act cannot be said to be an act of usurpation of judicial power by the Legislature. (560-D-E; 575-H; 576-A] B * A.N. Sehgal and Ors. v. Raje Ram Sheoran and Ors., (1992) Supp. 1 SCC 304 and **S.L. Chopra a~id Ors. v. State of Haryana and Ors., (1992) Supp. 1 SCC 391, referred to.
2.1. The Legislature can always render a judicial decision ineffective c by enacting valid law on the topic within its legislative field fundamentally ... altering or changing its character retrospectively. But the Legislature cannot in exercise of its plenary power under Articles 245 and 246 of the Constitution merely declare a decision of a court of law to be invalid or to be inoperative in which case it would be held to be an exercise of judicial D power, which under the scheme of Constitution, the Legislature do not possess. (543-A-C] • Indian Aluminium Co. and Ors. v. State of Kerala and Ors., [1996) 7 SCC 637; J.N. Saxena v. The State of Madhya Pradesh, [1976) 3 SCR 237; M/s. Utkal Contractors and Joinery (P) Ltd. and Ors. v. State of Orissa, (1987) E Supp. SCC 751; Bhubaneshwar Singh and Anr. v. Union of India and Ors., (1994) 6 SCC 77; Comorin Match Industries (P) Ltd. v. State of Tamil Nadu, (1998] 4 SCC 281; Meernt Development Authority and Ors.etc. v. Satbir Singh and Ors. etc., [1996) 11 SCC 462 and State of Orissa and Anr. v. Gopal Chandra Rath and Ors., (1995) 6 SCC 242, relied on. F Shri P. C. Mills Ltd. v. Broach Borough Municipality, [1969) 2 SCC 283; West Ramnad Electric Distribution Company Ltd. v. State of Madras, [1963) 2 SCR 747; Udai Ram Shanna and Ors. etc. v. Union of India and Ors., [1968) 3 SCR 41; Krishan Chandra Gangopadhyaya and Ors. v. Union of India and Ors., [1975) 2 SCC 302 and Hindustan Gum and Chemicals Ltd. G v. State of Haryana and Ors., [1985) 4 SCC 124, cited.
Pritpal Singh and Ors. v. State of Punjab and Ors., [1980] Suppl. SCC 524; State of Gujarat & Anr. etc. v. Raman Lal Keshav Lal Soni and Ors. etc., [1983) 2 SCC 33; Ex. Capt. KC. Arora a11dA11r. v.State of Haryana and H
p. 514
A Ors., [1984] 3 SCC 281; T.R. Kapur and Ors. v. State of Haryana and Ors., [1986] Suppl. SCC 584; P.D. Aggrawal and Ors. v. State of U.P. and Ors., [1987] 3 SCC 622 and Madan Mohan Pathak andAnr. etc. v. Union of India and Ors., [1978] 2 SCC SO, held inapplicable.
2.2. In the case of Sehgal and Chopra this Court had not invalidated B any provision of the recruitment rules but merely interpreted some provisions of the Rules for determining. the inter se seniority between the direct recruits and the promotees. The Act passed by the Legislature, therefore, is not a validation Act but merely an Act passed by the State Legislature giving it retrospective effect from the date the State of Haryana C came into existence and consequently from the date the service in question came into existence. [542-C-D]
2.3. The power of the Legislature under Article 246(3) of the Con- stitution to make law for the State with respect to the matters enumerated D in List II of the Vllth Scheduled to the Constitution is wide enough to make law determining the service conditions of the employees of the State. In the instant case, there has been no challenge to the legislative com- petence of the State Legislature to enact the legislation in question nor has there been any challenge on the ground of contravention of Part III of the Constitution. [542-D-E] E 2.4. Under the constitutional scheme the power of the Legislature to make law is paramount subject to the field of legislation as enumerated in the Entries in different Lists. The function of the judiciary is to interpret the law and to adjudicate the rights of the parties in accordance with law made by the Legislature. [ 542-E-F]
3.1. To find out whether the impugned Act is an usurpation of judicial power by the Legislature it would not be permissible to look to the Statement of Objects and Reasons which accompanied the Bill while introducing the same on the floor of the Legislature nor the affidavit filed by an officer of the Government would control the true and correct meaning of the words of the statute. For that purpose the substantive provisions of the Act would be examined. [574-E-G]
3.2. It is a cardinal rule of interpretation that Objects and Reasons H of a statute is to be looked into as an extrinsic aid to find out legislative
S.S. BOLA v. B.D. SARDANA 515 intent only when the meaning of the statute by its ordinary language Is A obscure or ambiguous. But, if the words used in a statute are clear and unambiguous then the statute itself declares the intention of the Legisla· ture and in such a case it would not be permissible for a Court to interpret the statute by examining the Objects and Reasons of the statute in ques· tion. The general rule of interpretation Is that the language employed is B primarily the determining factor to find out the intention of the Legisla· ture. [545-F·G; 547-B]
Aswini Kumar Ghosh andAnr. v.Arbinda Bose andAnr., SCR [1953] -• 1; The Central Bank of India v. Their Workmen, SCR [1960] 200; State of West Bengal v. Union of India, SCR 1 [1964] 371; Tata Engineering and C Locomotive Co. Ltd. v. Gram Panchayat, Pimpri Waghere, [1976] 4SCC177 and Kanai/al Sur v. Paramnidhi, Sadhukhan, SCR [1958] 360, relied on.
Robert Wigram Crawford v. Richard Spooner, 4 MIA 179 (PC), referred to. D
4.1. The changes and alterations in the Act itself and giving It retrospective effect from the date when the State of Haryana came into existence and consequently the service of Engineers, came into existence, rendered. the earlier decisions of this Court in Sehgal and Chopra ineffec· E tive. The provisions of the Act and the definition of "service" ins. 2(12)(c), proviso to s. 5(2) and the criteria for promotion, which was engrafted in s. 12(2) of the Act, and making it retrospective w.e.f, 1.11.1966, when interpreted, lead to the only conclusion that this Court could not have rendered the decision in Sehgal and Chopra on the face of the aforesaid F provisions of the Act. It is, therefore, not a case of legislation by mere declaration without anything more, overriding a judicial decision but a case of rendering a judicial decision ineffective by enacting a· valid law within the legislative field of the Legislature. [548-G-H; 549·A·B]
4.2. Under the 1960 and the 1961 Rules as interpreted by this Court G in the cases of Sehgal and Chopra, a direct recruit gets the year of allotment as the year in which he is recruited as Assistant Executive Engineer but so far as promotees are concerned they become members of the service only after they are appointed substantively to a cadre post and the quota of promotees cannot exceed 50% of the total number of posts in the service H
p. 516
A excluding the posts of Assistant Executive Engineers to which direct recruitments are made. Inter se seniority between direct recruits and promotees is regulated by Rules 12(6) and (7). As a necessary consequence a direct recruit when promoted as Executive Engineer from the posts of Assistant Executive Engineer was getting seniority over the promotee B Executive Engineers and this situation has been avoided by the impugned Act by changing the definition of "service" in Rule 2(12) of the 1961 Rules, by providing the quota for promotees to exceed 50% in certain contingen· cies like non-availability of direct recruits to man the post of Executive Engineer and by changing the criteria for determination of illter se C seniority and in place of determination of year of allotment, by providing length of continuous service to the post of Executive Engineer to be the determining factor. Necessarily, therefore, by the impugned Act a direct recruit in the rank of Executive Engineer would come down in the grada· tion list than what was assigned under the Rules of 1960 and 1961. [561·A·F] D 5.1. To have a particular position in the seniority list within a cadre can not be said to be an accrued or a vested right of a Government servant; and losing some places in the seniority list within the cadre does not amount to reduction in rank even though the future chances of promotion E get delayed thereby. Chances of promotion of Government servant are not a condition of service. [562·C·E]
The High Court of Calcutta v. Amal Kumar Roy, [1963) 1 SCR 437; The State of Punjab v. Kishan Das, [1971) 3 SCR 389; State of Maharashtra and Ahr. v. Chandrakant Anantit Kulkarni and Ors., [1981) 4 SCC 130; K. F Jagadeesan v. Union of India and Ors., [1990) 2 SCC 228; Union of India . and Ors. v. S.L. Dutta and Anr., [1991) 1 SCC 505 and Zohrabi v. Arjuna and Ors., [1980) 2 SCC 203, relied on.
