# N. U.Y. CO-OP. SOCY v. JN])USTRIAL TRIBUNAL (Bhargava, I.) 471!

- **Citation:** [1967] 2 S.C.R. 476
- **Court:** Supreme Court of India
- **Decided:** 1967
- **Case number:** CIVIL Appeal No. 496 of 1965
- **Bench:** V. Bl!ARGAVA, G. K. Mitter
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/n-u-y-co-op-socy-v-jn-ustrial-tribunal-bhargava-i-471-3995
- **Pages:** 13

## Headnote

l1ulus1ria/ Disp111e-Don1estic enq11iry-Na111r(I/ justice, requiren1ents of.
A
B
Res Judicala:-Petition filed 1111der Art. 226 of Consti1t11iv11 of lndiaCompetency of reference nf di.rpute to
lrulu~trial Tribunal challeng!dHigh Cqurt dis111issing petition-No appeal filed
aga;,1s1
Higl1
Court's
C
order-Question of ca111pete11cy 0/ rrj.:>rencc whetlu.·r can
be raised
in
appeal against Tribunal's award.
Supreme Cou,·t-Appea/ agai1u1 Industrial Tribunal's award-ResponJe111 whether can cl1alle11ge Tribunal's order on grounds no/ accepted by
Tribunal.
Respondent No. 2 was employed as Head Clerk in the Appellant Sociely
w~ich was a c~peral!vc society of railwaymen. The Society Jevelled certain charges against him and so~ other employees, and a commi:tee was
appointed to enquire inlo the said charges. The request made by Respondent No. 2 that a railway worker or an official of the railY.ray workers'
Union be allowed 10 accompany him ai lhe enquiry was turned down. On
this accounl he refused to appear al the enquiry which proceeded in his
absence. On receipt of the enquiry commillee's report the Vice-President
of the Sociely gave a second notice to Respondent No. 2 asking him to
show cause why he should not be dismissed.
He asked for copies of the
proceedings at the enquiry bu1 this request was not complied wilh and
despite his submissions he was. dismissed. Adverse qrders were also passed
aga1mt other employees. The raiJway workers' Union thereupon ra;sc<l an
industrial dispule which was reforred by the State Government to the
Industrial Tribunal. The Sociely filed a wri1 pelilion under Ari. 226 of
the Conslitution on the ground that the dispule having been raised by the
railway workers' Union and not by the Society's own employees, the reference to the Tribunal was not competent. The High Court dismissed the
petition.
Thereafter lhe Tribunal heard lhe matter and held, so far as
Respondent No. 2 was concerned, that (i) the charges agoinst him were
vague, (ii) tha1 he was not entilled lo be accompanied at lhe enquiry by
a stranger. and (iii) that the enquiry against him was vitiated owing to
a denial of natural justice. The Society, by special leave. appealed to lhis
Court.
HELD : (i) The appellant's plea relating to the compe'ency of the
reference was barred bv re_-; j11dicata as the same plea had been raised
by the appellant before ihe High Court and had been rejecled. The order
of the High Court was no1 an interlocutory order but a final order in
regard 10 the proceedings under Ari. 226.
The appropriate remedy for
the appellant a~ainst the High Court's order wa< to come up in appeal
to this Court d1her bv a cerlificate under Art. 133 or hy special leave
under Art. 136 of the Constilution. [483 F; 484 DJ
Satyadhyan Gho.<YJ/ & Ors. v. Sm. Deurajin Debi & Anr. [1960] 3
S.C.R 590, di<linguished.
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II
N. U.Y. CO-OP. SOCY. v. JN])USTRIAL TRIBUNAL (Bhargava, I.) 471!
Ramesh and Anr. v. Genda/a/ Moti/a/ Patni & Ors., [1966) 3 S.C.R.
198. relied on.
(ii) The respondents were entitled to support tbe decision of the Tribu.
nal ll\-en. on grounds which were not accepted by the Tribunal vr on other
grounds which may not have been taken notice of by the Tribunal while
Ibey were patent on the faoe of the record. (486 D]
B
Ramanbhai Ashabhai Patel v. Dabhi Ajitkumar Fulsinji & Ors., A.I.R.
1965 S.C. 669 and Powarl Tea Estate ''· Barkataki (M.K.)
and Ors.,.
[1965] ll L.L.J. 102, relied on.
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(iii) The Tribunal rightly held that the second responclcnt was .not
entitled to be represented by a stranger to the Society at the enquiry pro·
pooed to be held against him. [487 D-E]
(iv) The charges against the second respondent were vague and the
material which was available in supp'ort of them was never disclosed to
him. In these circumstances the mere refusal of the second respondent
to appear at the enquiry would not satisfy the requirements of natural
justille and make the enquiry valid. [487 F·G]
The second notice issued by the Soci

## Text

MANAGEMENT OF NORTHERN RAILWAY
CO-OPERATIVE SOCIETY LTD.
