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Supreme Court of India

RAVI YASHWANTversusDISTRICT COLLECTOR, RAIGAD AND ORS.

Citation
2012 INSC 126
Decided
2 March 2012
Disposal
Appeal(s) allowed

Holding

The disqualification order was invalid because the statutory procedure and principles of natural justice were not observed, and the alleged acts did not amount to misconduct; therefore, the appeal is allowed and the orders are set aside.

Summary

Ravi Yashwant Bhoir, elected President of Uran Municipal Council, was disqualified for the remainder of his term and barred for six years under Section 558 of the Maharashtra Municipal Councils Act on allegations of misconduct, including failure to call a General Body meeting and awarding tenders at higher rates. The Supreme Court held that the competent authority failed to consider Bhoir's explanations, did not record reasons, and denied him a fair hearing, thereby violating natural‑justice principles and the statutory safeguards for removal of an elected office‑bearer. The Court found that the alleged failure to call a meeting was at most a technical lapse without intent, and the tender decisions were collective council actions, not attributable to Bhoir. Consequently, the disqualification order was quashed as a product of legal malice and procedural irregularity. The appeal was allowed and the impugned orders set aside.

Issues considered

  • Whether the disqualification of the elected President under Section 558 of the Maharashtra Municipal Councils Act is valid in view of procedural deficiencies and lack of natural‑justice safeguards.
  • Whether failure to call a General Body meeting for three months constitutes misconduct warranting removal.
  • Whether acceptance of higher‑rate tenders by the council can be imputed to the President as misconduct.
  • Whether the complainant, a political rival, had locus standi to be a party to the proceedings.
  • Whether the principles of natural justice, including the right to be heard and the requirement of recording reasons, were complied with.

Legislation cited

Subjects

misconductelected official removalnatural justiceprocedural fairnessmunicipal councildisqualificationlegal maliceArticle 21Article 311Section 558Section 81political rivalrylocus standi

Judgment

                      [2012) 3 S.C.R. 775


                   RAVI YASHWANT aHOIR                            A
                                v.
         DISTRICT COLLECTOR, RAIGAD AND ORS.
               (Civil Appeal No. 2085 of 2012)
                        MARCH 2, 2012
                                                                  B
 [DR. B.S. CHAUHAN & JAGDISH SINGH KHEHAR, JJ.]

       Maharashtra Municipal Councils, Nagar Panchayats and
  Industrial Townships Act, 1965 - s.558 - Complaint by the
  Ex-President and the then sitting Municipal Councillor C
  regarding the misconduct of the President-appellant -
  Allegations that appellant did not call for a meeting for a
  period of three months as required uls.81(1) and also
  obtained undue financial gain by giving contract to a particular
  contractor at higher rate - Show cause notice served on the D
  appellant after conducting preliminary inquiry - Competent
  authority declaring the appellant disqualified for the remaining
  tenure and further disqualifying him for a period of six years
  even as member of the council - Propriety of - ·Held: The
  competent authority did not make any reference to the E
  pleadings taken by the appellant either in his reply to show
  cause or during the course of hearing - The order simply
  revealed that the competent authority noticed certain things
  - Not calling the meeting of the General Body of the House
  would at most be a technical misconduct committed F
  inadvertently in ignorance of statutory requirements - It was
  nobody's case that the appellant had done it intentionally/
  purposely in order to avoid some unpleasant resolution/
  demand of the council - So far as .the other charges were
  concerned, it was a consensus collective decision of the
  Council to accept the tender at higher rate and the appellant G
  could not have been held guilty of the said charges - High
· Court failed to appreciate that it was a case of political rivalry
  - Complainant being a political rival, could not have been
                              775                                 H
    776     SUPREME COURT REPORTS                   [2012] 3 S.C.R.

A entertained as a party to the /is - Thus, it was a clear case of
  legal malice and therefore, the impugned orders are liable to
  be quashed - The duly elected member/chairman of the
  council could not have been removed in such a casual and
  cavalier manner without giving strict adherence to the
B safeguards provided under the statute.