5.2. The direcfrecruits did not have a vested right nor any right had accrued in their favour in the matter of getting a particular position in the seniority list of Executive Engineers under the pre-amended Rules which is said to have been taken away by the Act. Thus, there is no bar for the Legislature to amend the law in consequence of which the inter se position in rank of Executive Engineer might get altered. Consequently, there is no invalidity in the enactment of the Act. [563-F-H]
S.S. BOLA v. B.D. SARDANA 517
5.3. The nature of mandamus which had been issued by this Court A in Sehgal and Chopra was merely a declaration of the principles of seniority as per 1960 and 1961 Rules and the State Government was to draw up the seniority list in accordance with the said Rules. The Legislature by enact· ing the Act and giving it retrospective effect made several vital changes both in the definition of 'service' as well as in the criteria of determining B the inter se seniority between the direct recruits and promotees. The Act has not taken away any accrued rights of the direct recruits. (554-F-H]
Madan Mohan Pathak and Anr. v. Union of India and Ors., (1998] 2 sec so, held inapplicable. c 6.1. Though the Act is a valid piece of legislation but s. 25 thereof cannot be sustained in toto sim:e a plain reading of the said provision does not make out any meaning. The section repeals the previous Rules as well as the Ordinance of 1995. It purports to indicate that the earlier Rules would apply to persons who were members of the service before 1.11.1986 D though a plain reading of the main part of the section does not convey that meaning. (564-A; 565-A·B]
6.2. The contention that the Court should fill up the gap by applying the principle of casus omissus and provide the word "except" in the first part of s. 25 after the words "to the extent", cannot be accepted. It is not appropriate to apply the principle of casus omissus, inasmuch as the Act itself having been given retrospective effect with effect from 1st November, 1966, the date on which the State of Haryana came into existence, there is no rational to apply the pre-existing rules to those employees who were in the service before that date even after the pre-existing Rules are being repealed by the Act. In this view of the matter, the expression "to the extent that these rules shall continue to apply to the persons who were members of the service before 1st day of November, 1966" ins. 25 of the Act is invalid and is accordingly struck down. Remaining part of s. 25 as well as the proviso to the said section will, however, remain operative. (565-C-G] G
7.1. The High Court fell in error to hold that the State Government was not entitled to re-determine the cadre strength retrospectively every year and such re-determination is invalid and inoperative. On the other hand, since the cadre strength had not been determined regularly, though H
p. 518
A It was enjoined upon the State Government to do so, this had called upon the State Government to re-determine the cadre strength and thereafter . determine the inter se seniority of the direct recruits and promotees in terms of Rule 12 of the Recruitment Rules bearing in mind the law laid down by this Court interpreting the different provisions of the Rules. The B said conclusion of the High Court is, therefore, quashed. [570-A·C]
7.2. As regards the Irrigation Branch, Rule 2(12)(c) makes a promotee officer, on probation or having successfully completed his probation awaiting appointment to a cadre post, to be a member of the service which was not the position in the Public Health Branch as well as C in the Roads and Buildings Branch .. Then again under Rule 5(2) the • percentage of promotees was required to be so regulated as not to exceed 75% of the numbers of posts in the service for the first 8 years from the date of commencement of the Rules and thereafter it shall not exceed 50% of ttie number of posts in the service excluding the posts of Assistant D Executive Engineers. Proviso to the aforesaid rule also entitles the Govern· ment to grant permission beyond 75% during the first 10 years of the commencement of the rules and beyond 50% thereafter in case sufficient number of direct recruit Assistant Executive Engineers are not available and considered fit for promotion. Rule 12 which deals with the determina· tion of inter se seniority is also somewhat different than the similar rule for the Public Health Branch and the Roads and Building Branch which had been considered by this Court in the cases of Sehgal and Chopra. [576-D; 577-A] 7.3. The Division Bench of the High Court was not justified in disposing of the appeal relating to Irrigation Branch, relying upon the earlier decision of this Court in Sehgal's case. The High Court did not focus its attention to the difference in the rules meant for the Irrigation Branch and the Rules meant for the Public Health Branch and Roads and Buildings Branch. The judgment passed by the Division Bench of the High Court in L.P.A. Nos. 367 and 411 of 1992 is erroneous and is, therefore, set aside. [577·A·CJ
7.4. The Act, except a part of s. 25, having been declared intra vires and given retrospective effect with effect from 1.11.1966, the inter se seniority of direct recruits and promotees in each of the services, namely, the Buildings and Roads Branch, the Public Health Branch and the
S.S. BOLA v. B.D. SARDANA 519
Irrigation Branch will have to be re-drawn up in accordance with the provisions of the Act. The seniority lists already drawn up subsequent to the judgments of this Court in the cases of Sehgal and Chopra as well as during the pendency of these appeals in this Court are of no consequence in view of the Act coming into force. [577-D-F] B , Per S. Saghir Ahmad, !. (Concurring) :
1.1. Under the scheme of the Constitution, it is competent for the Legislature to put an end to the finality of a judicial decision and, there- fore, it would be competent for the Legislature to render ineffective the judgment of the court by changing the basis of the Ac.t upon which that judgment was founded. The power to make a law includes the power to give it retrospective effect subject to the restriction imposed by Article 20(1) of the Constitution that a Legislature cannot make retrospective penal laws. It would be valid for the Legislature to make any other enactment with retrospective effect provided no fundamental right is infringed by reason of its taking away the vested right. [578-G-H; 579-A]
Shri Prithvi Cotton Mills Ltd. & Anr. v. Broach Borough Municipality & Ors., [1970] 1 SCR 388 = [1969] 2 SCC 283; In re: Cauvery Water Disputes Tribunal, AIR (1992) SC 522 = [1993] Supp. 1 SCC 96 a11d E Bhubaneshwar Singh v. Union of India, [1994] 6 SCC 77, relied on.
Madan Mohan Pathak v. Union of India & Ors., [1978] 3 SCR 334 = [1978] 2 sec 50, referred to. 1.2. To declare what the law is or has been is a judicial power. To F declare what the law shall be is a legislative power. It would be within the exclusive domain of judiciary to expound the law as it is and not to speculate what it should be as it is the function of the Legislature. It is also within the exclusive power of the judiciary to hold that a Statute passed by the Legislature is ultra vires. The Legislature in that situation G does not become a helpless creature as it continues to remain a living pillar of a living Constitution. Though it cannot directly override the judicial decision, it retains the plenary powers under Articles 245, 246 and 248 of the Constitution to alter the law as settled or declared by judicial decisions. [578-8-E] H
p. 520
A Mis. Anwar Khan Mahboob Co. v. State of Madhya Pradesh, (1966] 2 SCR 40, relied on.
Finn CJ. Patel & Co. & Ors. v. The State of Madhya Pradesh, AIR (1953) SC 108, already overruled.
B 2.1. The Legislature can also validate an Act which was declared invalid by the Court or amend it with retrospective effect so as to remove the grounds of its invalidity. [578-F)
Rai Ramklishna & Ors. v. State of Bihar, [1964) 1 SCR 897 and Mt. C Jadao Bahuji v. Municipal Committee, Khandwa & Anr., AIR (1961) SC 1486, relied on.
2.2. Where, however, the statutory provision is interpreted by the Court in a particular manner and directions are issued for implementing the judgment in the light of the interpretation placed on the statutory provisions, the Legislature need not pass a validating Act. In this situation, the Legislature, in exercise of its plenary powers under Articles 245, 246 and 248, can make a new Act altering fundamentally the provisions which were the basis of the judgment passed by the Court. This can be done with retrospective effect. So far as service conditions are concerned, they can be altered with retrospective effect by making service rules under Article 309 or by an Act of the Legislature. [580-A-C]
2.3. In the instant cases, the judgments rendered by this Court in the earlier decisions relating to the seniority of the present incumbents were founded on the service rules then existing. These service rules have since been replaced by the Haryana Service of Engineers, Class I Public Works Department (Buildings and Roads Branch) Respectively Act, 1995, which has been enforced with retrospective effect. The rule of seniority has been altogether altered and replaced by a new law made with retrospective effect so as to do away with the mischief under which an undue advantage was being provided to a direct recruit, which was wholly inequitous and not sustainable on the principles of equity. The Act is valid, except the expres- sion in s. 25, i.e. "to the ext~nt that these rules shall continue to apply to the persons who are members of the Service before 1st day of November H 1966", which is invalid. [580-C-F]
S.S. BOLA v. B.D. SARDANA 521 Comorin Match Industlies (P) Ltd. v. State of Tamil Nadu, [1996) 4 A SCC281; Indian Aluminium Company v. State of Kera/a, [1996) 7 SCC 637 and Meerut Development Authority & Ors. v. Satbir Singh & Ors., [1996) 11 sec 462, relied on.
3. The judgments of the Punjab & Haryana High Court are liable to be set aside, with a direction to the State Government to re-determine the B question of seniority in the light of this judgment and the Act. [580-G]
Per K Ramaswamy, J.
1.1. The Legislature of Haryana was competent under Article 309 or Entry 41 of List II (State List) of the Seventh Schedule to the Constitution C to enac4he Haryana Service of Engineers Class I Public Works Depart· ment, (Buildings and Roads Branch), (Public Health Branch) and (Irriga· tion Branch) Respectively Act, 1995. But, since the Act has with retrospective effect, in substance and in effect, declared the law laid down by this Court in the cases of Sehgal * and * Chopra as unenforceable by D an indirect side track process of legislative fiat, it is unconstitutional. [681-F-G; 682-A·B]
. A.N. Sehgal and Ors. v. Raje Ram Shesoran and Ors., [1992) Supp. 1 SCC 304; S.L. Chopra & Ors. v. State of Ha1yana and Ors., [1992) Supp. 1 sec 391, referred to. E 1.2. The Punjab Service of Engineers Class I Public Works Depart· ment (Buildings and Roads Branch) Rules, 1960 and the Punjab Service of Engineers Class I Public Works Department (Public Health Branch) Rules, 1961, to the extent they are applicable to State of Haryana, !!OW repealed, as interpreted by this Court in Sehgal and Chopra's cases, is the F law under Article 141 of the Constitution. It binds not only inter-parties, but also the other wings of the State, namely, the Legislature and the Executive and all. The mandamus issued therein along with directions to prepare the seniority list and its implementation operates inter-patties and binds the State of Haryana. [681·D·E] G 1.3. The Legislature is not competent to declare with retrospective effect that the law declared by this Court under Article 141 of the Con· stitution in Sehgal and Chopra cases is illegal; nor is it empowered to make the mandamus and directions issued therein as ineffective and unenforce· able, except in certain given circumstances. (681-G-H] H
p. 522
A Madan Mohan Pathak & Anr. v. Union of India & Ors., AIR (1972) SC 50; Janapada Sabha Chhindwara etc. v. The Central Provinces Syndicate Ltd. & A11r. etc., [1970] 3 SCR 745; State of Tamil Nadu & Anr. v. M. Rayappa Gounder & Ors., [1971] 3 SCC 1; Municipal Corporation of the City of Ahmedabad etc. v. New Shorock Sug. & WVg. Co. Ltd. etc., [1971] 1 B SPG 288; /.N. Saksena v. The State of Madhya Pradesh, [1976] 3 SCR 237; Ex. Capt. K. C. Arora & Anr. v. State of Haryana & Ors., [1984] 2 SCC 218; State of Gujarat&Anr. v.Raman Lal Keshav Lal Soni & Ors., [1963] 2 SCC 33; State of Haryana & Ors. v. Kamal Co-operative Fonners' Society Ltd. & Ors., [1993] 2 SCC 363; Cauvery Water Disputes Tribunal [1993] Supp. 1 SCC 96; S.R. Bhagwat & Ors. v. State of Mysore, [1995] 6 SCC 16; Delhi C Cloth & General Mills Co. Ltd. & Anr. v. State of Rajasthan & Ors., [1996] 2 SCC 449; Peddinti Ve11kata Muraliranganatha Desika Iyengar & Ors. v. State of A.P. & Anr., [1996] 3 SCC 75; K Sa11kara11 Nair (Dead) through Lrs. v. Devaki Amma Malathy Amma & Ors., [1996] XI SCC 428, relied on.
