# 2 02 SMT. S. R. VENKATARAMAN v. UNION OF INDIA & ANR

- **Citation:** [1979] 2 S.C.R. 202
- **Court:** Supreme Court of India
- **Decided:** 1978-11-02
- **Case number:** Civil Appeal No. 2764 of 1977
- **Bench:** P. N. Si!!Nghal, 0. Chinnappa Reddy
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/2-02-smt-s-r-venkataraman-v-union-of-india-anr-7502
- **Pages:** 6

## Headnote

•
Fu11da1nental
Rules-Rule 56 (i) (i)-Order of Cornpulsory
retirement l11
....,
'pubfic intt:.rest'-Nothing on record to justify the order-Order if should be
set aside.
Adn1i11i.strative Law-Administrative action--An abuse of power-What frOrder based on non-existing fact-Effect of.
Words and l'hrases-'Malice in fact' and 'Malice in law'-Explained and
distinr:uishcd.
The appellant who was \vorking as Joint Director, Family Pllam.ning in the
Directorate-General of the All India R:;:.dio was prematurely retired from service.
She made a representation, but it was rejected.
In her writ petition under Art. 226 of the Constitution she alleged that she
had a long and rlean record of nearly three. decades but that baseless allega~
tions had been n1ade against her, because of malicious vendetta of the then
Chairman of the Central Board of Film Omsors. She also alleged that lhe
impugned order was arbitrary and capricious and that the retiring authurity
bad not aprlied its mind to the record of her case.
1he '\Vrit fCtitiOll W3S dismissed in limine.
On the appeal, the first respondent conceded that there was nothing
on
the record to iu~ tify the impugned order, and that the Government was not
f
in n position to support that unfair order.
Allowing the appeal,
HELD : ( 1) There was nothing on the record to show that the Chairman
.of the Central Board of Film Ceruors was able to influence the Central Gov-
..ernment rn making the impugi:wd order. It was not therefore the case of the
appellant that there was actual malicious intention on the part of the Govern~
ment in making the alleged wrongful order so as to amount to malice in fact.
[205E]
(2) Malice in its legal sense means malice such as may be assumed from
the doing of a wrongful act intentionally hllt without just cause or excuse or
for want of reasonable or probable cause.
[205G]
Shearer & Anr. v. Shi1lds, [1914] A.C. 808 at p. 813 referred to.
(3) It was not necessary to examine the question of malice in law as it
was trite law that if a discretionary power had been exercised for an unauthcr
rised purpose, it was generally immaterial whether its repository \Vas acting in
good faith or in bad faith. [205H-206A]
••
•
SMT. VENKATARAMAN v. UNION (Shinghal, !.)
2 03
Pilling v. Abergele Urban District Council, [1950] 1 K.B. 636; referred to.
A
( 4) Th<' principle which is applicable in such cases is that laid down by
Lord Esher M.R. in 24 Q.B.D. 371 at p. 375, and followed in (1924) 1 Ch.
483.
[206C-D)
(5) Wl>m a public body is prompted by a mistaken belief in the existence
of a non-e:xisting fact or circumstance it will be an error of fact.
That is so
B
clearly ullreasonable that what is done under such a mistaken belief
n1ight
. almost be said to have been done in bad faith.
[206E]
(6) Whe:n the respondent conceded that there was nothing on record
to
justify the impugned order, that order must be set aside for it amounts to an
abuse of the po\ver which was vested in the authority concerned as it lwd
admitted the influence of extraneous matter.
[206H-207A]
C
(7) It will be a gross abuse of legal power to punish a person or destroy
her service career in a manner not warranted by law by putting a rule which
mttkes a useful provision for the prematllre retirement of Government servants
only in the "public interest", to a purpose wholly unwarranted by it, and to
arriTe at qui_te a contradictory result.
[206F]
(8) An administrative order which is based on reasons of fact which do
D
not exist must be held to be infected with abuse of power.
[206G]

## Text

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2 02
SMT. S. R. VENKATARAMAN
v.
