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Supreme Court of India

ALL INDIA INDIAN OVERSEAS BANK SCHEDULED CASTES AND SCHEDULED TRIBES EMPLOYEES WELFARE ASSOCIATION AND ORS.versusUNION OF INDIA AND ORS.

Citation
1996 INSC 1141
Decided
3 October 1996
Disposal
Dismissed

Holding

The Commission does not possess the power to grant interim injunctions; its civil‑court powers are confined to investigation and inquiry under Article 338(8).

Summary

The National Commission for Scheduled Castes and Scheduled Tribes issued an interim order directing Indian Overseas Bank to halt its promotion process pending investigation of complaints relating to reservation. The bank and the candidates filed a writ petition, and the Delhi High Court set aside the Commission’s order, holding that the Commission lacked authority to issue such an injunction. On appeal, the Supreme Court examined whether Article 338(8) of the Constitution, together with the Constitution (Sixty‑Fifth Amendment) Act, 1990, conferred on the Commission the power to grant interim injunctions. The Court held that the powers of a civil court granted under clause 8 are limited to the purposes of investigation or inquiry and do not include the power to grant temporary or permanent injunctions. Consequently, the Commission’s interim order was ultra vires, and the appeal was dismissed, leaving the High Court’s decision intact.

Issues considered

  • Whether the National Commission for Scheduled Castes and Scheduled Tribes, under Article 338(8) of the Constitution, has the power to issue interim injunctions or stay orders.
  • Whether a single member of the Commission can issue a direction on behalf of the whole Commission.
  • Whether the Commission can stay a promotion process pending investigation.

Legislation cited

Subjects

National Commission for Scheduled Castes and Scheduled Tribesinterim injunctionArticle 338civil court powerspromotion processreservationjurisdictionCommission of Inquiry Actconstitutional lawtemporary restraining order

Judgment

            ALL INDIA INDIAN OVERSEAS BANK                                    A
           SCHEDULED CASTES AND SCHEDULED
    TRIBES EMPLOYEES WELFARE ASSOCIATION AND ORS.
                           v.
                UNION OF INDIA AND ORS.

                          OCTOBER 3 I, 1996.                                  B

           [A.M. AHMADI, C.J. AND S.P. BHARUCHA, J.]

      Constitution of India, 1950: Articles 338 (8) and (5)

      National Commission for Scheduled Castes and Scheduled Tribes-          C
Powers of Civil Court-Exercise of-By Commission--Commission passed
an interim order to the Bank to stop the promotion process pending fi1rther
investigation and final verdict on certain complaints received by it-Held:
Powers of Civil Court are exercisable by the Commission for the purposes
of investigating any matter under Art. 338 (5)(a) or inquiry into any         D
complaint under Art. 338(5)(b) but not for the purposes of granting
injunctions, temporary or permanent-Commission has no power to stay
the promotion process pending inquiry into a complaint-Hence,
Commission's interim order set aside--Constitution (Sixty Fifth Amendment)
Act, 1990, Section 8--Commission of Inquiry Act, 1952, Ss. 4 and 5-
Service Law.                                                                  E

     The National Commission for Scheduled Castes and Scheduled
Tribes directed respondent no. 3-Bank by an interim order to stop
the promotion process pending further investigation and final verdict
on certain complaints received by it.                                         F
      Respondent no.4, the Bank Officers' Association and respondent
nos. 5 to 8 who were candidates for selection for promotion filed a
writ petition before the High Court challenging the aforesaid order,
which was allowed. Hence this appeal.
                                                                              G
     On behalf of the appellant it was contended that the Commission
had power to issue interim order under Article 338(5) and (8) of the
Constitution of India introduced by the Constitution (Sixty Fifth
Amendment) Act, 1990 and that the Commission enjoyed powers like
a Civil Court for all purposes.                                      H
                                 295
    296                    SUPREME COURT REPORTS [1996] SUPP. 8 S.C.R.


A         Dismissing the appeal, this Court

          HELD : 1. All the procedural powers of a Civil Court given to
    the National Commission for Scheduled Castes and Scheduled Tribes
    by Article 338(8) of the Constitution of India are for the limited
    purpose of investigating any matter under Article 338(5)(b). The
B   powers of a Civil Court of granting injunctions, temporary or
    permanent, do not inhere in the Commission nor can such a power
    be inferred or derived from a reading of Clause 8 of Article 338 of the
    Constitution. [302-H, 303-A[

          2. The Commission having not been specifically granted any
C power to issue interim injunctions lacks the authority to issue an
    order directing respondent no.3-Bank to stop the promotion process
    pending further investigation and final verdict on the complaints
    received by it. [303-B, 297-E]

D         Ba/iram Waman Hiray v.Justice B. Lentin, [1988] 4 SCC 419, relied
    on.