2.1. Judicial review is the basic feature of the Constitution which has been entrusted to the constitutional Courts, namely, the Supreme Court of India and High Courts under Article 32 and Articles 226 and 227 respectively. Judicial review passes upon constitutionality of legislative Acts or administrative actions. The Courts either would enforce valid Acts/actions or refuse to enforce them when found unconstitutional. It is the constitutional duty and responsibility of the constitutional Courts, as assigned under the Constitution, to maintain the balance of power between the Legislature, the Executive, and the Judiciary. In a Parliamentary democracy, for the constitutional democracy to remain a living moral and intellectual force, it would be enforced through judicial review z.s an arch of democracy and rule of law. [682-C-E]
,Special Refere11ce No. 1 of 1964 [1965] 1 SCR 413; Mi11e1va Mills v. U11io11 of India, [1980] 3 SCC 625; L. Chandra Kumar v. U11ion of India, [1997) 3 SCC 216; S.R. Bommai v. U11io11 of I11dia, [1994) 3 SCR 1 and Kihoto Hollohan v. Zachillhu a11d Ors., [1992] Supp. 2 SCC 651, followed. G C. Ravicha11dran Iyer v. A.M. Bhattacharjee, [1995] 5 SCC 457 and Kartar Si11gh v. State of Punjab, [1994] 3 SCC 569, referred to.
2.2. In adjudging the constitutionality of an Act or action, the Court is required to carefully scan the impugned law to find out (a) whether the H vice pointed out by the Court or the invalidity suffered by the previous law
S.S. BOLA v. B.D. SARDANA 523 is cured complying with the legal and constitutional requirement, (b) A whether the legislature has competence to enact the law to validate the law, and (c) whether such enactment of Act or validation is consistent with the constitutional principles or within limitations set by the Constitutional or fundamental rights enshrined in Part III of the Constitution. The Court can take into account the real consequences while judging the width of the B power; the Court cannot ignore the consequences flowing from particular construction ascertaining the limits of the provisions that granted the power. [683-C-F; 684-C-E]
-· 3.1. Separation of power among the Legislature, the Executive and the Judiciary is also basic feature of the Constitution. [636-A] C His Holiness Kesavananda Bharati Sripadagalavam v. State of Kerala, [1973] Supp. SCC 11, followed.
3.2. The Legislature in enacting new law or amending the existing law or revalidating the law has power to alter the language in the statute by employing the appropriate phraseology and to put up its own inter- pretation inconsistent with that put up by the Court in au earlier judgment on the basis of the pre- existing law and to suitably make new law, amend the law or alter the law removing the base on which the previous decision was founded. The changes or altered conditions have to be such that the previous decision would not have been rendered by the Court had those conditions existed at the time of declaration of the law in the previous decision as invalid. It is also empowered to give effect to the Acts so enacted or revalidated prospectively or retrospectively with a deemed date or with effect from a particular date. But such an enactment must be applicable prospectively and not to the cases which have become final and the rights having accrued to the parties for long under the judgment cannot be taken away except in the cases of fiscal statutes or cases relating to procedural facets of the Act. [684-A-C; F-G]
Indian Aluminium Ltd. v. State of Kera/a, [1996] 1 SCC 637; Prithvi G Cotton Mills Ltd. v. Broach Borough Municipality & Ors., AIR (1970) SC 192; Sada musa Sugar Works & Ors. v. State of Bihar & Ors., [1996] 9 SCC 681; K Kannadasan v. State of Tamil Nadu, [1996] 5 SCC 670; Comorin Match Indust1ies (P) Ltd. v. State of Tamil Nadu, [1996] 4 SCC 281; R.L. · Arora v. State of Uttar Pradesh & Ors., [1964) 6 SCR 784 and Meerut Development Auth01ity v. Satbir Singh, [1996] 11 SCC 464, relied on. H
524 SUPREMECCURTREPORTS [1997] SUPP.2S.C.R.
A M.M. Pathak v. Union of India, [1978] 3 SCR 334; Udai Ram Shanna t.. & Ors. etc. v. Union of India, [1968] 3 SCR 41; Mis. Utkal Contractors & Joinery (P) Ltd. v. State of Orissa, [1967] Supp. SCC 751; Vinay Mills Co. Ltd. v. State of Gujarat, [1993] 1 SCC 345 and Bhubaneshwar Singh & Anr. v. Union of India & Ors., [1994] 6 SCC 77, referred to. B 3.3. The Legislature has no power to overrule the decision of a con- stitutional Court by mere declaration without properly and constitutionally removing the base upon which the previous decision was founded; nor has it power to direct that the decision of the Court does not bind the State or its instrumentalities. The legislative judgm'ent,. by a facade of compliance or c removal of the base, cannot render the decision or a writ of mandamus issued by the Court ineffective or invalid by a declaratory law that the pre- vious decision of the Court is illegal or inequitous. Such a declaration is not conclusive, but is subject to judicial review. The real test is the effect of the legislation tested on the touch-stone of the Constitution and its direct result on the declaration of law as interpreted earlier or the mandamus/direction D issued by the Court in the previous litigation. The doctrine of incidental power, cannot be extended to the exercise of the legislative power colourably or by fraud on the Constitution. [684-H; 685-A-B; 686-A]
3.4. If the Legislature finds that the declaration of law by this Court/High Court is not consistent with the public policy envisaged in the E Act and the interpretation seems to defeat the public interest or public jus- tice, certainly the Legislature would be entitled to formulate its legislative policy consistent with the constitutional scheme and enact the law/amend even the law declared by.this Court. [663-D-E]
F Indra Sawhney v. Union ofIndia, [1993] Supp. 3 SCC 217, relied on.
I. Venkata Reddy & Ors. v. State of Andhra Pradesh, [1965] 3 SCC 198 and V.M. Syed Mohammad & Co. v. The State ofAndhra Pradesh, [1954] SCR 1117, referred to.
G 4.1. The Statement of Objects and Reasons and the Preamble of an A'ct opens the minds of the makers in enacting the law. It cannot altogether be of eschewed from consideration of the relevant provisions the Act, when its c::: constitutionality is tested and objects of the Act sought to be achieved. [687-C-D]
H 4.2. The Statement of Objects and Reasons while making reference
S.S. BOLA v. B.D. SARDANA 525 of decisions rendered by this Court in Sehgal and Chopra, indicates in A unmistakable brazen terms that the reasons for the enactment was that the declaration of law of this Court became unworkable and caused hardship to senior officers as junior officers gained undue advantage under the law declared by this Court. The object was to undo it and to declare the law in unambiguous terms by enacting the Act. [632-C-D] B 4.3. It is seen from the record, that apart from the Statement of Objects and Reasons, specific stand was taken by the Government in the counter-affidavit filed in the writ petition before the High Court; and the Financial Commissioner in his order while determining the inter se seniority, had expressed himself that the interpretation in Sehgal and C Chopra's cases created inequitous situation favourable to direct recruits creating heart-burning among the promotees. That would indicate that brazen attempt was made by the Executive to mask their stand through legislative intervention. The Legislature did not adopt a proper device in enactment of the Act and there is no doubt that had it been brought to the D notice of the Legislature that the impact of the Act would lead to conflict between judicial review and legislative judgment, Legislature would not have found it expedient or attempted to enact the law to deflate the mandamus making it ineffective and rendered the correct declaration of law as illegal. [662-C-F] E 4.4. The principle of fraud on power is applicable when the Legislature has power to enact but does not exercise that power as elucidated upon. On the other hand, the doctrine of fraud on the Constitution means that when the Legislature has no power and in spite of the constitutional limitation or prohibition, it makes enactment in pretence of its power. [686-G-H; 687-A] F 4.5. The present Act made with retrospective effect is a fraud on the Constitution; a colourable exercise of power; transgression of and trespassing into the power of judicial review expressly conferred in the constitutional Courts, namely, Supreme Court of India under Article 32 and the High Courts, under Article 226i227 of the Constitution. [687-D-E] G
K.C. Ganpat Narayan Dea & Ors. v. The State of Orissa, [1954] SCR 1, referred to.
4.6. The contention that in s. 25 of the Act the word 'except' should be supplied by employing the doctrine of casus omissus, cannot be accepted. The H
p. 526
A legislation did not intend to introduce exception in view of the fact that they cannot directly overrule the decisions in Sehgal and Chopra. What they can· not directly do, cannot indirectly be allowed to be done. The Court cannot compound the camaflouge by supplying the so called omission deliberately caused by the legislature. It is not an unintentional one. [650-C·G]
B Mis. Pyarchand Kesarimal Ponwal Bidi Factory v. Onkar Laxman Thange & Ors., (1969] 2 SCR 272 and JNU v. Dr. KS. Jawatkar & Ors., [1989] Supp. 1 SCC 679, referred to.
Nomes v. Doncaster, (1940) 3 All. E.R. 549, referred to.
c 5.1. The object of inducting young blood by direct recruitment into the service and experienced officers by promotion is constitutionally permis- sible and valid to augment efficiency of service to inculcate discipline, hones· ty, integrity and excellence in higher echelons of service. Similarly, prescription of degree qualification (higher qualification to posts with higher responsibility) for promotion to the higher services is valid. [687-F-G] State of Jammu and Kashmir v. T.N. Khosa, AIR (1974) SC 1 and Mohd. Sugat Ali v. State of Andhra Pradesh, [1976] SCR 482, followed.