I'
INDUSTRIAL TRIBUNAL, RAJASTHAN, JAIPUR
A:'\D ANR.
Ja1111ary 27, 1967
[V. Bl!ARGAVA AND G. K. MITTER. JJ.)
l1ulus1ria/ Disp111e-Don1estic enq11iry-Na111r(I/ justice, requiren1ents of.
A
B
Res Judicala:-Petition filed 1111der Art. 226 of Consti1t11iv11 of lndiaCompetency of reference nf di.rpute to
lrulu~trial Tribunal challeng!dHigh Cqurt dis111issing petition-No appeal filed
aga;,1s1
Higl1
Court's
C
order-Question of ca111pete11cy 0/ rrj.:>rencc whetlu.·r can
be raised
in
appeal against Tribunal's award.
Supreme Cou,·t-Appea/ agai1u1 Industrial Tribunal's award-ResponJe111 whether can cl1alle11ge Tribunal's order on grounds no/ accepted by
Tribunal.
Respondent No. 2 was employed as Head Clerk in the Appellant Sociely
w~ich was a c~peral!vc society of railwaymen. The Society Jevelled certain charges against him and so~ other employees, and a commi:tee was
appointed to enquire inlo the said charges. The request made by Respondent No. 2 that a railway worker or an official of the railY.ray workers'
Union be allowed 10 accompany him ai lhe enquiry was turned down. On
this accounl he refused to appear al the enquiry which proceeded in his
absence. On receipt of the enquiry commillee's report the Vice-President
of the Sociely gave a second notice to Respondent No. 2 asking him to
show cause why he should not be dismissed.
He asked for copies of the
proceedings at the enquiry bu1 this request was not complied wilh and
despite his submissions he was. dismissed. Adverse qrders were also passed
aga1mt other employees. The raiJway workers' Union thereupon ra;sc<l an
industrial dispule which was reforred by the State Government to the
Industrial Tribunal. The Sociely filed a wri1 pelilion under Ari. 226 of
the Conslitution on the ground that the dispule having been raised by the
railway workers' Union and not by the Society's own employees, the reference to the Tribunal was not competent. The High Court dismissed the
petition.
Thereafter lhe Tribunal heard lhe matter and held, so far as
Respondent No. 2 was concerned, that (i) the charges agoinst him were
vague, (ii) tha1 he was not entilled lo be accompanied at lhe enquiry by
a stranger. and (iii) that the enquiry against him was vitiated owing to
a denial of natural justice. The Society, by special leave. appealed to lhis
Court.
HELD : (i) The appellant's plea relating to the compe'ency of the
reference was barred bv re_-; j11dicata as the same plea had been raised
by the appellant before ihe High Court and had been rejecled. The order
of the High Court was no1 an interlocutory order but a final order in
regard 10 the proceedings under Ari. 226.
The appropriate remedy for
the appellant a~ainst the High Court's order wa< to come up in appeal
to this Court d1her bv a cerlificate under Art. 133 or hy special leave
under Art. 136 of the Constilution. [483 F; 484 DJ
Satyadhyan Gho.<YJ/ & Ors. v. Sm. Deurajin Debi & Anr. [1960] 3
S.C.R 590, di<linguished.
D
E
F
G
H
•
II
N. U.Y. CO-OP. SOCY. v. JN])USTRIAL TRIBUNAL (Bhargava, I.) 471!
Ramesh and Anr. v. Genda/a/ Moti/a/ Patni & Ors., [1966) 3 S.C.R.
198. relied on.
(ii) The respondents were entitled to support tbe decision of the Tribu.
nal ll\-en. on grounds which were not accepted by the Tribunal vr on other
grounds which may not have been taken notice of by the Tribunal while
Ibey were patent on the faoe of the record. (486 D]
B
Ramanbhai Ashabhai Patel v. Dabhi Ajitkumar Fulsinji & Ors., A.I.R.
1965 S.C. 669 and Powarl Tea Estate ''· Barkataki (M.K.)
and Ors.,.
[1965] ll L.L.J. 102, relied on.
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(iii) The Tribunal rightly held that the second responclcnt was .not
entitled to be represented by a stranger to the Society at the enquiry pro·
pooed to be held against him. [487 D-E]
(iv) The charges against the second respondent were vague and the
material which was available in supp'ort of them was never disclosed to
him. In these circumstances the mere refusal of the second respondent
to appear at the enquiry would not satisfy the requirements of natural
justille and make the enquiry valid. [487 F·G]
The second notice issued by the Society to the second respondent was
not required by any rule or law analogous. to Art. 311 or the Constitution,
but in the instant case this subsequent opportunity· was the only opportunity
Which could have satisfied the f"..quirements of natural justice.