        Constitution of India, 1950: Executive order - Municipal
   Council - Removal of elected office bearer - Held: An elected
  official cannot be permitted to be removed unceremoniously
   without following the procedure prescribed by law, in violation
C of the provisions of Article 21 of the Constitution, by the State
  by adopting a casual approach and resorting to manipulations
  to achieve ulterior purpose - Removal of a duly elected
   Member on the basis of proved misconduct is a quasi-judicial
  proceeding in nature - Therefore, the principles of natural
D justice are required to be given full play and strict compliance
  should be ensured, even in the absence of any provision
  providing for the same - In service jurisprudence, for removal,
   termination or reduction in rank, a full fledged inquiry is
  required otherwise it will be violative of the provisions of Article
E 311 of the Constitution - The case of elected office bearer is
   to be understood in an entirely different context as compared
   to the government employees, for the reason, that for the
  removal of the. elected officials, a more stringent procedure
   and standard of proof is required.
F
       Administrative law: Administrative order - Recording of
  reasons, necessity- Held: Even in administrative matters, the
  reasons should be recorded as it is incumbent upon the
  authorities to pass a speaking and reasoned order - Right to
  reason is an indispensable part of a sound judicial system,
G reasons at least sufficient to indicate an application of mind
  of the authority before the court - Another rationale is that the
  affected party can know why the decision has gone against
  him ~ Spelling out reasons for the order made is one of the
  salutary requirements of natural justice.
H
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 777
            RAIGAD AND ORS.
      Jurisprudence: Legal right - Held: A legal right is an      A
averment of entitlement arising out of law - A person who
suffers from legal injury can only challenge the act or
omission - The complainant has to establish that he has been
deprived of or denied of a legal right and he has sustained
injury to any legally protected interest - In case he has no      B
legal peg for a justiciable claim to hang on, he cannot be
heard as a party in a tis - A fanciful or sentimental grievance
may not be sufficient to confer a locus standi to sue upon the
individual - There must be injuria or a legal grievance which
can be appreciated and not a stat pro ratione va/untas reasons    c
i.e. a claim devoid of reasons - Torts.

    Strictures: Strictures against State Authorities - State
Authorities were asked to produce original record by Supreme
Court within a period of two weeks - Neither the record
produced before Supreme Court nor any application filed to        D
extend the time to produce the same - In such a fact-situation,
adverse inference is liable to be drawn against the State.

     Words and phrases: Expressions 'misconduct',
'disgraceful conduct', 'malice in law' - Connotation of.          E

     The appellant was elected as member of Uran
Municipal Council and, subsequently, elected as a
President of the Municipal Council. He was served with
a show cause notice by the State of Maharashtra calling
                                                                  F
upon him to explain why action under Section 558 of the
Maharashtra Municipal Councils, Nagar Panchayats and
Industrial Townships Act, 1965 be not taken against him.
The chargesheet contained six charges. The competent
authority i.e. Chief Minister declared the appellant
disqualified for his remaining tenure and further declared        G
him disqualified for a period of six years even as member
of the Council. The appellant filed a writ petition which
was dismissed.

    In the instant appeal, it was contended for the               H
    778      SUPREME COURT REPORTS            [2012] 3 S.C.R.


A appellant that only three charges i.e. charge nos.3, 5 and
  6 were held proved against the appellant; that one charge
  was that the appellant did not call for a meeting for a
  period of three months as required under Section 81 (1)
  of the 1965 Act, for which the appellant had furnished
B explanation which was worth acceptance; that the officer
  concerned of the municipal council did not inform the
  appellant, nor the members asked to hold such meeting
  as required under Section 81 (1) of the Act 1965, so it was
  merely an inadvertent act and could not be intentional,
c therefore, the question of committing any misconduct
  could not arise.

          Allowing the appeal, the Court

      ·HELD: 1.1. Mere error of jl!dgment resulting in doing
D of negligent act does not amount to misconduct.
  However, in exceptional circumstances, not working
  diligently may be a misconduct. An action which is
  detrimental to the prestige of the institution may also
  amount to misconduct. Acting beyond authority may be
E a misconduct. When the office bearer is expected to act
  with absolute integrity and honesty in handling the work,
  any misappropriation, even temporary, of the funds etc.
  constitutes a serious misconduct, inviting severe
  punishment. [Para 9] [803-H; 804-A-B]
F      State of Punjab & Ors. v. Ram Singh Ex. Constable AIR
  1992 SC 2188: 1992 (3) SCR 634; Disciplinary Authority-
  cum-RegionalManager & Ors. v. Nikunja Bihari Patnaik
  (1996) 9 SCC 69: 1996 (1) Suppl. SCR 314; Government
  of Tamil Nadu v. K.N. Ramamwthy AIR 1997 SC 3571: 1997
G (7) SCC 101; Inspector Prem Chand v. Govt. of NCT of Delhi
  & Ors. (2007) 4 SCC 566: 2007 (4) SCR 968; State Bank of
  India & Ors. v. S.N. Goyal AIR2008 SC 2594: 2008 (7) SCR
  631; Government of A.P. v. P. Posetty (2000) 2 SCC 220;
  M.M. Malhotra v. Union of India & Ors. AIR 2006 SC 80: 2005
H (3) Suppl. SCR 1026; Baldev Singh Gandhi v. State of
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 779
            RAIGAD AND ORS.
Punjab & Ors. AIR 2002 SC 1124: 2002 (1) SCR 102- relied         A
on.

    Black's Law Dictionary, Sixth Edition P. Ramanatha
Aiyar's Law Lexicon, Reprint Edition 1987 - referred to.