          M V. Rajwade v. Dr. S.M Hassan, AIR (1954) Nag 71, referred to.

          CIVIL APPELLATE JURISDICTION: Civil Appeal No. 13700 of
E 1996.
         From the Judgment and Order dated 17.5.93 of the Delhi High Court
    in C.W.P. No. 1362 of 1993.

F         A.S. Nambiar, S.C. Paul, J.D. Jain, R.K. Azad and Santosh Singh
    for the Appellants.

          S.K. Bisaria for the Respondent No. 4

          R. Mohan and Nedumaran for the Respondent No. 3
G
          Ms. Binu Tarnta for D.S. Mehra for the Respondent No. I

          The Judgment of the Court was delivered by :

H         AHMADI, CJ. Leave granted.
    ALL INDIA INDIAN OVERSEAS BANK SIC AND srr EMPLOYEES WELFARE ASSN_ y_ U.O I. !AHMADI. CJ I   297


      By a letter No. 9/D/SCTC/M(S)/93 dated March 4, 1993, the National                                A
Commission for Scheduled Castes and Scheduled Tribes (hereafter referred
to as 'the Commission') directed the Executive Director of the Indian
Overseas Bank, the respondent No.3, thus:

           "No.9/D/SCTC/M(s)/93                                             4th March, 1993
                                                                                                        B
           Dear Shri K. Subramanian,

           Please refer to the commission letter No.9/D/SCTC/M(S)/92
           dated 18th Feb.93 in the matter of contravention of Government
           Directives relating reservation for SC/ST in Indian Overseas
           Bank and Other matters adversely affecting their interests.                                  C
           The commission had desired the reply of Bank within 7 days of
           said letter. It is a matter of concern that the reply from bank has
           not reached the commission till date.

           In view of the prima facie examination of the matter and                                     D
           considering the fact that the Bank is reportedly going ahead
           with the promotion process, the commission, in exercise of the
           powers conferred upon it under section 8 of the Constitution
           (Sixty-Fifth Amendment) Act, 1990 hereby directs the Bank to
           stop the promotion process pending further investigation and                                 E
           final verdict in the matter.

           The commission also direct for requisitioning of all records in
           custody of Bank relating to the said matter be produced before
           it. For this purpose you are requested to ascertain a date from
           my office.                                                                                   F

           Please advice compliance.

           Thanking you,

                                                                             Yours faithfully,
                                                                                                        G

                                                                                                 Sd/-

                                                                          (B. SAMMAIAH)
                                                                                MEMBER"                 H
    298                      SUPREME COURT REPORTS [1996] SUPP. 8 S.C.R.


A        It is a fact that when the letter was issued the respondent No.3 was
  actually going through the process of deciding on promotion of various
  employees at various levels. On March 4, 1993 when the letter was written,
  the respondent No. 2, was perhaps not aware of the reply addressed to it
  by respondent No. 3 on that very day meeting all the queries raised in the
  letter dated February 18,1993, which letter was perhaps written on the
B representation made by the President of the All India Indian Overseas
  Bank Scheduled Castes and Scheduled Tribes Welfare Association, the
  appellant before us, alleging grave injustice to its members in matters of
  promotion. In view of the letter of respondent No. 2 quoted above,
  respondent No. 3 issued a letter on the same day staying the promotion
  process. On March 6, 1993 the Indian Overseas Bank Officers Association,
C the respondent No.4, and respondents Nos. 5 to 8 who were candidates for
  selection for promotion filed a writ Petition (Civil) No. 1362 of 1993
  praying for a writ of Mandamus quashing the order dated March 4, 1993
  staying the selection process. The High Court by the impugned judgment
  allowed the writ petition with the finding that the Commission had no
  power to issue interim orders like the one in question. Hence this appeal
D by special leave.

        The short question that arises for consideration in this matter is whether
  the Commission had the power to issue a direction in the nature of an
  interim injunction? The appellant supports the letter dated March 4, 1993
E of the Commission on the facts of the case which supposedly justify the
  passing of an interim direction of the type contained in the letter dated
  March 4, 1993. The appellant refers to Article 338, clauses (5) and (8), of
  the Constitution introduced by the Constitution (Sixty Fifth Amendment)
  Act, 1990 to argue that the Commission had power to requisition public
  record and hence it could issue directions as if it enjoyed powers like a
F civil court for all purposes. Further the appellant contends that even a
  single member of the Commission has every _authority to pass a direction
  on behalf of the entire Commission and hence the High Court was wrong
   in expressing the view that a single member of the Commission could not
   have issued the direction contained in the letter dated March 4, 1993. The
G appellant further contends that no writ would lie against an interim order
  of the Commission.

