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Supreme Court of India

KRISHNADATT AWASTHYversusSTATE OF MADHYA PRADESH & ORS.

Citation
2024 INSC 252
Decided
4 April 2024
Disposal
Matter referred to larger bench

Holding

The selection was invalid due to a reasonable likelihood of bias arising from the candidates' close relationships with committee members, and the non‑joinder did not constitute fatal prejudice, so the orders cancelling the appointments were set aside.

Summary

The case concerned the selection and appointment of ten Shiksha Karmi Grade‑III candidates who were close relatives of members of the selection committee. The Collector cancelled their appointments on the ground of bias under Section 40(c) and Section 100 of the Madhya Pradesh Panchayat Raj Act, but the appellants were not impleaded as parties in the original appeal. The appellants argued that the non‑joinder violated the audi alteram partem rule and that the bias rule was not applicable. The Supreme Court held that the relationship created a reasonable likelihood of bias, rendering the selection vitiated, and that the failure to implead the appellants did not cause prejudice sufficient to sustain the cancellation. Consequently, the orders setting aside the appointments were set aside and the appellants were allowed to retain their posts.

Issues considered

  • Whether the non‑joinder of the selected candidates before the Collector violated the principles of natural justice (audi alteram partem).
  • Whether any such violation caused prejudice to the appellants.
  • Whether the violation of natural justice at the first instance can be cured by subsequent revisional or appellate proceedings.
  • Whether the presence of close familial relationships between candidates and selection‑committee members created a reasonable likelihood of bias sufficient to invalidate the selection.
  • Whether the appointments of the appellants should be restored.

Legislation cited

Subjects

selectionappointmentbiasrule against biasnatural justiceaudi alteram partemnon‑impleadmentprejudiceservice lawPanchayat Raj ActSection 40(c)Section 100recusaladministrative lawArticle 136Article 226

Judgment

                       [2024] 4 S.C.R. 151 : 2024 INSC 264

                                   Krishnadatt Awasthy
                                           v.
                            State of Madhya Pradesh & Ors.
                              (Civil Appeal No. 4806 of 2011)
                                            04 April 2024
                [J.K. Maheshwari* and K.V. Viswanathan,* JJ.]

                                    Issue for Consideration
       Matter pertains to the selection and appointment of appellants and
       four others to the post of Shiksha Karmi Grade wherein the selection
       process, if vitiated by bias, candidates being close relatives of the
       members of selection committee and non-joinder of parties in the
       initial appeal, if violative of the natural justice.

                                               Headnotes
       Service law – Selection and appointment – Selection process,
       if vitiated by bias, the candidates being close relatives of
       the members of selection committee – Non-joinder of parties
       in the initial appeal, if violative of the natural justice – Post
       of Shiksha Karmi Grade – Selection and appointment of
       249 candidates including ten appellants and four other
       candidates, who were close relatives of the members of
       selection committee – Challenged to, before the Collector,
       by one of the aspirant – Only officers ex-officio impleaded
       as parties and not the appellants and the members of the
       selection committee – Cancellation of selection of appellants
       and four others since the members of the selection committee
       being their relatives gave them benefit thus, selection process
       vitiated – Said order upheld in Revision – Writ petition
       thereagainst, dismissed by the Single Judge of the High Court
       holding that the appellants were afforded ample opportunity
       of hearing thus, not joining them as party at the first instance
       before the Collector, should not prejudice them and plea of
       violation of principle of natural justice not justified – Division
       Bench also dismissed the appeal – Interference with:
       Held: (per Maheshwari, J.) ‘Rule against bias’ proved as
       reasonable likelihood of bias was fully established irrefutably –
* Author
Ed. Note: Hon’ble Mr. Justice J.K. Maheshwari and Hon’ble Mr. Justice K. V. Viswanathan pronounced
           separate Judgments. In view of divergent views, vide a common order, it was inter alia directed that
           the matter be placed before Hon’ble the Chief Justice of India for constitution of a larger Bench.
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       Without showing prejudice mere non-joinder even at initial stage
       does not violate the natural justice doctrine – Action of appellants
       of not controverting their relationship with the parties and not
       demonstrating the manner in which they have been prejudiced
       before the revisional authority and the Single Judge and Division
       Bench of High Court, their representation before the Collector
       would not have improved their case or compelled the Collector to
       arrive at a different finding – Plea of non-impleadment is a useless
       formality and the court should not entangle itself in procedural
       complexities – In view of the principle of prejudice, the judgment
       passed by the Single Judge as confirmed in writ appeal reaffirming
       the judgment of the Collector and Commissioner, setting aside
       the selection of the appellants does not suffer from any infirmity,
       warranting interference of this Court – Held: (per Viswanathan,
       J.) When an unsuccessful candidate challenged the selection
       process, where the specific grievance was against 14 candidates
       under the category of relatives and the overall figure was 249, at
       least the candidates against whom specific allegations were made
       and who were identified ought to have been given notices and
       made a party – Courts below makes no reference to resolution
       providing for recusal of committee members who had their close
       relatives appearing for the interview – Furthermore, the principle
       of prejudice not applicable since there was a complete denial
       of opportunity – Breach of principles of natural justice in the
       proceedings before the Collector at the original stage did not
       stand cured on account of the proceedings before the revisional
       authority – Given a chance before the Collector perhaps the
       appellants would have met each and every objection of the sole
       complainant – For the failure of complainant and the Collector,
       the appellants cannot be made to pay – By virtue of interim
       orders, the appellants are discharging their duties for the past
       twenty five years, thus, not in the interest of justice to remand the
       matter for a fresh enquiry – Impugned judgment of the Division
       Bench set aside – Madhya Pradesh Panchayat (Appeal and
       Revision) Rules, 1995 – Madhya Pradesh Panchayat Raj Avam
       Gram Swaraj Adhiniyam, 1993 – Madhya Pradesh Panchayat
       Shiksha Karmis (Recruitment and Conditions of Service) Rules,
       1997 [Paras 35, 43, 46, 60, 66, 75-77] – Per Court: In view of
       the divergent views, issuance of directions to the Registry to
       place the matter before Hon’ble the Chief Justice of India for
       constitution of a larger Bench.
[2024] 4 S.C.R.                                                     153

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


                             Case Law Cited


           In the Judgment of J.K. Maheshwari, J.
           State Bank of Patiala and others v. S.K. Sharma [1996]
           3 SCR 972 : (1996) 3 SCC 364; State of Uttar Pradesh
           v. Sudhir Kumar Singh & Ors. [2020] 13 SCR 571 :
           (2020) SCC Online SC 847 – relied on.
           Javid Rasool Bhat & Ors. v. State of Jammu and Kashmir
           & Ors. [1984] 2 SCR 582 : (1984) 2 SCC 631 – held
           inapplicable.
           A.K. Kraipak and others v. Union of India and others
           [1970] 1 SCR 457 : (1969) 2 SCC 262; J. Mohapatra &
           Co. & Anr. v. State of Orissa & Anr. [1985] 1 SCR 322 :
           (1984) 4 SCC 103; Ashok Kumar Yadav & Ors. v. State
           of Haryana & Ors. [1985] Supp. 1 SCR 657 : (1985) 4
           SCC 417; Kirti Deshmankar v. Union of India & Ors.
           [1990] Supp. 1 SCR 355 : (1991) 1 SCC 104; Gurdip
           Singh v. State of Punjab & Ors. (1997) 10 SCC 641;
           Utkal University v. Nrusingha Charan Sarangi [1999]
           1 SCR 19 : (1999) 2 SCC 193; G.N. Nayak v. Goa
           University [2002] 1 SCR 636 : (2002) 2 SCC 712; Govt.
           Of T.N. v. Munuswamy Mudaliar and Anr. (1988) Supp
           SCC 651 : AIR (1988) SC 2232; Bihar State Mineral
           Development Corporation v. Encon Builders (I) (P)
           Ltd. [2003] Supp. 2 SCR 812 : (2003) 7 SCC 418; S.
           Parthasarathi v. State of Andhra Pradesh [1974] 1 SCR
           697 : (1974) 3 SCC 459; Dr. G. Sarana v. University
           of Lucknow and others [1977] 1 SCR 64 : (1976) 3
           SCC 585; Sk. Golap and others v. Bhuban Chandra
           Panda and others (1990) SCC Online Cal 264; Kumaon
           Mandal Vikas Nigam Ltd. v. Girja Shankar Pant and
           others [2000] Supp. 4 SCR 248: (2001) 1 SCC 182;
           Ashok Kumar Sonkar v. Union of India & Ors. [2007]
           3 SCR 95 : (2007) 4 SCC 54; H.P. Transport Corpn.
           v. K.C. Rahi [2008] 3 SCR 97 : (2008) 11 SCC 502;
           Jankinath Sarangi v. State of Orissa (1969) 3 SCC 392;
           M/s. Escorts Farms (Ramgarh) Ltd. v. Commissioner
           Kumaon Division Nainital U.P. & Ors. [2004] 2 SCR
           543 : (2004) 4 SCC 281; Canara Bank v. Debasis Das
           [2003] 2 SCR 968 : (2003) 4 SCC 557 – referred to.
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       R v. Rand (1866) LR 1 QB 230; R v. Sussex JJ ex
       parte McCarthy (1924) 1 KB 256; R v. Camborne JJ ex
       parte Pearce (1955) 1 QB 41; Metropolitan Properties
       Co. (FGC) Ltd. v. Lannon (1969) 1 QB 577; Hannam
       v. Bradford Corporation (1970) 2 All ER 690; R v.
       Gough (1993) AC 646; Ridge v. Baldwin (1964) AC
       40; Russell v. Duke of Norfolk (1949) 1 AII ER 109
       (CA) – referred to.


       In the Judgment of K.V. Viswanathan, J.
       State Bank of Patiala and others v. S.K. Sharma [1996]
       3 SCR 972 : (1996) 3 SCC 364 – held inapplicable.
       Shri Farid Ahmed Abdul Samad and Another v. The
       Municipal Corporation of the City of Ahmedabad and
       Another [1977] 1 SCR 71 : (1976) 3 SCC 719; Institute of
       Chartered Accountants of India v. L.K. Ratna and Others
       [1986] 3 SCR 1049 : (1986) 4 SCC 537; United Planters
       Association of Southern India v. K.G. Sangameswaran
       and Another [1997] 2 SCR 756 : (1997) 4 SCC 741;
       Jayantilal Ratanchand Shah v. Reserve Bank of India
       and Others [1996] 4 Suppl. SCR 443 : (1996) 9 SCC
       650 – relied on.
       A.K. Kraipak and Others v. Union of India and Others
       [1970] 1 SCR 457 : (1969) 2 SCC 262; Daffodills
       Pharmaceuticals Limited and Another v. State of Uttar
       Pradesh and Another [2019] 15 SCR 125 : (2019) INSC
       1366 : (2020) 18 SCC 550; Javid Rasool Bhat and Others
       v. State of Jammu and Kashmir and Others [1984] 2
       SCR 582 : (1984) 2 SCC 631; Chairman State Bank of
       India and Another v. M.J. James [2021] 7 SCR 373 :
       (2022) 2 SCC 301 : 2021 INSC 732; Kirti Deshmankar v.
       Union of India & Ors. [1990] Supp. 1 SCR 355 : (1991)
       1 SCC 104; J. Mohapatra & Co. & Anr. v. State of Orissa
       & Anr. [1985] 1 SCR 322 : (1984) 4 SCC 103; Ashok
       Kumar Yadav & Ors. v. State of Haryana & Ors. [1985]
       Supp. 1 SCR 657 : (1985) 4 SCC 417; J.S. Yadav v.
       State of Uttar Pradesh and Another [2011] 5 SCR 460 :
       (2011) 6 SCC 570; Prabodh Verma and Others v. State
       of Uttar Pradesh and 34 Others [1985] 1 SCR 216 :
       (1984) 4 SCC 251; Ranjan Kumar and Others v. State
[2024] 4 S.C.R.                                                         155

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           of Bihar and Others (2014) 16 SCC 187 : 2014 INSC
           276; Union of India and Others v. G. Chakradhar (2002)
           5 SCC 146; Abhishek Kumar Singh v. G. Pattanaik and
           Others [2021] 5 SCR 305 : (2021) 7 SCC 613 : 2021
           INSC 305; Charan Lal Sahu v. Union of India [1989]
           Suppl. 2 SCR 597 : (1990) 1 SCC 613; S.L. Kapoor v.
           Jag Mohan and Others [1981] 1 SCR 746 : (1980) 4 SCC
           379; The State of Uttar Pradesh v. Mohammad Nooh
           [1958] 1 SCR 595; Olga Tellis and Others v. Bombay
           Municipal Corporation and Others [1985] Supp. 2 SCR
           51 : (1985) 3 SCC 545; The Chairman Board of Mining
           Examination and Chief Inspector of Mines and Another
           v. Ramjee [1977] 2 SCR 904 : (1977) 2 SCC 256; B.N.
           Nagarajan and Ors. v. State of Mysore and Ors. [1966]
           3 SCR 682; Jaswant Singh Nerwal v. State of Punjab
           and Others [1991] 1 SCR 411 : (1991) Supp 1 SCC
           313; M.C. Mehta v. Union of India [1999] 3 SCR 1173 :
           (1999) 6 SCC 237; Aligarh Muslim University and Others
           v. Mansoor Ali Khan [2000] Supp. 2 SCR 684 : (2000)
           7 SCC 529 – referred to.
           John v. Rees and Others [1969] 2 All ER 274; Ridge
           v. Baldwin (1964) AC 40; Leary v. National Union of
           Vehicle Builders [1970] 2 All ER 713; Ferd Dawson
           Calvin v. John Henry Brownlow Carr & Ors. (1979) 2
           WLR 755; Lloyd and Others v. McMahon [1987] 1 AC
           625 – referred to.

                               List of Acts
     Madhya Pradesh Panchayat (Appeal and Revision) Rules, 1995;
     Madhya Pradesh Panchayat Raj Avam Gram Swaraj Adhiniyam,
     1993; Madhya Pradesh Panchayat Shiksha Karmis (Recruitment
     and Conditions of Service) Rules, 1997; Constitution of India.

                            List of Keywords
     Selection; Appointment; Selection process; Bias; Members of
     selection committee; Non-joinder of parties; Natural justice;
     Shiksha Karmi Grade-III in Janpad Panchayat; Officers ex-officio;
     Non-impleadment as parties; Opportunity of hearing; Violation
     of principle of natural justice; Reasonable likelihood of bias;
     Rule against bias; Violation of audi alteram partem; Procedural
     complexities; Unsuccessful candidate; Notices; Definition of
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       relative; Recusal of committee members; Principle of prejudice;
       Judicial review proceedings; Review of the decision-making
       process; Interim orders; Divergent views; Constitution of a larger
       Bench.

                             Case Arising From
       CIVIL APPELLATE JURISDICTION : Civil Appeal No.4806 of 2011
       From the Judgment and Order dated 15.12.2008 of the High Court
       of M.P at Jabalpur in WA No. 892 of 2008
       With
       Civil Appeal Nos. 4807, 4808, 4809 of 2011
                          Appearances for Parties
       Neeraj Shekhar, Ashutosh Thakur, Dr. Sumit Kumar, Advs. for the
       Appellant.
       Mrinal Gopal Elker, Shashwat Parihar, Avadhesh Kumar Singh,
       Rajender Kumar Singh, Ms. Suvarna Singh, Sanjay Kumar Visen,
       Advs. for the Respondents.
                  Judgment / Order of the Supreme Court

                                  Judgment
       J.K. Maheshwari J.
1.     After perusal of the judgment and view expressed by esteemed
       brother Justice K.V. Viswanathan, in the facts of this case, I am
       not in a position to agree with the reasoning and conclusions as
       drawn by him, for which detailed reasons supporting my view is in
       succeeding paragraphs.
2.     As per the facts of the case, the controversy in the present case
       revolves around selection and appointment for the post of Shiksha
       Karmi Grade-III in Janpad Panchayat Gaurihar, District Chhatarpur
       in the State of Madhya Pradesh which relates back to the year
       1998. The appellants who are ten (10) in number and four (4) other
       candidates, in total fourteen (14) candidates who were close relatives
       of the members of selection committee, had been placed in the final
       selection list of 249 Shiksha Karmi Grade-III. For ready reference
       the appellants and their relations are described in a tabular form as
       under: -
[2024] 4 S.C.R.                                                           157

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.



      Sl. Candidate                 Committee             Relationship
      No.                           Member
      1.    Krishnadatt Awasthy     Pushpa Dvivedi        Maternal
                                    (Chairman)            Nephew
      2.    Shyama Dvivedi          Pushpa Dvivedi        Sister-in-law
                                    (Chairman)            (Nanad)
      3.    Prabha Dvivedi          Pushpa Dvivedi        Sister-in-law
                                    (Chairman)            (Devrani)
      4.    Rekha Avasthi           Pushpa Dvivedi        Niece
                                    (Chairman)
      5.    Prabhesh Kumari         Pushpa Dvivedi        Niece
                                    (Chairman)
      6.    Devendra Awasthi        Pushpa Dvivedi        Nephew
                                    (Chairman)            (Sister’s son)
      7.    Sumer Singh             Swami Singh           Son
                                    (Member)
      8.    Ramrani Singh           Swami Singh           Daughter in law
                                    (Member)
      9.    Gita Rawat              Pushpa Dvivedi        Sister
                                    (Chairman)
      10.   Rita Dwivedi            Pushpa Dvivedi        Sister of Vibha
                                    (Chairman)            who is Devrani
                                                          of Chairman
     Thus, from the table above, the relationship of appellants with the
     members of the selection committee is apparent and un-disputed.
3.   It is not inapposite to mention that at the previous stage of selection,
     after preparation of the select list of Shiksha Karmi Grade-III by
     Janpad Panchayat, Gaurihar, the same was challenged by one
     Kunwar Vijay Bahadur Singh Bundela by filing an appeal before
     the Collector, District Chhatarpur, who vide order dated 31.08.1998
     quashed the selection list and remitted the matter for fresh selection.
     Pursuant to the directions, fresh selection was conducted and the
     final selection list consisting of 249 candidates including the names
     of appellants and four others was published on 16.09.1998. As per
     the said select list appointment orders were issued on 17.09.1998
     appointing the candidates including the present appellants. Being
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       aggrieved by the selection and appointment of the appellants who
       were near relatives of members of the selection committee and
       non-selection of Smt. Archana Mishra who was an aspirant, filed an
       appeal before the Collector, District Chhatarpur on various grounds
       including the allegations as quoted in paragraph 14 of the order
       passed by esteemed brother. It is not in dispute that the present
       appellants were not impleaded as parties in the appeal before the
       Collector, though Chief Executive Officer Janpad Panchayat, Block
       Development Education Officer and the President of the Education
       Committee were arrayed as parties.
4.     On issuing notice in the said appeal, the counter affidavit was filed
       by the Chief Executive Officer, Janpad Panchayat, attaching the
       certificate given by the Sarpanch of the Panchayat acknowledging the
       relationship of the selected/appointed candidates with the members of
       selection committee. As per the material placed, the findings recorded
       by the Collector are relevant, which is reproduced as under: -
            “3. ……So far as the question of selection of the relatives
            of the members of Select Committee is concerned, it is
            proved that the members of the Committee have selected
            their relatives and the same is against the principles of
            law. The facts given in the appeal have been admitted by
            the Respondent Janpad Panchayat in its Reply that the
            Committee President Smt. Pushpa Dvivedi’s sister-in-law
            (Nanad) Shyama Dvivedi daughter of Shiv Dass Dvivedi,
            her sister-in-law (Devrani) Vibha Dvivedi wife of Kailash
            Dvivedi, two sisters of the Devrani (Vibha Dvivedi) of the
            Committee President namely Kum. Rashmi Dvivedi and
            Km. Rita Dvivedi have been appointed at Serial No. 9 and
            4 of the Select List. The certificate of Sarpanch has been
            attached by the Respondent as evidence in this regard.
            The Respondent has also admitted that Devender Kumar
            Avasthi son of Brij Bhushan Avasthi, Rekha Awasthi,
            daughter of Brij Bhushan Awasthi, Pravesh Kumar,
            daughter of Brij Bhushan Awasthi are also the maternal
            niece of the Chairman of the Selection Committee. Their
            Selection No. is 176 and 30 respectively. Chief Executive
            Officer has also stated in his reply that Summer Singh,
            son of other member Swami Singh Sengar, daughter
            in law Ram Rani, wife of Rudra Pratap Singh, nephew
[2024] 4 S.C.R.                                                             159