     1.2. Conclusions about the absence or lack of               B
personal qualities in the incumbent do not amount to
misconduct holding the person concerned liable for
punishment. It is also a settled legal proposition that
misconduct must necessarily be measured in terms of
the nature of the misconduct and the court must examine          C
as to whether misconduct has been detrimental to the
public interest. The expression 'misconduct' has to be
understood as a transgression of some established and
definite rule of action, a forbidden act, unlawful behaviour,
wilful in character. It may be synonymous as mis-                D
demeanour in propriety and mismanagement. In a
particular case, negligence or carelessness may also be
a misconduct for example, when a watchman leaves his
duty and goes to watch cinema, though there may be no
theft or loss to the institution but leaving the place of duty   E
itself amounts to misconduct. It may be more serious in
case of disciplinary forces. Further, the expression
'misconduct' has to be construed and understood in
reference to the subject matter and context wherein the
term occurs taking into consideration the scope and              F
object of the statute which is being construed.
Misconduct is to be measured in terms of the nature of
misconduct and it should be viewed with the
consequences of misconduct as to whether it has been
detrimental to the public interest. [Paras 12-14] [805-A-G]      G

    Union of/ndia & Ors. v. J. Ahmed AIR 1979 SC 1022:
1979 (3) SCR 504; General Manager, Appellate Authority,
Bank of India &Anr. v. Mohd. Nizamuddin AIR 2006 SC 3290:
2006 (7) sec 410 - relied on.
                                                                 H
    780    SUPREME COURT REPORTS               [2012] 3 S.C.R.


A 2. DISGRACEFUL CONDUCT :

       The expression 'disgraceful conduct' is not defined
  in the statute. Therefore, the same has to be understood
  in given dictionary meaning. The term 'disgrace' signifies
  loss of honor, respect, or reputation, shame or bring
8
  disfavour or discredit. Disgraceful means giving offence
  to moral sensibilities and injurious to reputation or
  conduct or character deserving or bringing disgrace or
  shame. Disgraceful conduct is also to be examined from
  the context in which the term has been employed under
C the statute. Disgraceful conduct need not necessarily be
  connected with the official of the office bearer. Therefore,
  it may be outside the ambit of discharge of his official
  duty. (para 15] (805-H; 806-A-B]

D REMOVAL OF AN ELECTED OFFICE BEARER:

          3.1. The municipalities have been conferred
    Constitutional status by amending the Constitution by
    14th Amendment Act, 1992 w.e.f. 1.6.1993. The
E   municipalities have also been conferred various powers
    under Article 2438 of the Constitution. Amendment in the
    Constitution by adding Parts IX and IX-A confers upon
    the local self Government a complete autonomy on the
    basic democratic unit unshackled from official control.
    Thus, exercise of any power having effect of destroying
F   the Constitutional Institution besides being outrageous
    is dangerous to the democratic set-up of this country.
    Therefore, an elected official cannot be permitted to be
    removed unceremoniously without following the
    procedure prescribed by law, in violation of the provisions
G   of Article 21 of the Constitution, by the State by adopting
    a casual approach and resorting to manipulations to
    achieve ulterior purpose. The Court being the custodian
    of law cannot tolerate any attempt to thwart the
    Institution. The democratic set-up of the country has
H   always been recognized as a basic feature of the
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 781
             RAIGAD AND ORS.
Constitution, like other features e.g. Supremacy of the            A
Constitution, Rule of law, Principle of separation of
powers, Power of judicial review under Articles 32, 226
and 227 of the Constitution etc. It is not permissible to
destroy any of the basic features of the Constitution even
by any form of amendment, and therefore, it is beyond              B
imagination that it can be eroded by the executive on its
whims without any reason. The Constitution accords full
faith and credit to the act done by the executive in
exercise of its statutory powers, but they have a primary
responsibility to serve the nation and enlighten the               c
citizens to further strengthen a democratic State. Public
administration is responsible for the effective implication
of the rule of law and constitutional commands which
effectuate fairly the objective standard set for
adjudicating good administrative decisions. However,               D
wherever the executive fails, the Courts come forward to
strike down an order passed by them passionately and
to remove arbitrariness and unreasonableness, for the
reason, that the State by its illegal action becomes liable
for forfeiting the full faith and credit trusted with it. [Paras   E
16-18) [806-C-H; 807-A-E]

     His Holiness Keshwananda Bharti Sripadagalvaru & Ors.
v. State of Kera/a & Anr. AIR 1973 SC 1461: 1973 (0) Suppl.
SCR 1; Minerva Mills Ltd. & Ors. v. Union of India & Ors. AIR
1980 SC 1789: 1981 (1)SCR 206; Union of India v.                   F
Association for Democratic Reforms & Anr. AIR 2002 SC
2112: 2002 (3) SCR 696; Special Reference No. 1 of 2002
(Gujarat Assembly Election Matter) AIR 2003 SC 87: 2002
(3) Suppl. SCR 366; Ku/dip Nayar v. Union of India & Ors.
AIR 2006 SC 3127: 2006 (5) Suppl. SCR 1; Scheduled                 G
Castes and Scheduled Tribes officers Welfare Council v.
State of U.P. & Ors.,AIR 1997 SC 1451: 1996 (6) Suppl. SCR
544; State of Punjab & Ors. v. G.S. Gi/I & Anr. AIR 1997 SC
2324: 1997 (3) SCR 412 - relied on.
                                                                   H
    782     SUPREME COURT REPORTS               [2012] 3 S.C.R.


