text stringlengths 5 5.67k |
|---|
This is further borne out from the trading results of the Company for the year 1968-69 to 1977.The profits have increased all along FAC |
The copy of the letter dated July 23,1973,alongwith FAC |
the Annexures from the Company to the Director General,Posts & Telegraphs,Delhi (Ex.C-27) indicates the important projects the Company was handling in India and abroad,and the amount of foreign exchange earned and repatriated FAC |
I will; therefore,proceed on the ground that the present Company can bear the additional financial burden".Finally at the end of paragraph 21 FAC |
the Tribunal said : In view of this position,the Company can easily bear some burden that might fall as a result of the upward revision of the wage-scales FAC |
The question is to what extent the relief should be given to the employees FAC |
After expressing himself in categoric terms about the capacity of the company to bear the additional financial burden,the Tribunal went on to say: "I only propose to modify the existing structure of the scales with flat increases in each category".The Tribunal then considered the question whether Draftsmen should get a... |
The Tribunal then observed: "......the flat increase of Rs.150/-in the category of Draftsmen and Rs.100/-in the case of the other categories would be fair".Thereafter various other matters were considered and finally the Tribunal revised the wage scales in the manner already mentioned by my brother Pathak,J.The questio... |
If the pay of an employee does not coincide with any step in the revised pay scale,and falls between two steps in the reclassified pay scales,the basic pay of that employee shall be fixed at the step higher in the revised scale FAC |
After fixing the salary of the employees in the scales as above,the employees should be given increments in the new scales as noted below:- (i) Employees who have completed 5 years or more as on 1st January,1976,3 increments FAC |
ii) Employees who have completed 4 years of service as on 1st January,1976,2 increments FAC |
iii FAC |
All other employees with more than one year's service shall be given one increment FAC |
Now,if,without any flat or ad hoc increase of salary,the workmen were to be fitted into the revised scales of pay,it would obviously result in serious anomalous situations Ratio |
In the case of several senior employees,the revised scale would yield but a very small and almost a token increase in the size of the pay packet whereas the junior employees would get a large benefit Ratio |
While workmen raising industrial disputes for revision of wage-scales are certainly minded about their future prospects in the matter of wages,they,surely would be more concerned with the immediate benefits according to them Ratio |
That was why the Industrial Tribunal thought that an all round flat increase of Rs.150/-in the case of Draftsmen and Rs.100/-in the case of other workmen was called for Ratio |
It was clearly so intended by the Tribunal as is evident from the reference to "flat increase of Rs.150/-in the category of Draftsmen and Rs.100/-in the case of the other categories".Since there was to be a flat increase of Rs.150/-and Rs.100/-in the case of draftsmen and other workmen respectively,the revised wage sca... |
Immediately after the award was pronounced,while the iron was still hot as it were,the employees apparently realised that the employer might take advantage of the circumstance that it was not clearly mentioned in the award that all the employees were to get additional pay of Rs.150/-and Rs.100/-respectively and might c... |
Therefore,they filed an application before the Tribunal for correcting the award so as to bring out what was intended Ratio |
As it has now turned out what the employees apparently suspected the employer might contend,is precisely what the employer is not contending,though the employer did not choose to so contend before the Industrial Tribunal itself when the employees filed the application for rectification Ratio |
The application before the Tribunal was filed under Rule 31 of the Bombay Industrial Disputes Rules 1957,which is as follows STA |
A Board,Court,Labour Court,Tribunal or Arbitrator may,at any time,suo moto or on an application made by any of the parties concerned,may correct any clerical mistake or error arising from an accidental slip or omission in any proceedings,report,award or as the case may be,decision STA |
The omission of the words to each employee first after the figure Rs.150/-and again after the figure Rs.100/-was clearly an accidental slip or omission which the Tribunal was entitled to correct Ratio |
We are unable to see how it can be held to be otherwise Ratio |
We are not impressed with the submission of the learned counsel for the Company that the corrigendum was in effect a fresh award Ratio |
We,therefore,see no ground for quashing the order dated December 22,1978 of the Tribunal Ratio |
The result of the foregoing discussion is that Civil Appeal No.2299 of 1979 has to be dismissed in its entirety Ratio |
We have already indicated that we agree with our brother Pathak,J.,that the appeal (Civil Appeal No.2300 of 1979) filed by the workmen should also be dismissed Ratio |
While we find lot of force in the submission of Shri V.M.Tarkunde,learned counsel for the workmen that Dearness Allowance linked to cost of living index is ordinarily the best and the most scientific method of computing dearness allowance,it cannot always be said that an illegality warranting interference under Article... |