UNION OF INDIA & ANR.
November 2, 1978
[P. N. SI!!NGHAL AND 0. CHINNAPPA REDDY, JJ.]
•
Fu11da1nental
Rules-Rule 56 (i) (i)-Order of Cornpulsory
retirement l11
....,
'pubfic intt:.rest'-Nothing on record to justify the order-Order if should be
set aside.
Adn1i11i.strative Law-Administrative action--An abuse of power-What frOrder based on non-existing fact-Effect of.
Words and l'hrases-'Malice in fact' and 'Malice in law'-Explained and
distinr:uishcd.
The appellant who was \vorking as Joint Director, Family Pllam.ning in the
Directorate-General of the All India R:;:.dio was prematurely retired from service.
She made a representation, but it was rejected.
In her writ petition under Art. 226 of the Constitution she alleged that she
had a long and rlean record of nearly three. decades but that baseless allega~
tions had been n1ade against her, because of malicious vendetta of the then
Chairman of the Central Board of Film Omsors. She also alleged that lhe
impugned order was arbitrary and capricious and that the retiring authurity
bad not aprlied its mind to the record of her case.
1he '\Vrit fCtitiOll W3S dismissed in limine.
On the appeal, the first respondent conceded that there was nothing
on
the record to iu~ tify the impugned order, and that the Government was not
f
in n position to support that unfair order.
Allowing the appeal,
HELD : ( 1) There was nothing on the record to show that the Chairman
.of the Central Board of Film Ceruors was able to influence the Central Gov-
..ernment rn making the impugi:wd order. It was not therefore the case of the
appellant that there was actual malicious intention on the part of the Govern~
ment in making the alleged wrongful order so as to amount to malice in fact.
[205E]
(2) Malice in its legal sense means malice such as may be assumed from
the doing of a wrongful act intentionally hllt without just cause or excuse or
for want of reasonable or probable cause.
[205G]
Shearer & Anr. v. Shi1lds, [1914] A.C. 808 at p. 813 referred to.
(3) It was not necessary to examine the question of malice in law as it
was trite law that if a discretionary power had been exercised for an unauthcr
rised purpose, it was generally immaterial whether its repository \Vas acting in
good faith or in bad faith. [205H-206A]
••
•
SMT. VENKATARAMAN v. UNION (Shinghal, !.)
2 03
Pilling v. Abergele Urban District Council, [1950] 1 K.B. 636; referred to.
A
( 4) Th<' principle which is applicable in such cases is that laid down by
Lord Esher M.R. in 24 Q.B.D. 371 at p. 375, and followed in (1924) 1 Ch.
483.
[206C-D)
(5) Wl>m a public body is prompted by a mistaken belief in the existence
of a non-e:xisting fact or circumstance it will be an error of fact.
That is so
B
clearly ullreasonable that what is done under such a mistaken belief
n1ight
. almost be said to have been done in bad faith.
[206E]
(6) Whe:n the respondent conceded that there was nothing on record
to
justify the impugned order, that order must be set aside for it amounts to an
abuse of the po\ver which was vested in the authority concerned as it lwd
admitted the influence of extraneous matter.
[206H-207A]
C
(7) It will be a gross abuse of legal power to punish a person or destroy
her service career in a manner not warranted by law by putting a rule which
mttkes a useful provision for the prematllre retirement of Government servants
only in the "public interest", to a purpose wholly unwarranted by it, and to
arriTe at qui_te a contradictory result.
[206F]
(8) An administrative order which is based on reasons of fact which do
D
not exist must be held to be infected with abuse of power.
[206G]
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2764 of 1977.
(From the Judgment and Order dated 24-11-76 of the Delhi High
Court in C.R.P. No. 1264/76).
M. K. Ramamurthi and Faqir Chand for the appellant.
P. N. Le.khi and Girish Chandra for the respondent.
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'
The Judgment of th~ Court was delivered by
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SmNGHAL J., This appeal by special leave is directed against an
crder of the Delhi High Court dated November 24, 1976, dismissing the
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appellant's writ petition in limine.