A      3.2. Basic means the basis of a thing on which it
  stands, and on the failure of which it falls. In democracy
  all citizens have equal political rights. Democracy means
  actual, active and effective exercise of power by the
  people in this regard. It means political participation of the
B people in running the administration of the Government.
  It conveys the State of affair in which each citizen is
  assured of the right of equal participation in the polity.
  There can also be no quarrel with the settled legal
  proposition that removal of a duly elected Member on the
c basis of proved misconduct is a quasi-judicial proceeding
  in nature. Therefore, the principles of natural justice are
  required to be given full play and strict compliance
  should be ensured, even in the absence of any provision
  providing for the same. Principles of natural justice
0 require a fair opportunity of defence to such an elected
  office bearer. [Para 19, 23] [807-F-G; 809-C-E]

       R.C. Poudya/ v. Union of India & Ors. AIR 1993 SC
  1804: 1993 (1) SCR 891; Peoples Union for Civil Liberties
  (PUCL) & Anr. v. Union of India & Anr. AIR 2003 SC 2363:
E 2003(2) SCR 1136; State of Punjab v. Baldev Singh etc. etc.
  AIR 1999 SC 2378: 1999 (3) SCR 977; Mohinder Kumar v.
  State, Panaji, Goa (1998) 8 SCC 655; Ali Mustafa Abdul
  Rehman Moosa v. State of Kera/a AIR 1995 SC 244; G.
  Sadanandan v. State of Kera/a & Anr. AIR 1966 SC 1925;
F Indian National Congress (/) v. Institute of Social Welfare &
  Ors. AIR 2002 SC 2158: 2002 (3) SCR 1040; Bachhitar
  Singh V. State of Punjab & Anr. AIR 1963 SC 395: 1962
  Suppl. SCR 713; Union of India v. H.C. Goel AIR 1964 SC
  364: 1964 SCR 718; Tarlochan Dev Sharma v. State of
G Punjab & Ors. AIR 2001 SC 2524: 2001 (3) SCR 1146 -
  relied on.

      3.3. Undoubtedly, any elected official in local self-
  government has to be put on a higher pedestal as against
H a government servant. If a temporary government
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 783
             RAIGAD AND ORS.
employee cannot be removed on the ground of                     A
misconduct without holding a full fledged inquiry, it is
difficult to imagine how an elected office bearer can be
removed without holding a full fledged inquiry. In service
jurisprudence, minor punishment is permissible to be
imposed while holding the inquiry as per the procedure          B
prescribed for it but for removal, termination or reduction
in rank, a full fledged inquiry is required otherwise it will
be violative of the provisions of Article 311 of the
Constitution of India. The case is to be understood in an
entirely different context as compared to the government        c
employees, for the reason, that for the removal of the
elected officials, a more stringent procedure and standard
of proof is required. [Para 24) [809-F-H; 810-A]

     3.4. In a democratic institution, like ours, the
incumbent is entitled to hold the office for the term for       D
which he has been elected unless his election is set
aside by a prescribed procedure known to law or he is
removed by the procedure established under law. The
proceedings for removal must satisfy the requirement of
natural justice and the decision must show that the             E
authority has applied its mind to the allegations made and
the explanation furnished by the elected office bearer
sought to be removed. The elected official is accountable
to its electorate because he is being elected by a large
number of voters. His removal has serious repercussions         F ·
as he is removed from the post and declared disqualified
to contest the elections for a further stipulated period, but
it also takes away the right of the people of his
constituency to be represented by him. Undoubtedly, the
right to hold such a post is statutory and no person can        G
claim any absolute or vested right to the post, but he
cannot be removed without strictly adhering to the
provisions provided by the legislature for his removal.
[Paras 26-27) [810-E-H; 811-A-B]
                                                                H
    Jyoti Basu & Ors. v. Debi Ghosa/ & Ors. AIR 1982 SC
    784    SUPREME COURT ~EPORTS                 [201'2] 3 S.C.R

A 983: 1982 (3) SCR 318; Mohan/al Tripathi v, District
  Magistrate, Rai Barelly & Ors. AIR 1993 SC 2042: 1992 (3)
  SCR 338; Ram Beti etc, v. District Panchayat Rajadhikari &
  Ors. AIR1998 SC 1222: 1997 (6) Suppl. SCR 582 - relied
  on.