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           Rajesh Singh Chauhan, son Som Prakash Singh have
           also been selected. Facts which have been admitted by
           the Chief Executive Officer in his reply, they are reliable.
           Chief Executive Officer has admitted in his reply Exh.-A
           that selection of Badri Prasad, son of Bhagwat Prasad has
           been made. He has been allocated 9 marks for experience,
           but the Experience Certificate is not found enclosed with
           his application. It is also proved from the reply submitted
           by District Panchayat that selection of Shri Krishan Dutt
           Awasthi, son of Sita Ram Awasthi has been made at No.
           64. He is also the maternal nephew of the Chairman and
           at Appointment Order No. 90 selection of Geeta Rawat,
           - Ganga Prasad Rawat has been made. She is the real
           sister of Chairperson. Committee of District Panchayat
           has made the selection of his relatives in contravention
           of various Sections of MP Panchayat Raj Act. It has been
           restricted in Section 40(C) of Panchayat Raj Act that any
           of the office bearers shall not cause financial gain to his
           relatives. As per Section 40(C), act of any of the office
           bearers of Panchayat to get job for his any relative in
           Panchayat through his direct or indirect influence or to
           act to cause financial benefit to any of his relatives like
           carrying out of any work of the Panchayat through any
           kind of contract shall amount to gross negligence towards
           duties under the above Section and in such circumstances,
           if it is done, then office bearers of the Panchayat could
           be terminated. In Section 100 of the Act, acquisition of
           any interest by any member office bearer or employee
           directly or indirectly in any contract or any employment
           made is strictly prohibited. In the present case, members
           of the Committee of the District Panchayat have made the
           selection of their relatives in order to cause benefit to them
           in the entire selection procedure, which is contrary to the
           principles settled by the law. Any person cannot be the
           judge for himself. There is a principle of natural justice that
           judge should see all persons with same eye. Selection of
           the relatives of the members by the members has definitely
           caused the discrimination with other members. In such
           circumstances, selection of the relatives of the District
           Panchayat is not lawful, which is liable to be cancelled…
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            As per the facts given in the case like respondents have
            admitted in the above paras that selection of the relatives
            of the members has been made in illegal manner, selection
            of these relatives is cancelled and the appointment so
            made is terminated.”
                                                   (emphasis supplied)
       From the above observation it can be safely perceived that the
       members of the selection committee appointed the appellants who
       were their relatives and had given benefit to them which is arbitrary
       and discriminatory therefore vitiated.
5.     The appellants assailed the said order of Collector by filing revision
       under Section 5 of the Madhya Pradesh Panchayat (Appeal and
       Revision) Rules, 1995 (hereinafter referred to as “A&R Rules”).
       It was submitted that quashment of their appointment by the
       Collector without joining them and affording an opportunity is
       in violation of the Principle of Natural Justice. The appellants in
       the memo of revision had not denied their relationships with the
       members of the selection committee and only averred that “it
       is the wrong allegation that the appointments of the petitioners
       have been cancelled by the Collector, Chhatarpur on the charge
       of being relatives.”
6.     The revisional authority (Commissioner Revenue) dismissed the
       revision vide order dated 14.03.2000, in para (6) of the order it was
       observed that the selection of the appellants is contrary to Section
       40(C) of the Madhya Pradesh Panchayat Raj Avam Gram Swaraj
       Adhiniyam, 1993 (hereafter referred to as ‘Adhiniyam’). The plea
       of non-joinder and not affording an opportunity of hearing was not
       found appealing because the relationship of the appellants with the
       members of the selection committee, gave undue favour to them
       and the same was not denied. The revisional authority was of the
       opinion that in the facts and circumstances of the case, not joining the
       appellants did not prejudice them. Further, the violation of principle
       of bias attracts in this case which vitiates the selection. However, in
       absence of any prejudice, decision of the Collector is not required
       to be altered with.
7.     Aggrieved by the order of revisional authority, appellants filed a writ
       petition under Article 226 of the Constitution of India before the High
[2024] 4 S.C.R.                                                            161

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     Court. Learned Single Judge with intent to afford an opportunity
     allowed the appellants herein to inspect the records of selection
     through their counsel, as spelt out in paragraph 13 of the order of
     Single Judge which is reproduced as under: -
           “13. During the course of hearing of this petition, as ordered
           earlier the Chief Executive Officer of the Janpad Panchayat
           was present with the original records of selection. Shri
           M.L. Choubey, learned counsel for the petitioners, was
           granted permission to inspect the records he inspected the
           records on 29.07.2008. The records have been perused
           by this Court and is returned back to Shri Shailesh Mishra
           after perusal.”
           Later, learned Single Judge formulated following three
           questions: -
           (i)    “The first question would be as to whether the appeal
                  was maintainable before the Collector under Rule 3;
           (ii)   The second question is as to what is the effect of
                  cancellation of the appointment of the petitioners,
                  ordered without hearing them and without impleading
                  them as parties; and,
           (iii) The third and final question would be as to whether the
                 Collector and Commissioner were right in interfering
                 with the selection of the petitioners for the reasons
                 indicated by them in the impugned order i.e… the
                 presence of the relatives as members of the selection
                 committee in which petitioners had participated”
8.   Question No. (i) relating to maintainability of appeal was answered
     against the appellants. The said question is not of much relevance
     at this stage, thus, in my view it is not required to be dealt with in
     detail. Further, the Learned Single Judge dealt questions no. (ii)
     and (iii) in detail as they relate to non-joinder of the appellants and
     affording them an opportunity of hearing and presence of relatives of
     appellants in the selection committee. The said question had been
     answered in paragraphs 20, 21, 22 and 23 of the order. In my view
     para 20 of the order of learned Single Judge is the foundational
     discussion on the issues therefore it is relevant and reproduced
     as under: -
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       “20. Item No.3 of Rule 2 deals with Shiksha Karmi - Grade
       III, the educational qualification is Higher Secondary
       Certificate Examination passed, and the Selection
       Committee is to consist of: (i) Chairperson, Standing
       Committee of Education of Janpad Panchayat; (ii) Chief
       Executive Officer, Janpad Panchayat; (iii) Block Education
       Officer (Member Secretary); (iv) Two specialists in the
       subject to be nominated by the Standing Committee for
       Education of whom one shall be woman; and, (v) All
       members of the Standing Committee of Education of
       whom at least one belongs to the Scheduled Castes,
       Scheduled Tribes or OBC. In the present case, there is
       no dispute that the Selection Committee was constituted
       as per the aforesaid provision, but presence of two
       members in the Selection Committee is to be taken
       note of. The President of the selection Committee is one
       Smt. Pushpa Dwivedi. She is Chairman of the Education
       Committee and she has participated in the process of
       selection of various candidates. Another member of the
       Selection Committee was one Shri Swami Singh, who is
       a Member of the Janpad Panchayat and has participated
       in the process of selection as a Member of the Education
       Committee. It is found by the Collector and the finding of
       the Collector is affirmed by the Commissioner to the extent
       that petitioner No.1 Smt. Shyama Dwivedi is the sister-
       in-law of the President of the Selection Committee Smt.
       Pushpa Dwivedi. According to the finding recorded Smt.
       Pushpa Dwivedi’s sister-in-law (Nanand) Smt. Shyama
       Dwivedi; her Devrani Smt. Vibha Dwivedi; two sisters
       Rashmi Dwivedi and Rita Dwivedi have been appointed.
       Apart from these persons, her nephew Devendra Awasthi
       and her two nieces Ku. Rekha Awasthi and Ku. Prabhesh
       Kumari have been appointed. That apart, it is found that
       Smt. Gita Rawat, petitioner No.8, is also sister of Smt.
       Pushpa Dwivedi. From the aforesaid facts, it is clear that
       eight members of the family belonging to the President
       Smt. Pushpa Dwivedi have been selected for appointment
       on the post in question. Apart from the aforesaid eight
       persons petitioner Smt. Ramrani Singh is found to be
[2024] 4 S.C.R.                                                           163

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           daughter-in-law of Shri Swami Singh, who was Member of
           the Committee; Shri Sumer Singh, petitioner No.6, is found
           to be son of Shri Swami Singh and one of his nephew
           Shri Rajesh Singh has also been found to be appointed.
           Finding in this regard is recorded by the Collector and
           the Commissioner on the basis of the statement made
           by the Chief Executive Officer. The order-sheets dated
           4.6.2002 and 24.6.2002 indicates that petitioners were
           directed to file affidavits to show as to whether this is
           a correct fact or not. The order-sheet dated 24.6.2002
           indicates that time was sought by learned counsel for
           the petitioners to file specific affidavit of the petitioners
           denying their relationship with Members of the Selection
           Committee or office bearers of the Janpad Panchayat.
           Even though in pursuance to the aforesaid order, affidavits
           have been filed, but in these affidavits the facts are
           not denied and during the course of hearing Shri M.L.
           Choubey fairly admitted that petitioners are related to Smt.
           Pushpa Dwivedi and Shri Swami Singh, as recorded by
           the Collector and the Commissioner and he accepts the
           same, that being so, the finding recorded by the Collector
           and the Commissioner to the effect that all the petitioners
           are very closely related either to the President of the
           Committee, or its Member is a correct finding. According
           to the Collector and the Commissioner, the Panchayat
           Raj Adhiniyam prohibits grant of any undue benefit by
           Members and office bearers of the Panchayat to any of
           its relatives or family members. Finding recorded is that
           in this case some benefit has been granted.”
                                                  (emphasis supplied)
9.   Paragraphs 21, 22 and 23 have already been reproduced by
     esteemed brother in para 27 in his judgment. Discernibly, in para
     21 thereto the arguments regarding presence of the members of the
     selection committee do not materially affect the selection process
     was raised by the appellants, which is answered in paragraphs 22
     and 23. As reflected from paragraph 22, it drew the inference that
     one of the appellants had obtained less marks in higher secondary
     examination but she was accorded higher marks in oral interview
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       and experience category, and included in her merit. While dealing
       with the case of other candidates observed they secured less marks
       in higher secondary in comparison to wait listed candidates and
       granted more marks in oral interview due to which, they found place
       in the selection list. In scrutiny of facts and the record learned Single
       Judge was of the opinion that the appellants herein received less
       marks in higher secondary whereas many persons whose names
       appearing in wait list received 78% to 79% marks and they were
       given less than three marks in oral interview, therefore, they have
       not been given place in selection list. In paragraph 23 of the order,
       the Learned Single Judge further dealt with the individual cases of
       the appellants and concluded that the appellants whose relatives
       were the members of the selection committee found favour in their
       appointment, therefore, due to bias such appointments stood vitiated.
       Applying the said analogy, the arguments of appellant(s) were not
       found convincing enough to interfere with the orders of the Collector
       and Commissioner in exercise of scope of Article 226 to warrant
       interference by the High Court.
10. On analysing the order of the learned Single Judge in detail it is quite
    vivid that despite affording due opportunity to controvert the factum of
    relationship with the members of the selection committee and other
    fact findings, they have not refuted those allegations disputing their
    relationship. The record of the selection was produced before the
    Learned Single Judge bench and it was inspected by the advocate
    of the appellant(s) but they were not in a position to deny such facts
    and allegations. Accordingly, it was observed that the selection of
    the appellants who were relatives of the members of the selection
    committee, is not as per the spirit of Section 40 and 100 of the
    Adhiniyam which prohibits the office bearers to use any undue benefit
    to any of its relative and family members. Learned Single Judge
    applying the principles enunciated in the judgment of the A.K. Kraipak
    and others Vs. Union of India and others; (1969) 2 SCC 262 and
    evaluating the facts refused to exercise the jurisdiction under Article
    226 of the Constitution of India. In the light of the judgment of the
    State Bank of Patiala and others Vs. S.K. Sharma 1996 (3) SCC
    364 learned Single Judge observed that appellants have afforded
    ample opportunity of hearing therefore not joining them party at the
    first instance before the Collector, should not prejudice them and the
    plea of violation of principle of natural justice is not justified.
[2024] 4 S.C.R.                                                            165

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


11. The appellants challenged the order of the learned Single Judge
    in Writ Appeal before the Division Bench which was dismissed
    by the impugned judgement and the same is under challenge
    before us. In the impugned judgement, it is said that relationship
    of appellants with the members of selection committee has not
    been denied. Analysing the findings of paras 21 to 23 of learned
    Single Judge, it is seen how the relatives of the members of the
    selection committee were given higher marks in interview though
    they were having less marks in higher secondary and in the
    category of experience with the other wait-listed candidates who
    were given less marks in interview with an intent to push down
    the meritorious candidates in the merit list The Division Bench
    referring the judgments of A.K. Karipak (supra), J. Mohapatra &
    Co. & Anr. Vs. State of Orissa & Anr.; (1984) 4 SCC 103, Ashok
    Kumar Yadav & Ors. Vs. State of Haryana & Ors.; (1985) 4 SCC
    417, Kirti Deshmankar Vs. Union of India & Ors.; (1991) 1 SCC
    104, Gurdip Singh Vs. State of Punjab & Ors.; (1997) 10 SCC
    641, Utkal University Vs. Nrusingha Charan Sarangi; (1999) 2
    SCC 193, G.N. Nayak Vs. Goa University; (2002) 2 SCC 712,
    Govt. of T.N. Vs. Munuswamy Mudaliar and Anr.; 1988 Supp
    SCC 651: AIR 1988 SC 2232, Bihar State Mineral Development
    Corporation Vs. Encon Builders (I) (P) Ltd.; (2003) 7 SCC 418
    and in paragraph 23 observed as under: -
           “The present factual matrix is to be tested on the aforesaid
           enunciation of law. We have reproduced the analysis
           made by the learned Single Judge. He has categorically
           recorded that the relatives of the members of the selection
           committee have been selected. The submission of the
           learned counsel for the appellants is that if the marks
           awarded by the interested persons are excluded then
           also they would be selected. The said submission, if we
           are permitted to say so, is a justification from hind sight.
           The result manifests itself. In the case at hand, it does
           not require Solomon’s wisdom that bias is in stricto sensu
           as from a reasonable mind could be thought. As we have
           referred to the authorities above, bias is a state of mind
           at work. Quite apart from above, when the degree of
           relationship is in quite proximity, bias is to be inferred and
           the authorities below have inferred the same and after
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          detailed discussion, the learned Single Judge has given
          the stamp of approval to the same.”
                                                 (emphasis supplied)
12. In the backdrop of the above factual matrix, as analysed and
    recorded, the Division Bench did not find any fault in the findings
    of two quasi-judicial authorities and learned Single Judge. While
    dismissing the appeal and refusing to entertain the plea of violation
    of principle of natural justice, it was observed that since the selected
    candidates were relatives of the office bearers of the committee, the
    possibility of reasonable likelihood of bias cannot be obliterated. Once
    the possibility of likelihood of bias kicks in, the selection process
    stands vitiated. It is said that in absence of any demonstrable
    prejudice to the appellants, their appointment cannot be approved.
    On the plea of not joining them as party before the Collector, the
    Division Bench observed in paragraph 11 as thus:
          “11. The second aspect is whether the orders passed by
          the Collector and the Commissioner should have been
          quashed by the learned Single Judge as the appellants
          who had been visited with adverse civil consequence
          were not arrayed as parties before the Collector. It is
          urged by the learned counsel for the appellants that in
          view of the law laid down in Inderpreet Singh Kahlon
          (supra) and M/s Laksmi Precision Screws Limited
          (supa), no person should be visited with an adverse
          civil consequence without affording him a reasonable
          opportunity of hearing. There cannot be any cavil on
          the aforesaid proposition. The learned Single Judge has
          placed reliance on the decision rendered in State Bank
          of Patiala and Others v. V.K. Sharma, (1996) 3 SCC
          364 to come to hold that unless prejudice is caused
          due to non-granting of hearing, the orders should not be
          mechanically interfered with. It is worth noting that the
          appellants had preferred the revision. They participated
          in the hearing before the revisional authority in all
          aspects. The Commissioner had called for the entire
          selection proceeding and other documents on record
          were available to the petitioners therein. There was due
          deliberation in respect of the defence put forth by the
[2024] 4 S.C.R.                                                          167

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           revisionists. That apart, the learned Single Judge had
           called for the parties. In view of the aforesaid, we are of
           the considered opinion that though it was imperative on
           the part of appellants to implead the affected parties, yet
           as the affected parties had been given full opportunity
           from all aspects by the revisional forum as well as by
           the learned Single Judge, we do not think it apt and
           apposite to quash the order and remand the matter to
           the Collector to re-adjudicate singularly on the ground
           that the appellants herein should have been impleaded
           as a parties and that the matter should be reheard. The
           said exercise in the peculiar facts and circumstance so
           the case is unwarranted.”
                                                  (emphasis supplied)
13. In view of the foregoing, it is clear that while challenging the selection
    and appointment of the appellant before the Collector, they were
    not the party. However, in revision they challenged the said and
    afforded the opportunity but their contentions did not find favour
    with revisional authority. As per the findings recorded and also by
    Learned Single Judge, it is clear that the appellants were relatives
    of the members of the selection committee which is not permissible
    as per the spirit of Sections 40 and 100 of the Adhiniyam. The
    Division Bench confirmed those findings holding that in the facts
    of the case, reasonable likelihood of bias cannot be ruled out. It
    was also held that at initial stage the appellants were required to
    be joined as parties before the Collector but because they have
    been given due opportunity by the revisional authority, before
    learned Single Judge, it has not caused any prejudice. Looking to
    the uncontroverted facts only their non-joinder before the Collector
    would not vitiate the order impugned.
14. In the above factual background, it is required to be appreciated
    that whether due to non-joining the appellants before the Collector
    violates the principle of natural justice ? Consequently, whether
    the findings recorded against the appellants by two quasi-judicial
    authorities, writ court and the writ appellate court is liable to be
    interfered with in this appeal?
15. For appreciating the said issue, it is necessary to refer Sections 40
    and 100 of the Adhiniyam, which are reproduced as thus: -
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       “40. Removal of office-bearers of Panchayat- (1) The State
       Government or the prescribed authority may after such
       enquiry as it may deem fit to make at any time, remove
       an office-bearer-
       (a)   if he has been guilty of misconduct in the discharge
             of his duties; or
       (b)   if his continuance in office is undesirable in the
             interest of the public:
       Provided that no person shall be removed unless he has
       been given an opportunity to show cause why he should
       not be removed from his office.
       Explanation- For the purpose of this sub-section
       “Misconduct” shall include-
       (a)   any action adversely affecting,-
             (i)    the sovereignty, unity and integrity of India; or
             (ii)   the harmony and the spirit of common
                    brotherhood amongst all the people of State
                    transcending religious, linguistic, regional, caste
                    or sectional diversities; or
             (iii) the dignity of women; or
       (b)   gross negligence in the discharge of the duties
             under this Act;
       [(c) the use of position or influence directly or indirectly to
            secure employment for any relative in the Panchayat
            or any action for extending any pecuniary benefits
            to any relative, such as giving out any type of lease,
            getting any work done through them in the Panchayat
            by an office-bearer of Panchayat.
       Explanation. – For the purpose of this clause, the expression
       “relative” shall mean father, mother, brother, sister, husband,
       wife, son, daughter, mother-in-law, father-in-law, brother-in-
       law, sister-in-law, son-in-law or daughter-in-law:]”
       “100. Penalty for acquisition by a member, office bearer
       or servant of interest in contract. - If a member or office
[2024] 4 S.C.R.                                                        169