The Tribunal has given satisfactory reason for adopting a different mode and we are not disposed to interfere with the award of the Tribunal Ratio |
In the result both the appeals are dismissed without any order as to costs Ratio |
The Order of the Court was as follows RPC |
In view of the opinion of the majority both the appeals are dismissed and there is no order as to costs RPC |
Appeal No. 531 of 1964. FAC |
Appeal from the judgment and order dated September 24, 1963 of the Madhya Pradesh High Court in Misc. FAC |
Petition No. 130 of 1962. FAC |
G. section Pathok, Rameshwar Nath, section N. Andley, P. L. Vohra, for the appellant. FAC |
M. Adhikari, Advocate Gencral for the State of Madhya Pradesh and 1. FAC |
N. Shroff, for the respondents. FAC |
G.S. Pathak, B. Dutta, J. B. Dadachanji, O. C. Mathur and Ravinder Narain, for interveners Nos. 1 and 2. FAC |
V. M. Lmaye and section section Shukla, for intervener No. 3. FAC |
G. section Pathak, B. Dutta, section N. Vakil, J. B. Dadachanji, O. C. Mathur and Ravinder Narain, for intervener No. 4. FAC |
C. B. Agarwala and O. P. Rana, for intervener No. 5. FAC |
The Judgment of the Court was delivered by Gajendragadker, C.J. FAC |
The principal question of law which arises in this appeal is in regard to the validity of the Central Act 526 the (No. 38 of 1961) (hereinafter called 'the Act '). Ratio |
It arises in this way. FAC |
The appellant, Jaora Sugar Mills (Pvt.) Ltd., is a Private Limited liability Company incorporated under the Indian Companies Act. FAC |
Its registered office is it Jaora within the premises of the Sugar Mills owned by it. FAC |
The appellant manufactures sugar and carries on the business, inter alia, of the production and sale of the said commodity since 1955 when it was incorporated. FAC |
The sugarcane season for the manufacture of sugar generally covers the period December to March, and the sugarcane crushing season usually begins on the 1st of October and ends on the 30th June. FAC |
Respondent No. 1, the State of Madhya Pradesh, enacted the Madhya Pradesh Sugarcane (Regulation of Supply and Purchase) Act, 195 8 (No. 1 of 1959) (hereinafter called 'the Madhya Pradesh Act '). FAC |
Section 23 of the said Act made a sugarcane cess payable as prescribed by it. FAC |
Rules 60 to 63 of the Madhya Pradesh Sugarcane (Regulation of Supply & Purchase) Rules, 1959, made under the said Act, provide for the method of collection of cess. FAC |
Section 21 of the said Act prescribes for the payment of commission to the Cane Development Council which was proposed to be constituted under section 5. FAC |
Rules 45 to 47 prescribe the quantum of commission payable to the said Council and refer to the manner in which the said payment has to be made. FAC |
The validity of section 23 of the Madhya Pradesh Act was challenged before the Madhya Pradesh High Court under Article 226 of the Constitution in The Bhopal Sugar Industries vs State of Madhya Pradesh (Misc.Petition No. 27 of 1961). FAC |
Before the writ petition challenging the validity of the said Act came to be heard before the said High Court, a similar provision in the U.P. Sugarcane Cess Act, 1956 (U.P. Act XXII of 1956) had already been struck down by this Court as unconstitutional in Diamond Sugar Mills Ltd. & Anr.vs The State of Uttar Pradesh a... |
The common feature of the charging sections in both the Madhya Pradesh and the U.P. Acts was that they authorised the respective State Governments to impose a cess on the entry of cane into the premises of a factory for use consumption or sale therein. Ratio |
It was urged before this Court in the case of Diamond Sugar Mills Ltd.(1) that the premises of a factory was not a 'local area ' within the meaning of Entry 52 in List II of the Seventh Schedule to the Constitution, and so the Act passed by the U.P. Legislature was beyond its competence. ARG |
This argument was upheld. FAC |
"We are of opinion", observed Das Gupta J., who spoke for the majority of the Court, "that the (1) ; at p. 256.527 proper meaning to be attached to the words "local area" in Entry 52 of the Constitution (when the area is a part of the State imposing the law) is an area administered by a local body like a municipality, ... |
The premises of a factory is, therefore, not a "local area". Ratio |
Following this decision the Madhya Pradesh High Court struck down section 23 of the impugned Madhya Pradesh Act in the Bhopal Sugar Industries, and allowed the writ petition to that extent. FAC |
This decision was pronounced on August 31, 1961. FAC |
The validity of section 21 of the Madhya Pradesh Act prescribing the payment of commission to the Cane Development Council, was also challenged before the Madhya Pradesh High Court by the Bhopal Sugar Industries Ltd. by another writ petition (Misc.Petition No. 340 of 1961). FAC |
The said High Court held that the: commission directed to be paid by the impugned section was a "fee" and the delegation to the State Government to implement the said provision by prescribing Rules thereunder amounted to valid delegation and as such, the impugned section was not open to any effective challenge. RLC |
In the result, section 21 was upheld. RLC |
This decision was pronounced on January 30, 1962. FAC |