B RECORDING OF REASONS:

       4.1. It is a settled proposition of law that even in
  administrative matters, the reasons should be recorded
  as it is incumbent upon the authorities to pass a speaking
C and reasoned order. The emphasis on recording reason
  is that if the decision reveals the 'inscrutable face of the
  sphinx', it can be its silence, render it virtually impossible
  for the courts to perform their appellate function or
  exercise the power of judicial review in adjudging the
D validity of the decision. Right to reason is an
  indispensable part of a sound judicial system, reasons
  at least sufficient to indicate an application of mind of the
  authority before the court. Another rationale is that the
  affected party can know why the decision has gone
E against him. One of the salutary requirements of natural
  justice is spelling out reasons for the order made. In other
  words, a speaking out, the inscrutable face of the sphinx
  is ordinarily incongruous with a judicial or quasi-judicial
  performance. [Paras 29, 36] (811-G; 814-H; 815-A-B]
F      Kumari Shrilekha Vidyarthi etc. etc. v. State of UP. & Ors.
  AIR 1991 SC 537: 1990 (1) Suppl. SCR 625; L./.C. of India
  & Anr. v. Consumer Education and Research Centre & Ors.
  AIR 1995 SC 1811: 1995 (1) Suppl. SCR 349; Union of India
  v. M.L. Capoor & Ors. AIR 1974 SC 87: 1974 (1 ) SCR 797;
G Mahesh Chandra v. Regional Manager, U.P. Financial
  Corporation & Ors. AIR 1993 SC 935: 1992 (1) SCR 616;
  State of West Bengal v, Atul Krishna Shaw & Anr. AIR 1990
  SC 2205: 1990 (1) Suppl. SCR 91; S.N. Mukherjee v. Union
  of India AIR 1990 SC 1984: 1990 (1) Suppl. SCR 44;
H Krishna Swami v. Union of India & Ors. AIR 1993 SC 1407:
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 785
             RAIGAD AND ORS.
1992 (1) Suppl. SCR 53; Sant Lal Gupta & Ors. v. Modern          A
Co-operative Group Housing Society Ltd. & Ors. (2010) 13
SCC 336: 2010 (13) SCR 621; Institute of Chartered
Accountants of India v. L.K Ratna & Ors. AIR 1987 SC 71:
1986 (3) SCR 1048 - relied on.
                                                                 B
Malice in law:

     5. The State is under an obligation to act fairly
without ill will or malice- in fact or in law. Where malice is
attributed to the State, it can never be a case of personal
ill-will or spite on the part of the State. "Legal malice" or    C
"malice in law" means something done without lawful
excuse. It is a deliberate act in disregard to the rights of
others. It is an act which is taken with an oblique or
indirect object. It is an act done wrongfully and wilfully
without reasonable or probable cause, and not                    D
necessarily an act done from ill feeling and spite. Mala fide
exercise of power does not imply any moral turpitude. It
means exercise of statutory power for "purposes foreign
to those for which it is in law intended." It means
conscious violation of the law to the prejudice of another,      E
a depraved inclination on the part of the authority to
disregard the rights of others, where intent is manifested
by its injurious acts. Passing an order for unauthorized
purpose constitutes malice in law. [Para 37] [815-C-G]

    Addi. Distt. Magistrate, Jabalpur v. Shivakant Shukla AIR    F
1976 SC 1207: 1976 (0) Suppl. SCR 172; Union of India thr.
Govt. of Pondicherry & Anr. ~ V. Ramakrishnan & Ors. (2005)
8 SCC 394: 2005 (4) Suppl. SCR 291; Kalabharati
Advertising v. Hem ant Vimalnath Narichania & Ors. AIR 2010
SC 3745: 2010 (10) SCR 971 - relied on.                          G

    6. Section 55 of the Maharashtra Municipal Councils,
Nagar Panchayats and Industrial Townships Act, 1965
provides for removal of the President of the Council by
No Confidence Motion. Sections 55A and 558 proli!de a            H
   786     SUPREME COURT REPORTS              [2012] 3 S.C.R.