5.2. The prescription of the ratio between direct recruits and promotees is equally constitutionally permissible and the permissible limits shall not be altered by executive action, unless the Executive has power. It should give proper, valid and satisfactory explanation in writing prior to exercise of the said power, for deviation from the quota rules and that too as a short term arrangement to tide over administrative ex- p pedience. (687-G-H; 688-A]
S.C. Jaisinghani v. Union of India & Ors., [1967] 2 SCR 703; Shri H.D. Helms & Ors. v. Shri Mohan Chandra Joshi, AIR (1972) SC 2627; Bachan Singh & Anr. v. Union of India & Ors., (1972] 3 SCC 898; V.B. Badami Etc. G v. State of Mysore & Ors., (1976] 1 SCR 815 and Keshav Chandra Joshi & Ors. v. Union of India & Ors., [1992] Supp. 1 272, relied on.
Narender Chandra & Ors. v. Union of India & Ors., (1986] 1 SCR 211; Buleshwar Das v. State of U.P., [1981] 1 SCR 449; M.K. Chauhan v. State of Gujarat, [1971] 1 SCR 1037 and Gonna/ Bhimappa v. State of Kamataka, H [1993] Supp. 3 sec 449, referred to.
S.S. BOLA v. B.D. SARDANA 527 5.3. The Rules concerned are required to be interpreted as regards the operation and effect of the deviation from the quota rules and its effect on the main principle of prescribing quota and integration of the promotee officers into the service on strict compliance with the relevant provisions of the Act/Rules. [688·A·B]
5.4. In an appropriate case, the quota may be relaxed temporarily with a view to meet the administrative exigencies by filling up the posts by promotees. The promotion of the promotee officers to an ex-cadre post or cadre posts would only be to meet the administrative expedience. That would be done, so long as the direct recruit Assistant Executive Engineers, who are members of the Service in junior scale of pay are not available for promotion as Executive Engineer and upwards in accordance with the Rules. As soon as the direct recruits become available, the inter se seniority between the direct recruits and the promotees as Executive Engineers or upward shall be determined in accordance with the Rules/Act within the respective quota. Any appointment in excess of quota is invalid and the service rendered thereunder becomes fortuitous. [688·B·E)
6.1. No one has a vested right to promotion or seniority. The rule/provision in an Act merely affecting the chances of promotion would not be regarded as varying the conditions of service. The chances of promotion are not conditions of service. A rule which merely affects the chances of promotion does not amount to change in the conditions of service. [689·B·E]
State of Maharashtra & Anr. v. Chandrakant Anant Kulkami & Ors., {1981] 4 SCC 1301; Vinod Gurndas Ralkar v.National Insurance Co. Ltd. & Ors., [1991] 4 SCC 333; Zoharabi v. Arjuna & Ors., [1980] 2 SCC 203, F inapplicable.
Ashok Kumar Gupta & Anr. v. State of U.P. & Ors., [1997] 5 SCALE 289, referred to. . KC. Ganpat Narayan Deo & Ors. v. The State of Onssa, [1954] SCR G 1, cited.
6.2. An officer has an interest to seniority acquired by working out the rules. The seniority would be taken away only by operation of valid law. Right to be considered for promotion is a rule prescribed by conditions of H
p. 528
A service. Once a declaration of law, on the basis of existing rules is made by a constitutional Court and a mandamus is issued or direction given for its enforcement by preparing the seniority list, operation of the declaration . of law and the mandamus and directions issued by the Court is the result of the declaration of law but not the operation of the rules per se. [689-C-E]
B 6.3. Affecting the right of a person to be considered for promotion amounts to affecting the conditions of service, though affecting mere chance of promotion may not. The power to frame rules to regulate the conditions of service under the proviso to Article 309 carries with it the power to amend or alter the rules with retrospective effect. However the C benefits acquired under the existing Rules cannot be taken away by an amendment with retrospective effect, that is to say, that there is no power to make such a rule under proviso to Article 309 which affects or impairs ·{ ' vested rights. [678-F-G]
B.S. Wadera v. Union of India, [1968) 3 SCR 575; Raj Kumar v. Union D of India, [1975) 3 SCR 963; K. Nagaraj & Ors. v. State of Andhra Pradesh & Anr., [1985) 1 SCC 523; T.R. Kapur & Ors. v. State of Haryana & Ors., [1986) Supp. SCC 584, referred to.
6.4. When an Act is made or an amendment to the law is made or E revalidation of law is made by colourable exercise of power or fraud on the Constitution, it does not affect the vested rights. The right accrued by the declaration of law or the mandamus or directions issued by the Court cannot be taken away by such law or a valid law by retrospective operation since in the earlier litigation the Court did not declare any law as invalid or unconstitutional. This Court merely declared the law and directed the F State Government to implement the law. [689-E-G]
6.5. In the instant case, as a result of the mandamus issued by this Court, which has become final, a judicially recognised right has been vested in the direct recruits to have their seniority determined under the G repealed Rules; the said right is still available even after the Act has comr into force with retrospective effect since the retrospective effect has already, been held unconstitutional and the repealed Rules are saved by operation of Section 25 of the Act. As a consequence, they are entitled to have their seniority determined accordingly. [678-G-H; 679-A]
H 6.6. Preparation of seniority list in accordance with the declaration
S.S. BOLA v. B.D. SARDANA 529 of law and the mandamus/direction issued is required to be complied with A -· by the State Government unless it is properly revised or reversed by a constitutional Court in hierachy of appeals etc. Once the judgment attains finality, the directions given should be followed thereunder. The law is required to be implemented in its true spirit and not by mere pretence or facade of compliance. [689-G-H; 690-A] B 6.7. The Act is unconstitutional to the extent of retrospective operation of. the Act. The prospective operation does not have any effect on the settled rights of the parties to these litigations since the repealed Rules are saved under s. 25 of the Act and would continue to apply to them. As ·a consequence, they are entitled to have their seniority determined accordingly. Even otherwise, the rights secured by declaratory law were not affected. (690-A-B]
6.8. The prospective operation of the Act from the 4ate of its coming into force namely, 30th November, 1995, would be worked out in the light of the declaration of law in this judgment and be applicable to the other persons in the Service on and from that date or for the purpose of future promotions under the Act to those officers who were not parties to the litigation. [690-B-C]
7.1. A promotee becomes member.of the Service under the repealed E Rules vis-a-vis Buildings ~nd Roads Branch or Public Health Branch only when he is appointed substantively in accordance with Rule 8(9) of the respective Rules including Irrigation Branch within the quota. The decla- ration of law in Sehgdl and Chopra's cases ri:mains unaffected ~nder the Act and continues to be ill force. Similarly, any appointment made and weightage given to the promotees in excess of their quota, does not have any legal effect on the right to the seniority and the promotees within their quota alone are entitled to count their entire length of service from the respective dates of probation, without break. [691-A·B]
7.2. Even if relaxation by way of promotion in excess of the quota is temporarily made by the State Government, the State Government shall record reasons in support ofits action. However, such temporary deviation does not have any effect on the ratio prescribed under the Act/repealed Rules except that the promotee officers from Class-II Service belonging to Irriga- tion Branch are enabled to acc1uire the probationary status as Class-I Officers on a cadre/ex-cadre post. The confirmation of the probation awaits H
p. 530
A the substative vacancy. Until then, the promotees from Irrigation Branch do not become members of the Service in a substantive capacity. The same position has been created under the Act uniformly to all officers. ·- [690-D-E] 7.3. Seniority of a direct recruit appointed as Assistant Executive B Engineer starts from the date on which he starts discharging duties of the post as probationer be it in a substantive vacancy or on ex-cadre post. His seniority remains unaltered. He continues to be a member of the Service of junior scale of pay even before being appointed as Executive Engineer, i.e., in the senior scale of pay to a cadre/ex-cadre post after his promotion as Executive Engineer on probation being declared, if the prescribed mini- C mum period of service is completed or if the same is relaxed by the State Government uniformly to the promotees and the direct recruits, as was held in Chopra's case. Therefore, his seniority has to be determined and promo- tion given within the quota of the direct recruits as Executive Engineer and above in a substantive capacity. [691-C-E] D S.C. Jaisinghani v. Union of India & Ors., [1967] 2 SCR 703, relied on.
Bishan Sarnp Gupta Etc. Etc. v. Union of India & Ors., Etc. Etc., [1975] 1 SCR 104, referred to. E 7,4. The Class II Officers became eligible for promotion as Executive Engineers only after the Committee prepared the list of the eligible officers in accordance with Rule 8 of the repealed Rules/Section 8, after approval by the. Public Service Commission and the State Government. Class II Officers whose names find place in the approved list shall be appointed by promotion as Executive Engineers and upwards as probationers in the order in the list. Appointment on probation and declaration thereof does not get ripened into appointment substantively to cadre post. Appointment to a cadre post available within quota is a condition precedent to become a member of the Service in a substantive capacity. The inter se seniority of the direct recruits and promotee Class II Executive Engineers then shall be determined in accordance with the Rules. It requires to be worked out on that basis. [691-E-F]
7.5. The Division Bench of the High Court, therefore, was not correct to say that 10 posts of the promotees in Public Health Branch occupied from the date of initial constitution, is not challengeable and was not
S.S. BOLA v. B.D.SARDANA(PATIANAIK,J.] 531 challenged and, therefore, the contention that all the 10 posts would be occupied by the promotees in the cadre post, is fallacious and incorrect. Only 50% of the promotees (75% for 8 years in Irrigation Branch) allotted by the State of Punjab to the Haryana Service of Engineers, Class-I on and with effect from 1st day of November, 1966, shall be retained within their quota and balance five posts in Public Health Branch, shall be made over to the direct recruits. The preparation of seniority on that basis is perfectly consistent with the mandamus issued by this Court. Equally the direction issued by this Court with regard to the petitioner in Irrigation Branch and the other direct recruits in Buildings and Roads, Public Health and Irrigation Branches respectively would be applied on the same principles as applied to other direct recruits. They should be carried out accordingly. C The State Government would draw the seniority list afresh in the light of the above law and the directions. The directions of the two Division Benches of the High Court are confirmed with the modifications hereinabove. [691-H; 692-A-F]
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 422 of D 1993 Etc.