But this
opportunity also was not adequate because copies of the proceedings against
hii:n were not supplied to the second respondent. (487 H-488 A]
The Tribunal was therefore fully justified in setting aside the order
of removal based on the report of the committee of enquiry. [488 A·B)
CIVIL APPELLATE JURISDICTION : CIVIL Appeal No. 496 of
1965.
Appeal by special leave from the award dated October T
1963 of the Industrial Tribunal, Rajasthan Jaipur in Case
No. 2 of 1959.
K. L. Gosain, S. C. Malik, S. K. Mehta and K. L. Mehta, for
the appellant.
R. K. Garg, S. C. Agarwala, Marudhar Mridul and Mohan
Lal Calla, for respondent No. 2.
The Judsment of the Court was delivered by
Bbargava, J. The appellant in this appeal, brought up by
special leave, is the Northern Railway Co-operative Credit Society
Ud., Jodhpur (hereinafter referred to as "the Society") which
is an Association of the employees of the Northern Railway
at Jodhpur registered in 1920 under the Co-operative Societies
Act. The Society had in its employment I 0 or 11 persons including Kanraj Mehta, the Head Clerk, Madho Lal, the Accountant,
and three other Clerks, A. C. Sharma, V. D. Sharma and G. s.
Sa)lena.
At.a meeting of the Committee of Management held on
6th April, 1956, it was decided to hold the 36th and 37th Annual
478
SUPREME COURT llEPOllTS
[1967) 2 S.C.R.
General Meeting of the Shareholders for the years 1953-54 and
1954-55 on 28th April, 1956, i.e., afler a period of about 22 days.
Thereafter, Kanraj Mehta, the Head Clerk, on 8th April, 1956,
applied for leave on medical grounds, having submitted a certificate from a registered Vaid. Initially, the application for leave
was for four days, but, by subsequent applications, he continued
to extend his leave up to 2nd May, 1956. The other four Clerks,
mentioned above, also put in applications between 12th and 15th
April, 1956 on
similar Medical Certificates and continued their
leave up to dates falling between 30th April and 4th May, 1956.
The industrial dispute decided by the award, against which the
present appeal is directed, related to four of these Clerks- Kanraj
Mehta, A. C. Sharma, V. D. Sharma and G. S. Saxena. against
whom the Society decided to take disciplinary action. The case
of the Society was that these persons had conspired to paralyse
the working of the Society at the time of the impending Annual
General Meeting on 28th April, 1956, by collectively submitting
sickness certificates. In the case of Kanraj Mehta,
the Society
issued a letter in response to his application for leave directing him
to attend the Railway Dispensary at 7 ·45 hrs. on 20th April, 1956,
and asking him to report to Dr. B. P. Mathur for medical examination.
Kanraj did not comply with this direction and continued
to send further applications for leave accompanied by the certificates of the Vaid.
His leave applications were
never actually
sanctioned, but he was allowed to resume duty afler the expiry
of the leave asked for by him in his last application, i.e., on 3rd
May, 1956. Then on the 19th May, 1956, the Society issued a
charge-sheet against Kanraj Mehta containing five charges which
are reproduced below :-
"(i) To instigate and conspire to paralyse the '>vr!jng
of the Society at the time of the impending Annual
General Meeting on 28-4-1956
by collectiveiy submitting sick certificates.
(ii)
(iii)
Disobedience of orders in not attending for Medical
Examination ride Hony.
Secretary's Jetter
No.
CCS/Est. of 19-4-1956 which goes to show that you
were not prepared to face the medical examination
as you had pretended to be sick.
Taking active part in the issue and distribution of
certain leaflets issued against the Management of
the Society.
(fr) Carrying vilifying propaganda in connection with
the elections of the Society at the Annual General
Meeting on 28-4-1956.
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N. lLY. CO-OP. SOCY, v. INDUSTRIAL TllIBtJNAL (Bhargava, J.) 479
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(v) Instigating the depositors to withdraw their deposits
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from the Society and thus undermining the very
existence of the Institution."
In the charge-sheet, Kanraj was asked to show cause within seven
days why he should not be dismissed from service or punished
with any lesser penalty.
Charge-sheets were also served on the
other employees mentioned above. Since in this appeal we are
only concerned with the case of Kanraj, we need give details of
the facts relating to his case only.
On 25th May, 1956, Kanraj sent his reply to the charge-sheet.