It appears that as a result of the decision of this Court in the case of Diamond Sugar Mills(1), the U.P. was passed by the Central Legislature on March 21, 1961 (No. IV of 1961), and it received the assent of the President the same day. Ratio |
It may be mentioned that the decision of this Court in the case of Diamond Sugar Mills(2) was pronounced on December 13, 1960, and Parliament thought that it was necessary to validate the imposition and collection of cesses made under the said Act and so, the U.P. was passed. Ratio |
Parliament, however, realized that there were several other State Acts which suffered from the same infirmity, and so, on September 11, 1961, the Act with which we are concerned in the present proceedings, was passed. Ratio |
It has also received the assent of the President the same day. Ratio |
This Act purports to validate the imposition and collection of ceases on sugarcane under ten different Acts passed by the Legislatures of seven different States. Ratio |
Section 3 of the Act is the main validating section. Ratio |
Section 5 purported to amend the, specified provisions in the U.P. Ratio |
The said section was brought into force at once, and the remaining provisions of the Act were to (1) ; 528 come into force in the respective States as from the dates which may be specified in that behalf by a notification issued by the Central Government and published in the Official Gazette. FAC |
The relevant date, so far as the respondent State is concerned, is December 26, 1961. FAC |
On March 17, 1962, respondent No. 2, the Collector of District Ratlam, issued a notice to the appellant demanding payment of sugarcane cess at the rate prescribed by the respondent State under the relevant Rules. FAC |
The said notice also demanded payment of cane commission for the years 1959 60 and 1960 61, as prescribed by the relevant Rules. FAC |
The appellant challenged the validity of these demands and addressed respondent No. 2 in that behalf. FAC |
It alleged that both the demands were invalid, because the Act under the authority of which they purported to have been made, was itself ultra vires and unconstitutional. FAC |
In respect of the demand for cane commission for the year 1959 60, the appellant fired an additional (,round that the Cane Development Council itself had come into existence on August 26, 1960, and so, it was not permissible for respondent No. 2 to make a demand for commission in respect of the year 1959 60. FAC |
It was also alleged that the demand for cane commission at the flat rate of 3 nP, per maund was not related to the services proposed to be rendered by the said Council and as such, was invalid. FAC |
These pleas were resisted by the respondents. FAC |
It was urged on their behalf that the impugned Act was valid, and that the demands made by respondent No. 2 for the recovery of the cess and the commission were fully justified. ARG |
On these the Madhya Pradesh High Court considered the, two broad issues which arose before it. FAC |
It has held that the provisions of the impugned Act are constitutionally valid, and that the demand for cess made by respondent No. 2 could not be effectively challenged. RLC |
In regard to the demand for cane commission, the High Court was not impressed by the plea made by the appellant, particularly in relation to the sugarcane season of 1959 60 and it hold that even though the Council may not have come into existence, a demand could be made with a view to provide for the constitution of th... |
That is why the High Court rejected the, appellant 's contentions in that behalf and dismissed its writ petition. RLC |
This judgment was pronounced on September 24, 1963. FAC |
The appellant then applied for and obtained a certificate from the High Court and it is with the said certificate that it has come 529 to this Court by appeal. FAC |
That is how the principal question which arises for our decision is whether the High Court was right in holding that the Act is constitutionally valid. Ratio |
A subsidiary question also falls to be decided and that has relation to the demand for commission for the year 1959 60. Ratio |
The Constitutional position with regard to the legislative competence of the State Legislatures on the one hand, and the Central Legislature on the other in respect of the cess in question is not in doubt. Ratio |
We have already referred to the decision of this Court in Diamond Sugar Mills(1), and in view of the said decision, it is obvious that the cess in question was outside the legislative competence of the States. Ratio |
This very conclusion leads to the irresistible inference that Parliament would have legislative competence to deal with the subject matter in question having regard to article 248 read with Entry 97 in List I of the Seventh Schedule to the Constitution. Ratio |
Article 245(1) provides, inter alia, that subject to the provisions of this Constitution, Parliament may make laws for the whole or any part of the territory of India; and the relevant Entry relates to any other matter not enumerated in List 11 or List III including any tax not mentioned in either of those Lists. STA |
Article 248 provides : "(1) Parliament has exclusive power to make any law with respect to any matter not enumerated in the Concurrent List or State List. STA |
(2) Such power shall include the power of making any law imposing a tax not mentioned in either of those Lists." STA |
Subsets and Splits
No community queries yet
The top public SQL queries from the community will appear here once available.