From the Judgment and Order dated 27.8.92 of the Punjab & Haryana High Court in C.W.P. No. 9358 of 1989. E D.D. Thakur, K.T.S. Tulsi, Rajinder Sachhar, N.B. Shetye, Dr. Rajeev Dhawan, Ms. Aparna Rohtagi, K.B. Rohtagi, N.N. Bhatt, Jasbir Malik, Prem Malhotra, Jinandra Lal, (B.D. Sardana) (In- Person), Mahabir Singh, S.C. Patel, Dhruv Mehta, S.K. Mehta, Fazlin Anam, S. Verma, Adarsh Goel, Sudershan Ooel, P.N. Puri and P.K. Manohar, for the appearing parties.
Judgment
The Judgments of the Court were delivered by
PATTANAIK, J. I have gone through the erudite judgment prepared by Brother Ramaswamy, J. and having given an anxious consideration to the conclusion arrived .at I am in respectful disagreement with the same. Taking into account the fact that Brother Ramaswamy, J. would be demit- ing his office on 13th of July, 1997, and the short time I have at my disposal I have not been able to be as elaborate as my brother but the two broad features which have persuaded me to take a contrary view are that the H
p. 532
A implementation of the conclusions arrived at by Brother Ramaswamy, J. would lead to a situation where a direct recruit like Mr. B.D. Sardana as an Assistant Executive Engineer in the year 1977 would become senior to the promotee like Sri S.S. Bhola who were promoted as Executive Engineer way back in 1971 long before the entry of Mr. Sardana into the service. B Further when the legislatures being aware of the aforesaid gross inequities and anomalous situation have come forward with a legislation by enacting an Act and giving it retrospective effect from the date the State of Haryana came into existence the Court should try to sustain the Act unless the Act is found to be repugnant to any of the constitutional provision. With the C aforesaid background I have endeavoured broadly with the questions that arose for consideration.
These appeals by Special Leave as well as the Transfer Cases relate to the age old problem in almost all services i.e. determination of inter-se seniority between the direct recruits and promotees within a cadre. These D cases arise out of the earlier directions of this Court in two cases, namely, A.N. Sehgal and Others v. Raje Ram Sheoran and Others, [1992) Supp. 1 Supreme Court Cases, 304 and S.L. Chopra and Others v. State of Haryana and Others, [1992] Supp. 1 Supreme Court Cases 391 and the seniority list drawn up by the Government of Haryana pursuant to the aforesaid direc- E tion and the intervention by the legislators in enacting an Act called the Haryana Service of Engineers, Class I, Public Works Department (Build- ings and Roads Branch), (Public Health Branch) and (Irrigation Branch) Act, 1995 (hereinafter referred to as 'the Act'). Civil Appeals nos. 422/93, 423/93 and 424/93, Writ Petition No. 582/95, and Transfer Case No. 44/96 F relate to Public Health Branch and the orders passed by the State Govern- ment determining the inter se seniority in the said Branch. Out of these three Civil Appeals one is by the State of Haryana and two others are by the promotee affected officers belonging to the Public Health Branch and they are aggrieved by the judgment of the Division Bench of the Punjab and Haryana High Court in Letters Patent Appeal . Writ Petition No. G 582/95 is by direct recruit B.D. Sardana under Article 32 of the Constitu- tion challenging the validity of the Act and praying for direction to grant him seniority just below the 10 officers who initially constituted the service when the State of Haryana came into existence. Transfer Case No. 44/96 had also been filed by direct recruit in the Punjab and Haryana High Court H challenging the validity of the Act which has been transferred pursuant to
S.S. BOLAv. B.D.SARDANA(PATIANAIK,J.] 533
the orders of this Court. Civil Appeal Nos. 1448-49/93 filed by the State A and Civil Appeal Nos. 1452-53/93 filed by the promotee officers belonging to the Irrigation Branch are directed against the judgment of the Division Bench of· the Punjab and Haryana High Court in Letters Patent Appeal which arose out of a Writ Petition filed by one M.L. Gupta who was directly appointed as an Assistant Executive Engineer on 27.8.1971. Trans- B . fer Case No. 40/96 is the Writ Petition filed by Shri Gupta challenging the validity of the Act which stood transferred to this Court pursuant to the orders of this Court. The brief facts leading to the enactment of the Act may be stated as under:
The separate State of Haryana came into existence on 1.11.1966. C When Punjab and Haryana was one State, the recruitment and conditions of service of Engineers in the State was being regulated by Rules framed by the Governor of Punjab in exercise of powers conferred by proviso under Article 309 of the Constitution. The set of Rules dealing with the Engineers of the Public Health Branch was called "The Punjab Service D Engineers, Class-I, Public Works Department (Public Health Branch) Rules 1961. A similar set of Rules had also been framed by the Governor under Proviso to Artide 309 of the Constitution for the Engineers belong- ing to the Roads and Buildings Branch called the Punjab Service of Engineers, Class-I, Public Works Department (Roads and Buildings E Branch) Rules, 1960. The provisions of these two rules are almost identical. A third set of Rules also had been framed by the governor for Engineers belonging to the Irrigation Branch, called ''The Punjab Service of En- gineers, Class-I, Public Works Department (Irrigation Branch) Rules. After the formation. of the State of Haryana the Government of Haryana adopted all the aforesaid three rules to deal with the service conditions of F the Engineers belonging to the three branches, namely, the Public Health Branch, the Roads and Buildings Branch and the Irrigation Branch. The dispute relating to the fixation of seniority of promotees and direct recruits in the Roads and Buildings Branch came up for consideration before this Court in the case of A.N. Sehgal and Others v. Raje Ram Sheoran and G Others, [1992] Supp. 1 Supreme Court Cases 304, and this Court after thorough analysis of different provisions of the Rules relating to the Roads and Buildings Branch interpreted the Rules of seniority and directed the Government of Haryana to determine the ·cadre post regularly from time to time and to issue orders appointing substantively to the post within the H
534 SUPR;EME COURT REPORTS [1997) SUPP. 2 S.C.R.
A quota and determine the inter se seniority between the promotees and the direct recruits in the respective quota cadre post of Executive Engineer. The provisions of the Public Health Branch Rules came up for considera- - tion in the case of S.L. Chopra & Ors. v. State of Haryana and Ors., [1992] Supp. 1 Supreme Court Cases 391, and the dispute in that case also was the determination of inter se seniority between the direct recruits and the promotees. This Court also interpreted the relevant provisions of the Rules for determination of intd se seniority in the Public Health Branch and directed the State Government to determine the cadre strength in Haryana Service of Engineers, Class I, PwD (Public Health Branch) Rules of the posts of Executive Engineer, Superh!lending Engineer and Chief Engineer and consider the cases of the appellant in the said case as well as the respondents for promotion to the senior posts of Executive Engineers, - Superintending Engineers and Chief Engin~ers respectively with the respective quota of 50 per cent and make appointment if found eligible and fit for promotion. It may be stated that the Rules relating to Irrigation Branch which is slightly different from both the aforesaid Rules, namely, the Public He~th Branch and Roads and Buildings Branch had never cropped up for consideration. After the aforesaid two judgments of this Court and pursuant to the directions issued, the State Government began the exercise of fixing the cadre strength during each year commencing from 1966 and also began determination of inter se seniority of the promotees and direct recruits in the different posts within the service and also drew up the seniority list of the employees. The first set of seniority list was drawn up on 6.4.1992 and being aggrieved by the said seniority list, Writ Petitions were filed and the Punjab and Haryana High Court having quash~d the same, Special Leave Petitions were filed in this Court. During the pendency of the Special Leave Petitions in this Court and prior to the hearing of the cases two other sets cif seniority lists had been drawn up, one on 13.3.1997 and another on 19.3.1997 and strenuous arguments had been advanced in support of and against the aforesaid lists drawn up by the Government. The main attack to the aforesaid list is that the earlier directions issued by this Court in Sehgal's case (supra) as well as Chopra's case (supra) have not been duly followed in drawing up the seniority list. Subsequent to the judgment of the Punjab and Haryana High Court striking down the seniority list prepared by the Government pursuant to the directions of this Court in Chopra's case (supra) the Haryana Legis-
S.S. BOLAv. B.D.SARDANA[PATTANAIK,J.] 535 lators enacted the Act to regulate the recruitment and conditions of service A·· of persons appointed in all the three branches and the validity of the said Act had been challenged in the Writ Petitions filed in Punjab and Haryana High Court. Those Writ Petitions have been transferred to this Court and have been numbered as transfer cases. Elaborate arguments were advanced by the counsel for parties challenging the validity of the aforesaid Act B basically on the ground that it seeks to merely annul the judgment of this Court in Sehgal's case (supra) and in Chopra's case (supra) which is not permissible in law. It may be stated that if the Act is held to be valid then necessarily the seniority list drawn up by the State Government pursuant to the directions of this Court in Sehgal's case (supra and Chopra's case C (supra) will not hold good and a fresh seniority list has to be drawn up as the Act in question has been given retrospective effect with effect from the date of the formation of the State of Haryana in November 1966. If the Act is held to be ultra vires then also it has to be examined whether the seniority list drawn up by the State Government is in accordance with the earlier direction given by this Court in Sehgal's case (supra) and Chopra's case D (supra) and if not what further directions are necessary? It is in this context it must be borne in mind that in the earlier cases only the principles of determination of inter se seniority between the direct recruits and the promotees had been considered and adjudged but as to how the initial allottees to the services would be considered there was no adjudication in E as much as that question did not crop up for consideration.