In that reply, he took the plea that there were no disciplinary
rules framed and issued for the employees of the Society, and
added that, if the rules were being enforced on the analogy of
the Railway Rules, he would request the Secretary of the Society
to let him know what offence he had committed and how that
offence had been constituted. He further pleaded that the charges
levelled against him were vague and were not specific. He then
proceeded to deal with all the five charges, and in the case of four
of them viz., (i), (iii), (iv) and (v) the plea put forward was that in the
absence of details he could not answer the charges properly, though
he denied those charges. At the end, he made a request that if an
enquiry is held, he should be allowed to bring either a Railway or
a trade Union official, specially shareholders who had interest in
the Society's affairs and constituted the very structure of the Society
in order to represent him. A Committee of Enquiry was appointed,
consisting of Shri Deodutta Gaur as Chairman, and Bhailal and
Vishwadeo Purohit as members to enquire into the charges against
Kanraj. The information of the constitution of this Committee
was conveyed to Kanraj by the letter dated 28th June 1956, and he
was also told that he would be allowed to be accompanied by any
employee of the Society at the enquiry if he so desired, but not
by any other person as requested by him.
Kanraj,
however
continued to insist that he must be permitted to be accompanied by a Railway employee or a Union official, particularly because he was the senior most employee of the Society and
he could not expect to get any assistance from any other junior
employee.
This correspondence went on, and his request was
not acceded to. Ultimately, on the date fixed for enquiry, Kanraj
refused to appear on the ground that he had not been allowed to
be represented as desired by him.
The Committee then submitted its report on 4th August,
1956. In the report, the Committee first considered the question
whether it should proceed to record evidence of persons who had
lodged complain ts regarding the charges levelled against Kanraj,
or whether it should submit its report and findings on the basis
of the record available before the Committee. The report of the
480
SUPllEMB OOUJ.T RB~TS
{1961] 2.S.C.ll
Committee mentions that it decided to submit its report and findings on the basis of the record before the Enquiry Committee
and that,
thereafter, the evidence already available on record'
which had been earlier considered by the Vice-Chairman befo~
issue of the charge-sheet,
was duly examined, The Committee
further considered it inadvisable to comment on this material as it
held it to be as good as before and recorded its view that the charges
still stood proved. On receipt of this report, the Vice.Chairman
of the Society asked the Committee to give its independent opinion
in the case as to whether Kanraj was guilty of the charges levelled
or not. In reply to this, the Committee mentioned that the charges
stood proved. In this subsequent report, the Committee added
that, before arriving at the decision, it' had examined all evidence
on record independently, and had also examined three to four
witnesses verbally and had found that they corroborated the evidence already on record. It was stated that the witnesses examined
verbally related to charges (i), (iii), (iv) and ( v) [in the report (ii) is
an error for (iii)].
Thereafter, on 5th September. 1956, the Vice-Chairman issued
a fresh notice to Kanraj, stating that he had come to the provisional
decision that Kanraj should be dismissed from service for offences
detailed in the charge-sheet, and calling upon him to show cause
in writing not later than the end of seven days from the date of
receipt of the notice why the proposed penalty should not be imposed upon him. Thereupon, Kanraj, on 13th September, I 956,
sent a letter requesting the Vice-Chairman to supply to him a full
copy of the proceedings and findings of the Enquiry Committee
enumerated in its report, which had been considered by the ViceChairman resulting in the provisional decision to remove him from
service. He added that on receipt of this material, he would reply
to the above show cause notice. The Honorary Secretary of the
Society, on the same day, sent a reply to this letter, stating that the
application of Kanraj had been considered by the Vice-Chairman
who had asked the Secretary to inform him that it was only as a
matter of grace that he was being given another three days to reply
to the show cause notice, and that there was no enquiry report
envisaged in the Railway Board's order as the enquiry could not be
held. It was further added that the report was only that the employee did not participate, and Kanraj was told that any dilatory
replies would not be taken as proper replies and action would be
taken under the Rules. Kanraj, on 16th September, 1956, sent
a further letter in reply to this letter sent by the Hony. Secretary.
In this letter, he made a grievance of the fact that he had not
been permitted to be represented as desired by him in the enquiry,
and took notice of the fact that the provisional decision of the ViceChairman had been arrived at on the basis of the report of the
Enquiry Committee which only reported that he did not partiA
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N. RLY. CO-OP, SOCY. v. INDUSTRIAL TRIBUNAL (Bh<11gava, I.} 481
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cipate.
Then he proceeded to plead ROt guilty to the charges
and agam gave an explanation on each individual charge. Once
again the grievance made included the plea that the charges were
vagu~.
On 17th Septemher, 1956, a letter was then issued under
the signature of the Honorary Secretary informing Kanraj that
he had been removed from service with effect from the 17th Sep·
tember, 1956, and he was asked to hand over charge to the Accoun·
tant,
Megh Raj. Minor punishments were also
awarded to
three other employees, A. C. Sharma,
V. D. Sharma and G. S.
Saxena.