A mode of removal of duly elected President on proved
  misconduct or negligence etc. In the instant case, on a
  complaint filed by the Ex-President and the then sitting
  Municipal Councillor, Uran Municipal Council
  (Respondent No.5) regarding the misconduct of the
B appellant, prelimina.ry inquiry was conducted through
  Collector. The Collector made an inquiry through Deputy
  Collector and submitted the inquiry report and as no
  action was taken by the Statutory Authority against the
  appellant, the complainant filed a writ petition before the
c High Court which was disposed of directing respondent
  no. 2 (Minister of State, Urban Development, the then Chief
  Minister) to take a decision on the complaint. The charge
  sheet/show cause notice containing 6 charges was
  served upon the appellant. In response to the said
  chargesheet, the appellant furnished explanation denying
0
  all .the charges framed against him and furnished a
  detailed explanation. In this respect, hearing was held
  wherein the appellant as well as the complainant
  appeared alongwith their advocates and made their
  submissions before the competent authority. The
E impugned order was passed holding the appellant guilty
  of three charges imposing the punishment. It is evident
  from the said order that the competent authority did not
  make any reference to the pleadings taken by the
  appellant either in his reply to show cause or during the
F course of hearing. The order simply revealed that the
  competent authority noticed certain things. The
  explanation furnished by the appellant for not holding the
  meeting and acceptance of tender by the council itself
  and not by the appellant, was not considered at all. No
G reasoning was given by the Statutory Authority for
  reaching the conclusions. The High Court also erred in
  not dealing with any of the issues raised by the appellant
  while furnishing his explanation rather relied upon the
  findings recorded by the competent authority. There was
H nothing in the judgment of the High Court wherein the
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 787
            RAIGAD AND ORS.
grievance of the appellant was considered nor any               A
reasoning was given to uphold the findings recorded by
the Statutory Authority imposing such a severe
punishment. The complainant at the most, could have led
the evidence as a witness. He could not claim the status
of an adversial litigant. The complainant cannot be the         B
party to the lis. A legal right is an averment of entitlement
arising out of law. In fact, it is a benefit conferred upon a
person by the rule of law. Thus, a person who suffers
from legal injury can only challenge the act or omission.
There may be some harm or loss ~hat may not be                  c
wrongful in the eyes of law because it may not result in
injury to a legal right or legally protected interest of the
complainant but juridically harm of this description is
called damnum sine injuria. The complainant has to
establish that he has been deprived of or denied of a legal     D
right and he has sustained injury to any legally protected
interest. In case he has no legal peg for a justiciable claim
to hang on, he cannot be heard as a party in a lis. A
fanciful or sentimental grievance may not be sufficient to
confer a locus standi to sue upon the individual. There
must be injuria or a legal grievance which can be               E
appreciated and not a stat pro ratione valuntas reasons
i.e. a claim devoid of reasons. Under the garb of being
necessary party, a person cannot be permitted to make
a case as that of general public interest. A person having
a remote interest cannot be permitted to become a party         F
in the lis, as the person wants to become a party in a
case, has to establish that he has a proprietary right
which has been or is threatened to be violated, for the
reason that a legal injury creates a remedial right in the
injured person. A person cannot be heard as a party             G
unless he answers the description of aggrieved party.
The High Court failed to appreciate that it was a case of
political rivalry. The case of the appellant was not
considered in correct perspective at all. In such a fact-
                                                                H
    788 .   SUPREME COURT REPORTS             [2012] 3 S.C.R.

A situation, the complaint filed by the respondent No. 5
  could at the most be pressed into service as a material
  exhibit in order to collect the evidence to find out the
  truth. As all the charges proved against the appellant
  were dealt with exclusively on the basis of documentary
B evidence, there was nothing on record by which the
  complainant could show that the General Body meeting
  was not called, as statutorily required, by the appellant
  intentionally. [Paras 38, 41-45] [815-G-H; 818-0-H; 819-A-
  D; 820-A-H; 821-A-G]
c    , Adi Pherozshah Gandhi v. H.M. Seervai, Advocate
  General of Maharashtra AIR 1971 SC 385: 1971 (2) SCR
  863; Jasbhai Motibhai Desai v. Roshan Kumar, Haji Bashir
  Ahmed & Ors. AIR 1976 SC 578: 1976 (3) SCR 58; Maharaj
  Singh v. State of Uttar Pradesh & Ors. AIR 1976 SC 2602:
D 1977 (1) SCR 1072; Ghulam Qadir v. Special Tribunal & Ors.
  (2002) 1 sec 33: 2001 (3) Suppl. SCR 504; Kabt.ishiki
  Kaisha Toshiba v. Tosiba Appliances Company & Ors. (2008)
    1o sec 766: 2008 (9) SCR 670 - relied on.

E     . 7. Not calling the meeting of the General" Body of the
  House may be merely a technical misconduct committed
  inadvertently in ignorance of statutory requirements. It
  was nobody's case that the appellant had done it
  intentionally/purposely in order to avoid some unpleasant
F resolution/demand of the council. No finding of fact was
  recorded either by the competent authority or by the High
  Court that some urgent/important work could not be
  carried out for want of General Body meeting of the
  council. Merely not to conduct oneself according to the
G procedure prescribed or omission to conduct a meeting
  without any corresponding loss to the corporate body,
  would not be an automatic misconduct by inference,
  unless some positive intentional misconduct is shown.
  It was an admitted fact that the meeting was not called.
  However, in the absence of any imputation of motive, not
H
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 789
             RAIGAD AND ORS.
calling the meeting by the appellant could not in itself, be    A
enough to prove the charge. Section 81 of the Act 1965
requires that for the disposal of the general business, the
President should call the meeting of the Council within a
period of two months from the date on which the last
preceding ordinary meeting was held. The statutory              B
provisions further provided that in case the President
fails to call the ordinary meeting within the said stipulated
period, the Chief Officer may report such failure to the
Collector and the Collector can call the ordinary meeting
of the Council following the procedure prescribed therein.      c
The President can also call the meeting on the request
of the members not less than one-fourth of the total
number of councils. Therefore, the cogent reading of all
the provisions makes it clear that in case the President
fails to call the meeting, there are other modes of calling     D
the meeting and in such an eventuality where reasonable
explanation has been furnished by the appellant to the
show cause notice on this count, the competent
authority could not have passed such a harsh order.
[Para 46] (821-G-H; 822-A-F]
                                                                E
     8. So far as the other charges regarding laying down
the pipelines at a much higher rate were concerned, it was
a positive case of the appellant that as earlier contractor
had abandoned the work in between and there was a
scarcity of water in the city, the Chief Officer, the Junior    F
Engineer considered the technical aspect and then
recommendations were forwarded under the signatures
of the appellant, the Chief Officer and Junior Engineer to
the council, which ultimately passed the resolution
accepting the said tenders. In such a fact-situation, it was    G
a collective consensus decision of the house after due
deliberations. Admittedly, it was not even the ratification
of contract awarded by the appellant himself. Thus, even
by any stretch of imagination it cannot be held to be an
individual decision of the appellant and the competent          H
    790    SUPREME COURT REPORTS              [2012] 3 S.C.R.