The appellant was promoted to the post of Director in the All Indla
Radio after some thirty years of service under the Government of India.
She was working as Joint Director, Family Planning, in the Directorate
General of the All Indla Radio, when she was served with an order
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dated March 26, 1976, retiring her prematurely from service, with
immediate effect, on the ground that she had already attained the au,e
of 50 years on April 11, 1972, and the President was of the opinion
that her retireIINnt was in the "public interest". The appellant made
a representation on April 6, 1976, but it was rejected on July 1, 1976.
She therefore filed a writ petition in the Delhi High Court under article
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226 of the Constitution in which she, inter alia, made a mention of the
hostile attitude of one V. D. Vyas who took over as Chairman of the
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204
SUPREME CO~T REPORTS
[1979] 2 S.C.R.
Central Board of Film Censors from her on February 11, 1972. She
also made a mention of the adverse remarks made by Vyas in her service
record after she had ceased to work under him which, according to her,
were "totally unfounded, biased, malicious and without any justification". She stated that "her integrity had never been considered doubtful 28 years before or 4 years after the period of 2t months she
spent under him." It was also contended that some baseless allegations were made against her because of "malicious vendetta" carried on
by Vyas, and that the order of premature retirement was not in public ·
interest but was "arbitrary and capricious", and that the retiring authority
had not "applied its mind to the record" of her case. It was particularC
ly pointed out that as she was confirmed in the post of Director on
April 28, 1973, with retrospective effuct from July 10, 1970, any adverse
remark in her confidential report before that date could not legitimately
form the basis of the order of her premature retirement. The appellant
ii.lso pointed out that the order cast a stigma on her conduct, character
and integrity and amounted to the imposition of one of the major penalD
ties under the Central Civil Services (Classification, Control and Appeal)
Rules, 1965.
It is not in controversy, and has in fact been specifically stated in
the order of premature retirement dated March 26, 1976, that the appellant was retired in the "public interest" under clause (j) (i) of rule 56
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of the Fundamental Rule!!. That rule provides as follows,-
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"(j) Notwithstanding anything contained in this rule the
appropriate anthority shall, if it is of the opinion that it is in
the public interest to do so have the absolnte right to retire
any Government servant by giving him notice of not foss than
three months in writing or three months' pay and a1lowances
in lieu of notice.
(i) If he is in Class I or Class II service or post and had
entered Government service before attaining the age of thirty
five years, after he has attained the age of fifty years."
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It is also not in dispute that the power under the aforesaid rule had to
be exercised in accordance with the criteria and the procedure laid down
in office memorandum No. F.33/13/61-Ests (A), dated 23rd June,
1969, of the Ministry of Home Affairs, Govermnent of India. It is
however the grievance of the appellant that her premature retirement
, •
was not made in accordance with the requirements of the rule and the
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memorandum, but was ordered because of malice, and was arbitrary
and capricious as the Govermnent did not apply its mind to her service
record and the facts and circumstances of her case. It has been speci-
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SMT. VENKATARAMAN v. UNION (Shinghal, !.)
2 05
fically pleaded that the power under F.R. 56(j) (i) has not been exerA
cised "for the furtherance of public interest" and has been based on
"collateral grounds". The app~llant has pointed out in this connection
that her service record was examined in March, 1976, by the Departmental Promotion Committee, with which the Union Public Service
Commission was associated, and the Committee considered her fit for
promotion to the selection grade subject to clearance in the departmental
proceedings which were pending against her, and that sh•e was retired
because oE bias and animosity. Our attention has also been invited to
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the favourable entry which was made in her confidential report by th~
Secretary of the Ministry.
Mr. Lekhi, learned counsel for the Union of India, produced the
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relevant record of the appellant for our perusal.
While doing so he
fraukly conceded that there was nothing on the record which could
justify the order of the appellant's premature retirement.
