12 April 1977
Supreme Court
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KARNATAKA ELECTRICITY BOARD Vs GULAM MOHIUDDIN


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PETITIONER: KARNATAKA ELECTRICITY BOARD

       Vs.

RESPONDENT: GULAM MOHIUDDIN

DATE OF JUDGMENT12/04/1977

BENCH:

ACT:             Electricity.   (Supply)  Act,  1948--Sec.  79--Statutory         Regulations--Whether  can  be  overriden  by  administrative         resolutions--Mysore State Electricity Board Recruitment  and         Promotion of employees of the Board Regulations 1960 Passing         of SAS examination if necessary for promotion.

HEADNOTE:             The  respondent  was serving as an  Accountant  in  ’the         Electricity Department of the former State of Hyderabad.  On         the reorganisation of the States in pursuance of the  States         Reorganisation Act, 1956, he was allotted to  the  new State         of  Mysore with effect from 1st November, 1956.  Option  was         given to the respondent to continue in the Government  serv-         ice  or to opt to the BOard. On 1st October, 1957,  the  re-         spondent opted to the service under the Board and ceased  to         be an employee of the Government with effect from that date.         In 1960, the Board framed Recruitment and Promotion  Regula-         tion  in exercise of its powers conferred under s. 79(c)  of         the  Indian  Electricity Supply Act, 1948.  The  regulations         were  subsequently  amended  on  16.12.1966.   The   amended         The regulations prescribed that the posts of Accounts Super-         intendents were to be filled on the basis of  seniority-cum-         merit on their having passed SAS examination.  In  December,         1966, some persons junior to the respondent were promoted on         their having passed the SAS examination, while promotion was         denied  to the respondent as he had not passed the  examina-         tion.  After the respondent’s representations were  rejected         he  filed a Writ Petition.  The Single Judge  dismissed  the         Petition.  The Division Bench refused to throw out the  Writ         Petition on the ground of delay.  It found on  consideration         of  the two resolution of the Board one dated 19.5.1969  and         another dated 5.1.1970 that the respondent being an allottee         was exempted from complying with the requirements of passing         the examination.         Allowing the appeal.             HELD:   (1) The Division Bench rightly refused  to  deny         relief to the respondent on the ground of delay and  laches.         [510 B]             (2)  Section  79 of the Act empowers the Board  to  make         regulations  not  inconsistent with the Act and  rules  made         thereunder to provide for all or any of the matters referred         to  hi cls. (a) to (k) of the section. Sub-s.  (c)  empowers         the Board to make regulations regarding the duties of  offi-         cers  and servants of the Board and their  salaries,  allow-         ances  and  other conditions of service.  By virtue  of  the         said powers the Board framed Mysore State Electricity  Board         Recruitment and Promotion of Employees of the Board  Regula-         tions, 1960.  The minimum qualification prescribed is  pass-         ing of SAS examination.  The resolution. of the Board  dated

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       19.5.1969  merely provides that the candidates appointed  to         the  Government Board services for the first time after  1st         November,  1956,  must pass the department  examination  for         purposes  of  earning increments and  promotion.   The  said         resolution  does  not deal with cases of allottees.   It  is         silent about allottees and, therefore, it is not possible to         infer from that resolution that the allottees were  exempted         from passing the departmental examination.  In any case, the         passing of the resolution  cannot have the effect of  relax-         ing  statutory regulations.  Apart from that by  the  subse-         quent resolution of 1970, the Board made it absolutely clear         that  the SAS examination had to be passed. [510  C-D,  G-H,         511 E-F]