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           bearer or servant of Panchayat knowingly acquires,
           directly or indirectly any personal share or interest in
           any contract or employment, with, by or on behalf of a
           Panchayat without the sanction of or permission of the
           prescribed authority he shall be deemed lo have committed
           an offense under Section 168 of the Indian Penal Code,
           1860 (XLV of 1860).”
16. On perusal of the said provision, the intention of the legislators is
    lucid that a person can be removed from the office mainly on two
    instances, firstly, if they are guilty of misconduct and secondly,
    their continuation in office is undesirable in public interest. The
    provision further attempts to enlist the events which typically fall
    within the definition of misconduct. Clause (c) of the first explanation
    to Section 40 encompasses use of position by direct or indirect
    influence to secure employment for the relatives and extending
    any pecuniary benefits to them as misconduct. Upon perusal, it is
    irrefutably inferred that functioning of the Panchayat must be free
    from influence in selection and appointment and no undue benefit
    should be given to relatives in employment or any other pecuniary
    benefit. Otherwise contravention of this provision attracts removal
    of the office bearers. Further, it is apparent from the Explanation
    to clause (c), that the term ‘relative’ encompasses father, mother,
    brother, sister, husband, wife, son, daughter, mother-in-law father-
    in-law brother-in-law of the office bearer and such relationships
    are implied to be falling within the category of ‘prohibited degree
    of relationship’ in the matter of employment or to grant pecuniary
    benefit. Thus, it is explicit that relatives of elected office bearers,
    if secures an employment by the process where the office bearers
    were actively participating and controlling the process, it gives cause
    for removal of such office bearers.
17. As per factual matrix of the instant case, out of 14 candidates
    whose selection was set aside, 7 fall within the prohibited degree
    of relationships and others can be said to be in near relation.
    Though in the present case we are not concerned with the removal
    of office bearers, nonetheless, we should not lose track of the fact
    that the conduct of the office bearers in giving undue benefits to
    their near relatives in an orchestrated manner to deprive other
    candidates of the opportunities despite them securing more marks
    in qualifying higher secondary examination, by and large amounts
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       to ‘misconduct’ under the law. Upon challenge, the selection and
       appointment of successful candidates who were alleged to be in
       relationships with the office bearers has been set aside by the
       orders of the authorities and the High Court on the ground that
       the presence of reasonable likelihood of bias vitiates the selection
       process and consequently the appointment. Further, the plea of
       their non-joinder at initial stage was not found favour by both, the
       authorities and the High Court, by stating that since the candidates
       have been afforded sufficient opportunity however, their non-joinder
       before Collector would not be detrimental to the principle of natural
       justice. At this juncture it is imperative to address the question that
       when the selection and appointment is made in blatant violation of
       the principle(s) of natural justice what effect would it have on the
       selection of such candidates?
18. In the case at hand, the appellants countered the findings of
    Collector, Commissioner, learned Single Judge and the Division
    Bench on the ground of violation of audi alteram partem. It was
    contended that their appointment was cancelled without joining
    them at in initial proceedings before the Collector. The principle of
    natural justice does not solely depend on audi alteram partem. It
    needs to be prefaced by an action of the administrative or quasi-
    judicial authorities and the courts of common law jurisdiction in
    India to invalidate the orders based on rule of principle doctrine.
    The principle of natural justice emphasises the basic values which
    a common man cherishes throughout. The said principle is based
    on rules relating to fairness, reasonableness, equity and justice,
    good faith, and good conscience. It gives assurance of justice with
    the intent to develop confidence in the justice delivery process. The
    English law recognized two facets of natural justice “nemo debet
    esse judex in propia causa” which means no one can be a judge in
    his own cause and “audi alteram partem” means no one should be
    condemned unheard. The preceding principle emphasises about the
    decision-making authority and the latter emphasises a procedure to
    be adopted in decision making, however, the deciding authority must
    be impartial and without bias, therefore, the element of the bias in
    the mind of the authority is an essential facet and the initial step
    to observe the principle of natural justice. The preceding principle
    emphasises that a man should not be a judge in his own cause.
    Thus as per the first requirement, the person who is involved in
[2024] 4 S.C.R.                                                          171

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     the process including a judge should be impartial and neutral and
     must be free from bias.
19. In the English judgement of R Vs. Rand, (1866) LR 1 QB 230,
    Blackburn, J observed thus “…Wherever there is a real likelihood
    that the judge would, from kindred or any other cause, have a bias
    in favour of one of the parties, it would be very wrong in him to act;
    and we are not to be understood to say, that where there is a real
    bias of this sort this Court would not interfere;..”
20. In another English judgment R Vs. Sussex JJ, ex parte McCarthy
    (1924) 1 KB 256, the King’s Bench quashed the conviction on the
    ground of bias. Lord Hewart, CJ posed the question as thus: -
           “… The question therefore is not whether in this case the
           deputy clerk made any observation or offered any criticism
           which he might not properly have made or offered; the
           question is whether he was so related to the case in its
           civil aspect as to be unfit to act as clerk to the justices
           in the criminal matter.”
     and answered as under: -
           “… The answer to that question depends not upon what
           actually was done but upon what might appear to be done.
           Nothing is to be done which creates even a suspicion that
           there has been an improper interference with the course
           of justice. Speaking for myself, I accept the statements
           contained in the Justices’ affidavit, but they show very
           clearly that the deputy clerk was connected with the
           case in a capacity which made it right that he should
           scrupulously abstain from referring to the matter in any
           way, although he retired with the Justices; in other words,
           his one position was such that he could not, if he had
           been required to do so, discharge the duties which his
           other position involved. His twofold position was a manifest
           contradiction. In those circumstances I am satisfied that
           this conviction must be quashed, unless it can be shown
           that the applicant or his solicitor was aware of the point
           that might be taken, refrained from taking it, and took
           his chance of an acquittal on the facts, and then, on a
           conviction being recorded, decided to take the point.
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21. In the case of R Vs. Camborne JJ, ex parte Pearce, (1955) 1 QB
    41 the QB observed that
            ‘real likelihood was the proper test and that a real likelihood
            of bias had to be made to appear not only from the
            materials in fact ascertained by the party complaining,
            but from such further facts as he might readily have
            ascertained and easily verified in the course of his inquiries’
            The question arose before the QB was
            “… ‘What interest in a judicial or quasi-judicial proceeding
            does the law regard as sufficient to incapacitate a person
            from adjudicating or assisting in adjudicating on it upon
            the ground of bias or appearance of bias?”
       After discussing various judgements, it was held that –
            “In the judgment of this Court the right test is that
            prescribed by Blackburn, J., namely, that to disqualify a
            person from acting in a judicial or quasi-judicial capacity
            upon the ground of interest (other than pecuniary or
            proprietary) in the subject-matter of the proceeding, a real
            likelihood of bias must be shown. This Court is further
            of opinion that a real likelihood of bias must be made to
            appear not only from the materials in fact ascertained by
            the party complaining, but from such further facts as he
            might readily have ascertained and easily verified in the
            course of his inquiries.”
            In the present case, for example, the facts relied on in
            the applicant’s statement under RSC Order 59 Rule 3(2),
            might create a more sinister impression than the full
            facts as found by this Court, all or most of which would
            have been available to the applicant had he pursued his
            inquiries upon learning that Mr Thomas was a member of
            the Cornwall County Council, and none of these further
            facts was disputed at the hearing of this motion.
            The frequency with which allegations of bias have come
            before the courts in recent times seems to indicate that
            Lord Hewart’s reminder in Sussex JJ case [(1924) 1
            KB 256: 1923 All ER Rep 233] that it is of fundamental
            importance that justice should not only be done, but
[2024] 4 S.C.R.                                                             173

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           should manifestly and undoubtedly be seen to be done’
           is being urged as a warrant for quashing convictions or
           invalidating orders upon quite unsubstantial grounds and,
           indeed, in some cases upon the flimsiest pretexts of bias.
           Whilst endorsing and fully maintaining the integrity of
           the principle reasserted by Lord Hewart, this Court feels
           that the continued citation of it in cases to which it is not
           applicable may lead to the erroneous impression that it
           is more important that justice should appear to be done
           than that it should in fact be done.”
22. In the case of Metropolitan Properties Co. (FGC) Ltd. Vs. Lannon,
    (1969) 1 QB 577, Lord Denning observed and held as thus: -
           “the principle evolved by Lord Hewart, CJ that ‘justice
           should not only be done, but manifestly and undoubtedly
           be seen to be done’. In considering whether there was
           ‘real likelihood’ of bias, Court does not look at the mind
           of the decision-maker himself. “The Court looks at the
           impression which would be given to other people. Even
           if, he was as impartial as could be, nevertheless, if right-
           minded persons would think that, in the circumstances,
           there was a ‘real likelihood’ of bias on his part, then he
           should not sit. And if he does sit, his decision cannot stand.”
           “There must be circumstances from which a reasonable
           man would think it likely or probable that the justice, or
           chairman, as the case may be, would, or did, favour
           one side at the expense of the other. The Court will not
           enquire whether he did, in fact, favour one side unfairly.
           Suffice it that reasonable people might think that he did.”
     The said test was explained in the case of Hannam Vs. Bradford
     Corporation, (1970) 2 All ER 690 as thus: -
           “If a reasonable person who has no knowledge of the
           matter beyond knowledge of the relationship which
           subsists between some members of the tribunal and one
           of the parties would think that there might well be bias and
           there is in his opinion a real likelihood of bias. Of course,
           someone else with inside knowledge of the characters of
           the members in question might say “Although things don’t
           look very well, in fact there is no real likelihood of bias.”
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          That, however, would be beside the point, because the
          question is not whether the tribunal will in fact be biased,
          but whether a reasonable man with no inside knowledge
          might well think that it might be biased.”
23. In another English judgment R Vs. Gough, 1993 AC 646, the question
    came before the House of Lords which used the expression ‘real
    danger’ of bias while applying the test of reasonable likelihood of
    bias. The Court emphasised the term “possibility of bias” rather than
    “probability of bias” and held as under: -
          “… In my opinion, if, in the circumstances of the case
          (as ascertained by the court), it appears that there was
          a real likelihood, in the sense of a real possibility, of bias
          on the part of a justice or other member of an inferior
          tribunal, justice requires that the decision should not be
          allowed to stand. I am by no means persuaded that, in
          its original form, the real likelihood test required that any
          more rigorous criterion should be applied. Furthermore,
          the test as so stated gives sufficient effect, in cases of
          apparent bias, to the principle that justice must manifestly
          be seen to be done, and it is unnecessary, in my opinion,
          to have recourse to a test based on mere suspicion, or
          even reasonable suspicion, for that purpose.”
          “In conclusion, I wish to express my understanding of the
          law as follows. I think it possible, and desirable, that the
          same test should be applicable in all cases of apparent
          bias, whether concerned with Justices or members of
          other inferior tribunals, or with jurors, or with arbitrators.
          Likewise, I consider that, in cases concerned with jurors,
          the same test should be applied by a Judge to whose
          attention the possibility of bias on the part of a juror has
          been drawn in the course of a trial, and by the court of
          appeal when it considers such a question on appeal.
          Furthermore, I think it unnecessary, in formulating the
          appropriate test, to require that the court should look at the
          matter through the eyes of a reasonable man, because the
          court in cases such as these personifies the reasonable
          man; and in any event the court has first to ascertain
          the relevant circumstances from the available evidence,
[2024] 4 S.C.R.                                                           175

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           knowledge of which would not necessarily be available
           to an observer in court at the relevant time. Finally, for
           the avoidance of doubt, I prefer to state the test in terms
           of real danger rather than real likelihood, to ensure that
           the court is thinking in terms of possibility rather than
           probability of bias. Accordingly, having ascertained the
           relevant circumstances, the court should ask itself whether,
           having regard to those circumstances, there was a real
           danger of bias on the part of the relevant member of the
           tribunal in question, in the sense that he might unfairly
           regard (or have unfairly regarded) with favour, or disfavour,
           the case of a party to the issue under consideration by
           him….”
24. The above said English principles having been adopted by the
    Indian Courts, the Constitutional Bench in the celebrated judgment
    of A.K. Kraipak and others (supra) held as thus:
           “…..The real question is not whether he was biased. It is
           difficult to prove the state of mind of a person. Therefore
           what we have to see is whether there is reasonable
           ground for believing that he was likely to have been
           biased. We agree with the learned Attorney General that
           a mere suspicion of bias is not sufficient. There must be a
           reasonable likelihood of bias. In deciding the question of
           bias we have to take into consideration human probabilities
           and ordinary course of human conduct.”
                                                  (emphasis supplied)
25. Further, in the case of S. Parthasarathi Vs. State of Andhra
    Pradesh; (1974) 3 SCC 459 while drawing distinction of bias, “real
    likelihood” and “reasonable suspicion”, the Court expanded the
    scope of bias. The relevant paragraphs of the said judgment are
    reproduced as under: -
           “13. ……We are of the opinion that the cumulative effect
           of the circumstances stated above was sufficient to create
           in the mind of a reasonable man the impression that there
           was a real likelihood of bias in the inquiring officer. There
           must be a “real likelihood” of bias and that means there
           must be a substantial possibility of bias. The Court will
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       have to judge of the matter as a reasonable man would
       judge of any matter in the conduct of his own business
       (see R. v. Sunderland, JJ.) [(1901) 2 KB 357 at 373]
       14. The test of likelihood of bias which has been applied
       in a number of cases is based on the “reasonable
       apprehension” of a reasonable man fully cognizant of the
       facts. The courts have quashed decisions on the strength
       of the reasonable suspicion of the party aggrieved without
       having made any finding that a real likelihood of bias in
       fact existed (see R. v. Huggins [(1895) 1 QB 563] ; R. v.
       Sussex, JJ., ex. p. McCarthy [(1924) 1 KB 256] ; Cottle
       v. Cottle [(1939) 2 All ER 535] ; R. v. Abingdon, JJ. ex.
       p. Cousins [(1964) 108 SJ 840] .) But in R. v. Camborne,
       JJ. ex. p Pearce [(1955) 1 QB 41 at 51] the Court, after
       a review of the relevant cases held that real likelihood of
       bias was the proper test and that a real likelihood of bias
       had to be made to appear not only from the materials in
       fact ascertained by the party complaining, but from such
       further facts as he might readily have ascertained and
       easily verified in the course of his inquiries.
                 XXX 		           XXX 		          XXX
       16. The tests of “real likelihood” and “reasonable
       suspicion” are really inconsistent with each other.
       We think that the reviewing authority must make a
       determination on the basis of the whole evidence before
       it, whether a reasonable man would in the circumstances
       infer that there is real likelihood of bias. The Court must
       look at the impression which other people have. This
       follows from the principle that justice must not only be
       done but seen to be done. If right minded persons would
       think that there is real likelihood of bias on the part of
       an inquiring officer, he must not conduct the enquiry;
       nevertheless, there must be a real likelihood of bias.
       Surmise or conjecture would not be enough. There
       must exist circumstances from which reasonable men
       would think it probable or likely that the inquiring officer
       will be prejudiced against the delinquent. The Court
       will not inquire whether he was really prejudiced. If a
[2024] 4 S.C.R.                                                       177

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           reasonable man would think on the basis of the existing
           circumstances that he is likely to be prejudiced, that is
           sufficient to quash the decision...”
26. This Court while emphasising upon bias in the case of Dr. G. Sarana
    Vs. University of Lucknow and others; (1976) 3 SCC 585 held
    that what has to be seen is whether there is a reasonable ground
    for believing that he was likely to have been biased. In deciding the
    question of bias, human probabilities and ordinary course of human
    conduct have to be taken into consideration. In case, the member
    of the group or board may be in a position to influence the other,
    then his bias is likely to operate in a subtle manner.
27. In the case of J. Mohapatra & Co. & Anr. (supra), this Court
    emphasised that the doctrine of necessity applies not only to judicial
    matters but also to quasi-judicial and administrative matters. While
    reiterating the principle of bias, it has been held that doctrine of
    necessity cannot be invoked because the members of the committee
    were appointed by a Government Resolution and some of them
    were appointed because they were holding official position. Such
    members, by virtue of the orders or statutes were made a part of
    the selection committee, are required to inform their position to the
    Government, however, without taking such recourse they cannot
    take a plea to apply the doctrine of bias.
28. This Court in another Constitution Bench case of Ashok Kumar
    Yadav & Ors. (supra) has reaffirmed the principle of bias holding
    that if a selection committee is constituted for the purpose of
    selecting candidates on merits and one of the members of the
    selection committee is closely related to a candidate appearing for
    the selection, it would not be enough for such member merely to
    withdraw from participation in the interview of the candidate and
    ask the authorities to nominate another person in his place on the
    selection committee, because otherwise all the selections made
    would be vitiated on account of reasonable likelihood of bias affecting
    the process of selection.
29. In the case of Sk. Golap and others Vs. Bhuban Chandra Panda
    and others; 1990 SCC Online Cal 264, while dealing with the issue
    of likelihood of bias, applying the principle “justice should not only
    be done but it should be seen to have been done” the Court held
    as under: -
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          “7. ……We have no hesitation in believing also that he had
          no personal contact with the writ petitioners who were his
          erst-while clients since the previous writ petition was not
          decided in the recent past. These considerations do not,
          however, detract from the validity of the legal objection
          raised on behalf of the appellants. It is not necessary
          for the appellants to establish that the learned single
          Judge actually had a bias and that the said bias was the
          cause of the adverse verdict. The test to be applied in
          such cases is not whether in fact a bias has affected the
          judgment but whether there was a real likelihood of bias.
          The answer depends not upon what actually was done
          but upon what might appear to be done. Justice must be
          rooted in confidence; and confidence is destroyed when
          right minded people may have reason to go away thinking:
          “the Judge might have been biased.”
30. Similarly, in the case of Kirti Deshmankar (supra) this Court re-
    emphasised that if the mother-in-law of the selected candidate was
    interested in the admission of her daughter-in-law, her presence
    in the meeting of the council vitiates the selection and it was not
    necessary to categorically establish the bias. The Court observed that
    if in the selection process it is shown that there was a reasonable
    likelihood of bias, it is sufficient to set aside the such selection.
31. This Court in the case of G.N. Nayak (supra) again emphasising
    the element of impartiality in the mind of judicial, quasi-judicial or
    administrative body held as thus: -
          “33. Bias may be generally defined as partiality or
          preference. It is true that any person or authority required to
          act in a judicial or quasi-judicial matter must act impartially.
          “If however, ‘bias’ and ‘partiality’ be defined to mean the
          total absence of preconceptions in the mind of the Judge,
          then no one has ever had a fair trial and no one ever will.
          The human mind, even at infancy, is no blank piece of
          paper. We are born with predispositions and the processes
          of education, formal and informal, create attitudes which
          precede reasoning in particular instances and which,
          therefore, by definition, are prejudices.” [ Per Frank, J.
          in Linahan, Re, (1943) 138 F 2d 650, 652]
[2024] 4 S.C.R.                                                               179

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           34. It is not every kind of bias which in law is taken to vitiate
           an act. It must be a prejudice which is not founded on
           reason, and actuated by self-interest — whether pecuniary
           or personal. Because of this element of personal interest,
           bias is also seen as an extension of the principles of natural
           justice that no man should be a judge in his own cause.
           Being a state of mind, a bias is sometimes impossible
           to determine. Therefore, the courts have evolved the
           principle that it is sufficient for a litigant to successfully
           impugn an action by establishing a reasonable possibility
           of bias or proving circumstances from which the operation
           of influences affecting a fair assessment of the merits of
           the case can be inferred”.
32. The case of Gurdip Singh (supra) is a case of similar nature as
    on hand, in paragraph 3 of the said case, this Court has observed
    as thus:
           “3. …..It has been established beyond doubt that the
           father of Respondent 3 being the Secretary of the
           Managing Committee of the school participated in the
           selection of his daughter, Respondent 3 and later on
           confirmation was given about such selection in favour of
           Respondent 3 where Respondent 3 by virtue of improper
           selection also constituted as one of the members of the
           Managing Committee giving confirmation. In the aforesaid
           circumstances, we set aside the selection of Respondent
           3 as the Headmistress of the said school.”
33. On the other side, learned counsel for the appellants has heavily
    placed reliance on the judgment of Javid Rasool Bhat & Ors.
    Vs. State of Jammu and Kashmir & Ors.; (1984) 2 SCC 631 to
    contend that in absence of any allegation of mala fide, it would
    not be right to set aside the selection merely because one of the
    candidates happened to be related to a member of the selection
    committee who abstained from participating in the interview of
    that candidate. The case of Javid Rasool Bhat (supra) is based
    on a written and oral test wherein the member of the selection
    committee for oral test was unaware of the marks obtained by the
    candidate in the written examination. The father of the candidate
    who was on the interview panel had left the premise at the time of
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       interview. Thus, the Court found that there was no bias. While in
       the present case, as per the procedure prescribed and discussed,
       the members of selection committee were aware, how many marks
       have been obtained by individual candidates in qualifying exam and
       also in experience category and by shortage of how many marks
       they may be out from the merit list of selection. The members were
       aware that their relatives would appear for interview, therefore, they
       themselves passed a resolution on 01.08.2003 prior to starting the
       process of selection and decided to abstain from the interview of
       those particular candidates. Having knowledge of the fact that their
       relatives are appearing and even without intimating the same to
       the higher authorities for change of selection committee, they had
       participated in the process of selection and about 5% relatives got
       selected and appointed by such an act. Therefore, in my opinion
       the judgment of Javid Rasool Bhat (supra) is disqualifiable on
       facts and is of no help to the appellants.
34. As ascertained from the discussion above, whether in a particular
    case, principles of natural justice have been contravened or not is
    a matter for the courts to decide from case to case. However, even
    with all its vagueness and flexibility, its two elements have generally
    been accepted, viz, (i) that the body in question should be free from
    bias, and (ii) that it should hear the person affected before it decides
    the matter. The first principle denotes that the adjudicator should be
    disinterested and unbiased; the prosecutor himself should not be
    a judge; the judge should be a neutral and disinterested person; a
    person should not be a judge in his own cause; a person interested
    in one of the parties to the dispute should not, even formally, take
    part in the adjudicatory proceedings. The basis of this principle is
    that justice should not only be done, but should manifestly and
    undoubtedly be seen to be done. According to Lannon (Supra), the
    actual existence of bias is not necessary. The test is “reasonable
    likelihood of bias”, if a reasonable man would think on the basis of
    the existing circumstances that he is likely to be prejudiced, that is
    sufficient to quash the decision. Mere apprehension of bias is not
    enough and there must be cogent evidence available on record
    to come to the conclusion. In my view the said Doctrine has been
    adopted in pith and substance by Indian Courts.
35. As per the judgment of Ridge Vs. Baldwin; 1964 AC 40, it is said
    that the doctrine of natural justice is not only to secure justice but
[2024] 4 S.C.R.                                                          181