           The basic question, however, is whether the Commission had the
    authority to issue the direction it did by the letter dated March 4, 1993.
    Clauses (5) and (8) of Article 338 of the Constitution, which the appellant
H   refers to as the source of the Commission's power, can be quoted for ready
    ALL lNDIA JNDIAN OVER'iEAS BANK SIC AND srr EMPLOYEES WELFARE ASSN. v. U.0.1 [AHMADI. CJ.I   2 99


reference:                                                                                              A

     "(5)       It shall be the duty of the Commission-

                (a) to investigate and monitor all matters relating to the
                safeguards provided for the Scheduled Castes and Scheduled
                Tribes under this Commission or under any other law for the                             B
                time being in force or under any order of the Government
                and to evaluate the working of such safeguards;

                (b) to inquire into specific complaints with respect to the
                deprivation ofrights and safeguards of the Scheduled Castes
                and Scheduled Tribes;                                                                   C

                (c) to participate and advise on the planning process of socio-
                economic development ofthe Scheduled Castes and Scheduled
                Tribes and to evaluate the progress oftheir development under
                the Union and any State;
                                                                                                        D
                ( d) to present to the President, annually and at such other
                times as the Commission may deem fit, reports upon the
                working of those safeguards;

                (e) to make in such report recommendations as to the measures                           E
                that should be taken by the Union or any State for the effective
                implementation of those safeguards and other measures for
                the protection, welfare and socio-economic development of
                the Scheduled Castes and Scheduled Tribes; and

                (f) to discharge such other functions in relation to the F
                protection, welfare and development and advancement of
                the Scheduled Castes and Scheduled Tribes as the President
                may, subject to the provisions of any law made by Parliament,
                by rule specify.
                                                                                                        G
      ( 6)      The President shall cause all such reports to be laid before
                each House of Parliament along with a memorandum
                explaining the action taken or purposed to be taken on
                the recommendations relating to the Union and the reasons
                for the non-acceptance, if any, of any of such
                recommendations.                                                                        H
    300                     SUPREME COURT REPORTS [1996] SUPP. 8 S.C.R.


A         (7)    Where any such report, or any part thereof, relates to any
                 matter with which any State Government is concerned, a
                 copy of such report shall be forwarded to the Governor of
                 the State who shall cause it to be laid before the Legislature
                 of the State along with a memorandum explaining the action
                 taken or proposed to be taken on the recommendations
8                relating to the State and the reasons for the non-acceptance,
                 if any, of any of such recommendations.

          (8)    The Commission shall, while investigating any matter referred
                 to in sub-clause (a) or inquiring into any complaint referred
                 to in sub-clause (b) of clause (5), have all the powers of a
c                civil court trying a suit and in particular in respect of the
                 following matters, namely:-

                 (a) summoning and enforcing the attendance of any person
                 from any part of India and examining him on oath;

D                (b) requiring the discovery and production of any document;

                 ( c) receiving evidence on affidavits;

                 (d) requisitioning any public record or copy thereof from
E                any court or office;

                 (e) issuing commissions for the examination of witnesses
                 and documents;

                 (f) any other matter which the President may, by rule,
F                determine."

         It can be seen from a plain reading of clause 8 that the Commission
    has the power of the Civil Court for the purpose of conducting an
    investigation contemplated in sub-clause (a) and an inquiry into a
G   complaint referred to in sub-clause (b) of Clause 5 of Article 338 of the
    Constitution.

          Sub-clauses (a) to (f) of clause (3) clearly indicate the area in which
    the Commission may use the powers of a Civil Court. The Commission
    has the power to summon and enforce attendance of any person from any
H   part of India and examine him on oath; it can require the discovery and
     ALL INDlA IND JAN OVERSEAS BANK SIC AND srr EMPLOYEES WELFARE ASSN_ v U.OJ IAHMADI. CJ_] 30 1




production of documents, so on and so forth. All these powers are essential                          A
to facilitate an investigation or an inquiry. Such powers do not convert the
Commission into Civil Court.