JUDGMENT:         CIVIL APPELLATE JURISDICTION: Civil Appeal No. 144 of 1977.             Appeal  by  Special leave from the  Judgment  and  order         dated  the 2nd January, 1976 of the Karnataka High Court  in         Writ Appeal No. 430 of 1974.         509               V.N.  Satyanarayana,  K. Rajendra Chowdhary and  Veena         Devi (Mrs.) Khanna for the Appellant.              S.S.  JavaIi, B.P. Singh and A. K. Srivastava  for  Re-         spondent.             The Judgment of the Court was delivered by             KAILASAM, J.--This appeal is by the Karnataka Electrici-         ty  Board by its Secretary by Special leave granted by  this         Court  against  the  judgment of the  Karnataka  High  Court         allowing  the  writ  petition filed by  the  respondent  and         issuing a writ of mandamus to the appellant to consider  the         case of the respondent for promotion as an Accounts Superin-         tendent  as  on 30th December, 1966, and to promote  him  to         that post with effect from that date.  .             The  respondent was serving as an Accountant, Grade  II,         in  the Electricity Department of the former .State of  Hyd-         erabad.  On the reorganisation of the States in pursuance of         the States Reorganisation Act, 1956, he was allotted to  the         new  State  of Mysore (now Karnataka) with effect  from  1st         November,  1956.  The post which he held came to be  equated         with that of I Division Clerk in the former State of Mysore.         On 1st October, 1957, the Mysore State Electricity Board now         Karnataka State Electricity Board was constituted under  the         Indian Electricity (Supply.) Act. An option was given to the         respondent  to continue in the Government service or to  opt         to the Board.  On 1st October, 1957, the respondent opted to         the Service under the Board and ceased to be an employee  of         the Government with effect from that date.             In the year 1960 the Board framed Recruitment and Promo-         tions Regulations in the exercise of its powers conferred on         it  under  section 79(c) of the Act.  The  Regulations  were         subsequently  amended on 16th December, 1966.   The  amended         Rules prescribed that the posts of Accounts  Superintendents         were to be filled by promotion   of I Division Clerks on the         basis  of seniority-cum-merit on their having passed Part  I         and II of the S.A.S. examination.             On  30th  December,  1966, some persons  junior  to  the         respondent  were promoted on their having passed the  S.A.S.         examination while promotion was denied to the respondent  as         he  had  not passed the examination.   The  respondent  made         several  representations  one such representation  being  on         24th  December, 1970. On 21st November, 1972,  the  respond-         ent’s representations were rejected.  The respondent  there-         after  filed a writ petition before the High Court  on  13th

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       February,  1973.   The learned Single Judge  who  heard  the         petition dismissed it and the respondent preferred an appeal         to  a Bench of the Karnataka High Court.  On behalf  of  the         appellant,  Karnataka  Electricity Board, it  was  contended         before  the  court that the writ petition ought to  be  dis-         missed  on the ground of inordinate delay and laches on  the         part  of the respondent and also on the ground that in  view         of  the  later Resolution of the Board  dated  5th  January,         1970, it was no longer open to the respondent to rely on the         Resolution dated 19th May, 1969.  The Bench of the Karnataka         High Court held that the writ petition cannot         6--502SCI/77         510         be thrown out on the ground of delay.  On a consideration of         the  two Resolutions of the Board, namely that of 19th  May,         1969 and 5th January, 1970, it found that the respondent  as         an  allottee was exempted from complying with  the  require-         ments  of passing the examination and therefore allowed  the         writ petition.              We do not see any ground for not accepting the view  of         the  High  Court that in the circumstances of the  case  the         relief to the respondent should not be denied on the  ground         of delay and laches.              The  only  ground therefore on which the order  of  the         High Court was challenged by the appellant is that the court         was  in error in construing the relevant provisions  of  the         Regulations  and  the Resolutions and holding that  the  re-         spondent  is  exempted from passing the  S.A.S.  examination         before  qualifying for the promotion.  Before  referring  to         the  two Resolutions the relevant provisions of the law  and         Regulations  made thereunder may be referred to.  The  Elec-         tricity (Supply) Act, 1948, by section 79 empowers the Board         to  make Regulations not inconsistent with the Act  and  the         rules  made  thereunder  to provide for all or  any  of  the         matters  referred to in clauses (a) to (k) of  the  section,         Sub-clause  (c) empowers the Board to make  Regulations  re-         garding the duties of officers and servants of the Board and         their salaries, allowances and other conditions of  service.         By  virtue  of the powers conferred on the Board  it  framed         Mysore State Electricity Board Recruitment and Promotion  of         Employees  of  .the Board Regulation, 1960.  The  method  of         recruitment  prescribed for promotion to  Accounts  Superin-         tendents  is  prescribed in Chapter V  of  Annexure-2.   The         method  of  recruitment is by promotion from the cadre of  I         Grade  Clerks  on  the basis  of  seniority-cum-merit,   The         minimum qualification prescribed is that the candidate ought         to have passed S.A.S. examination Part I and Part II.   This         provision which was enacted in 1960 continued to be in force         during the relevant time.  If this Regulation is applicable,         the respondent’s plea has to be rejected as it is  incumbent         on  him to pass the S.A.S. examination.  The  Resolution  of         the Board relied on  by the respondent is 19th May, 1969 and         the material paragraph runs as follows :--                               "It is hereby directed that the candi-                       dates  appointed to  Government/Board  Service                       for  the first time after the date  of  States                       Re-organisation  i.e., 1st November  1956  (as                       they  are not allottees) should pass  the  De-                       partmental  Examinations and Kannada  Language                       Tests  for purposes of earning increments  and                       for promotion."             The  Resolution requires the passing of the  examination         and Kannada language test for the purpose of earning  incre-         ments  and for promotion for candidates  appointed  after/st         November,  1956.   But as it is not made applicable  to  the