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     to prevent the miscarriage of justice. Such doctrine was held to
     be incapable of exact definition but what a reasonable man would
     regard as a fair procedure in particular circumstances would amount
     to prevent the miscarriage of justice. In the case of Russell Vs.
     Duke of Norfolk; (1949) 1 AII ER 109 (CA), As Tucker, L.J. has
     expounded when the principles of natural justice are required to be
     seen, everything will depend on the actual facts of the case. He
     observed as thus: -
           “The requirements of natural justice must depend on the
           circumstances of the case, the nature of the inquiry, the
           rules under which the tribunal is acting, the subject-matter
           that is being dealt with and so forth.”
36. On reverting to the facts of the present case and as observed in
    the table in Para 2 of this judgement, five of the present appellants
    fall within the prohibited degree of relatives as prescribed in the
    explanation of Section 40 of the Adhiniyam, while the remaining
    five have near relationships with the Committee members. It is
    also to observe that their relationships have not been denied by
    the present appellants at any juncture of this litigation. The process
    of selection is the same in which some of the appellants having
    prohibited degree of relationship and near relationship. To apply the
    test of reasonable likelihood of bias, the relationship of candidates
    with the office bearers is material which may have relevance when
    an action for removal of the office bearer is required. But by such
    an act substantial likelihood of bias in selection of relatives by the
    members of the Committee cannot be ruled out from the mind of
    a reasonable man as expressed by Lord Denning in the case of
    Metropolitan Properties Co. (FGC) Ltd. (supra). Additionally,
    the observation of the learned Single Judge in paragraphs 17, 21,
    22 and 23 of his judgement demonstrate the orchestrated manner
    in which bias has vitiated the selection process. In my view, it is
    sufficient to plant the seed of likelihood of bias in the mind of a
    reasonable man, thus, the test of reasonable likelihood of bias as
    propounded in the abovementioned judgements is satisfied if tested
    on the anvil of the facts of the present case.
37. In the present case, in my considered opinion, the findings recorded
    by the two quasi-judicial authorities, writ court and writ appellate
    court are based on the analysis of reasonable likelihood of bias
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       which rightly stirs bias in the mind of a common man who could
       not get selected because the appellants have relations with the
       members of the selection committee. The detailed analysis of
       irregularities has been explained by the learned Single Judge and
       has been re-affirmed by the Division Bench. In my view the said
       stamp of approval should not be disturbed by this Court in exercise
       of jurisdiction under Article 136 of the Constitution of India.
38. Appellants have also vehemently contended that they have not been
    afforded an opportunity to be heard at the first stage before the
    collector, thus, non-adhesion to the principle of natural justice vitiates
    the process. At this stage, it is also crucial to mention that Indian Courts
    time and again have reiterated that principles of natural justice are
    neither treated with absolute rigidity nor as imprisoned in a straitjacket.
    It has many facets. Sometimes, this doctrine is applied in a broad
    way, sometimes in a limited or narrow. Applicability and requirements
    of natural justice depend upon the facts and circumstances of the
    case and it is not possible to lay down rigid rules as to when the
    principles of natural justice are to apply; nor as to their scope and
    extent. Everything depends on the facts and circumstances.
39. In the case of Kumaon Mandal Vikas Nigam Ltd. Vs. Girja Shankar
    Pant and others; (2001) 1 SCC 182, this Court on refinement of
    principles of natural justice observed in paragraph 2 as thus: -
            “2. While it is true that over the years there has been a
            steady refinement as regards this particular doctrine, but
            no attempt has been made and if we may say so, cannot
            be made to define the doctrine in a specific manner or
            method. Strait-jacket formula cannot be made applicable
            but compliance with the doctrine is solely dependent upon
            the facts and circumstances of each case. The totality of
            the situation ought to be taken note of and if on examination
            of such totality, it comes to light that the executive action
            suffers from the vice of non-compliance with the doctrine,
            the law courts in that event ought to set right the wrong
            inflicted upon the person concerned and to do so would
            be a plain exercise of judicial power. As a matter of fact
            the doctrine is now termed as a synonym of fairness in
            the concept of justice and stands as the most-accepted
            methodology of a governmental action.”
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        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     In view of the above, due to steady refinement as regards to the
     doctrine of natural justice, there cannot be any straitjacket formula to
     apply. The doctrine will now be termed as a synonym of fairness in
     the concept of justice and stand as the most-accepted methodology
     for a governmental action.
40. This Court in the case of Ashok Kumar Sonkar Vs. Union of India
    & Ors.; (2007) 4 SCC 54 while dealing with the principle of natural
    justice doctrine observed that it is well settled that the said doctrine
    cannot be put in any straitjacket formula. It may not be applied in
    each case unless prejudice is shown. It is not necessary where it
    would be a futile exercise. The similar observations have been made
    by this Court in the case of H.P. Transport Corpn. v. K.C. Rahi,
    (2008) 11 SCC 502. In the said case, this Court in paragraphs 7
    and 8 has observed as thus: -
           “7. The principle of natural justice cannot be put in a
           straitjacket formula. Its application depends upon the
           facts and circumstances of each case. To sustain a
           complaint of non-compliance with the principle of
           natural justice, one must establish that he has been
           prejudiced thereby for non-compliance with principle
           of natural justice.
           8. In the instant case we have been taken through various
           documents and also from the representation dated 19-
           10-1993 filed by the respondent himself it would clearly
           show that he knew that a departmental enquiry was
           initiated against him yet he chose not to participate in the
           enquiry proceedings at his own risk. In such event plea
           of principle of natural justice is deemed to have been
           waived and he is estopped from raising the question
           of non-compliance with principles of natural justice.
           In the representation submitted by him on 19-10-1993
           the subject itself reads “Departmental Enquiries”. It is
           stated at the Bar that the respondent is a law graduate,
           therefore, he cannot take a plea of ignorance of law.
           Ignorance of law is no excuse much less by a person
           who is a law graduate himself.”
41. The theory of prejudice had further been considered by this Court in
    the case of Jankinath Sarangi Vs. State of Orissa; (1969) 3 SCC
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       392, this Court while dealing with the facts of the case observed
       as thus: -
           “5. …..If anything had happened the earth would have
           swollen rather than contracted by reason of rain and the
           pits would have become bigger and not smaller. Anyway
           the questions which were put to the witnesses were
           recorded and sent to the Chief Engineer and his replies
           were received. No doubt the replies were not put in the
           hands of the appellant but he saw them at the time when
           he was making the representations and curiously enough
           he used those replies in his defence. In other words, they
           were not collected behind his back and could be used to
           his advantage and he had an opportunity of so using them
           in his defence. We do not think that any prejudice was
           caused to the appellant in this case by not examining the
           two retired Superintending Engineers whom he had cited
           or any one of them. The case was a simple one whether
           the measurement book had been properly checked. The
           pleas about rain and floods were utterly useless and the
           Chief Engineer’s elucidated replies were not against the
           appellant. In these circumstances a fetish of the principles
           of natural justice is not necessary to be made. We do not
           think that a case is made out that the principles of natural
           justice are violated.”
42. In my considered opinion, the principle of law laid down on prejudice
    in the case of S.K. Sharma (supra) duly applies in the facts of this
    case in such a scenario. In the said case in paragraph 33, the Court
    summarises the principle emerging on discussion of the issue of
    violation of the doctrine of natural justice. The relevant paragraph
    of the seven principles are reproduced as thus: -
           “33. We may summarise the principles emerging from the
           above discussion. (These are by no means intended to be
           exhaustive and are evolved keeping in view the context of
           disciplinary enquiries and orders of punishment imposed
           by an employer upon the employee):
           (1)   An order passed imposing a punishment on an
                 employee consequent upon a disciplinary/departmental
                 enquiry in violation of the rules/regulations/statutory
[2024] 4 S.C.R.                                                           185

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


                 provisions governing such enquiries should not be
                 set aside automatically. The Court or the Tribunal
                 should enquire whether (a) the provision violated is
                 of a substantive nature or (b) whether it is procedural
                 in character.
           (2)   A substantive provision has normally to be complied
                 with as explained hereinbefore and the theory of
                 substantial compliance or the test of prejudice would
                 not be applicable in such a case.
           (3)   In the case of violation of a procedural provision, the
                 position is this: procedural provisions are generally
                 meant for affording a reasonable and adequate
                 opportunity to the delinquent officer/employee.
                 They are, generally speaking, conceived in his
                 interest. Violation of any and every procedural
                 provision cannot be said to automatically vitiate
                 the enquiry held or order passed. Except cases
                 falling under — “no notice”, “no opportunity” and “no
                 hearing” categories, the complaint of violation of
                 procedural provision should be examined from
                 the point of view of prejudice, viz., whether
                 such violation has prejudiced the delinquent
                 officer/employee in defending himself properly
                 and effectively. If it is found that he has been so
                 prejudiced, appropriate orders have to be made to
                 repair and remedy the prejudice including setting
                 aside the enquiry and/or the order of punishment.
                 If no prejudice is established to have resulted
                 therefrom, it is obvious, no interference is called
                 for. In this connection, it may be remembered that
                 there may be certain procedural provisions which
                 are of a fundamental character, whose violation is
                 by itself proof of prejudice. The Court may not insist
                 on proof of prejudice in such cases. As explained
                 in the body of the judgment, take a case where
                 there is a provision expressly providing that after
                 the evidence of the employer/government is over,
                 the employee shall be given an opportunity to lead
                 defence in his evidence, and in a given case, the
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             enquiry officer does not give that opportunity in spite
             of the delinquent officer/employee asking for it. The
             prejudice is self-evident. No proof of prejudice as
             such need be called for in such a case. To repeat,
             the test is one of prejudice, i.e., whether the person
             has received a fair hearing considering all things.
             Now, this very aspect can also be looked at from the
             point of view of directory and mandatory provisions,
             if one is so inclined. The principle stated under (4)
             hereinbelow is only another way of looking at the
             same aspect as is dealt with herein and not a different
             or distinct principle.
       (4)   (a) In the case of a procedural provision which is not
             of a mandatory character, the complaint of violation
             has to be examined from the standpoint of substantial
             compliance. Be that as it may, the order passed in
             violation of such a provision can be set aside only
             where such violation has occasioned prejudice to
             the delinquent employee.
             (b) In the case of violation of a procedural provision,
             which is of a mandatory character, it has to be
             ascertained whether the provision is conceived in
             the interest of the person proceeded against or in
             public interest. If it is found to be the former, then
             it must be seen whether the delinquent officer has
             waived the said requirement, either expressly or by
             his conduct. If he is found to have waived it, then
             the order of punishment cannot be set aside on the
             ground of the said violation. If, on the other hand, it
             is found that the delinquent officer/employee has not
             waived it or that the provision could not be waived
             by him, then the Court or Tribunal should make
             appropriate directions (include the setting aside of the
             order of punishment), keeping in mind the approach
             adopted by the Constitution Bench in B. Karunakar
             [(1993) 4 SCC 727 : 1993 SCC (L&S) 1184 : (1993)
             25 ATC 704] . The ultimate test is always the same,
             viz., test of prejudice or the test of fair hearing, as
             it may be called.
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           (5)   Where the enquiry is not governed by any rules/
                 regulations/statutory provisions and the only
                 obligation is to observe the principles of natural justice
                 — or, for that matter, wherever such principles are
                 held to be implied by the very nature and impact of
                 the order/action — the Court or the Tribunal should
                 make a distinction between a total violation of natural
                 justice (rule of audi alteram partem) and violation of
                 a facet of the said rule, as explained in the body of
                 the judgment. In other words, a distinction must be
                 made between “no opportunity” and no adequate
                 opportunity, i.e., between “no notice”/“no hearing” and
                 “no fair hearing”. (a) In the case of former, the order
                 passed would undoubtedly be invalid (one may call
                 it ‘void’ or a nullity if one chooses to). In such cases,
                 normally, liberty will be reserved for the Authority to
                 take proceedings afresh according to law, i.e., in
                 accordance with the said rule (audi alteram partem).
                 (b) But in the latter case, the effect of violation (of
                 a facet of the rule of audi alteram partem) has to
                 be examined from the standpoint of prejudice; in
                 other words, what the Court or Tribunal has to see
                 is whether in the totality of the circumstances, the
                 delinquent officer/employee did or did not have a
                 fair hearing and the orders to be made shall depend
                 upon the answer to the said query. [It is made clear
                 that this principle (No. 5) does not apply in the case
                 of rule against bias, the test in which behalf are laid
                 down elsewhere.]
           (6)   While applying the rule of audi alteram partem
                 (the primary principle of natural justice) the Court/
                 Tribunal/Authority must always bear in mind the
                 ultimate and overriding objective underlying
                 the said rule, viz., to ensure a fair hearing and
                 to ensure that there is no failure of justice. It is
                 this objective which should guide them in applying
                 the rule to varying situations that arise before them.
           (7)   There may be situations where the interests of
                 State or public interest may call for a curtailing of
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                  the rule of audi alteram partem. In such situations,
                  the Court may have to balance public/State interest
                  with the requirement of natural justice and arrive at
                  an appropriate decision.”
       After going through the facts of this case as discussed above, the
       present case falls within the ambit of the principle laid down in
       paragraph 33 (3) and (6), of the above case.
43. In the recent decision this Court in State of Uttar Pradesh Vs. Sudhir
    Kumar Singh & Ors.; 2020 SCC Online SC 847, in paragraph 39
    explaining the principle of natural justice and prejudice theory has
    been made which is reproduced as thus: -
            "(1) Natural justice is a flexible tool in the hands of the
                 judiciary to reach out in fit cases to remedy injustice.
                 The breach of the audi alteram partem rule cannot
                 by itself, without more, lead to the conclusion
                 that prejudice is thereby caused.
            (2)   Where procedural and/or substantive provisions
                  of law embody the principles of natural justice,
                  their infraction per se does not lead to invalidity
                  of the orders passed. Here again, prejudice must
                  be caused to the litigant, except in the case of a
                  mandatory provision of law which is conceived not
                  only in individual interest, but also in public interest.
            (3)   No prejudice is caused to the person complaining of
                  the breach of natural justice where such person
                  does not dispute the case against him or it. This
                  can happen by reason of estoppel, acquiescence,
                  waiver and by way of non-challenge or non-denial
                  or admission of facts, in cases in which the Court
                  finds on facts that no real prejudice can therefore
                  be said to have been caused to the person
                  complaining of the breach of natural justice.
            (4)   In cases where facts can be stated to be admitted
                  or indisputable, and only one conclusion is
                  possible, the Court does not pass futile orders of
                  setting aside or remand when there is, in fact, no
                  prejudice caused. This conclusion must be drawn
[2024] 4 S.C.R.                                                           189

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                 by the Court on an appraisal of the facts of a case,
                 and not by the authority who denies natural justice
                 to a person.
           (5)   The “prejudice” exception must be more than
                 a mere apprehension or even a reasonable
                 suspicion of a litigant. It should exist as a matter
                 of fact, or be based upon a definite inference
                 of likelihood of prejudice flowing from the non-
                 observance of natural justice.”
     In view of the foregoing, it is clear that the doctrine of natural justice
     would not apply as a straitjacket formula, violation of one limb of
     natural justice that is audi altrem partem can be accepted when the
     prejudice has been shown to be caused. A person who alleges the
     breach of the principle of natural justice is required to dispute the
     case against him in order to establish prejudice. In the cases where
     facts are not in dispute, the courts ought to refrain from passing
     order of remand. Lastly, the exception of prejudice must be more
     than the reasonable suspicion and should exist as strongly as a
     matter of fact.
44. In the narration of the facts as discussed above, it is clear that the
    appellants have emphasized on their non-joinder at the initial stage
    before the Collector. A bare perusal of the order passed by the
    Collector reflects that it is based on the counter-affidavit filed by the
    Janpad Panchayat whereby it is established that the appellants were
    related to the members of the selection committee. Subsequently,
    the collector held the process to be vitiated by bias by applying the
    test of reasonable likelihood of bias. Once again, upon challenge
    being made by the appellants before the revisional authority, their
    relationship with the members of the selection committee was not
    disputed yet violation of doctrine of audi altrem partem was alleged
    merely due to non-joinder. After hearing them, the plea of non-
    impleadment did not find force before the revisional authority and
    the challenge did not succeed. Aggrieved appellants moved a writ
    petition before the High Court where ample opportunity was given by
    learned Single Judge and they were allowed to inspect the records.
    Thus, an opportunity to controvert the findings of the Collector and
    the Commissioner and factual narration thereof was duly afforded.
    After sufficient opportunities given by the Ld. Single Judge, the
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       appellants neither denied their relationship with the members of
       the selection committee nor demonstrated that how the findings
       are perverse or contrary to record, causing any prejudice to them.
45. In the sequel of above factual narration, first limb of natural justice
    that is ‘rule against bias’ was proved as reasonable likelihood of
    bias was fully established irrefutably. The violation of another limb
    i.e. audi alteram partem, which is procedural, has been prayed
    by the appellants on the pretext of their non-joinder at the initial
    stage; in my opinion, without showing prejudice mere non-joinder
    even at initial stage does not violate the natural justice doctrine in
    the case at hand.
46. As discussed, time and again, Indian Courts have emphasized
    that procedural formalities can be dispensed with when facts are
    admitted and undisputed and no apparent prejudice is caused to
    the parties from the alleged non-compliance of the procedure. The
    Courts have propounded ‘useless formality’ theory which revolves
    around the idea that in cases where there are admitted or undisputed
    facts, procedures and formalities may lose their relevance or serve
    no meaningful purpose, since the outcome may be no different in
    the absence thereof. This Court in M/s. Escorts Farms (Ramgarh)
    Ltd. v. Commissioner, Kumaon Division, Nainital, U.P. & Ors.
    2004 (4) SCC 281 observed that “rules of natural justice are to be
    followed for doing substantial justice and not for completing a mere
    ritual of hearing without possibility of any change in the decision of
    the case on merits”.
47. This Court in the case of Canara Bank v. Debasis Das, (2003)
    4 SCC 557 where order of removal was passed against charged
    employee as he could not produce his written brief within the time
    as provided, the order of removal was passed without considering
    his written brief. Upon preferring statutory appeal, though the
    employee filed written brief yet he could not convince the appellate
    authority and it was dismissed. While exercising writ jurisdiction,
    the Learned Single Judge Bench allowed the writ petition on the
    ground of violation of natural justice which was confirmed by Learned
    Division Bench of the High Court. This Court while exercising its
    jurisdiction under Art. 136 quashed the order of the Learned Single
    Judge and the Division Bench based on the finding of violation of
    natural justice.
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        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           12. Residual and crucial question that remains to be
           adjudicated is whether principles of natural justice have
           been violated; and if so, to what extent any prejudice
           has been caused. It may be noted at this juncture that
           in some cases it has been observed that where grant of
           opportunity in terms of principles of natural justice does
           not improve the situation, “useless formality theory” can
           be pressed into service.
           23. As was observed by this Court we need not go into
           “useless formality theory” in detail; in view of the fact
           that no prejudice has been shown. As is rightly pointed
           out by learned counsel for the appellants, unless failure
           of justice is occasioned or that it would not be in public
           interest to dismiss a petition on the fact situation of
           a case, this Court may refuse to exercise the said
           jurisdiction (see Gadde Venkateswara Rao v. Govt. of
           A.P. [AIR 1966 SC 828] ). It is to be noted that legal
           formulations cannot be divorced from the fact situation
           of the case.
48. Circling back to the facts of the instant case, when the hindsight a
    reasonable man looks at the action of appellants of not controverting
    their relationship with the parties and not demonstrating the manner
    in which they have been prejudiced before the revisional authority
    and Learned Single Judge Bench and Learned Division Bench of
    High Court, one would not be hesitant to hold that their representation
    before the collector would not have improved their case or compelled
    the collector to arrive at a different finding. Hence, in such a scenario,
    the plea of non-impleadment is a useless formality and the court
    should not entangle itself in procedural complexities.
49. In view of the principle of prejudice as carved out in the aforesaid
    judicial precedents and in the facts of this case, in my considered view
    the judgment passed by the learned Single Judge as confirmed in writ
    appeal reaffirming the judgment of the Collector and Commissioner,
    setting aside the selection of the appellants does not suffer from
    any infirmity, warranting the scope of interference of this Court in
    exercise of power under Article 136 of the Constitution of India.
    Accordingly, the appeals filed by the appellants stand dismissed
    affirming the order(s) impugned.
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       K.V. Viswanathan, J.
1.     Important questions in administrative law arise for consideration in
       these appeals. These are four Civil Appeals. They are filed in all by
       ten individuals. Together they call in question the judgment dated
       15.12.2008 of the Division Bench of the High Court of Judicature at
       Jabalpur in Writ Appeal Nos. 892 of 2008, 896 of 2008, 879 of 2008
       and 878 of 2008. The appointments of the appellants as Shiksha
       Karmis-Grade III in the Janpad Panchyat, Gaurihar stands set aside
       by the proceedings before the Courts below. Aggrieved, they are
       before this Court.
       Relevant facts:
2.     The Madhya Pradesh Panchayat Shiksha Karmis (Recruitment and
       Conditions of Service) Rules, 1997 (hereinafter referred to as ‘the
       Recruitment Rules’) were framed in exercise of the powers conferred
       by sub-section (2) of Section 53, sub-section (1) of Section 70 read
       with sub-section (1) of Section 95 of the Madhya Pradesh Panchayat
       Raj Adhiniyam, 1993.
3.     Under Rule 2(h), a “Shiksha Karmi” means the person appointed
       by Zila Panchayat or Janpad Panchayat, as the case may be, for
       teaching in the schools under their control.
4.     Rule 5 prescribes the Methods of Selection and Recruitment. It
       provides for two modes of selection, namely, by direct recruitment
       and by promotion.
5.     Under Rule 5(8), the Selection Committee for direct recruitment was
       statutorily prescribed and was to consist of members as specified in
       Schedule II and was to be constituted by the Zila Panchayat or the
       Janpad Panchayat. Under Schedule II for Siksha Karmi Grade III,
       the Selection Committee was to consist of the following:-
       1.   Chairperson, Standing Committee of Education of Janpad
            Panchayat;
       2.   Chief Executive Officer, Janpad Panchayat;
       3.   Block Education Officer (Member Secretary);
       4.   Two specialist in the subject to be nominated by the Standing
            Committee for Education of whom one shall be woman; and
[2024] 4 S.C.R.                                                              193

          Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     5.     All members from the Standing Committee of whom atleast one
            belongs to Scheduled Castes, Scheduled Tribes or OBC, in case
            there is no SC/ST/OBC member in the Standing Committee then
            the same shall be nominated from the General Body.
6.   Under sub-rule (9) of Rule 5, the Committee was to assess the
     candidates called for interview and award marks as follows:-
            a)   60% marks for marks obtained in the qualifying examination
                 as prescribed;
            b)   25% marks for teaching experience;
            c)   15% marks for oral test which may include i) communication
                 skills in local dialect ii) knowledge of local environment iii)
                 general knowledge iv) training and teaching aptitude and v)
                 any other test which the Selection Committee may deem fit.
7.   Under Rule 12, Appeal against the order passed under the recruitment
     rules may be made as per the provisions of the Adhiniyam. Rule 12
     of the rules reads as under:-
            “12. Appeal.- Appeal against the order passed under these
            rules may be made as per provision of the Adhiniyam.”
8.   Independently, there is the Madhya Pradesh Panchayats (Appeal and
     Revision) Rules, 1995 (hereinafter referred to as ‘the A&R Rules’).
9.   Under Rule 3 of the A&R Rules, the appeal was to lie in the case
     of an order passed by the Janpad Panchayat to the Collector of
     the District.
10. Rules 5 and 9, which are important are extracted hereinbelow:
            “5. Revision. - (1) (a) The State Government, the
            Commissioner, the Director of Panchayat, the Collector
            may on its/his own motion or on the application by any
            party, at any time for the purpose of satisfying itself/himself
            as to the legality or propriety of any order passed by or
            as to the regularity of the proceeding of, the authority
            subordinate to it/him call for and examine the record of
            any case pending before, or disposed of by, such authority
            and may pass such order in reference thereto as it/he
            may think fit :
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           Provided that it/he shall not vary or reverse any order
           unless notice has been served on the parties interested
           and opportunity given to them for being heard:
           Provided further that no application for revision shall be
           entertained against an order appealable under the Act.
           (b) An application for revision by any party shall only be
           entertained if it is on the point of law and not on facts.
           (2) Notwithstanding anything contained in sub-rule (1),-
           (i)    Where proceedings in respect of any case have
                  been commenced by the State Government under
                  sub-rule (1), no action shall be taken by other Officer
                  mentioned in the said sub-rule in respect thereof; and
           (ii)   Where proceedings in respect of any such case have
                  been commenced by the Officer mentioned in sub-rule
                  (1), the State Government may either refrain from
                  taking any action under this rule in respect of such
                  case until the final disposal of such proceeding by
                  such officer or may withdraw such proceeding and
                  pass such order as it may deem fit.
           9. Power of appellate or revisional authority.- The
           appellate or revisional authority after giving an opportunity
           to parties to be heard and after such further enquiry, if
           any, as it may deem necessary subject to the provisions
           of the Act and the rules made thereunder, may confirm,
           vary or set aside the order or decision appealed against.”
           These are the important rules for the disposal of this case.
       Resolution for recusal – during Interview:
11. The Standing Committee of the Janpad Panchayat, before the
    recruitment process, on 01.08.1998, passed a resolution whereunder
    it was resolved that members of the selection committee whose
    close relatives are candidates will not participate in the proceedings/
    deliberations and the two marks available to them for allotment to
    the candidate will be allotted to the Chief Executive Officer.
12. It was also resolved that if any close relative of any member, officer
    or subject expert appears for interview, then the marks to be given
[2024] 4 S.C.R.                                                           195

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     by that member, officer or subject expert should be given by the
     Chief Executive Officer and that member, officer or subject expert
     shall not be present at the venue of interview. The relevant part of
     the resolution is extracted hereinbelow:-
           “(C) Letter No. 423/S.T.98 dated 26.07.1998 of the
           Collector, Chhatarpur was read over by Chief Executive
           Officer, in which it has been mentioned that at the time of
           recruitment of teachers those members and officers also
           take part in the interview whose close relatives are the
           candidates due to which the entire selection process is
           likely to be affected. Therefore, the directions are given to
           immediately examine whether any candidate is the close
           relative of the member of the Committee in the interview.
           If any near relative of the member or the officer is the
           candidate, then such member or officer should not be
           present on the date of interview and any impartial person
           should be kept in his place. The Committee unanimously
           decided that if any close relative of any member, officer or
           subject expert appears for interview then the marks to be
           given by that member, officer or subject specialist should
           be given by Chief Executive Officer and that member,
           officer or subject expert shall not be present at the venue
           of interview. This resolution has been passed unanimously.”
                                                 (Emphasis supplied)
     Appointment of the appellants:
13. The Janpad Panchayat, Gaurihar, after conducting the process of
    selection by direct recruitment, published the select list on 16.09.1998
    and 249 candidates were notified for appointment. Orders of
    appointment were issued on 17.09.1998. The appellants joined duties
    and started discharging their functions. This is an undisputed fact.
     Proceedings by R-4 – without impleading the appellants:
14. On 29.09.1998, Archana Mishra (R-4), who did not qualify, filed an
    Appeal (though called an appeal it is in the nature of an original
    proceeding challenging the selection) to the Collector, Chhatarpur.
    Only three people ex-officio, were made the respondents, namely,
    i) The Chief Executive Officer, Janpad Panchayat, Gaurihar; ii)
    Block Development Education Officer, Janpad Panchayat, Gaurihar
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       and iii) the President, Education Committee, Development Block
       Gaurihar. The appointed candidates were not impleaded. What is
       of importance to note is in para 9 of the memo of appeal, few of the
       selected candidates were named and the appointments challenged.
       Archana Mishra (R-4), inspite of having knowledge did not implead
       them. Para 9 is extracted hereunder:-
            “9. That the nepotism has been adopted during the
            selection process by violating the principles of natural
            justice by misusing the post by the President of the
            Select Committee and other members by appointing their
            relatives, for example the candidates who have been
            selected at Serial No. 56 and 57 of the Selection List
            are Shyama Dvivedi daughter of Shiv Dass Dvivedi who
            is the sister-in-law (Nanad) of Educational Committee’s
            President Smt. Pushpa Dvivedi and her sister-in-law
            (Devrani) Smt. Vibha Dvivedi wife of Kailash Dvivedi,
            her nephew (sister’s son) Devender Kumar Avasthi and
            her niece (sister’s daughter) Rekha Avasthi daughter of
            Bran Bhushan Avasthi. In the same way, by misusing his
            post, the member of the Committee namely Swami Singh
            Senger has got selected his son Shamsher Singh (112),
            his daughter-in-law Ramrani wife of Rudra Pratap Singh
            (195), nephews Rajesh Singh Chauhan and Om Prakash
            Singh Chauhan and the Member Shri Harsh Vardhan
            Tripathi has got selected his real nephew Ravinder Singh
            son of Shri Jitender Singh Tripathi.”
       It will be clear that at least five of the appellants were named in the
       body of the appeal memo. This is set out to show that the present
       was not a case where the selected candidates remained unidentified.
       Even the members of the Committee against whom certain allegations
       were made were not impleaded by Respondent No.4. The following
       grievances were set out in the Appeal: a) The selection of candidates
       in the interview and the process of selection was very clumsy; b) There
       were a lot of irregularities and instances of corruption committed by
       the Selection Committee; c) Nepotism was adopted by the President
       of the Selection Committee and other members by violating the
       principles of natural justice and misusing their posts; and d) Some
       instances were set out to indicate how few selected candidates were
       the relatives of the members of the Selection Committee.
[2024] 4 S.C.R.                                                       197

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     Order of the Collector:
15. By an order of 02.06.1999, the Collector allowed the Appeal even
    in the absence of the appointed candidates being made parties.
    He set aside the selection of 14 candidates (including the selection
    and appointment of the 10 appellants herein). Concerning the
    marks awarded to the appellant – Archana Mishra, it was, however,
    held by the Collector that marks for experience were given by the
    Committee and that she was also interviewed. As such, it was held
    that it was not possible to consider the determination of marks in
    the interview, since it was the discretion of the Committee to give
    the marks.
16. However, on the question of selection of the relatives of the members
    of the Selection Committee, it was held that members of the Selection
    Committee have selected their relatives. It was also held that these
    facts had been admitted by the Janpad Panchayat in its reply. It was
    held that evidence of relationship was certified by the Sarpanch,
    whose certificate was attached as evidence by the respondent. It
    was held that as far as the Committee President was concerned,
    the Committee President’s husband’s sister, husband’s brother’s
    wife, nieces (2), nephews (2), sister, sister-in-law’s sister (2) were
    alleged to have been appointed. It was also found that in the reply to
    the Chief Executive Officer it has been mentioned that the Standing
    Committee Member Swamy Singh’s sons and daughter-in-law and
    nephew; and one son of Bhagwat Prasad had been selected. In all,
    14 individuals including the 10 appellants by name, figured in the
    order of the Collector in para 3.
17. The Collector found that under Section 40(c) of the Panchayat Raj
    Act, any of the Office Bearers shall not cause financial gains to their
    relatives. It was also found that under Section 100 of the Panchayat
    Raj Act, acquisition by any member, office bearer or employee of
    any interest directly or indirectly in any contract or employment was
    strictly prohibited.
18. The Collector held that there was no necessity to summon the
    relatives since it was proved that the appointment of the relatives
    was contrary to the procedure. It was also held that since the ex-
    officio respondents have admitted about the selection of the relatives,
    the selection of the 14 candidates, including the 10 appellants, was
    cancelled and their appointments were terminated.
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19. It is important to notice at this stage itself, Section 40(c) and Section
    100 of the M.P. Panchayat Raj Avam Gram Swaraj Adhiniyam, 1993,
    which reads as under:-
           “40 (c) the use of position or influence directly or indirectly
           to secure employment for any relative in the Panchayat
           or any action for extending any pecuniary benefits to any
           relative, such as giving out any type of lease, getting any
           work done through them in the Panchayat by an office-
           bearer of Panchayat.
           Explanation.-For the purpose of this clause, the expression
           ‘relative’ shall mean father, mother, brother, sister, husband,
           wife, son, daughter, mother-in-law, father-in-law, brother-
           in-law, sister-in-law, son-in-law or daughter-in-law :
           100. Penalty for acquisition by a member, office bearer
           or servant of interest in contract. - If a member or office
           bearer or servant of Panchayat knowingly acquires, directly
           or indirectly any personal share or interest in any contract
           or employment, with, by or on behalf of a Panchayat without
           the sanction of or permission of the prescribed authority
           he shall be deemed to have committed an offense under
           Section 168 of the Indian Penal Code, 1860 (XLV of 1860)”
20. Under the explanation to Section 40(c), nieces, nephews, sister-in-
    law’s sister are not covered under the definition of relative. Of the
    fourteen candidates, whose appointments were set aside, without
    making them parties, several fall outside the definition of relative
    even going by the case of the Complainant. Of the total 14, seven
    fell outside the definition. Of the ten before us, five fall in the category
    outside the definition of relative. Since the appointed candidates
    were not made parties, these facts could not be brought to notice.
       Revision before the Commissioner:-
21. On a revision being filed by the appellants, an interim order staying
    the execution of the order of 02.06.1999 was made on 25.06.1999.
    The interim order was also given effect to. The appellants were posted
    back to their respective positions. In the revision, the appellants
    canvassed the ground of the violation of principles of natural justice.
    Before the revisional authority, the appellants specifically contended
[2024] 4 S.C.R.                                                           199

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     that they were appointed in accordance with law based on the merit
     list and that there was no irregularity. They disputed the allegation that
     they were appointed on account of the fact that they were relatives.
     However, the Commissioner rejected the argument holding that, if
     selection has been made in violation of the scheme, then the same can
     be cancelled without giving an opportunity. The Revisional Authority
     failed to notice that the entire selection had not been cancelled and
     only the selection of the 14 appointees including the 10 appellants
     had been cancelled. Ultimately, the revision was dismissed by an
     order of the Commissioner dated 14.03.2000. Since the order of the
     Commissioner in revision proceedings is crucial, the operative part
     is extracted hereinbelow:-
           “6. (sic) On going through the record received for
           consideration on the arguments of both the parties, I
           have found that while examining the selection process,
           the Collector, Chhatarpur has clearly mentioned in his
           order dated 02.06.1999 that the members of the Selection
           Committee have selected their relatives. The respondent
           Janpad Panchayat has admitted that the Committee
           President Smt. Pushpa Dvivedi’s sister-in-law (Nanad)
           Shyama Dvivedi, her daughter Shiv Dass Dvivedi, her
           sister-in-law (Devrani) Smt. Vibha, two real sisters of her
           sister-in-law namely Kumari Rashmi Dvivedi and Kumari
           Rita Dvivedi have been selected at Serial No. 9 and 4 of
           the Select List. The Respondent has also admitted that
           Devender Kumar Avasthi son of Brij Bhushan Avasthi is
           the nephew (sister’s son) of President and Rekha Avasthi
           daughter Brij Bhushan Avasthi, Pravesh Kumari daughter
           of Brij Bhushan Avasthi are also the nieces (sister’s
           daughters) of the President who have been selected
           at Serial No. 176 and 30 of the Select List. The Chief
           Executive Officer has also mentioned in his reply that
           another Member Swami Singh Senger’s son Sumer Singh,
           daughter-in-law Raamrani wife of Rudra Pratap Singh,
           nephew Rajesh Singh Chauhan son of Som Prakash
           Singh have also been selected. 9 marks on the basis of
           experience have been given to the selected candidate
           Badri Prasad son of Bhagwat Prasad but the Experience
           Certificate has not been attached with his application. Shri
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           Krishan Dutt Avasthi son of Sita Ram Avasthi, who has
           been selected at Serial No. 64, is the nephew (sister’s son)
           of President and Gita Rawat (selected at Serial No. 190 of
           the appointment order) is the real sister of the President.
           In this way, after the above examination, holding of the
           Collector, Chhatarpur that the Select Committee of the
           Janpad Panchayat has selected their relatives contrary
           to the provisions of section 40-C of Madhya Pradesh
           Panchayat Raj Act and the selection rules, is. completely
           justified in view of the facts. So far as the plea of the
           Revisionists that the information and the opportunity of
           hearing was not given to the Revisionists in the appeal by
           the Collector, Chhatarpur nor they have been joined in the
           present appeal, therefore, the order dated 2.6.1999 is liable
           to be set aside, I am not agreed to this argument. (sic) In
           this regard, the Hon’ble High Court has clearly established
           in “Hira Lal Patel Versus Chief Executive Officer, Janpad
           Panchayat, Sargarh” reported in 1998 Volume-2 M.P.W.N.
           39 that if the selection has not been made in accordance
           to the scheme then the same can be cancelled without
           giving the opportunity of hearing.
           It clearly appears from the above facts of the case that
           selection of the petitioners has been made contrary to
           the provisions of Madhya Pradesh Panchayat Raj Act,
           1993 and principles prescribed for the selection. In the
           above situation, the order dated 02.06.1999 passed by
           the Collector, Chhatarpur is not liable to be interfered….”
       Writ Petitions in the High Court:
22. The appointed candidates totaling eleven (including the ten appellants
    herein) filed Writ Petition No. 2522 of 2000 before the High Court
    of Madhya Pradesh at Jabalpur. On 03.03.2000, in the writ petition
    filed, an order directing maintenance of status quo was made. The
    writ petition came to be dismissed by the learned Single Judge on
    31.07.2008. Before the learned Single Judge, grounds of violations
    of natural justice were argued. Apart from that, one of the other main
    grounds argued was that the role played by the relatives has not
    been examined and that it was not established whether the selection
    was influenced by their participation.
[2024] 4 S.C.R.                                                       201

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


23. It was pointed out that pursuant to the resolution passed before the
    selection by the Standing Committee on 01.08.1998, the relatives
    concerned had left the process of selection during the interview of
    the candidates who were their relatives. It was also pointed out that
    the marks to be given by the relatives were, as per the resolution,
    allotted to the Chief Executive Officer, who gave the marks. As such,
    it was argued that there was no reason to set aside the selection
    merely because there were relatives in the Selection Committee
    since they had recused when the case of the relatives came up. Yet
    another ground about the maintainability of the appeal was raised.
    Since that was not pressed before us, that is not being elaborated
    herein.
     Reasons of the learned Single Judge:
24. The learned Single Judge permitted inspection of the records to
    the counsel for the appellants. The learned Single Judge held that
    the argument of violation of natural justice was to be tested on the
    touchstone of actual prejudice. It was held by the learned Single
    Judge that when action or orders are challenged on the ground of
    non-grant of hearing, mechanical interference is not to be resorted
    to. The learned Single Judge held that the prejudice caused due
    to non-grant of hearing and the fact of the prejudice on the final
    outcome ought to be established.
25. The learned Single Judge noticed that wherever statutes contemplate
    a hearing, hearing ought to be given. However, the learned Single
    Judge overlooked the specific provision in Rule 9 of the A&R Rules
    which applied to the present case. The learned Single Judge relied
    on the judgment of State Bank of Patiala and Others vs. S.K.
    Sharma, (1996) 3 SCC 364 and held that the order setting aside
    the appointment could not be quashed on the grounds of violation
    of natural justice. The learned Single Judge also held that the
    proceedings did not stop with the Collector; that the matter travelled
    to the Commissioner where full opportunity of hearing was granted.
    The learned Single Judge held that the Commissioner decided the
    revision afresh on merits after hearing each and every objection of
    the appellants. Here again, the learned Single Judge completely
    overlooked Rule 5(1)(b) of the A&R Rules which clearly stipulated
    that an application for revision by any party shall be entertained only
    on point of law and not on facts.
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26. The learned Single Judge further held that, during the course of
    hearing in the writ petition, entire documents were made available.
    It was held that the petitioners were not able to demonstrate as to
    what prejudice was caused by non-grant of hearing by the Collector.
27. Dealing with the argument that the presence of the relatives did not
    influence the selection, it was held:
          “21. It is not in dispute that Smt. Pushpa Dwivedi and Shri
          Swami Singh were Members of the Selection Committee
          and they participated in the process of selection. However,
          the resolution and other documents only indicate that
          when relatives of Smt. Pushpa Dwivedi appeared for
          the interview, she left the interview board and the two
          marks available with her for allotment to the candidate
          were allotted by the Chief Executive Officer. Similarly,
          when relatives of Shri Swami Singh appeared for the
          interview, he is said to have left the proceedings and the
          two marks available with him were allotted by the Chief
          Executive Officer. On this ground, it was emphasized by
          Shri M.L. Choubey that the presence of relatives was of
          no consequence and it has not materially affected the
          process of selection. This aspect requires consideration.
          22. As already indicated hereinabove under the statutory
          rules, out of l00 marks to be allotted 60% marks is based
          on the educational qualification. 25% marks is to be
          allotted by the Members of the Committee on the basis
          of experience and various other factors and thereafter
          15% marks is to be allotted for oral interview. Records
          indicate that in the Selection Committee there were about
          10 Members and out of these Members, two marks each
          were to be allotted by Smt. Pushpa Dwivedi, Shri Swami
          Singh, Smt. Rajrani Shukla - Member, Shri Bhurelal
          Khangar - Member, Shri Harshvardhan Singh, another
          Member. Thereafter, one mark each were to be allotted
          by Shri Ramdeo Patel, representative of MLA; Shri C.L.
          Maravi, Chief Executive Officer; Shri K.S. Chauhan - Block
          Education Officer; Ku. Meera Vishwakarma - Subject
          Expert; and, Shri A.P. Ahirwar, another Subject Expert. In
          this manner 15 marks were allotted. If the allotment made
[2024] 4 S.C.R.                                                            203