A authority failed to appreciate that the tenders were
  accepted by the Council itself and not by the appellant
  alone. Therefore, he could not be held responsible for
  acceptance of tenders. In the counter affidavit filed by
  respondent No.5, complainant, he has not stated
B anywhere that the tenders were not accepted by the
  council, rather allegations were made that the tenders
  were accepted at a higher rate so that the contractor could
  get the financial gain. [Para· 47] [822-G-H; 823-A-D]

       9. The first charge proved against the appellant for
C not calling the meeting of Council, did not warrant the
  order of removal and the explanation furnished by
  appellant could have been accepted. Other charges could
  not be proved against the appellant, in view of the fact,
  that the tenders at a higher rate were accepted by the .
D Council itself and the appellant could not be held
  exclusively responsible for it. Respondent no. 5, being a
  political rival, could not have been entertained as a party
  to the lis. The charge of not calling the meeting of the
  Council was admitted by the appellant himself, thus, no
E further evidence was required, for the reason, that the
  admission is the best evidence. The competent authority
  could have considered his explanation alone and
  proceeded to take a final decision. So far as the other
  charges were concerned, it was a consensus collective
F decision of the Council to accept the tender at higher rate
  and the appellant could not have been held guilty of the
  said charges. Thus, the instant case was a crystal clear
  cut case of legal malice and therefore, the impugned
  orders are liable to be quashed. The duly elected
G member/chairman of the council could not have been
  removed in such a casual and cavalier manner without
  giving strict adherence to the safeguards provided under
  the statute which had to be scrupulously followed. [Para
  48] [823-F-H; 824-A-C]
H
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 791
             RAIGAD AND ORS.
     10. The appellant had raised a question of fact before A
the High Court as well as before this Court submitting
that at the time of hearing before the competent authority,
respondent No.5 had raised new grounds and the
appellant raised serious objections as he had no
opportunity to meet the same. Thus, in order to give the B
appellant an opportunity to rebut the same the
competent authority had adjourned the case and directed
the Secretary to fix a date so that the appellant may meet ·
those new objections/grounds. However, the order
impugned removing the appellant from the post and c
declaring him further disqualified for a period of six years
was passed. It is not evident from the order impugned as
what could be those new grounds which had not been
disclosed to the appellant. Thus, to ascertain as to
whether in order to give an opportunity to the appellant
                                                             0
to meet the alleged new grounds, the competent
authority had adjourned the case, this Court while
reserving the judgment on 13.2.2012 asked the Standing
Counsel for the State to produce the original record
before this Court within a period of two weeks. For the
reasons best known to the State Authorities, neither the E
record was produced before this Court nor any
application was filed to extend the time to produce the
same. In fact, this Court was deprived of seeing the
original record and to examine the grievance of the
appellant. In such a fact-situation, the court has no option F
except to draw the adverse inference against the State.
This Court while entertaining the petition had granted
interim protection to the appellant which was extended
till further orders a~d, thus, the orders impugned
remained inoperative. Thus, it will be deemed as no order G
had ever been passed against the appellant. A copy of
the order be sent directly to the Chief Secretary, State of
Maharashtra, Bombay, who may conduct an enquiry and
send his personal affidavit as under what circumstances
the State Authorities could decide not to ensure H
    792       SUPREME COURT REPORTS               [2012] 3 S.C.R.