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       allottees, it is contended that the allottees are by  impli-         cation exempted from passing the Departmental Examination  I         and  Kannada language test.  This contention cannot  be  ac-         cepted for the Resolution is silent regarding the  allottees         and  is not made applicable to them.  It is not possible  to         infer from the Resolution that the         511         allottees are exempted from passing the Departmental  Exami-         nation  and the Kannada language test.  the Resolution  was’         passed  by the Board in pursuance of certain proceedings  of         the  Government  referred  to  in  the  Resolution   itself.         Paragraph 2 of the  Resolution reads thus:                             "Approval  is accorded for the  adoption                       of  the Government Order Nos. (1) GAD 123  SSH                       65  dated  21-11-1966 (2) GAD 2 SSR  67  dated                       3-8-1957  and  (3) GAD 72 SSR 67  dated  20-7-                       1968."         The  three Government orders referred to in  the  Resolution         relate  to  the requirement of passing of  the  Departmental         Examination  and Kannada language test as a  consequence  of         the  judgment  of the High Court of Mysore and  the  Supreme         Court.  The’ orders specifically states that unless. in  the         Recruitment Rules relating to the service concerned  Depart-         mental Examination had been incorporated and prescribed  and         unless  it is clearly specified for what purpose  the  tests         are  prescribed viz., whether for increments or  promotions,         the passing of  Departmental tests cannot be legally insist-         ed  upon for grant of increments or for according  promotion         to higher posts.  The three Government orders make it  clear         that  the relaxation of the rule relating to passing of  the         Departmental Examinations and Kannada language test is  only         as  regards  services where the rules  do  not  specifically         require  the  passing of the examinations and  the  language         test.   These G.O.s do not apply in the present case as  the         Regulations framed by the Board under section 79(c) specifi-         cally  prescribe  the passing of the S.A.S.  test.   We  are         unable  to construe the Resolution dated 19th May,  1969  as         exempting the allottees from passing the test.  In any event         the  plea of the respondent will have to fail on the  ground         that the Regulations framed under section 79(c) of the Board         requiting the passing of the examination was not relaxed  by         amending the Regulations.  The passing of the Resolution  by         the  Board cannot have the effect of modifying a  Regulation         which was passed by the Board in the exercise of the  powers         conferred by the statute.  Apart from this circumstance by a         subsequent Resolution the Board itself considered the  ques-         tion  in  all its aspects and resolved that passing  of  the         S.A.S.  examination for promotion to the cadre  of  Accounts         Superintendents  as before be insisted. Whatever might  have         been the purport of the Resolution dated 19th May, 1969, the         Board  by a subsequent Resolution had resolved on  insisting         on  the  passing of the examination.  The High  Court  found         that the later Resolution did not affect the earlier Resolu-         tion  on the ground that the subsequent Resolution  did  not         make any reference to the earlier Resolution and that  there         is  no  reference to the allottees at all.  Relying  on  the         words  "the passing of the S.A.S. Examination  for-promotion         to  the cadre of Accounts Superintendents as before  be  in-         sisted"  the court found that it would .mean that where  the         passing of the S.A.S. Examination was insisted prior to that         Resolution  in  the same shall continue to  be  insisted  in         future  also, and if passing of the S.A.S.  Examination  was         not insisted prior to that Resolution in the case of  allot-         tees for promotion to the cadre of Accounts Superintendents.         The Resolution dated 5th January, 1970, cannot be understood

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       as  altering  the  position existing   "as  before".    This         reasoning  is         512         erroneous  for, as pointed out by us the earlier  Resolution         was  not intended to cover the case of allottees and  merely         because  the allottees were excluded from the  operation  of         the Resolution the inference that the allottees were exempt-         ed  from the passing ’of the’ examination is not  justified.         Further  before the Resolution there is nothing to  indicate         that  the allottees were not required to pass  the  examina-         tion.  The conclusion of the High Court cannot be upheld  as         the  binding nature of the Regulations passed by  the  Board         under section 79(c) has not been taken due note of.  This is         the view taken by the Single Judge of the High Court.             In  the result we allow the appeal, set aside the  judg-         ment  of the lower appellate court and restore that  of  the         Single judge.  There will be no order as to costs.         P.H.P.                                    Appeal allowed.         513