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           of marks under various category is taken note of and if it
           is compared with the marks allotted to some of the wait-
           listed candidates certain disparities can be apparently seen.
           Petitioner Smt. Shyama Dwivedi had obtained 50% in the
           Higher Secondary Certificate Examination. Accordingly,
           she has been allotted 30% marks for qualification. In the
           oral interview, she is allotted 11.10 marks. After adding
           the marks for experience she has received 58.10 marks.
           Compared to this is the case of Shri Yogendra Nigam, Shri
           Yogendra Soni, Shri Shivsharan, Shri Dinesh Kumar and
           Shri Satyendra Kumar. All these persons have received
           more than 75% marks in the Higher Secondary Certificate
           Examination and, therefore, they have received very high
           marks approximately between 46-47% for educational
           qualification, but by giving them only 3 marks in the
           interview their overall total percentage is kept around 50
           and they are eliminated from the process of selection. In this
           manner, some benefit is granted to each of the petitioners.
           That apart, petitioner Smt. Vibha Dwivedi has received 57%
           marks in the Higher Secondary Certificate Examination;
           petitioners Devendra Awasthy and Krishnadutt Awasthi
           have received 55% and 69% marks; whereas petitioner
           Sumer Singh son of Shri Swami Singh has received 53%
           marks, accordingly their percentage for the qualifying
           examination is very less compared to other wait-listed
           candidates. These persons have been allotted 12.25,
           8.95 and 15 marks in the interview and their overall mark
           is made over 55, so as to bring them within the zone of
           consideration. It is, therefore, apparent from a scrutiny of
           these results that most of the petitioners have received
           very less marks in the qualifying examination i.e. Higher
           Secondary Certificate Examination, whereas many persons
           whose name appear in the wait-list have received 78%
           and 79% marks in the qualifying examination, but they are
           allotted very low marks in the interview and experience, in
           some cases even less than 3 marks is allotted in the oral
           interview, as a result their selection is adversely effected.
           This is the reason why the Collector and the Commissioner
           thought it appropriate to interfere in the matter.
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           23- Petitioner No.6 Sumer Singh is son of Shri Swami
           Singh, a Member of the Selection Committee, and he has
           been allotted full 15 marks i.e. 100% marks have been
           allotted by each of the Committee Members. It is found
           that in this manner benefit in some way or the other is
           extended to each of the petitioners and this is the reason
           why the Collector and the Commissioner interfered in
           the matter. It is further found that one Badri Prasad,
           son of Bhagwat Prasad has been appointed and he has
           been given 9 marks for the experience, but in his file no
           experience certificate is available. It is found that petitioner
           Gita Rawat is the real sister of Smt. Pushpa Dwivedi and
           she has been selected after giving her high marks in the
           oral interview, even though she has only received 55%
           marks in the qualifying examination i.e. Higher Secondary.
           It is clear from a perusal of the records that eight close
           relatives of Smt. Pushpa Dwivedi, President of the Selection
           Committee, and Shri Swami Singh, a Member of the
           Selection Committee, have been appointed. The relatives
           selected are either sons, daughter, sisters, sister-in-law of
           the Members and after appreciating all these factors, the
           Collector and the Commissioner found that the selection
           of these close relatives are vitiated.”
28. Thereafter, the learned Single Judge held that there was no case
    warranting interference under Article 226 of the Constitution of India
    and dismissed the writ petition. The learned Single Judge also relied
    on the judgment of this Court in A.K. Kraipak and Others vs. Union
    of India and Others, (1969) 2 SCC 262.
       Appeal to the Division Bench:
29. The matter was carried in appeal to the Division Bench. Before the
    Division Bench, the arguments on violation of natural justice and the
    correctness of the procedure adopted by the Selection Committee
    were canvassed. It was reiterated by the appellants that no case
    of the Selection Committee members influencing the selection of
    their relatives has been made out. The Division Bench cites the
    Single Judge’s reliance on S.K. Sharma (supra) to hold that unless
    prejudice is caused due to non-grant of hearing, the order ought not
    to be mechanically interfered with. The following crucial findings of
    the Division Bench are important:
[2024] 4 S.C.R.                                                         205

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           “…. In view of the aforesaid, we are of the considered
           opinion that though it was imperative on the part of
           appellants to implead the affected parties, yet as the
           affected parties had been given full opportunity from all
           aspects by the revisional forum as well as by the learned
           single Judge, we do not think it apt and apposite to quash
           the order and remand the matter to the Collector to re-
           adjudicate singularly on the ground that the appellants
           herein should have been impleaded as parties and that the
           matter should be reheard. The said exercise in the peculiar
           facts and circumstances of the case is unwarranted.”
30. Ultimately, the Division Bench though held that it was imperative
    on the part of Respondent No.4 to implead the affected parties,
    however, since the affected parties had been given full opportunity
    before the revisional authority and the learned Single Judge,
    thought it fit not to interfere. Thereafter, it examined the issue as to
    whether the selection was vitiated because of the participation of
    the relatives. On this aspect, it extracted the findings of the learned
    Single Judge and after relying on A.K. Kraipak (supra) and other
    cases in the context of bias upheld the order of the learned Single
    Judge. It appears that even during the pendency of the writ appeal,
    the appellants continued to work.
     Appeal in this Court:
31. Challenging the order of the Division Bench dated 15.12.2008,
    special leave petitions were filed and on 19.01.2009, while issuing
    notice, this Court granted status quo in the matter. Thereafter, leave
    was granted on 12.05.2011 and the ad-interim orders granted earlier
    were made absolute till the disposal of the appeals.
     Contentions of the parties:-
32. Before us, Mr. Neeraj Shekhar, learned counsel for the appellants
    has reiterated the contentions raised in the courts below on the
    issue of violation of natural justice and also about the factum of
    the committee members not influencing the selection. Reliance is
    placed on Daffodills Pharmaceuticals Limited and Another vs.
    State of Uttar Pradesh and Another, 2019:INSC:1366 = (2020) 18
    SCC 550 and Javid Rasool Bhat and Others vs. State of Jammu
    and Kashmir and Others, (1984) 2 SCC 631. Learned counsel for
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       the appellants has also sought to distinguish A.K. Kraipak (supra)
       and S. K. Sharma (supra). He also relied upon Chairman, State
       Bank of India and Another vs. M.J. James, 2021:INSC:732 =
       (2022) 2 SCC 301 to highlight the distinction between cases of
       “no opportunity at all” and “adequate opportunity”. Ultimately, it is
       pleaded that the appellants have been working for the last 25 years
       and that one of the appellants has, in fact, retired while others are
       on the verge of retirement. A chart has been filed to show that some
       of the appellants have received lesser marks than the complainant
       as well as the parties who seek to implead themselves here, which
       is set out hereinbelow.
       Chart Indicating Marks of Interview-
       S.    NAME OF THE      MARKS       60% OF   MARKS ON MARKS         TOTAL
       NO    APPLICANT        OBTAINED MARKS       EXPERIENCE OBTAINED IN
                              IN %        OBTAINED            INTERVIEW
                              (INTERMEDI-
                              ATE)


        488 KRISHNA DUTT        69.72      41.77   9(ONE YEAR)   8.95     59.72
            AWASTHY
            S/O SITA RAM
            AWASTHY
       2098 REKHA                 63       37.80     17(TWO      4.35     59.15
            AWASTHY                                   YEAR)
            D/O BRIJ
            BHUSHAN
            AWASTHY
        49   SMT. RAM RANT      58.80      35.28     17(TWO      7.35     59.65
             SINGH SENGAR                             YEAR)
             D/O SHRI RUDRA
             PRATAP SINGH
       1231 PRAWESH             58.62      35.17     17(TWO      4.95     57.12
            KUMARI                                    YEAR)
            D/O BRIJ
            BHUHAN
            AWASTHY
       1587 SMT. SHYAMA           50        30       17(TWO      11.10    58.10
            DIWEDI                                    YEAR)
            D/O SHIV DAS
            DWIVEDI
       1588 SMT. VIBHA          57.25      34.35     17(TWO      5.40     56.75
            DIWEDI                                    YEAR)
            D/O KAILASH
            DWIVEDI
[2024] 4 S.C.R.                                                           207

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.



      1228 RITA DIWEDI         68.00      40.80   9(ONE YEAR)    8.4     58.20
           D/O J.P. DIWEDI


      332 SUMMER SINGH         53.33      31.99     17(TWO       15      63.99
          S/O SWAMI                                  YEAR)
          SINGH

      1590 GITA RAWAT          55.12      33.00     17(TWO      5.30     55.30
           D/O GANGA PD.                             YEAR)
           RAWAT

      2099 DEVENDRA              55       33.00     17(TWO      12.25    62.25
           AWASTHY                                   YEAR)


      1230 RASHMI DWIVEDI      73.55      44.13   9(ONE YEAR)   4.40     57.53
           D/O J.P DWIVEDI



     Charts showing marks obtained by the Respondent No. 4
     (Complainant) -
      S.   NAME OF THE       MARKS       60% OF   MARKS ON MARKS         TOTAL
      NO   APPLICANT         OBTAINED MARKS       EXPERIENCE OBTAINED IN
                             IN %        OBTAINED            INTERVIEW
                             (INTERMEDI-
                             ATE)


      524 ARCHANA              47.75      28.65     17(TWO      4.65     50.30
          MISHRA                                     YEAR)

     Charts showing marks obtained by the Applicants (Impleadment) –
      S.   NAME OF THE       MARKS       60% OF   MARKS ON MARKS         TOTAL
      NO   APPLICANT         OBTAINED MARKS       EXPERIENCE OBTAINED IN
                             IN %        OBTAINED            INTERVIEW
                             (INTERMEDI-
                             ATE)


      124 RAM SAKHA            46.25      27.75     17(TWO      13.60    58.35
          S/O RAM MILHAN                             YEAR)
          HARDENIA
      538 ANIL KUMAR             60        36     9(ONE YEAR)   13.70    58.70
          S/O VIPIN BIHARI
      227 SAJID HUSSAIN        72.62      43.57       ---        15      58.57
          S/O JAMUED
          HUSSAIN
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33. We have also heard Ms. Mrinal Gopal Elker, learned counsel for the
    respondent-State of M.P. and Mr. Avadhesh Kumar Singh, learned
    counsel for respondent No. 4 – Archana Mishra and the parties
    who have filed applications for impleadment. Though no formal
    orders of impleadment were made, arguments were heard on the
    application. They contend that the orders of the Collector, revisional
    authority, learned Single Judge and the Division Bench warranted
    no interference. They relied on S.K. Sharma (supra) and reiterated
    the aspect of there being no prejudice due to the non-compliance of
    the principles of natural justice. They highlighted the fact that even
    though the appellants received less marks in the basic qualifying
    examination, they have obtained higher marks in the interview; that
    relatives have come to be appointed; that there was reasonable
    likelihood of bias and that the relatives of committee members
    have obtained higher marks during the interview. They also relied
    on Section 40(c) and Section 100 of the M.P. Panchayat Raj Avam
    Gram Swaraj Adhiniyam. They relied on the judgments of this Court
    on the aspect of bias and likelihood of bias, among them being, Dr.
    (Mrs.) Kirti Deshmankar vs. Union of India and Others, (1991) 1
    SCC 104, J. Mohapatra and Co. and Another vs. State of Orissa
    and Another, (1984) 4 SCC 103, Ashok Kumar Yadav and Others
    vs. State of Haryana and Others, (1985) 4 SCC 417, A.K. Kraipak
    (supra) and Reference under Article 317(1) of the Constitution
    of India, In Re (2009) 1 SCC 337. They prayed for the dismissal
    of the appeals. The intervenors have also filed written statements
    supporting the State and reiterating the submissions that natural
    justice did not cause any prejudice.
       Questions for consideration:
34. On the above factual background, the following questions arise for
    consideration:-
       i)     Were the principles of natural justice violated, during the conduct
              of the proceedings before the Collector under Rule 3 of the
              A&R Rules, 1995 read with Rule 12 of the Recruitment Rules?
       ii)    If indeed there was a violation of the audi alteram partem rule,
              would the appellants still fail for want of demonstration of any
              prejudice being caused to them?
       iii)   Further, if indeed there was violation of the audi alteram partem
              rule before the Collector, did the violation stand cured on
[2024] 4 S.C.R.                                                         209

           Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


             account of the availment of the revisional proceedings before
             the higher authority?
     iv)     On facts, are the appellants entitled to a declaration of the
             invalidity of the orders setting aside their appointments to the
             post of Shiksha Karmi Grade-III?
     Question Nos. 1 & 2:
     i)      Were the principles of natural justice violated, during the
             conduct of the proceedings before the Collector under
             Rule 3 of the A&R Rules, 1995 read with Rule 12 of the
             Recruitment Rules?
     ii)     If indeed there was a violation of the audi alteram partem
             rule, would the appellants still fail for want of demonstration
             of any prejudice being caused to them?
35. It is an undisputed factual position that the appellants, after a
    process of selection, were appointed as Shiksha Karmi Grade-III
    in the Panchayat and orders of appointments were issued to them
    on 17.09.1998. It is also undisputed that the appellants joined the
    post and started discharging their duties. This being the undisputed
    factual position, when Archana Mishra (R-4) challenged the selection
    and the consequential appointment, there was an obligation on
    her part, under Rule 9, to implead the selected candidates whose
    selection she was expressly challenging. At least at the stage when
    the Collector identified all the 14 names, Rule 9 of the A&R Rules,
    ought to have been complied with and notices ought to have been
    issued giving an opportunity to the selected candidates to set out
    their version and thereafter hold such enquiry as the Collector may
    deem necessary. This was also not done. This is all the more when
    only the appointment of the 14 candidates of the 249 appointees/
    candidates were set aside on the ground that they were relatives
    and it was not a case of setting aside of the entire selection. It is
    well settled that in service matters when an unsuccessful candidate
    challenges the selection process, in a case like the present where
    the specific grievance was against 14 candidates under the category
    of relatives and when the overall figure was only 249, at least the
    candidates against whom specific allegations were made and who
    were identified ought to have been given notices and made a party.
    This Court has, even in cases where the selected candidates were
    too large, unlike in the present case, held that even while adjudicating
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       the writ petitions at least some of the selected candidates ought
       to be impleaded even it is in a representative capacity. It has also
       been held that in service jurisprudence, if an unsuccessful candidate
       challenges the selection process the selected candidates ought to
       be impleaded. [See J.S. Yadav vs. State of Uttar Pradesh and
       Another, (2011) 6 SCC 570 (para 31) and Prabodh Verma and
       Others vs. State of Uttar Pradesh and Others, (1984) 4 SCC 251
       (para 28) and Ranjan Kumar and Others vs. State of Bihar and
       Others, 2014:INSC:276 = (2014) 16 SCC 187 (paras 4,5,8,9 & 13)]
       This is not a case where the allegation was that the mischief was
       so widespread and all pervasive affecting the result of the selection
       in a manner as to make it difficult to sift the grain from the chaff.
       It could not be said and it is not even the case of the State that it
       was not possible to segregate the allegedly tainted candidates from
       the untainted candidates. [See Union of India and Others vs. G.
       Chakradhar, (2002) 5 SCC 146 (paras 7 & 8), Abhishek Kumar
       Singh vs. G. Pattanaik and Others, 2021:INSC:305 = (2021) 7
       SCC 613 (para 72).
36. From time immemorial, the importance of the audi alteram partem
    rule has been emphasized and re-emphasized in several judicial
    pronouncements. Two of them are set out to highlight the underlying
    rationale. Chief Justice Sabyasachi Mukharji in Charan Lal Sahu
    vs. Union of India, (1990) 1 SCC 613 felicitously described its
    importance:-
            “124. … It is true that not giving notice, was not proper
            because principles of natural justice are fundamental in
            the constitutional set up of this country. No man or no
            man’s right should be affected without an opportunity to
            ventilate his views. We are also conscious that justice is a
            psychological yearning, in which men seek acceptance of
            their viewpoint by having an opportunity of vindication of
            their viewpoint before the forum or the authority enjoined
            or obliged to take a decision affecting their right….”
                                                  [Emphasis supplied]
       The above passage very much echoes what Lord Megarry said in
       John vs. Rees and Others, [1969] 2 All E.R. 274 at 309 FG:-
            “It may be that there are some who would decry the
            importance which the courts attach to the observance of
[2024] 4 S.C.R.                                                          211

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           the rules of natural justice. “When something is obvious,”
           they may say, “why force everybody to go through the
           tiresome waste of time involved in framing charges and
           giving an opportunity to be heard? The result is obvious
           from the start.” Those who take this view do not, I think,
           do themselves justice. As everybody who has anything to
           do with the law well knows, the path of the law is strewn
           with examples of open and shut cases which, somehow,
           were not; of unanswerable charges which, in the event,
           were completely answered; of inexplicable conduct which
           was fully explained; of fixed and unalterable determinations
           that, by discussion, suffered a change. Nor are those with
           any knowledge of human nature who pause to think for a
           moment likely to underestimate the feelings of resentment
           of those who find that a decision against them has been
           made without their being afforded any opportunity to
           influence the course of events.”
                                                 [Emphasis supplied]
37. This Court has held that the principles of natural justice reinforce
    the maxim that justice should not only be done but should be seen
    to be done. It has been held that non-observance of natural justice
    is itself prejudice to any individual. [S.L. Kapoor vs. Jag Mohan
    and Others, (1980) 4 SCC 379]. It has been held that the principle
    that no one can be inflicted with an adverse order without being
    afforded a minimum opportunity of hearing was a constant lode
    star that has lit the judicial horizon of this country. [See Daffodills
    Pharmaceuticals Limited and Another (supra)]. Even the Division
    Bench, in the impugned order, recognizes the fact that it was
    imperative to implead affected parties though ultimately it rested
    the case on certain exceptions which did not apply. This aspect
    has been elaborated hereinbelow.
38. In the light of the specific rule namely, Rule 9 of the A&R Rules,
    there was no escape from the fact that the affected parties, like the
    appellants, ought to have been impleaded by the Collector. Even de
    hors Rule 9, if civil consequences are to result to a party, opportunity
    ought to be given.
39. One of the two reasons given to justify the violation of the audi alteram
    partem rule is the finding that prejudice caused due to non-grant
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       of hearing has not been established. Reference has been made to
       S.K. Sharma (supra) to justify this conclusion.
40. It is time to have a closer look at the facts in S.K. Sharma (supra)
    to understand as to in what circumstances that exception was carved
    out. The grievance raised by the delinquent employee in S.K. Sharma
    (supra) was not that there was total absence of notice. The grievance
    was that a set of nine documents including the statements of three
    individuals was not supplied to him. The delinquent was advised to
    peruse, examine and take notes of the said documents/statements
    half an hour before the commencement of the enquiry proceedings.
    It was admitted that the list of documents/statements was supplied.
    This Court found that though the copies of the statements were not
    supplied, the delinquent was permitted to peruse the same more
    than three days prior to the examination of the witnesses. In that
    background, the Court examined the question whether under the
    circumstances there was substantial compliance of the clause in the
    regulations, providing for supply of copies of statements, not later
    than three days before the commencement of the examination by
    the witness before the enquiring authority. It was expressly noticed
    in the judgment that the records of the case did not disclose that
    the delinquent had protested about denial of adequate opportunity
    to cross-examine.
41. In fact, S.K. Sharma’s case (supra), after noticing the leading case
    of Ridge vs. Baldwin, 1964 AC 40 expressly records that where there
    is total violation of principles of natural justice, the violation would
    be of a fundamental nature. S.K. Sharma’s case (supra) explicitly
    records that “a distinction ought to be made between violation of the
    principle of natural justice, audi alteram partem, as such and violation
    of a facet of the said principle. In other words, distinction between
    “no notice”/“no hearing” and “no adequate hearing” or to put it in
    different words, “no opportunity” and “no adequate opportunity”, was
    highlighted. The principle in S.K. Sharma’s case (supra) about the
    distinction between “no opportunity” and “no adequate opportunity”
    has also been followed in M.J. James (supra).
42. Unlike in S.K. Sharma’s case (supra) on which both the learned
    Single Judge and the Division Bench have relied upon to non-suit
    the appellants, the present is a case of no notice and no hearing in
    breach of an express rule.
[2024] 4 S.C.R.                                                        213