      It will be interesting to observe that the Commissions of Inquiry Act
(1952) grants similar powers to the Commission of Inquiry. Section 4 and
sub-sections (4) and (5) of Section 5 of the Commissions of Inquiry Act,                             B
1952 which confer such powers are quoted below:

      "4.       Powers of Commission-The Commission shall have the
                powers of a Civil Court, while trying a suit under the Code
                of Civil Procedure, 1908 (Act V of I 908) in respect of the
                following matters, namely:-                                                          C

                (a) summoning and enforcing the attendance of any person
                and examining him on oath;

                (b) requiring the discovery and production of any document;
                                                                                                     D
                ( c) receiving evidence on affidavits;

                (d) requisitioning any public record or copy thereof from
                any Court or office;
                                                                                                     E
                (e) issuing commissions for the examination of witnesses or
                documents;

                (I) any other matter which may be prescribed.

      5.        (4) The Commission shall be deemed to be a civil Court and                           F
                when any offence as is described in section 175, section 178,
                Section I79, Section 180 or Section 228 of the Indian Penal
                Code (Act XLV of I 860) is committed in the view or presence
                of the Commission, the Commission may, after recording
                the facts constituting the offence and the statement of the                          G
                accused as provided for in the Code of Criminal Procedure,
                 1898 (Act V of I 898) forward the case to a Magistrate having
                jurisdiction to try the same and the Magistrate to whom any
                such case is forwarded shall proceed to hear the complaint
                against the accused as if the case had been forwarded to him
                under Section 482 of the Code of Criminal Procedure, 1898.                           H
    302                     SUPREME COURT REPORTS [1996] SUPP. 8 S.C.R.


A         (5)    Any proceedings before the Commission shall be deemed to
                 be a judicial proceeding within the meaning of Sections 193
                 and 228 of the Indian Penal Code (Act XLV of 1860)."

          In MV Rajwade v. Dr. SM Hassan, AIR (1954) Nagpur 71, the
    question whether the Commission of Inquiry, by virtue of the above
B   provisions, could be treated to be a civil court for the purpose of the
    Contempt of Courts Act, 1971 came to be considered. The High Court
    observed as under:

                 "It would appear from Section 4 that it only clothes the
                 Commission with certain powers of a Civil Court but does
c                not confer on it the status of a Court. It is only under sub-
                 section (4) of Section 5 that the Commission is deemed to be
                 a Civil Court and sub-section (5) imparts to the proceeding
                 before it the character of a judicial proceeding. However,
                 these provisions only create a fiction which cannot extend
                 beyond the purpose for which it is created."
D
          The judgment in the case of M V Rajwade (supra) was referred to
    with approval by this Court in Dr. Baliram Waman Hiray v. Justice B.
    Lentin and others, [1988] 4 SCC 419. The question in that case was whether
    the Commission of Inquiry constituted under Section 3(1) of the
    Commissions oflnquiry Act, 1952 was a court for the purpose of Section
E   195 (l)(b) Criminal Procedure Code, 1973. It was contended before the
    Court that sub-Section (4) of Section 5 of the Commission oflnquiry Act
    created a legal fiction by which the Commission of Inquiry was deemed to
    be a Civil Court for all purposes. It was held that the words "for all
    purposes" are not there in the first part of sub-section (4) and the Court
F   cannot, in the guise ofinterpreting the provision, supply any casus omissus.
    The Court went on to say that the purpose of creating the fiction was
    reflected in .the second part of sub-clause 4, viz., for the purpose of
    proceedings under Section 482 of the Old Code and Section 346 of the
    new Code of Criminal Procedure.

G          Interestingly, here, in clause 8 of Article 138, the words used are
    "the Commission shall ... have all the powers of the Civil Court trying a
    suit." But the words "all the powers of a Civil Court" have to be exercised
    "while investigating any matter referred to in sub-clause (a) or inquiring
    into any complaint referred to in sub-clause (b) of clause 5". All the
    procedural powers of a Civil Court are given to the Commission for the
H   purpose of investigating and inquiring into these matters and that too for
    ALL INDIA JN DIAN OVERSEAS BANKS/C ANDS/TEMPLOYEESWELFAREASSN. v. U.0.1. [AHMADI, CJ.]   303


that limited purpose only. The powers of a Civil Court of granting                                 A
injunctions, temporary or permanent, do not inhere in the Commission
nor can such a power be inferred or derived from a reading of clause 8 of
Article 338 of the Constitution.

      The Commission having not been specifically granted any power to
issue interim injunctions, lacks the authority to issue an order of the type B
found in the letter dated March 4, 1993. The order itself being bad for
want of jurisdiction, all other questions and considerations raised in the ·
appeal are redundant. The\High Court was justified in taking the view it
did. The appeal is dismissed. No costs.

v.s.s.                                                                 Appeal dismissed. C


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