Thereupon, the dispute relating to the removal of Kanraj
and the award of punishment to the other three employees was
taken up by the Uttariya Railway
Mazdoor Union, Jodhpur,
and at the request sent through the Secretary of that Union, a
reference was made by the Government of Rajasthan to the In·
dustrial Tribunal,
Rajasthan, Jaipur, under s. JO{I)(d) of the
Industrial Disputes Act No. 14 of 1947. In the reference, two
issues were raised which were as follows :
"(!) Whether the removal of Shri Kanraj by the Management of the Northern Railway Co-operative Credit
Society, Jodhpur on the 17-9-1956 and the stopping
of the grade increments of Sarvashri Acheleshwar,
V. D. Sharma and G. S. Saxena w1s illegal or unjustified ;
(2) If so, what relief these workers are entitled to ?"
The Tribunal discussed in detail the case of Kanraj and held
that the demand of Kanraj to be allowed to take assistance from
a stranger to, the Society was unjustified and Kanraj could not
succeed in assailing the validity of the proceedings of the Board
of Enquiry on this ground. The Tribunal, however,
held that
Kanraj was justified in demanding from the Vice-Chairman of the
Society copies of the documents which he mentioned when the
second notice was issued to him, as he was entitled to receive copies
of both the reports of the Committee before he could be called
upon to give an adequate reply to the show cause notice. The
Tribunal also accepted the plea of Kanraj that the charges which
had been fram~d against Kanraj were rather vague and Kanraj
was not wrong m his a verment before the Board of Enquiry that the
charges were vague and that he couW not defend himself on that
account. On this view, the Tribunal set aside the order of removal
of Kanraj from service passed by the Society, but left it open to
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the Society, if they so desired, to re-institute the enquiry and to
proceed against him in accordance with law.
It was
further
?rdere? that, meanwhile, Kanraj stood restored to the position
in which he was on 13th September, 1956. The Tribunal also
made suitable orders in the cases of the other three employees,
I
482
SUPREME COURT REPORTS
[1967] 2 S.C.R.
A. C. Shanna, V. D. Sharma and G. S. Saxena, but the orders in
their cases need not be reproduced, as the appeal before us does
not relate to their cases. The appeal by the Society is directed
against the order of the Tribunal insofar as it governs the case
of Kanraj Mehta.
In this appeal, learned counsel appearing for
the Society urged three points before us and we proceed to take
them one by one.
The first point urged was that, in this case, the reference to
the Industrial Tribunal was incompetent, because the dispute referred to the Tribunal was an individual dispute of four employees
and was not an industrial dispute as it was not taken up by the workmen of the Society. It was urged that the Union which
had
sponsored the dispute was a Union of Railway employees only
and not of the workmen of the Society which was separate and
distinct from the Railway Administration. When this point was
raised on behalf of the appellant, a preliminary objection was taken
hy learned counsel appearing for the respondents that this plea
sought to be raised on behalf of the appellant was barred by the
principle of res judicata. It was urged that, while the reference
was pending before the Industrial Tribunal,
the Society filed a
petition under Art. 226 of the Constitution in the High Court of
Judicature for Rajasthan at Jodhpur, praying that a writ of prohibition be issued directing the Industrial Tribunal to refrain from
taking any proceedings in this reference on the ground that the
reference did not relate to an industrial dispute. The plea that the
reference did not relate to an industrial dispute was on the same
ground which was sought to be urged before us, viz., that the
dispute had not been taken up by the workmen of the Society and
the sponsoring of the dispute by the Railway Employees' Union
did not make it an industrial dispute. A Division Bench of the
High Court, by its judgment dated 7th February, 1962, dismissed
the petition holding that the reference was competent on the ground
that it was at least sponsored by 4 out of 11 workmen of the Society.
Against that judgment of the High Court, the appellant could have
come up to this Court in appeal, but failed to do so and submitted
to that judgment. The plea of learned counsel for the respondents was that that judgment having become final it was no longer
open to the appellant to raise this plea in the present appeal
against the subsequent award given by the Tribunal after exercising
jurisdiction which the Tribunal was permitted to exercise by that
judgment of the High Court.
On behalf of the appellant, learned counsel, however, urged
that the order made by the High Court was in the nature of an
interlocutory order and it was open to the appellant to challenge
the correctness of that decision of the High Court in this appeal.
In support of his proposition that it is not necessary that an interlocutory order must be challenged immediately by an appeal and
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N. RLY. CO-OP. SOCY. v. INDUSTRIAL TRIBUNAL (Bhargava, ].) 483
can be challenged when an appeal is filed again.st the final order
in a civil proceeding, learned counsel relied on a decision of this
Court in Satyadhyan Ghosal and Others v. Sm. Deorajin Debi
and Anather.(') In that case, a question had arisen about the applicability of s.
