17 January 1997
Supreme Court
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STATE OF PUNJAB Vs HARNAM SINGH

Bench: K. RAMASWAMY,G. SAGHIR AHMAD
Case number: C.A. No.-000444-000444 / 1997
Diary number: 79105 / 1996


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PETITIONER: STATE OF PUNJAB & ORS

       Vs.

RESPONDENT: HARNAM SINGH & ORS.

DATE OF JUDGMENT:       17/01/1997

BENCH: K. RAMASWAMY, G. SAGHIR AHMAD

ACT:

HEADNOTE:

JUDGMENT:                          O R D E R      Leave Granted.      This appeal  by special leave arises from the judgement of the  Punjab &  Haryana High   Court,  made  on  September 13,1995 in Write Petition No.5590/95.      The admitted  position is  that the  respondents joined the service  as drawing teachers in the District  Boards and zilla Parishads  in Punjab  during   the year   1957-58. The schools  were  taken  over  by  Government  of  Punjab  from District Boards  and Zilla  Paishads, At  the time  of  take over, two  of the  conditions enumerated in the deed of take over were:      3.  The  Government  shall  not  be      bound to take in Government service      the members  of the  staff  of  the      school   and    shall   have   full      discretion in  taking over  such of      them in  Government service  as may      be    considered     suitable    by      it,(Govt.).      4. The  members of  staff  who  are      taking in Government service by the      Government  under   the   preceding      clause shall  be treated  as  fresh      entrants in  Government service and      no  credit   whatsoever  of   their      previous service  in the  aforesaid      school shall be allowed to them and      their seniority vice-versa. The old      Government   servant    shall    be      terminated accordingly."      The question,  therefore, is:  whether the  view of the High  Court  that  the  previous  service  rendered  by  the respondents/erstwhile teachers  in District Boards and Zilla Parishads would  be counted for the purpose of seniority and other benefits,  is correct in law? In view of the aforesaid clauses, it  would be  abundantly clear  that the Government has been  given discretion  to  take  any  of  the  existing members into  the service  and if  so taken,  they shall  be treated as fresh entrants into the Government service vis-a-

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vis the exiting Government employees. It would be reasonable to conclude  that the Government have taken over the schools run by  the Boards  and Zilla parishad as Government schools with  the  aforesaid  condition  to  safeguard  the  service condition of  the exiting employees of the Government vis-a- vis the new entrants.      Under those  circumstances, the  staff working  in  the former Zilla  Parishad or Board taken over by the Government would be  treated as  fresh  entrants  into  the  Government service  from  the  date  of  taking  over.  therefore,  the previous service  rendered by  them would also be clear that unless there  was a  condition at  the time  of take over to treat the  previous services  of the  employees as  part  of service under  the  Government  service,  it  would  not  be counted. In  other words, it will be subject to the terms of take over.      The controversy  is no  longer res  integra, In similar circumstances, this  court in  state of  Punjab vs. Dev Dutt Kaushal [1995  Supp SCC  746 ] in paragraph 8 considered the question squarely and held that:      "...the respondent was not entitled      to any  pension  according  to  the      service conditions obtaining in the      private college  . Had  the college      not  been   taken   over   by   the      Government and  had the  retired in      the normal  course,  he  would  not      have   been    entitled   only   to      contributory provident fund . It is      only under  government service that      pension is  provided for.  But such      pension is  available only  if  any      employee  puts   in  ten  years  of      service under  the  Goverment.  Now      the gift deed does not say that for      the purpose of pension. The service      rendered in  the college  while  it      was under  the  private  management      shall also    be  counted.  On  the      contrary, it  says that  Government      shall not  accept  any  responsible      and shall  not accept any liability      for the  period prior to the taking      over of  the college  and that  all      such liabilities  shall be  cleared      by the  managing committee  of  the      college --- which means that on the      date of  taking over  the  college,      the respondent  was entitled  to be      paid  the   contributory  provident      fund by  the then management of the      college."      In view  of the  above legal  position, the parties are governed by  the conditions specified in the deed take over. As mentioned earlier, the conditions specified are that they are to  be treated  as fresh  entrants. In  other words, the previous service  has been  wiped out  and, therefore,  they are not  entitled to  take into account the previous service for any of the benefits including pension.      The appeal is accordingly alowed. as a consequence, the write petition stands dismissed. No costs.