So far as the the Public Health Branch is concerned, on the date of the formation of the State of Haryana 14 persons were brought frollf the erstwhile Punjab cadre of Engineers to constitute the initial cadre in the F State of Haryana and since the cadre strength of the service in Haryana was only 10, four of these persons were adjusted against l!X-cadre post. While bringing persons from the erstwhile Punjab cadre to Haryana the . relevant rules and the quota of direct recruits and promotees in the service had not been borne in mind and officers were brought from the erstwhile Punjab cadre depending upon the domicile of the employees. In other G . words, those who belonged to the Haryana State were brought over to ; Haryana cadre and in regulating the cadre strength the ratio between direct recruits and promotees as per Recruitment Rules then in force had not been observed. In the aforesaid premises a question which would arise for consideration and ultimate decision would be as to how these 10 officers H
p. 536
A who were brought over from the erstwhile Punjab State and constituted the initial cadre strength of service in Haryana would be dealt with? This question had not been dealt with either in Sehgal's case or in Chopra's case referred to S1;1pra. At this stage it would be appropriate to notice as to what was decided by this Court in Sehgal and Chopra. Sehgal deals with roads and building branch. In that case, one R.R. Sheoran·challenged Gradation List and the seniority assigned to Sehgal and others by filing a writ petition in Punjab and Haryana High Court. The Division Bench of the High Court came to hold that Sheoran was a member of the service from the date of his initial appointment as Assistant Executive Engineer whereas Sehgal and others who were promoted were not members of the service. This decision was challenged by Sehgal, a promotee officer and it was agreed between the parties that this Court would decide the principles on consideration of the Rules and leave the matter for the State Government to determine the inter se seniority by applying the law. This Court considered Rule 3(1), Rule 3(2), Rule 5(1)(a). Rules 6 and 7, Rule 11(1), Rule 12(3) and sub-rule (12) D of Rule 2. This Court came to conclusion that a direct recruit would always be recruited and appointed to a substantive vacancy and from the date he starts dis~harging the duty attached to the post he is a member of the service subject to his successfully completing the probation and declaration thereof at a later date and his appointment relates back to the date of initial E appointment, subject to his being discharged from service on failure to complete the probation \vithin or extended period or termination of the service according to rules. So far as a promotee is concerned it was held that a promotee would have initial officiating promotion to a temporary vacancy or substantive vacancy and on successful completion and declara- F tion of the probation, unless reverted to lower post he awaits appointment to a substantive vacancy. Only on appointment to a substantive vacancy he becomes a member of the service. It was also held that a direct recruit appointed to an ex-cadre post alone is a member of the service even while on probation and Rule 2(12)(a) applies to them and it does not apply to a G promotee from Class II service. This Court also held :
"on a conjoint reading of Rules (12(3) and 12(5) it is clear that the year of allotment of the Assistant Executive Engineer in the post of Executive Engineer, shall be the calendar year in which the order of appointment as Assistant Executive Engineer had been H made. Thus his seniority as Executive Engineer, by fiction of law,
S.S. BOLA v. B.D. SARDANA[PATIANAIK,J.] 537 would relate back to his date of initial appointment as Assistant A· Executive Engineer and in juxtaposition to Class II officers' seniority as Executive Engineer is unalterable".
Since Shri Sheoran was appointed as an Assistant Executive En- gineer on August 30, 1971, it was directed that his seniority as Executive B Engineer shall accordingly be reckoned. While interpreting Rule 5(2) and proviso thereto it was held that the intendment appears to be that so long as the direct recruit Assistant Executive Engineer, eligible and considered ~. fit for promotion is not available, the promotee from Class II service in excess of the quota is eligible to occupy in officiating capacity the senior posts, i.e. Executive Engineers and above. The moment direct recruits are available, they alone are entitled to occupy 50 per cent of their quota posts and the promotees shall give place to the direct recruits. On the question what is the date from which the seniority of a promotee as Executive Engineer shall be reckoned, the Court held that a promotee within quota under rule 5(2) gets his seniority from the initial date of his promotion and the year of allotment, as contemplated in Rule 12(6) shall be the next below 'the juniormost officer in the service whether officiating or confirmed as Executive Engineer before the former's appointment' counting the entire officiating period towards seniority, unless there is break in the service or " from the date of later promotion. Such promotee, by necessary implication would normally become senior to the direct recruit promoted later. Com- E bined operation of sub-rules (3) to (5) of Rule 12 makes the direct recruit a member of the service of Executive Engineer from the date of year of allotment as an Assistant Executive Engineer. The result is that the promotee occupying the posts within 50 per cent quota of the direct recruits, acquired no right to the post and should yield to direct recruit, though promoted later to him, to the senior scale posts i.e., Executive Engineer, Superintending Engineer and Chief Engineer. The promotee has right to confirmation in the cadre post as per Rule 11(4) if a post. is available to him within his quota or at a later date under Rule 5(2) read with Rule 11(4) and gets appointment under Section 8(11). His seniority would be reckoned only from the date of the availability of the post and the year of allotment, he shall be next below to his immediate senior promotee to that year or the juniormost of the previous year of allotment whether officiating or permanent occupying the post within 50 per cent quota. The officiating period of the promotee between the dates of initial promotion and the date of the availability of the cadre post would thus be H
p. 538
A rendered fortuitous and stands excluded. A direct recruit on promotion within the quota, though later to the promotee is interposed in between the periods and interjects the promotee's seniority snaps the links in the chain of continuity and steals a march over the approved promotee P!Obationer. Harmonious construction of Rules 2(1), 2(3), 2(7); 2(10), 2(12), 2(12)(a), 5(2)(a), 8, 9(2), 11, 12(3), 12(5) to 12(7) would yield to the above result, lest the legislative animation would be defeated and the rules would be rendered otiose and surplus. It would also adversely affect the morale and efficiency of the service. Mere officiating appointment by promotion to a cadre post outside the quota; continuous officiating therein and declaration of probation would not clothe the promotee with any right to claim seniority ov::r the direct recruits. The necessary conclusion would, therefore, be that the direct recruit shall get his seniority with effect from the date of the year of the allotment as Assistant Executive Engineer which is not alterable. Whereas the promotee would get his seniority w.e.f. the date of the availability of the posts within 50 per cent quota of the promotees the year of allotment is variable and the seniority shall be reckoned accordingly. Appointment to the cadre post substantively and confirmation thereof shall be mad.e under Rule 8(11) read with Rule 11(4) of the Rules. A promotee Executive Engineer would only then become member of the service. 'Appointed substantively' within the meaning of Rule 2(12)(a) shall be construed accordingly, We, further hold that the seniority of the promotee from Class II service as Executive Engineer shall be determined with effect from the date on which the ca<lre post was available to him and the seniority shall be determined accordingly. Ultimately this Court directed the Government of Haryana to determine the cadre posts, if not already done, regularly from time to time including the post created due to exigencies of service in terms of Rule 3(2) read with Appendix 'A' and allot the posts in each year of allotment as contemplated under Rule 12 read with Rule 5(2)(a) and issue order appointing substantively to the respective posts within the quota and determine the inter se seniority between the appellants therein who were promotees and Sheoran, direct recruits in the respective quota cadre posts of Executive Engineer. The Court also held that the inter se seniority of the direct recruits and promotees shall be determined in accordance with the principles laid down.
In S.L. Chopra's case, which deals with Public Health Branch, this Court held that direct recruits get seniority from the date of appointment as Assistant Executive Engineer and it is unalterable. But the promotee's
S.S. BOLA v. B.D. SARDANA (PATIANAIK, J.] 539
. seniority is variable by operation of Rules 8(11) and 11(4); 2(12)(a) and A 5(2) of the Rules. The State Government was accordingly directed to determine the cadre strength in the Haryana Service of Engineers, Class I PWD (Public Health Branch) under the rules, Executive Engineers, Super- intending Engineers and Chief Engineers and consider the cases of the appellants therein as well as the contesting respondents B.D. Sardana, F.L. B Kansai for promotion to the senior posts of Executive Engineers, Superin- tending Engineers and Chief Engineers respectively with the respective quota of 50 per cent and make appointment if found eligible and fit for promotion. In the said case the appellant was a promotee and the respon- dents were direct recruits. c The seniority list which was drawn up on 6.4.92 assumed that out of ten incumbents who originally constituted the service in the Public Health Branch five have to be treated as direct recruits fictionally under Rule 5(3) and 5 as promotees so that the disparity in the ratio will not influence the future promotion. The seniority list which was drawn up on 19.3.97 took D the ten incumbents originally constituted service belonging to the quota of promotees since factually all of them were promotees under the Punjab Rules and then determined the inter se seniority of direct recruits and the promotees by application of law laid down by this Court in Sehgal's case (supra) Chopra's case (supra).· E In course of his submissions, Mr. Tulsi appearing for the State demonstrated that the Seniority List which was drawn up on 19.3.1977 topsy turbid the position to such an extent that a direct recruit as Assistant Executive Engineer who was not even born on the cadre when a promotee had been appointed as the Executive Engineer, such direct recruit became p senior to the promotee Executive Engineer. Such gross inequity which was resulted on account of giving effect to the Rules in force and interpreted by this Court in Sehgal and Chopra persuaded the legislature to intervene by enacting the Act and giving it retrospective effect.