28 of the Calcutta Thika Tenancy Act, 1949. The
plea relating to it was rejected by the Munsif trying the suit. Against
that order of the Munsif, a revision was filed in the High Court
under s. 115 of the Code of Civil Procedure. The High Court
held that the operation of s. 28 of the Act was not affected by the
subsequent Amendment Act and remanded the case to the Munsif
for disposal according to law. Thereafter, the Mnnsif passed the
final decree in the suit, and against that decree, an appeal was
brought to this Court after going through the usual procedure of
moving the other Courts having jurisdiction. It was in these
circumstances that this Court held that the order of the
High Court, holding that s. 28 of the Act was applicable,
could not
operate as res judicata in the appeal
before
this Court, because the High Court's order of remand was
merely an interlocutory order which did not terminate the proceedings pending in the Munsif's Court and w.Jtlch had not been
appealed from at that stage. Consequently, in the appeal from
the final decree or order it was open to the party concerned to challenge the correctness of the High Court's decision. It is to be
noted that there were two special features in that case. One was
that the order of the High Court, which was held not to bring
in the principle of res judicata, was an interlocutory order, and the
other was that it was made in a pending suit which, as a result
of that order, did not finally terminate. In fact, the order of the
High Court did not finally terminate any proceeding at all. On
the other hand, in the case before us, the order relied upon by
learned counsel for the respondents was not an interlocutory order
and was not made in the proceedings pending before the Tribunal.
The order of the High Court was made in a completely independent proceeding instituted by a petition under Art. 226 of the
Constitution for issue of a writ of prohibition. It was held by this
Court in Ramesh and Another v. Gendalal Motilal Patni and Others(')
that "when exercising jurisdiction under Art. 226 of the Constitution, the High Court does not hear an appeal or revision.
The
High Court is moved to intervene and to bring before itself the
record of a case decided by or pending before a Court or Tribunal
or any authority within the High Court's jurisdiction. A petition to the High Court invoking this jurisdiction is a proceeding
quite independent of the original controversy. The controversy
in the High Court, in proceedings arising under Art. 226, ordinarily
is whether a decision of, or a proceeding before, a Court or Tribunal
or authority, should be allowed to stand or should be quashed
(!) [1960] 3 S.C.R. 590.
(2l [1966J 3 s.c.R. 198.
L2Sup.CI/67-2
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484
SUPllMI! COURT llPOllTS
[1967) 2 S.C.R.
for want of jurisdiction or on account of errors of Jaw apparent on
the face of the record. A decision in the exercise of this jurisdiction, whether interfering with the proceeding impugned or declining
to do so, is a final decision in so far as the High Court is concerned
because it terminates finally the special proceeding before it."
This view was expressed when dealing with the question of applicability of Art. I 33 of the Constitution in respect of the order
of the High Court. In that connection, the Court further pointed
out that an appeal or a revision is a continuation of the original
suit or proceeding and the finality must, therefore, attach to the
whole of the matter and the matter should not he a live one after
the decision of the High Court if it is to be regarded as final for the
purpose of appeal under Art. I 33.
Notice was taken of the fact
that the whole of the controversy had not been decided by the High
Court when there is an appeal or revision against an interlocutory
order.
In these circumstances, it is clear that if the appellant
wanted to challenge the correctness of the decision of the High
Court holding that this dispute was an industrial dispute, the appropriate remedy was to come up in appeal against the judgment
of the High Court either by a certificate under Art. I 33 or by
special
leave under Art. 136 of the Constitution. The appellant having failed to do so, the judgment of the High Court became final, and, consequently, binding between the parties. The
parties to that petition were the parties now before us in this appeal.
In this appeal brought up against the award of the Tribunal, consequently, it is no longer open to the appellant to raise the pica
which was rejected by the High Court by its judgment dated 7th
February, 1962. The first point raised on behalf of the appellant,
therefore, fails.
The second point urged by learned counsel was that, in this
case, the Tribunal in its award held that, when the enquiry was held
by the
Committee appointed by the Society, Kanraj was not
entitled to claim that he must get assistance from a stranger to the
Society and that the rejection of his request was justified, so that the
validity of the proceedings before the Committee of Enquiry was
not open to challenge byKanraj. ltwas urged that in this appeal also,
since there is no appeal on behalf of Kanraj or the Union representing him, this Court could not go into tho question whether the
enquiry by the Committee was valid or invalid. The Court should
confine itself to the proceedings subsequent to 13th September,
1956, which is the date to which Kanraj has been relegated by the
Tribunal by directing that he will stand in the position in which
he stood on that date. It was further urged that after 13th Septembe(, 1956, it was not at all incumbent on the Vice-Chairman
to issue a second show cause notice or to give a fresh opportunity
to Kanraj to show cause, and that if the Vice-Chairman did so,
it was as a matter of indulgence. The provisions of Art. 311 of the
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N. RLY. CO-OP. SOCY. v. INDUSTRIAL TRIBUNAL (Bhargava, 1.) 485
Constitution did not apply, because Kanraj was not a public
servant, and the principles of natural justice did not require that a
second show cause notice must be given by every employer after
the employer forms his provisional opinion that the punishment
or dismissal ot removal should be awarded. It was urged that,
consequently, the Tribunal was wrong in setting aside the order
of removal of Kanraj on the mere ground that the Vice-Chairman
refused to supply to him the reports of the Enquiry Committee.