He went to
the extent of saying that the Government was not in a position to support
that unfair order.
·
We have made a mention of the plea of malice which the appellant · D
had taken in her writ petitiou. Although she made an allegation of
malice against V. D. Vyas under whom she served for a very short
period and got an adverse P~port, there is nothing on the record to show
that Vyas was able to influence the Central Government in making the
order of prcm.rture retirement dalf'..d March 26, 1976. It is not thereE
fore the case of the appellant that there was actual malicious intentiou
on the part of the Governm~nt in making the alleged wrongful order of
her premature retirement so as to amount to malice in fact.
Malice
in law is, however, quite different. Viscount Haldane described it as
follows in Shearer and another v. Shield,(1)-
" A person who inflicts an injury upon another person in
contravention of the law is not allowed to say that he did so
with an innoo~nt mind; he is taken to know the law, and he
wust act within the law.
He may, therefore, be guilty of
malice in law, although, so far the state of his. mind is concerned, he acts ignorantly, and in that sense innocently."
Thus malice in its legal sense means malice such as may be assumed
from the doing of a wrongful act intentionally but without just cause or
excuse, or for want of reasonable or probable cause .
It is however not necessary to examine the qw~stion of malice in
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· law in this case, for it is trite law that if a discretionary power has been
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exercised for an nnauthorised pnrpose, it is generally immaterial whether
(1) [ 1914] A.C. 808 at p. 813.
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c
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2 06
SUPREME COURT REPORTS
(1979] 2 S.C.R.
its repository was acting in good faith or in bad faith. As was stated
by Lord Goddard C.J., in Pilling v. Abergele Urban District Council('),.
whern a duty t<i determine a quec5tion is conferred on an authority which
state their reasons for the decision, "and the reasons which they state
show that they have taken into account matters which they ought not to
have taken into account, or that they have failed to take matters into
acconnt which they ought to have taken into account, the court to
which an appeal lies can and ought to adjudicate on the matter."
The principle which is applicable in such cases has thus been stated
by Lord Esher M.R. in The Queen on the Prosecution of Richard Westbrook v. The Vestry of St. Paneras( 2).
"If people who have to exercise a public duty by exercising their discretion take into account matters which the
Courts consider not to be proper for the guidano~ of their
discretion, then in the eye of the law they have not exercised
their discretion."
This view has been followed in Sedlar v. Sheffield Corporation.(')
We are in agreement with this viey.
It is equally true that there·
will be an error of fact when a public bcdy is prompted by a mistaken
belief in the existence of a non-existing fact or circumstance.
This
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is so clearly unreasonable that what is done under such a mistaken belief
might almoot be said to have been done in bad faith; and in actual
exper>~nce, and as things go, these may well be said to run into one
another.
The influence of extraneous matters will be undoubted where the
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authority making the order has admitted their influence. It will there-
) _
fore be a gross abuse of legal power to punish a person or destroy her
service career in a manner not warranted by law by putting a rule which:
mak>~s a useful provision for the premature retirement of government
servants only in the "public interest", to a purpose wholly unwarranted'
by it, and to arrive at quite a contradictory result. An administrative
G
order which is based on reasons of fact which do not exist r.rnst there-·
fore be h·~ld to be infected with an abuse of po;ver.
So when it has been conceded by Mr. Lekhi that there was nothing
on tlie record which would justify the impugned order dated March 26,
1976, t)f the app~!Jant's premature reti.rement under clause (j) (i) of
• •
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(!) [1950] 1 K.B. 636.
(2) 24 Q.B.D. 371 at p. 375.
(3) [1924) l Ch 483 .
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SMT. VENKATARAMAN v. UNION (Shinghal, !.)
207
rule 56 of the Fundamental Rules, and that the Government was not
A
in a position to support that unfair order, that order must be set aside,
for it amounts to an abuse of the power which was vested in the authority cono~rned. The appeal is allowed with costs and it is ordered
accordingly.
N.V.K. , '
Appe11l allowed .
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