Let us now examine the validity of the Act, itself which was cha!- G lenged by the direct recruits in filing Writ Petitions in the High Court of Punjab and Haryana and those Writ Petitions stood transferred to this Court. Mr. Sachar, the learned counsel appearing for the writ petitioners direct recruits contended that the Act is nothing but an usurpation of judicial power by the legislature to annul the judgments of this Court in H
p. 540
A Sehgal and Chopra and it merely declares the earlier judgments to be invalid without anything more and as such is invalid and inoperative. Further, the Act takes away the rights accrued in favour of the direct recruits pursuant to the judgments of this Court in Sehgal and Chopra and consequently the Act must be struck down. The learned counsel also urged that the mandamus issued by this Court in Sehgal and Chopra has to be B complied with and the State Legislature has no power to make the man- damus ineffective by enacting an Act to override the judgment of this Court which tantamounts to a direct in-road into the sphere occupied by judiciary and consequently the Act has to be struck down. This argument of Mr. Sachar was also supported by Mr. Mahabir Singh, the learned counsel c appearing for the petitioners in T.P. (Civil) No. 46 of 1997 in his written submissions and it was urged that in any view of the matter the legislatures could not have given retrospective operation to the Act itself with refer- ence to a situation that was in existence 25 years ago and such an act of the legislature must be held to be invalid as was held by this Court in the case of State of Gujarat and Another v. Raman Lal Keshav Lal Soni and Others, [1983) 2 S.C.C. 33. In elaborating the contention that the Act merely purports to override the judgment of this Court in Sehgal and Chopra the learned counsel referred to the Objects and Reasons of the Act as well as the affidavit filed on behal{ of the State Government which would unequivocally indicate that the Act was enacted to get over the judgments of this Court in Sehgal and Chopra.
Mr. K.T.S. Tulsi, the learned senior counsel for the State of Haryana and Mr: D.D. Thakur and Dr. Rajeev Dhawan, learned senior counsel appearing for the promotee respondents on the other hand contended that the power of the State Legislature under Articles 245 and 246 of the F Constitution is wide enough to make law determining the service condi- tions of the employees of the State and it is undisputed position of law that the legislature can make law giving it retrospective effect. According to the learned counsel the legislature having been aware of the inequities situa- tion which have been the result of the Rules which were operating for determination of the inter se seniority between the direct recruits and the promotees as interpreted by this Court in Sehgal and Chopra, intervened in enacting the Act to remove the aforesaid inequities not by merely declaring the interpretation given by this Court to the relevant provision of the Rules in Sehgal and Chopra to be invalid but by making substantial alterations and changes to the basis itself and and as such the legislatures
S.S. BOLA v. B.D. SARDANA[PATIANAIK,J.] 541
cannot be said to have encroached upon the field of judiciary nor the legislation can be held to be an act of usurpation of judicial power 9Y the legislatures. According to the learned counsel the basic changes made in the Act are by altering the definition of service by addition of sub- clause (c), by providing the quota of promotees could exceed beyond 50% as per proviso to Section 5(2) and· by changing the very criteria for determination of seniority namely the continuous length of service as engrafted in Section 12(2) and these changes having been made and the legislative competence not having been assailed, the Act must be held to be valid piece of legislation. It was also contended by the learned counsel that in deciding the constitutionality of the Act the Court can look into the Objects and Reasons of the Act only when there is ambiguity in the substantive provisions of the Act itself, but where there is no ambiguity in the language of the Act which-declares the intention of the legislature, the Court would not be justified in looking to the Objects and Reasons for the enactment or the affidavit filed by the State Government to hold that the legislatures have usurped the judicial power and have enacted the Act merely to get over the judgments of this Court and mandamus issued by this Court in Sehgal and Chopra. According to the learned counsel in enacting the Act the legislature has taken into account the needs of the administration and laid down the principles for determining the inter se seniority in consonance with the accepted norms of service jurisprudence namely determination of seniority on the basis of length of continuous service in the cadre which was also observed by this Court in the two earlier cases while interpreting the Rules of 1961 which was operative in determination of inter se seniority of the employees. The learned counsel further urged that no vested right of any employee has been taken away by the Act inasmuch as to obtain a particular position in the seniority list within a cadre is neither a vested right of an employee nor can be said to be fundamental right under Part-III of the Constitution. Mr. Tulsi, learned counsel appearing for the State of Haryana in this context said that by operation of the Act no employee whether a direct recruit or a promotee would be reverted to any lower post from the post to which promotion has already been made even if he is found to be junior to others in the rank of Executive Engineer and as such the contention of Mr. Sachar and Mr. Mahabir Singh that it takes away a vested right of the employees is incorrect in law. Lastly, it was contended that the legislative competence having been conceded and the Act not having been found to be contrary to any of the fundamental rights under H
p. 542
~ A Part-II of the Constitution the only question that requires consideration is whether it tantamounts to usurpation of judicial power by the legislature and for the contentions already advanced the Act not being one merely declaring a law laid down by this Court to be invalid, there has been no usurpation of judicial power, and therefore, the same is a valid piece of B legislation determining the service conditions of the employees in the State of Haryana and this Court will not be justified in holding the Act to be invalid. A large number of authorities were cited at the Bar in support of their respective contentions which we will notice while .examining the correctness of the rival submissions.
c At the outset it must be borne in mind that in the case of Sehgal (supra) as well as Chopra (supra) this Court had not invalidated any provisions of the recruitment rules but merely interpreted some provisions of the rules for determining the inter se seniority between the direct recruits and the promotees. The Act passed by the legislatures, therefore, is not a D validation Act but merely an Act passed by the State Legislature giving it retrospective effect from the date State of Haryana came into existence and consequently from the date the service in question came into existence. The power of the legislature under Article 246(3) of the Constitution to make law for the State with respect to the matters enumerated in List II E of the VIIth Schedule to the Constitution is wide enough to make law determining the service conditions of the employees of the State. In the case in hand there has been no challenge to the legislative competence of the State legislature to enact the legislation in question and in our view rightly, nor there has been any challenge on the ground of contravention of Part III of the Constitution. Under the constitutional scheme the power of the legislature to make law is paramount subject to the field of legislation as enumerated in the Entries in different Lists. The function of the judiciary is to interpret the law and to adjudicate the rights of the parties in accordance with law made by the legislature. When a particular Rule or the Act is interpreted by a Court of law in a specified manner and the law making authority forms the opinion that such an interpretation would adversely effect the rights of the parties and would be grossly inequitious and accordingly a new set of Rule or Law is enacted, it is very often challenged as in the present case on the ground that the legislatures have usurped the judicial power. In such a case the Court has a delicate function to examine the new set of laws enacted by the legislatures and to find out
S.S. BOLA v. B.D. SARDANA(PATIANAIK,J.) 543
whether infact the legislatures have exercised the legislative power by merely declaring an earlier judicial decision to be invalid and ineffective or the legislatures have altered and changed the character of the legislation which ultimately may render the judicial decision ineffective. It cannot be disputed that the legislatures can always render a judicial decision ineffec- tive by enacting valid law on the topic within its legislative field fundamen- B tally altering or changing its character retrospectively as was held by this Court in the case of Indian Aluminium Company v. The State of Kera/a, (1996] 7 Supreme Court Cases 637. What is really prohibited is that . legislature cannot in exercise of its plenary power under Articles 245 and 246 of the Constitution merely declare a decision of a Court of Law to be invalid or to be inoperative in which case it would be held to be an exercise of judicial power. Undoubtedly under the scheme of Constitution the legislature do not possess the same. Bearing in mind the aforesaid prin- ciples it is necessary to examine the legality of the Act in question. If we do not examine the substantive provisions of the Act and merely go by the object and reasons as given for the enactment of the Act as well as the counter affidavit filed on behalf of the State then the Act would be possibly held to be an intrusion to the judicial sphere by the legislature. The Statements of Objects and Reasons while introducing the Bill in Haryana Vidhan Sabha is extracted hereinbelow in extenso : E "There were separate rules regulating service conditions and fixa- tion of seniority in the Engineering Service in P.W.D. B. & R .. Public Health and PWD Irrigation Branch. These rules although different for the three branches were on identical lines with minor variations. These rules have been interpreted in the Supreme Court F in the case of A. N. Sehgal v. R.R. Sheoran and S.L. Chopra v. B.D. Sardana. Subst:quently, the judgment has been interpreted further in the case of A.N. Sehgal v. R.R. Sheoran by an order dated 31st March, 1995 of the Supreme Court in a Contempt Petition filed by Shri R.R. Sheoran. In the Public Health side, the seniority list G prepared under the directions of the Supreme Court in S.L. Chopra v. B.D. Sardana's case was challenged in the High Court which struck down the list. Thereafter an appeal was filed by the State in the Supreme Court against the order of the High Court in the case of State v. B.D. Sardana. The appeal was admitted by the Supreme Court and the operative portion of the judgment of the H
p. 544
A High Court was stayed. The matter is pending for final decision in the Supreme Court, and meanwhile the seniority list prepared by the State is being operated by Public Health Branch.
22. Meanwhile, consequent to the directions given by the Supreme Court in the case of A.N. Sehgal v. R.R. Sheoran and orders of the B Supreme Court dated 31st March, 1995 in the Contempt Petition filed by R.R. Sheoran subsequently the seniority list had to be redrawn in the case of B&R Branch, which was totally at variance with the manner in which the seniority was drawn up in the case of Public Health Branch. Thus, the directions of the Supreme c Court in the case of B & R Branch had created a lot of administra- tive problems with certain very junior officers getting undue seniority and becoming senior to the officers under whom they were previously working. This naturally resulted in severe groupism
D and tension between officers of the department in their day to day working.
33. In order to have uniform rules for all three branches of En- ( gineering services and to clarify the position in an unambiguous manner so as to have uniformity and clarity in interpretation, it became necessary to make certain amendments with retrospective E effect. This was possible only by enacting a legislation in this regard. As the Haryana Vidhan Sabha was not in session, it was decided to achieve the purpose through issue of an 'Ordinance on 13th May, 1995. The Ordinance replaced the existing rules for all the three branches of the PWD and the common enactment was to govern the service matters of Class-I service B & R Branch, F Public Health Branch and Irrigation Branch".