On behalf of the respondents, this plea was challenged and it
was urged that it was open to the respondents to support the order
of the Tribunal even on grounds decided against the respondents
or grounds not urged
before the Tribunal which might be
apparent on the face of the
record,
even though
the
respondents
have
filed
no
appeal.
Reliance
for
this
proposition
was placed
on a
decision
of this Court in
Ramanbhai Ashabhai Patel v. Dabhi Ajitkumar Fulsinji and Others.(I)
In that case, an appeal was brought to this Court against the judgment of an Election Tribunal, and one of the respondents wanted
to stipport the order of the Tribunal on grounds which had been
negat)ved by the Tribunal. On behalf of the respondent, reliance
was placed on the principle laid down in 0. XLI r. 22 of the Code
of Civil Procedure.
This Court took notice of the fact that in the
Rules of this Court there was no Rule analogous tor. 22 of 0. XLI,
C. P. C., but held that the provision nearest to. it was the one
contained in 0. XVIII, r. 3 of the Rules of this Court which required parties to file statements of cases. Sub-rule (I) of that rule
provides that Part I of the statement of the case shall also set out
the contentions of the parties and the points of law and fact arising in
the appeal.
It further provides that in Part II a party shall set
out the proposition of law to be urged in support of the contentions of the party lodging the case and the authorities in support
thereof. The Court held that there is no reason to limit the provisions of this rule only to those contentions which dealt with the
points found in favour of that party in the judgment appealed from.
The. Court further proceeded to hold that "apart from that, we
think that, while dealing with the appeal before it, this Court
has the power to decide all the points arising from the judgment
appealed against and even in the absence of an express provision
like 0. XLI, r. 22 of the Code of Civil Procedure, it can devise
the appropriate procedure to be adopted at the hearing. There
could be no better way of supplying the deficiency than by
drawing upon the provisions of a general law like the Code of Civil
Procedure and adopting such of those provisions as aTe suitable.
We cannot lose sight of the fact that normally a party in whose
favour the judgment appealed from has been given will not be
granted special leave to appeal from it. Considerations of justice
(l) A.I.R. 1965 S.C. 669.
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486
SUPREME COUllT REPORTS
(1967] 2 s.c.R.
therefore, require that this Court should, in appropriate cases,
permit a party placed in such a position to support the judgment
in his favour even upon grounds which were negatived
in that
judgment."
In an appeal brought up against a judgment of the Labour
Court in Powari Tea Estate v. Barkataki (M. K.) a11d Others(1), this
Court was examining the correctness of the decision reached
by the Labour Court and, while doing so, it appeared that the
decision of Labour Court ~ould be justified on a ground to which
the Labour Court had not made any reference. The Court held:
"But it appears from the record that the decision reached by the
Labour Court can be justified on another ground to which the Labour Court has not referred, but which is patent on the record."
After expressing this view, the Court proceeded to examine this
ground which was patent on the record and upheld the order of the
Labour Court on that ground. In these circumstances, we consider that learned counsel for the respondents is justified in urging
before us that the respondents arc entitled to support the decision
of the Tribunal setting aside the order of Kanraj even on grounds
which were not accepted by the Tribunal or on other grounds
which may not have been taken notice of by the Tribunal' while
they were patent on the face of the record.
The facts of this case, as enumerated by us above,
show
that the charge-sheet which .was served on Kanraj was in fact
very vague and did not contain any such details as could enable
him to give any explanation.
Charge No. 2 was the only charge
in respect of which full details were mentioned. That charge was
of disobedience of orders in not attending for medical examination
in accordance with Honorary Secretary's letter of 19th April,
1956, from which an inference was drawn that Kanraj was not
prepared to face the medical examination because he had pretended
to be sick.
So far as this charge is concerned, there is nothing
to indicate that there were any rules of the Society under which
Kanraj was required to obey the orders given by the Honorary
Secretary to appear
for medical examination by the particular
doctor nominated by him. In the absence of any rules, Kanraj
could very well feel justified in relying on certificates obtained by
him from a registered medical practitioner even though he might
only be a Vaid practising Ayurvedic medicine. The charge of
disobedience of orders, which were not enforceable under any
rule, could· neither be the basis of any order of dismissal or removal,
nor could it lead to any inference that Kanraj had merely been
pretending to be sick.
As regards the remaining four charges, they were
clearly
very vague. The first charge, in general terms, stated that Kanraj
(1) {1965) lI L.LJ. 102.