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


43. In the present case, before the Collector, only the Complainant –
    Archana Mishra and the ex-officio respondents were arrayed as
    parties. Allegations directly on the conduct of the appellants and the
    committee members were traded thick and fast. The order of the
    Collector and the Revisional Authority, in fact, makes no reference
    either to the definition of relative in the explanation to Section 40(c)
    or to the resolution providing for recusal of committee members who
    had their near relations appearing for the interview. The categories
    excluded from the definition of relatives are also not noticed. Based
    on inferences drawn from the records produced by the ex-officio
    respondents, conclusive findings were recorded by the Collector and
    the appointments of the appellants and four others were set aside.
    The order of the revisional authority is a reiteration of the order of
    the Collector. These have been endorsed in the judgment of the
    learned Single Judge and the Division Bench.
44. As this Court observed in Charan Lal Sahu (supra), justice is a
    psychological yearning in which individuals seek acceptance of
    their viewpoint by having an opportunity, before their rights are
    affected. Lord Megarry in John vs. Rees and Others (supra) rightly
    emphasized the feeling of resentment to those who find that decision
    against them has been made behind their back. Those are telling
    observations.
45. The material that worms into the record behind the back of a party does
    have a tendency to condition the minds of the reviewing authorities.
    Very often, it may happen that the said one-sided version smuggled in
    stealthily, may cloud their mind and make them oblivious to the plight
    of the party who is denied audi alteram partem. Strong convictions
    then get mollified; the initial sense of outrage gets dampened and
    the feeling of unfairness that engulfed one at the commencement
    of the proceeding may slowly wither away. The opposing parties
    to justify the breach may then hunt for a rule from the basket of
    exceptions to the principles of audi alteram partem and offer it, to
    lend a veneer of legitimacy to the order originally made in violation
    of the principles of natural justice. All this may seduce the mind and
    propel it to condone the total denial of opportunity. A conscious effort
    needs to be made to steer clear of that trap.
46. The principle of prejudice as set out in S.K. Sharma’s case (supra)
    had absolutely no application to the present case as the present was
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       a case of complete denial of opportunity. The exception was wrongly
       invoked and misapplied to the facts of the present case.
       Question No.3
       Does the violation at the original stage of the principles of natural
       justice stand cured by the revisional proceeding?:-
47. The second reason given by the learned Single Judge and affirmed
    by the Division Bench was that the appellants had full opportunity
    before the revisional authority and the High Court. The relevant
    finding from the judgment of the learned Single Judge is extracted
    hereinbelow:-
            “17. Even though when the appeal was filed by respondent
            Smt. Archana Mishra before the Collector, petitioners were
            never heard and the Collector passed the order without
            hearing the petitioners, the matter did not end there.
            Petitioners availed of the opportunity of filing a revision
            before the Commissioner. When the matter travelled to the
            Commissioner in this manner, full opportunity of hearing
            was granted to the petitioners and the entire selection
            record and other documents, which formed the basis
            for passing of the order by the Collector, were available
            before the Commissioner, petitioners had access to the
            same and Commissioner decided the revision afresh on
            merits after considering each and every objection of the
            petitioners. Thereafter, during the course of hearing in this
            petition also, the entire selection proceedings and other
            documents were available on record and the petitioners
            were given full opportunity to demonstrate before this Court
            that their selection was proper or that the finding with regard
            to their relatives participating in the selection process is
            an incorrect or improper finding. Petitioners admitted that
            their relatives had participated in the selection, but only
            argued that their presence did not influence their selection.
            This is a matter which can be looked into on the basis
            of the material available on record and during the course
            of hearing of this petition, the petitioners were not in a
            position to demonstrate as to what was the prejudice
            caused for non-grant of hearing by the Collector. Even
            if no hearing was granted before the Collector, but when
[2024] 4 S.C.R.                                                             215

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           full opportunity of hearing was granted and was availed of
           by the petitioners before the Commissioner in the revision
           and when the Commissioner had passed the order after so
           hearing the petitioners, merely because petitioners were
           not impleaded as party in the proceedings held before
           the Collector it cannot be said that the entire action of
           the appellate authority and the revisional authority stands
           vitiated on this ground. This is a case where petitioners
           had ample opportunity of putting up their defence and
           objections before the Commissioner and the Commissioner
           having appreciated the dispute on merits after hearing
           the petitioners, this court is not inclined to interfere in the
           matter merely on the technical ground of non-grant of
           opportunity. It has to be held that non-grant of opportunity
           during the proceedings held before the Collector does not
           vitiate the action taken against the petitioners as they were
           given full and reasonable opportunity by the Commissioner
           before passing the order and petitioners having availed
           of the same, cannot have any grievance on this count.
           Accordingly, the second ground of attack also fails being
           unsustainable.”
     The above finding for a start overlooks Rule 5(1)(b) and the body
     of case law that are relevant.
48. The question about whether at all the breach of natural justice can
    be cured at the appellate stage and if so in what circumstances
    has vexed the courts for the last several decades. In England, it
    was Lord Megarry who spoke first in Leary vs. National Union of
    Vehicle Builders, [1970] 2 All ER 713. The learned Judge had no
    doubt in his mind when he proclaimed, “As a general rule, at all
    events, I hold that a failure of natural justice in the trial body cannot
    be cured by a sufficiency of natural justice in an appellate body.”
    This remained the legal position till Ferd Dawson Calvin vs. John
    Henry Brownlow Carr & Ors., (1979) 2 WLR 755 came on the
    horizon. Lord Wilberforce, speaking for the Privy Council felt that
    the principle elucidated by Lord Megarry was too broadly stated.
    The Privy Council held:
           “It remains to apply the principles above stated to the
           facts of the present case. In the first place, their Lordships
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          are clearly of the view that the proceedings before the
          Committee were in the nature of an appeal, not by way
          of an invocation, or use, of whatever original jurisdiction
          the Committee may have had. The nature of the appeal
          is laid down by Section 32 of the Australian Jockey Club
          Act 1873, and by the Rules. Under the Act, the appeal is
          to be in the nature of a re-hearing - a technical expression
          which does little more than entitle the Committee to
          review the facts as at the date when the appeal is heard
          (see Builders Licensing Board (N.S.W.) v. Sperway
          Constructions (Sydney) Pty. Ltd. (1976) 51 A.L.J.R. 260,
          261, per Mason J.), not one which automatically insulates
          their findings from those of the Stewards. The decision is
          to be “ upon the real merits and justice of the case “ -- an
          injunction to avoid technicalities and the slavish following
          of precedents but not one which entitles the Committee to
          brush aside defective or improper proceedings before the
          Stewards. The section is then required to be construed
          as supplemental to and not in derogation of or limited by
          the Rules of Racing. This brings the matter of disputes
          and discipline clearly into the consensual field. The Rules
          of Racing (Local Rules 70-74) allow the Committee to
          take account of evidence already taken and of additional
          evidence, and confer wide powers as to the disposal of
          appeals.”
49. The issue was again grappled with by the House of Lords in Lloyd and
    Others vs. McMahon, [1987] 1 AC 625 which ultimately gravitated
    to the view that the answer to the question would depend on the
    particular statutory provision providing for the higher remedy. Lord
    Bridge of Harvich stated the following in his judgment:
          “…This is because the question arising in the instant case
          must be answered by considering the particular statutory
          provisions here applicable which establish an adjudicatory
          system in many respects quite unlike any that has come
          under examination in any of the decided cases to which we
          were referred. We are concerned with a point of statutory
          construction and nothing else.”
          In their Lordships opinion:
[2024] 4 S.C.R.                                                             217

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           “…But I cannot see any reason why it should be necessary
           to seek leave to invoke the supervisory jurisdiction of
           the court when any party aggrieved by the certificate
           is entitled as of right to invoke the much more ample
           appellate jurisdiction which the statute confers. It is the
           very amplitude of the jurisdiction which, to my mind, is
           all- important. Whether the auditor has decided to certify
           or not to certify, the court is empowered to confirm or
           quash the decision, to vary the decision if a certificate
           has been issued by the auditor, and in any case to give
           any certificate which the auditor could have given. The
           language describing the court’s powers could not possibly
           be any wider. Procedurally there is nothing either in the
           statute or in the relevant rules of court to limit in any way
           the evidence which may be put before the court on either
           side….”
50. Applying this test in Lloyd (supra), the answer in the present case
    is simple. Rule 5(1)(b) of the A&R Rules does not provide an ample
    review or a full-fledged enquiry at the revisional stage. The revision
    was to be entertained only if it is on the point of law and not on
    facts. The discussion, however, on this issue would not be complete
    unless a survey of the judgments of this Court is done.
51. The seeds for this thought-process was sown by Chief Justice S.R.
    Das in The State of Uttar Pradesh vs. Mohammad Nooh, 1958
    SCR 595. In fact, Justice Jeevan Reddy noticed this judgment in
    S.K. Sharma’s case (supra). Chief Justice Das speaking for the
    majority in the Constitution Bench held as follows:-
           “On the authorities referred to above it appears to us that
           there may conceivably be cases-and the instant case is
           in point-where the error, irregularity or illegality touching
           jurisdiction or procedure committed by an inferior court or
           tribunal of first instance is so patent and loudly obtrusive
           that it leaves on its decision an indelible stamp of infirmity
           or vice which cannot be obliterated or cured on appeal
           or revision. If an inferior court or tribunal of first instance
           acts wholly without jurisdiction or patently in excess of
           jurisdiction or manifestly conducts the proceedings before it
           in a manner which is contrary to the rules of natural justice
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          and all accepted rules of procedure and which offends the
          superior court’s sense of fair play the superior court may,
          we think, quite properly exercise its power to issue the
          prerogative writ of certiorari to correct the error of the court
          or tribunal of first instance, even if an appeal to another
          inferior court or tribunal was available and recourse was
          not had to it or if recourse was had to it, it confirmed
          what ex facie was a nullity for reasons aforementioned.
          This would be so all the more if the tribunals holding the
          original trial and the tribunals hearing the appeal or revision
          were merely departmental tribunals composed of persons
          belonging to the departmental hierarchy without adequate
          legal training and background and whose glaring lapses
          occasionally come to our notice. The superior court will
          ordinarily decline to interfere by issuing certiorari and all we
          say is that in a proper case of the kind mentioned above
          it has the power to do so and may and should exercise
          it. We say no more than that.”
52. In Shri Farid Ahmed Abdul Samad and Another vs. The Municipal
    Corporation of the City of Ahmedabad and Another, (1976) 3 SCC
    719, an attempt was made to cover up the breach of the audi alteram
    partem rule by seeking refuge under the principle that proceedings in
    the higher body would cure the breach in the original body. Justice
    P.K. Goswami, speaking for a three-Judge Bench, rebuffed it and
    echoed sentiments similar to the one expressed in Lloyd (supra)
    in the following words:-
          “22. We should make it clear that provision for appeal is
          not a complete substitute for a personal hearing which
          is provided for under Section 5A of the Land Acquisition
          Act. This will be evident from a perusal of Clause 3 of
          Schedule B itself. The character of the appeal contemplated
          under Clause 3(ii) of Schedule B is only with regard to the
          examination of the following aspects:
          (1)   whether the order or approval of the plan is within the
                powers of the Bombay Act, and
          (2)   whether the interests of the appellant have been
                substantially prejudiced by any requirement of this Act not
                having been complied with.
[2024] 4 S.C.R.                                                          219

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           The appeal is confined under Clause 3 of Schedule B
           to the examination of only the twin aspects referred to
           above. There is no provision for entertainment of any other
           relevant objection to the acquisition of land. For example a
           person whose land is acquired may object to the suitability
           of the land for the particular purpose acquired. He may
           again show that he will be at an equal disadvantage if his
           land and house have to be acquired in order to provide
           accommodation for the poorer people as he himself belongs
           to the same class of the indigent. He may further show
           that there is a good alternative land available and can be
           acquired without causing inconvenience to the occupants
           of the houses whose lands and houses are sought to be
           acquired. There may be other relevant objections which a
           person may be entitled to take before the Commissioner
           when the whole matter is at large. The Commissioner will
           be in a better position to examine those objections and
           consider their weight from all aspects and may even visit
           the locality before submitting his report to the Standing
           Committee with his suggestions. For this purpose also a
           personal hearing is necessary. The appeal court under the
           Schedule B to the Bombay Act, on the other hand, is not
           required under Clause 3 to entertain all kinds of objections
           and it may even refuse to consider the objections mentioned
           earlier in view of the truncated scope of the hearing under
           Clause 3(ii) as noted above. We are, therefore, unable to
           accept the submission that the appeal provided for under
           Schedule B is a complete substitute for a right to personal
           hearing and as such by necessary implication ousts the
           applicability of Section 5A of the Land Acquisition Act.”
53. In Institute of Chartered Accountants of India vs. L.K. Ratna
    and Others, (1986) 4 SCC 537, Justice R.S. Pathak (as the learned
    Chief Justice then was) negated a valiant attempt by the counsel for
    the appellant to cling on to the appellate proceeding as a panacea
    for the violation of audi alteram partem at the original stage. His
    Lordship aligned with the Leary line of reasoning.
           “17. It is then urged by learned counsel for the appellant
           that the provision of an appeal under Section 22-A of the
           Act is a complete safeguard against any insufficiency in
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       the original proceeding before the Council, and it is not
       mandatory that the member should be heard by the Council
       before it proceeds to record its finding. Section 22-A of
       the Act entitles a member to prefer an appeal to the High
       Court against an order of the Council imposing a penalty
       under Section 21(4) of the Act. It is pointed out that no
       limitation has been imposed on the scope of the appeal,
       and that an appellant is entitled to urge before the High
       Court every ground which was available to him before
       the Council. Any insufficiency, it is said, can be cured by
       resort to such appeal. Learned counsel apparently has
       in mind the view taken in some cases that an appeal
       provides an adequate remedy for a defect in procedure
       during the original proceeding. Some of those cases as
       mentioned in Sir William Wade’s erudite and classic work
       on “Administrative Law” 5th edn. But as that learned author
       observes (at p. 487), “in principle there ought to be an
       observance of natural justice equally at both stages”, and
       If natural justice is violated at the first stage, the right of
       appeal is not so much a true right of appeal as a corrected
       initial hearing: instead of fair trial followed by appeal, the
       procedure is reduced to unfair trial followed by fair trial.
       And he makes reference to the observations of Megarry,
       J. in Leary v. National Union of Vehicle Builders. Treating
       with another aspect of the point, that learned Judge said:
       If one accepts the contention that a defect of natural justice
       in the trial body can be cured by the presence of natural
       justice in the appellate body, this has the result of depriving
       the member of his right of appeal from the expelling body.
       If the rules and the law combine to give the member the
       right to a fair trial and the right of appeal, why should he be
       told that he ought to be satisfied with an unjust trial and a
       fair appeal? Even if the appeal is treated as a hearing de
       novo, the member is being stripped of his right to appeal
       to another body from the effective decision to expel him.
       I cannot think that natural justice is satisfied by a process
       whereby an unfair trial, though not resulting in a valid
       expulsion, will nevertheless have the effect of depriving
[2024] 4 S.C.R.                                                            221

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           the member of his right of appeal when a valid decision
           to expel him is subsequently made. Such a deprivation
           would be a powerful result to be achieved by what in law
           is a mere nullity; and it is no mere triviality that might be
           justified on the ground that natural justice does not mean
           perfect justice. As a general rule, at all events, I hold that
           a failure of natural justice in the trial body cannot be cured
           by a sufficiency of natural justice in an appellate body.
           The view taken by Megarry, J. was followed by the
           Ontario High Court in Canada in Re Cardinal and Board of
           Commissioners of Police of City of Cornwall. The Supreme
           Court of New Zealand was similarly inclined in Wislang v.
           Medical Practitioners Disciplinary Committee, and so was
           the Court of Appeal of New Zealand in Reid v. Rowley”.
54. The learned Judge (Pathak, J.) followed up the above principle by
    setting out an approach to cases, which repays study. It was held:
           “18. But perhaps another way of looking at the matter
           lies in examining the consequences of the initial order as
           soon as it is passed. There are cases where an order may
           cause serious injury as soon as it is made, an injury not
           capable of being entirely erased when the error is corrected
           on subsequent appeal. For instance, as in the present
           case, where a member of a highly respected an publicly
           trusted profession is found guilty of misconduct and suffers
           penalty, the damage to his professional reputation can be
           immediate and far-reaching. “Not all the King’s horses
           and all the King’s men” can ever salvage the situation
           completely, notwithstanding the widest scope provided to
           an appeal. To many a man, his professional reputation
           is his most valuable possession. It affects his standing
           and dignity among his fellow members in the profession,
           and guarantees the esteem of his clientele. It is often the
           carefully garnered fruit of a long period of scrupulous,
           conscientious and diligent industry. It is the portrait of his
           professional honour. In a world said to be notorious for
           its blase attitude towards the noble values of an earlier
           generation, a man’s professional reputation is still his most
           sensitive pride. In such a case, after the blow suffered by
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          the initial decision, it is difficult to contemplate complete
          restitution through an appellate decision. Such a case is
          unlike an action for money or recovery of property, where
          the execution of the trial decree may be stayed pending
          appeal, or a successful appeal may result in refund of
          the money or restitution of the property, with appropriate
          compensation by way of interest or mesne profits for
          the period of deprivation. And, therefore, it seems to us,
          there is manifest need to ensure that there is no breach
          of fundamental procedure in the original proceeding, and
          to avoid treating an appeal as an overall substitute for the
          original proceeding.”
55. L.K. Ratna’s case (supra) was distinguished in United Planters
    Association of Southern India vs. K.G. Sangameswaran and
    Another, (1997) 4 SCC 741. That was a case where the jurisdiction
    of the Appellate Authority to record evidence and to come to its own
    conclusion on the questions involved was very wide. The appellate
    provision provided that even if the evidence is recorded in the
    domestic enquiry and the order of dismissal is passed thereafter, it
    would still be open to the appellate authority to record evidence. In
    those state of affairs, this Court, in para 18, 27 and 28 of the said
    judgment, has held as under:-
          “18. From a perusal of the provisions quoted above, it will
          be seen that the jurisdiction of the Appellate Authority to
          record evidence and to come to its own conclusion on the
          questions involved in the appeal is very wide. Even if the
          evidence is recorded in the domestic enquiry and the order
          of dismissal is passed thereafter, it will still be open to the
          Appellate Authority to record, if need be, such evidence
          as may be produced by the parties. Conversely, also if the
          domestic enquiry is ex parte or no evidence was recorded
          during those proceedings, the Appellate Authority would
          still be justified in taking additional evidence to enable it
          to come to its own conclusions on the articles of charges
          framed against the delinquent officer.
          27. The learned counsel, in support of his arguments
          that the defect is not curable has placed reliance on the
          decision of this Court in Institute of Chartered Accountants
[2024] 4 S.C.R.                                                             223