The relevant portion of the affidavit of Shri S.N. Tanwar, Joint Secretary to the Government of Haryana filed in the Punjab and Haryana High Court indicating the grounds which impelled the legislature to enact G the legislation in question may be extracted hereinunder :
"This interpretation by the Hon'ble Supreme Court has caused great hardships to the promotees. In order to remove this hardship to the promotees an Ordinance was issued on 13.5.1995 which has now become an Act No.20 of 1995 after assent of the Governor of Haryana on H 30.11.1995. If this Ordinance/Act is not issued the net result of the Order
S.S. BOLAv. B.D.SARDANA(PATIANAIK,J.] 545 of the Hon'ble Supreme Court would be that the directly recruited Assis- A tant Executive Engineer would be considered to be Executive Engineer from the date he was recruited as Assistant Executive Engineer. The interpretation of the judgment of the Supreme Court creates such a situa- tion that persons who were promotees and were working as Executive Engineer years before even the Assistant Executive Engineers were B recruited became junior to the latter when the latter was promoted as Executive Engineer. This was somehow considered by the Government to be very seriously hampering proper working of the department. Giving such a seniority to a person recruited as Assistant Exef:utive Engineer have effected adversely the effective working of the department because the persons who are occupying the posts much higher to the Executive En- C gineer and above could become junior to Assistant Executive Engineer who is recruited even after the promotees have been discharging their duties on these higher posts. If such a situation will continue to prevail the promotees will not be able to work in that capacity when they would be considered to be junior to the persons who were recruited to Class I service much later D than their promotions. Moreover, the Government of Haryana always considered that the Assistant Executive Engineers directly recruited would deem to be having a seniority from the date when he is actually promoted as Executive Engineer. Since the Supreme Court did not accept this interpretation it became essential for the Government of Haryana inter alia for the reasons mentioned above to issue this Act retrospectively." E
If these materials are alone considered then one may be persuaded to accept the submission of Mr. Sachar, the learned senior counsel appear- ing for the clirect recruits - Writ Petitioners, that the Act in question was merely to declare the earlier decisions of this Court in Sehgal (supra) and in Chopra (supra) as invalid and as such is usurpation of the judicial power by the legislature. But it is a cardinal rule of interpretation that Objects and Reasons of a statute is to be looked into as an extrinsic aid to find out legislative intent only when the meaning of the statute by its ordinary language is obscure or ambiguous. But if the words used in a statute are clear and unambiguous then the statute itself declares the intention of the legislature and in such a case it would not be permissible for a Court to interpret the Statute by examining the Objects and Reasons of the Statute in question.
In the case of Aswani Kumar Ghosh and Another v. Arabi1ida Bose H
p. 546
A and Another, SCR (1953] 1, Patanjali Sastri, J. speaking for the majority of the Court, emphatically ruled out the Objects and Reasons appended to a Bill as an aid to the construction of a Statute. It was observed :
"As regards the propriety of the reference to the Statement of Objects and Reasons, it must be remembered that it seeks only to B explain what reasons induced .the mover to introduce the Bill in the House and what objects he sought to achieve. But those objects and reasons may or may not correspond to the objective which the majority of members had in view when they passed it into law. The Bill may have undergone radical changes during its passage ·c through the House or Houses, an.d there is no guarantee that the reasons which led to its introduction and the objects thereby sought to be achieved have remained the same throughout till the Bill emerges from the House as an Act of the Legislature, for they do not form part of the Bill and are not voted upon by members. We, therefore, consider that the Statement of Objects and Reasons D appended to the Bill should be ruled out as an aid to the construc- tion of the statute"
In the case of 171e Central Bank of India v. Their Workmen, S.C.R. (1960] 200, S.K. Das, J., reiterated the principle: E "The Statement of Objects and Reasons is not admissible, however, for construing the section far less can it control the actual words used". \ · I
Sinha J., in the case of State of West Bengal v. Union of India, S.C.R. F 1 (1964] 371, held :
"It is well settled that the Statement of Objects and Reasons accompanying a Bill,, when introduced in Parliament cannot be used to determine the true meaning and effect of the substantive provisions of the Statute. They cannot be· used except for the limited purpose of understanding the background and the antece- dent state of affairs leading up to the legislation".
In the case of Tata Engineering and Locomotive Co. Ltd. v. Gram Panchayat, Pimpri Waghere, [1976] 4 SCC 177, this Court did not accept the recital in the Statement of Objects and Reasons that the amendment
S.S. BOLA v. B.D. SARDANA [PATIANAIK, J:J 547
was made for the reason that the Panchayats could not levy tax on buildings and held that the word 'houses' as originally used was comprehensive enough to include all buildings including factory buildings and that the amendment only made explicit what was implicit".
The general rule of interpretation is that the language employed is primarily the determining factor to find out the intention of the legislature. Gajendragadker, J. as he then was in the case of Kanai Lal Sur v. Param- nidhi Sadhukhan, S.C.R. [1958] 360 had observed that "the first and primary rule of construction is that the intention of the legislature must be found in the words used by the legislature itself'. In the case of Robert Wigram C Crawford v. Richard Spooner, 4 MIA 179 (PC) p. 1987 Lord Brougham had stated thus."If the legislature did intend that which it has not expressed clearly; much more, if the legislature intended something very different; if the legislature intended pretty nearly the opposite of what is said, it is not for judges to invent something which they do not meet within the words of the text''. Thus when the plain meaning uf the words used in a statute indicate a particular state of affairs the courts are not required to get themselves busy with the "supposed intention" or with "the policy underly- ing the statute" or to refer the objects and reasons which was accompanied in the Bill while introducing the same on the floor of the legislation. It is only when the plain meaning of the words used in the statute creates an ambiguity then it may be permissible to have the extrinsic aid of looking to the Statement of Objects and Reasons for ascertaining the true intention of the legislatures. In the aforesaid state of affairs to find out whether the impugned Act is an usurpation of judicial power by the legislature it would not be permissible to look to the Statement of Objects and Reasons which accompanied the Bill while introducing the same on the floor of the legislation nor the affidavit filed by an officer of the Government would control the true and correct meaning of the words of the statute. It would, therefore, be necessary to examine the Act itself and the changes brought about by the Act and the consequences thereof in relation to the decisions of this Court in Sehgal and Chopra interpreting the Rules of seniority which were in force and which stood repealed by the Act itself.
The Preamble of the Act which is a key to the enactment clearly indicates that it is an act for consolidation of rules relating to different Branches. It reads, thus : H
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A "to regulate the recruitment and conditions of service of persons appointed to the Haryana Service of Engineers, Class I, Public Works Department (Building and Roads Branch), (Public Health Branch) and (Irrigation Branch) respectively."
A comparative study of the provisions of the 1961 Rules framed by B the Government in exercise of power under the proviso to Article 309 of the Constitution and 1995 Act passed by the Haryana Legislature indicate the following changes which have been brought about by the Act :
"(a) The definition of member of service in Rule 2(12) of 1961 c rules has been amended, Sub-clause (c) has been inserted in Clause 12 of Section i of 1995 Act by which an officer awaiting appointment to a cadre post has been made a member of service.
(b) A proviso has been added to Section 5(2) of 1995 Act which expressly provides for exceeding the quota of 50% of officers D promoted to the post of Executive Engineers in the event, adequate number of Assistant Executive Engineers are not available.
© The Percentage of quota has been altered from 50% to 75% in the case of Irrigation Branch by incorporating a second proviso to Section 5(2) of the Act. E (d) The rule with regard to determination of seniority has been completely changed from the one that existed in 1961 rules. While under the 1961 rules, according to Rule 12, no member of service could enjoy the benefit of service except in accordance with the quota prescribed under Rule 5, under Clause 2 of Section 12 of the Act, length of continuous service for the post of executive engineers, has been made the sole determining factor for the fixation of seniority."
The aforesaid changes and alterations in the Act itself and giving its retrospective effect w.e.f. the date when the State of Haryana came into existence and consequently the service of engineers came into existence, rendered the earlier decision of this Court in Sehgal and Chopra ineffec- tive. The provisions of the Act and the definition of "service" in Section 2{12){c), proviso to Section 5(2) and the criteria for promotion which was engrafted in Section 12(2) and making it retrospective w.e.f. 1.11.1966,
S.S. BOLA v. B.D.SARDANA(PATIANAIK,J.) 549
when interpreted lead to the only conclusion that this Court could not have rendered the decision in Sehgal and Chopra on the face of the aforesaid provisions of the Act. It is, therefore, not a case of legislature by mere declaration without anything more overriding a judicial decision but a case of rendering a judicial decision ineffective by enacting a valid law within the legislative field of the legislature. It would be appropriate to extract a B passage from the judgment of this Court in Indian Aluminium _Co. and Others v. State of Kera/a and Others, (1996) 7 S.C.C. 637, to which two of us were parties (Ramaswamy, J. and Pattanaik, J.) :
"In a democracy governed by rule of law, the legislature exercises the power under Article 245 and 246 and other companion articles read with the entries in the respective lists in the Seventh Schedule to make the law which includes power to amend the law. Courts in their concern and endeavour to preserve judicial power equally must be guarded to maintain the delicate balance devised by the Constitution. between the three sovereign functionaries. In order that rule of law permeates to fulfil constitutional objectives of establishing an egalitarian social order, the respective sovereign functionaries need free play in their joints so that the march of social progress and order remains unimpeded. The smooth balance built with delicacy must always be maintained. In its anxiety to safeguard judicial power, it is unnecessary to be overzealous and conjure up incursion into the judicial preserve invalidating the valid law competently made."
It would be appropriate now to examine the different citations made at the Bar. Mr. Sachar, the learned senior counsel in support of his contention that the impugned judgment is essentially a usurpation of the judicial power by the legislature relied upon the decisions of this Court in B.S. Yadav and Others v. State of Haryana & Others and Pritpal Singh and Others v. State of Punjab and Others, [1980) Supp. Supreme Court cases 524, State of Gujarat & Another Etc. v. Raman Lal Keshav Lal Soni and others Etc., [1983) 2 Supreme Court Cases 33, Ex. Capt. KC. Arora and Another v. State of Haryana and Others, (1984) 3 Supreme Court cases 281, T.R. Kapur and Others v. State of Haryana and Ors., [1986) Supp. Supreme Court Cases 684. P.D. Aggarwal and Others v. State of U.P. and Others, [1987) 3 Supreme Court Cases 622; Madan Mohan Pathak and Another Etc. v. Union of India and Others, [1978) 2 Supreme Court Cases 50. In B.S. H
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