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N. RLY. CO-OP. SOCY. v. INDUSTRIAL TllIBUNAL (Bhargava, I.) 48 7
had instigated and conspired to paralyse the working of the Society
by collectively submitting sickness certificates. The charge did
not mention whom he had instigated or with whom he had conspired, no.r ~id it indicate how this conspiracy was
being inferred.
S1m1larly, the third charge of taking active part in the
issue and ·distribution of certain leaflets against the management
of the Society did not at all indicate what those leaflets were and
what part Kanraj had taken in the issue and distribution of those
leaflets. The fourth charge of carrying vilifying propaganda in
connection with the elections of the Society at the Annual General
Meeting on 28-4-1956 was again similarly vague as there was no
specification as to the persons with whom this propaganda was
carried on by Kanraj and where and when it was done. In the
same way, the last and the fifth charge of instigating the depositors
to withdraw their deposits from the Society was again very vague
as there was no mention as to which depositors had been instigated and when they were instigated. In these circumstances Kanraj
was fully justified in pleading that the charges were vagu~ and he
was unable L) show cause against the charges served on him.
lt is true that the Tribunal correctly held that Kanraj was not
entitled to be represented by a stranger to the Society at the enquiry
proposed to be held against him. In fact, the correspondence which passed between Kanraj and the Society shows
that Kanraj was taking a very
unreasonable and undersirable
atdtude in this matter and his conduct in persistently demanding
representation by a stranger and on that account refusing to participate in the enquiry deserves to be condemned. That circumstance
however, will not make the enquiry valid, unless it be held that
an adequate opportunity was given to Kanraj to meet the charges
framed against him. The charges, as we have indicated above,
which were served on. Kanraj were very vague and he had no opportunity to give a reply to them. The material which was available
in support of these charges was also never disclosed to him. The
mere fact that Kanraj did not appear on the date fixed for the
enquiry will not, in these 'circumstances, satisfy the requirement
of the principles of natural justice that he should have been told
of the details of the charges and the material available in support
of these charges sh01ild have been disclosed to him. It seems to us
that it was in view of this omission that the subsequent notice was
given by the Vice-Chairman to Kanraj to show cause when the
Vice-Chairman had formed his provisional opinion on the basis
of the report of the Committee of Enquiry that the charges were
proved and Kanraj should be removed from service. This subsequent show cause notice by the Vice-Chairman was, no doubt,
not required by any rule or law analogous to Art. 311 of the Constitution, but in the instant case this subsequent opportunity
which was offered by the Vice-Chairman was the only oppor-
SUPllEMB C:OUllT lll!PORTS
(1967] 2 s.c.R.
tunity which could have satisfied the requirement of principles
of natural justice, because in the earlier enquiry Kanraj had already been prejudiced by the vagueness of the charges and by the
omission to disclose to him the material in support of those charges.
In the enquiry, no adequate opportunity having been given to
Kanraj, the Tribunal was perfectly justified in setting aside the
order of removal based on the report of the Committee of Enquiry,
and it appears that it was in view of the 'aspect explained by us
above that the Tribunal proceeded to lay down that it wa~ open
to the Society to institute a fresh enquiry and give an opportunity
to Kanraj to show cause after supplying copies of necessary documents to him as claimed by him when the notice dated 13th September, 1956 was issued to him. Consequently, we consider that
the order passed by the Tribunal was fully justified .
The third and the last point urged by learned counsel for the
appellant was that, even if the Tribunal held that the order of removal of Kanraj was unjustified, the Tribunal should not have
directed his reinstatement, because the Society had taken a specific
plea before the Tribunal that the Society had lost confidence in
Kanraj. In support of this proposition, learned counsel relied
on the decision of this Court in As.!Om Oil Co. Ltd., New f)e/hi v.
Its Workmen.(') It appears to us that there might have been some
force in this submission if the position had still remained as it was
whc:i the Tribunal made its direction for reinstatement. We
were, however,
informed by learned counsel for the appellant
that, subsequent to the order of the Tribunal, Kanraj was actually
reinstated and fresh proceedings for his dismissal were taken by the
Society against him. The
information given was that, in fact,
a fresh order of removal of Kanraj from service has already been
passed and that order is the subject matter of another industrial
dispute before an Industrial Tribunal. In that industrial dispute,
the question of the compensation payable to Kanraj is also under
consideration. We think, that in view of these subsequent proceedings, it would not now be at all appropriate for this Court
to set aside the order of the Tribunal directing reinstatement of
Kanraj and thus create complications in respect of these subsequent
proceedings. The position might have been different if we had
come to the view that the Tribunal was altogether wrong in setting
aside the order of removal from service of Kanraj.
While we
are of the view that that order was justified, we do not think that
any interference with the rest of the order of the Tribunal is called
ro~
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The appeal fails and is dismissed with costs.
G.C.
Appeal dismissed.
(ol A.l.R. 1960 S.C. 1264,
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