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           of India v. L. K. Ratna. It was, no doubt, laid down in
           this case that a post-decisional hearing cannot be an
           effective substitute of pre-decisional hearing and that if
           an opportunity of hearing is not given before a decision
           is taken at the initial stage, it would result in serious
           prejudice, inasmuch as if such an opportunity is provided
           at the appellate stage, the person is deprived of his right
           of appeal to another body. There may be cases where
           opportunity of hearing is excluded by a particular service
           or statutory rule. In Union of India v. Tulsiram Patel, pre-
           decisional hearing stood excluded by the second proviso to
           Article 311(2) of the Constitution and, therefore, the Court
           took the view that though there was no prior opportunity
           to a government servant to defend himself against the
           charges made against him, he got an opportunity to plead
           in an appeal filed by him that the charges for which he was
           removed from service were not true. Principles of natural
           justice in such a case will have to be held to have been
           sufficiently complied with. In Maneka Gandhi v. Union of
           India and in Liberty Oil Mills v. Union of India an opportunity
           of making a representation after the decision was taken,
           was held to be sufficient compliance. All depends on facts
           of each case.
           28. In the instant case, the appellant has contended
           that the respondent did not participate in the domestic
           enquiry in spite of an opportunity of hearing having been
           provided to him. He was also offered the inspection of the
           documents, but he did not avail of that opportunity. He
           himself invoked the jurisdiction of the Appellate Authority
           and the order of dismissal passed against him was set
           aside on the ground that the appellant did not hold any
           domestic enquiry. It has already been seen above that the
           Appellate Authority has full jurisdiction to record evidence
           to enable it to come to its own conclusion on the guilt of
           the employee concerned. Since the Appellate Authority has
           to come to its own conclusion on the basis of the evidence
           recorded by it, irrespective of the findings recorded in the
           domestic enquiry, the rule laid down in Ratna case will
           not strictly apply and the opportunity of hearing which is
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          being provided to the respondent at the appellate stage will
          sufficiently meet his demands for a just and proper enquiry.
                                                [emphasis supplied]
56. In Jayantilal Ratanchand Shah vs. Reserve Bank of India and
    Others, (1996) 9 SCC 650, A Constitution Bench of this Court held
    that opportunity even if assumed to be denied at the original stage,
    no grievance could be raised as the appellate authority gave such
    an opportunity:
          “16. In impugning the order of the Currency Officer of the
          Bank it was submitted on behalf of the petitioner that no
          opportunity of being heard was given to the Society so as
          to enable it to explain the reasons for delay in submitting
          the declaration form. Even if we proceed on the assumption
          that such an opportunity of personal hearing was imperative
          to comply with the rules of natural justice the petitioner
          cannot raise any grievance on that score for the appellate
          authority gave them such an opportunity before dismissing
          their appeal. This apart, as noticed earlier, the appellate
          authority has given detailed reasons for its inability to
          accept the explanation of the Society for not filing the
          declaration in time….”
          The provision providing for appeal in Section 8(3) of the
          High Denomination Bank Notes (Demonetisation) Act,
          1978 reads as under:-
          “8(3). Any person aggrieved by the refusal of the Reserve
          Bank to pay the value of the notes under sub-section (2)
          may prefer an appeal to the Central Government within
          fourteen days of the communication of such refusal to him.”
57. Three other cases need only a brief mention. In Olga Tellis and
    Others vs. Bombay Municipal Corporation and Others, (1985) 3
    SCC 545, (Para 51) Chief Justice Y.V. Chandrachud found that no
    opportunity was given to the petitioners. However, it was observed
    that hearing in ample measure was given by this Court. Ultimately,
    the case was found to be covered by the exception carved out in
    S.L. Kapur (supra) and writ was denied since on admitted and
    indisputable facts only one conclusion was possible. It was held that
    Court should not issue futile writs. For the issue under consideration,
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        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     this is really not an authority. Equally so, in Charan Lal Sahu (supra),
     the Court expressly recorded that on the facts and circumstances
     of that case, since sufficient opportunity was available when the
     review application was heard on notice, no further opportunity was
     necessary. The Court recorded that it could not be said that injustice
     was done and further recorded that “to do a great right” after all it is
     permissible sometimes “to do a little wrong”. That case concerned a
     challenge to the validity of the Bhopal Gas Leak Disaster (Processing
     of Claims) Act, 1985.
58. In The Chairman, Board of Mining Examination and Chief
    Inspector of Mines and Another vs. Ramjee, (1977) 2 SCC 256
    cited by the learned counsel for the private respondents in the written
    submissions again does not directly deal with this issue. There the
    issue was about the interpretation of Regulation 26 of the Coal Mines
    Regulations, which read as under:-
           “26. Suspension of an Overman’s Sirdar’s, Engine
           driver’s, shot firer’s or Gas-testing Certificate- (1) If, in
           the opinion of the Regional Inspector, a person to whom
           an Overman’s, Sirdar’s, Engine-driver’s, Shot-firer’s or
           Gas-testing Certificate has been granted is incompetent
           or is guilty of negligence or misconduct in the performance
           of his duties, the Regional Inspector may, after giving
           the person an opportunity to give a written explanation,
           suspend his certificate by an order in writing.
           (2) Where the Regional Inspector has suspended a
           certificate under sub-regulation (1) he shall within a week
           of such suspension report the fact to the Board together
           with all connected papers including the explanation if any
           received from the person concerned.
           (3) The Board may, after such inquiry as it thinks fit, either
           confirm or modify or reduce the period of suspension of
           the certificates, or cancel the certificate.”
     In this case, the delinquent handed over an explosive to an unskilled
     hand resulting in injury to an employee. The Regional Inspector of
     Mines immediately enquired and on the delinquent’s virtual admission
     found the incident to be true. The Regional Inspector gave an
     opportunity for explanation and, after considering the materials before
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       him, forwarded the papers to the Chairman with a recommendation
       for cancellation of the certificate under Regulation 26. The Board
       had an explanation (styled appeal) from the delinquent and also
       recommendation by the Regional Inspector for cancellation of the
       certificate. The Regional Inspector had not suspended the delinquent
       but had merely held an enquiry and made a recommendation for
       cancellation of the certificate. One of the delinquent’s argument in
       this Court was that since the Regional Inspector did not suspend the
       respondent’s certificate, the Board had no jurisdiction and that the
       Regional Inspector had no power to recommend, but only to report
       and that the recommendation influenced the Board. It was further
       argued that the Board should have given a fresh opportunity to be
       heard before cancellation. The argument was repelled by holding that
       the difference between suspension plus report and recommendatory
       report was a distinction without a difference. It was also held that
       the delinquent had filed an appeal against the report of the Regional
       Inspector to the Chairman of the Board. He was heard in compliance
       with the Regulation 26.
             In conclusion, Justice Krishna Iyer held the following:-
             “15. These general observations must be tested on the
             concrete facts of each case and every miniscule violation
             does not spell illegality. If the totality of circumstances
             satisfies the Court that the party visited with adverse
             order has not suffered from denial of reasonable
             opportunity the Court will decline to be punctilious or
             fanatical as if the rules of natural justice were sacred
             scriptures.”
             Not only was that a case where the Regional Inspector
             held an enquiry, additionally, the Board also heard the
             delinquent. That was not a case on the issue under
             consideration here. This case also is of little assistance
             to the respondents.
59. The principles deducible are as follows:-
       i)    audi alteram partem as a facet of natural justice wherever
             applicable at the original stage ought to be strictly complied with.
       ii)   In cases where the jurisdiction of the appellate/revisional/higher
             body is circumscribed like in Farid (supra) and in the case at
[2024] 4 S.C.R.                                                              227

            Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


              hand, courts ought to reject the argument that the hearing before
              the appellate/revisional/ higher body, has cured the breach of
              the audi alterm partem rule at the original stage.
     iii)     Ordinarily, violation of the audi alteram partem rule, at the
              original stage, will not be curable in appeal/revision. However,
              if the jurisdiction of the appellate/revisional/higher body is
              comprehensive as found in Jayantilal Ratan Chand (supra)
              and Sangameswaran (supra), the Courts may be justified
              in concluding on the given facts, that the breach of the audi
              alteram partem rule, in the original stage, has stood redressed
              due to the scope and sweep of the higher proceeding. However,
              it will be purely within the discretionary power of the court
              depending on the facts of the case. This, in turn, will depend
              on the court being satisfied that the fair opportunity given by
              the higher body has ensured complete justice. Even in cases
              where the appellate jurisdiction/jurisdiction of the higher body
              is comprehensive as found in the provisions of the Jayantilal
              Ratan Chand (supra) and Sangameswaran (supra), there
              may be circumstances where the court may find that the
              violation does not stand cured. If, on a given set of facts, the
              court is of the opinion that ample opportunity has not been
              forthcoming and complete justice has not been done, the court
              in its discretion, will be justified in concluding that the violation
              of the principles of natural justice does not stand cured. In
              exercising the discretion, the court will be justified in factoring
              in the circumstances as the one set out in para 18 of L.K.
              Ratna (supra).
60. Applying the above principles, it is found that the present case is
    covered by proposition (ii) above. The revisional power is severely
    circumscribed by Rule 5(1)(b) of the A& R Rules and is confined to
    points of law.
61. In view of that, on facts, it is held that the breach of principles of
    natural justice in the proceedings before the Collector did not stand
    cured on account of the proceedings before the revisional authority.
    Equally so, judicial review proceedings being a review of the decision-
    making process and not being a merits review, such proceedings
    also cannot be a cure for the violation of the audi alteram partem
    rule before the fact-finding authority.
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       Question No.4
       To what relief the appellants are entitled to?
62. As would be clear from the sequence of facts set out above, the
    appellants were appointed as Shiksha Karmi Grade-III and they
    joined their duties in September, 1998. Of all the candidates who
    appeared, only one of them - Archana Mishra (R-4) took up the matter
    in challenge and filed proceedings before the Collector under Rule
    3 of the A&R Rules read with Section 12 of the Recruitment Rules.
    Before the Collector, she impleaded only the Officers ex-officio. Even
    though allegations of mala fide and favouritism in the markings during
    interview were made neither the members of the Committee in their
    individual capacity nor the selected and appointed candidates, like the
    appellants were made parties. A reading of the order of the Collector
    and the revisional authority, discloses that, the resolution passed by
    the Standing Committee of the Panchayat on 01.08.1998 providing
    for recusal of the committee members from the statutory committee
    and for re-allocation of marks by vesting it in the Chief Executive
    Officer, was not even discussed in the orders. It is difficult to speculate,
    what the response of the Collector and the revisional authority would
    have been, if they were posted of the recusal resolution. Neither in
    the order of the Collector nor in the order of the revisional authority
    is the definition of relative as available in explanation 40(c) of the
    M.P. Adhiniyam set out or discussed. Admittedly, seven out of the
    14 candidates did not come within the definition of ‘relative’, under
    the explanation to Section 40(c).
63. Learned counsel for the appellants here have, citing the resolution
    of 01.08.1998, contended that adequate precautions like recusal and
    absence from the venue was taken. Learned counsel contends that
    there is no material to show that the committee members influenced
    the selection process. Even the Collector, it is pointed out, has
    recorded in the order that it was not possible for the Collector to
    consider the determination of the marks of interview since it was the
    discretion of the committee. Even after so holding, the Collector set
    aside the appointments only of the appellants merely on the basis
    that there was an admission by the Chief Executive Officer, impleaded
    ex-officio, about the factum of some candidates being related to the
    committee members. While the Collector and the revisional authority
    only put it on the factum of some candidates being related, without
[2024] 4 S.C.R.                                                            229

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     examining the definition of relative, the learned Single Judge drew
     some inferences additionally based on the qualifying marks and the
     marks awarded in the interview.
64. It will be of interest to notice that in B.N. Nagarajan and Ors. Vs.
    State of Mysore and Ors., [1966] 3 SCR 682, a similar inference
    drawn only on the basis of the low qualifying marks was not favourably
    looked at by this Court. This Court held:-
           “… For example, it was alleged in para 15 that one Shri
           D.C. Channe Gowda who is the son-in-law of the Second
           Member of the Public Service Commission, Shri Appajappa,
           was an ordinary B. E. Graduate with only 49.8% marks.
           But even if he had only 49.8% of the marks, this is not
           conclusive to show that he should not have been selected
           because the whole object of interviewing candidates is to
           judge their eligibility or suitability apart from the standard
           displayed by them in the written examination. We are
           unable to hold that on these facts any mala fides or
           collateral object has been proved.”
65. What is also of concern is that the resolution of recusal, even though
    specifically argued before the learned Single Judge, has been
    brushed aside only because of the inferences drawn based on the
    marks. There was gross violation of the principles of natural justice
    at the original stage and on facts it is held that the violation did not
    get cured at the revisional stage.
66. Neither the learned Single Judge nor the Division Bench have
    examined the legal effect of the resolution dated 01.08.1998 providing
    for recusal. Learned counsel for the appellants has placed reliance on
    the judgment in Javid Rasool Bhatt (supra) which also distinguishes
    the judgment in A.K. Kraipak (supra). Learned Counsel relies on
    the following paragraph in Javid Rasool Bhatt (supra).
           “14. Great reliance was placed by the learned counsel on
           A.K. Kraipak v. Union of India on the question of natural
           justice. We do not think that the case is of any assistance to
           the petitioners. It was a case where one of the persons, who
           sat as member of the Selection Board, was himself one of
           the persons to be considered for selection. He participated
           in the deliberations of the Selection Board when the
230                                                        [2024] 4 S.C.R.

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          claims of his rivals were considered. He participated in the
          decisions relating to the orders of preference and seniority.
          He participated at every stage in the deliberations of the
          Selection Board and at every stage there was a conflict
          between his interest and duty. The Court had no hesitation
          in coming to the conclusion that there was a reasonable
          likelihood of bias and therefore, there was a violation of
          the principles of natural justice. In the case before us,
          the principal of the Medical College, Srinagar, dissociated
          himself from the written test and did not participate in the
          proceedings when his daughter was interviewed. When
          the other candidates were interviewed, he did not know
          the marks obtained either by his daughter or by any of the
          candidates. There was no occasion to suspect his bona
          fides even remotely. There was not even a suspicion of
          bias, leave alone a reasonable likelihood of bias. There
          was no violation of the principles of natural justice.”
67. It is also seen that Javid Rasool Bhatt (supra) finds express mention
    and approval in Ashok Kumar Yadav (supra) [Para 18].
          “18……The procedure adopted by the Selection Committee
          and the member concerned was in accord with the quite
          well-known and generally accepted procedure adopted
          by the Public Service Commissions everywhere. It is
          not unusual for candidates related to members of the
          Service Commission or other Selection Committee to seek
          employment. Whenever such a situation arises, the practice
          generally is for the member concerned to excuse himself
          when the particular candidate is interviewed. We notice
          that such a situation had also been noticed by this Court
          in the case of Nagarajan v. State of Mysore where it was
          pointed out that in the absence of mala fides, it would not
          be right to set aside the selection merely because one of
          the candidates happened to be related to a member of the
          Selection Committee who had abstained from participating
          in the interview of that candidate. Nothing unusual was
          done by the present Selection Committee. The girl’s
          father was not present when she was interviewed. She
          was one among several hundred candidates. The marks
          obtained by her in the written test were not even known
[2024] 4 S.C.R.                                                          231

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


           when she was interviewed…. In the case before us, the
           Principal of the Medical College, Srinagar, dissociated
           himself from the written test and did not participate in the
           proceedings when his daughter was interviewed. When
           the other candidates were interviewed, he did not know
           the marks obtained either by his daughter or by any of the
           candidates. There was no occasion to suspect his bona
           fides even remotely. There was not even a suspicion of
           bias, leave alone a reasonable likelihood of bias. There
           was no violation of the principles of natural justice.
           We wholly endorse these observations.”
                                                 (emphasis supplied)
68. Equally so, in Jaswant Singh Nerwal vs. State of Punjab and
    Others, 1991 Supp (1) SCC 313 distinguishing A.K. Kraipak (supra),
    this Court reiterated the finding in Javid Rasool Bhatt (supra) and
    B.N. Nagarajan (supra).
69. Learned counsel for the appellants rightly argued that in Javid
    Rasool Bhatt (supra), while the Chairman of the J&K Public Service
    Commission was the Chairman of the Selection Committee, the other
    two members were the Principal of the two government medical
    colleges in Srinagar and Jammu, respectively. As contended by the
    learned counsel for the appellants, even to a case other than a Public
    Service Commission the principle of recusal has been recognized and
    that judgment in Javid Rasool Bhatt (supra) has been endorsed
    in Ashok Kumar Yadav (supra).
70. In the present case, it was a statutory committee framed under the
    Recruitment Rules and to ensure a fair selection, recusal resolution
    was passed by the standing committee before the selection. J.
    Mohapatra (supra) recognizes the distinction between committees
    constituted under administrative measures and committees under
    statutory rules or regulations, while explaining the ease with which
    composition in cases of non-statutory committees could be changed.
71. Learned counsel drew attention to the chart (set out in para 32 above)
    to demonstrate that, in some instances, the marks obtained by the
    Complainant - Archana Mishra and the parties seeking impleadment
    in the interview, were more than the marks secured by some of
    the appellants. Had an opportunity being given to them before the
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       Collector they would have demonstrated these facts, to dispel the
       argument of bias and favouritism, contends the learned counsel.
72. Learned counsel for the State and the parties seeking impleadment
    have vehemently countered these submissions. They contended
    first that the principle of Ashok Kumar Yadav (supra) can only
    apply to Public Service Commissions. They relied on Reference
    under Article 317(1) of the Constitution of India, In Re (2009) 1
    SCC 337 to reinforce this point. This contention overlooks the fact
    that Javid Rasool Bhatt (supra) affirmed in Ashok Kumar Yadav
    (supra) was not a case of Public Service Commission. It is only that
    the Chairman of the Public Service Commission was the Chairman
    of the selection committee with the other two Members in that case
    being the Members of the two Government Medical Colleges in
    Srinagar and Jammu respectively. Moreover, in the present case, the
    Committee is a statutory Committee set up under the Recruitment
    Rules of 1997. This aspect is independent of the point of breach of
    natural justice at the original stage.
73. Learned counsel for the State and the private respondents contends
    that the selection and appointment is vitiated on the ground of bias
    and likelihood of bias irrespective of recusal of the relative members in
    the committee. The judgment of Dr. (Mrs.) Kirti Deshmankar (supra)
    cited by them was a case where the mother-in-law of the candidate
    did not recuse. Equally so, in the case of J. Mohapatra (supra)
    there was no recusal. The judgment of A.K. Kraipak (supra) cited
    by them also stands distinguished in Javid Rasool Bhatt (supra),
    Ashok Kumar Yadav (supra) and in Jaswant Singh Nerwal (supra)
    for the reasons rightly stated therein.
74. This is not a case where from the facts, only one admitted or
    indisputable factual position emerges, warranting denial of the
    issuance of the writ. This Court, following the limited exception
    carved out by Chinnappa Reddy, J. in S.L.Kapur (supra) has held
    that since Courts do not issue futile writs, in cases where on admitted
    or indisputable facts only one conclusion is possible, then writs will
    not follow. This is, even if there was violation of principles of natural
    justice. This principle has been followed in M.C. Mehta vs. Union
    of India, (1999) 6 SCC 237 and Aligarh Muslim University and
    Others vs. Mansoor Ali Khan, (2000) 7 SCC 529. These cases
    have no application whatsoever to the facts of the present case. This
[2024] 4 S.C.R.                                                         233

        Krishnadatt Awasthy v. State of Madhya Pradesh & Ors.


     is not such a case. In this case, it could not be said that only one
     admitted or indisputable factual position is possible. Hence issue of
     a writ will not be futile.
75. Given a chance before the Collector perhaps the appellants would
    have met each and every objection of the sole Complainant-Archana
    Mishra (R-4). Perhaps they may have not. One does not know.
    Respondent No.4 ought to have impleaded the candidates who
    were selected and appointed, including the appellants, before the
    Collector. Even if she failed, the Collector ought to have given an
    opportunity to implead, with a stern direction that failure to implead
    would result in a dismissal. This is all the more so in the teeth of
    Rule 9 of the A&R Rules. For the failure of Respondent No.4 and
    the Collector, the appellants cannot be made to pay.
76. Approaching the home stretch, one question still remains:- Whether
    at this distance of time should the matter be remitted back to the
    Collector for a fresh enquiry? The selection is of the year 1998. By
    virtue of interim orders through out, the appellants have functioned in
    office and are discharging their duties for the past more than twenty
    five years. One of them has even superannuated. At this distance
    of time, it will not be in the interest of justice to remand the matter
    for a fresh enquiry.
77. In view of the above, the appeals are allowed. The judgment of the
    Division Bench of the High Court passed in the writ appeals are
    set aside. The result would be that the appeal filed by Respondent
    No.4 Archana Mishra before the Collector, Chhatarpur, would stand
    dismissed. The appellants would be entitled to continue in service,
    deeming their appointments as valid and would be entitled to all
    service benefits. No order as to costs.

     Headnotes prepared by: Nidhi Jain                   Result of the case:
                                                  Matter to be placed before
                                                  Hon’ble CJI for constitution
                                                             of larger Bench.


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