A compliance of the order of this Court dated 13.2.2012,
  wit.hin a period of four week from the date of receipt of
  this order, to the Registrar General of this Court who may
  place it alongwith the file before the Bench. [Paras 49, 50)
  [824-D-H; 825-A-B, D-F]
B                                                         ' r,
                         Case Law Reference:
           1992 (3) SCR 634           relied on        Para 8
           1996 (1) Suppl. SCR 314·   relied on        Para 9
                                                           '
c          1997 (7) sec 101           relied on        Para 9
      . 2007 (4) SCR 968              relied on        Para 9
      . 2008 (7) SCR 631              relied on        Para 9
      · (2000) 2 sec 220              relied on        Para 10
D
      . 2005 (3) Suppl. SCR 1026      relied on        Para 11
      : 2002 (1) SCR 1021             relied on        Para 11
      : 1979 (3) SCR 504              relied on        Para 12
E
      ,, 2006 (7) sec 410             relied on        Para 13
           1973 (0) Suppl. SCR 1      relied on        Para 17
           1981 (1) SCR 206           relied on        Para 17
F     1    2002 (3) SCR 696           relied on        Para 17
           2002 (3) Suppl. SCR 366    relied on        Para 17
       '
      1    2006 (5) Suppl. SCR 1      relied on        Para 17

G     , 1996 (6) Suppl. SCR 544       relied on        Para 18
     , '1993 (1) SCR 891              relied on        Para 18
                                                          ..
           2003 (2) SCR 1136          relied on        Para 19
           1999 (3) SCR 977           relied on        Para 21
H                                                              I~
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 793
            RAIGAD AND ORS.
  (1998) 8 sec· 655         relied on   Para 21   -A

  1994 (4) Suppl. SCR 52    relied on   Para 21
  AIR 1966 SC 1925          relied on   Para 22
  2002 (3) SCR 1040         relied on   Para 23   B
  1962 Suppl. SCR 713       relied on   Para 23
  1964 SCR 718              relied on   Para 23
  2001 (3) SCR 1146         relied on   Para 25
                                                  c
  1982 (3) SCR 318          relied on   Para 27
  1992 (3) SCR 338          relied on   Para 27
  1997 (6) Suppl. SCR 582   relied on   Para 27
  1990 (1) Suppl. SCR 625   relied on   Para 29   D

  1995 (1) Suppl. SCR 349   relied on   Para 30
  1974 (1) SCR 797          relied on   Para 30
  1992 (1) SCR 616          relied on   Para 30   E
  1990 (1) Suppl. SCR 91    relied on   Para 31
  1990 (1) Suppl. SCR 44    relied on   Para 32
  1992 (1) Suppl. SCR 53    relied on   Para 33
                                                  F
  2010 (13) SCR 621         relied on   Para 34
  1986 (3) SCR 1048         relied on   Para 35
  1976 (0) Suppl. SCR 172   relied on   Para 37
                                                  G
  2005 (4) Suppl. SCR 291   relied on   Para 37
  2010 (10) SCR 971         relied on   Para 37
  1971 (2) SCR 863          relied on   Para 44
  1976 (3) SCR 58           relied on   Para 44   H
     794      SUPREME COURT REPORTS                   [2012] 3 S.C.R.


A.         1977 (1) SCR 1072              relied on        Para 44

           2001 (3) Suppl. SCR 504        relied on        Para 44

           2008 (9) SCR 670               relied on        Para 44

B        CIVIL APPELLATE JURISDICTION : Civil Appeal No.
     2085 of 2012.                                    ,.

         From the Judgment & Order dated 18.06.2009 of the High
     Court of Judicature at Bombay in Writ Petition No. 4665 of
     2009.                                                   '
c
         Vinay Navare, Keshav Ranjan, Satyajeet Kumar, Abha R.
     Sharma for the Appellant.

      Sudhanshu S. Choudhari, Mike Prakash Desai, Sanjay V.
D Kharde, Asha Gopalan Nair for the Respondents.

        · The Judgment of the Court was delivered by

           DR. 'B.S. CHAUHAN, J. 1. This appeal has been preferred
  against the impugned judgment and order dated 18.6.2009
E passed by the High Court of Bombay in Writ Petition No. 4665
  of 2009 by which the High Court has affirmed and upheld the
  judgment of the Hon'ble Chief Minister of Maharashtra declaring
  that the conduct of the appellant was unbecoming of the
  President of Uran Municipal Council and declared him to be
F disqualified for remaining tenure of municipal councilorship
   under Section 55B of the Maharashtra Municipal Councils,
  Nagar Panchayats and Industrial Townships Act, 1965
  (hereinafter called as the ·Act 1965) and further declared him
  disqualified for a period of six years from the date of the order
G i.e. 21.3.2009.

           2. Facts and circumstances giving rise to this appeal are:

       A. That the appellant was elected as member of Uran
  Municipal Council and, subsequently, elected as a President
H of the Municipal Council. The appellant was served with a show
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 795
   RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
cause notice dated 3.12.2008 by the State of Maharashtra            A
calling upon him to explain why action under Section 558 of
the Act 1965 be not taken against him. The chargesheet
contained the following six charges:

    Charge No.1
                                                                    B
          Uran Charitable Medical Trust has built up
    unauthorized construction on Survey Nos. 8 + 9 + 10 + 11
    situated at Mouje Mhatawali to the extent of 1140 square
    meters for their hospital and you are the Trustee of the said
    Trust. Municipal Council had issued notice dated                C
    17.10.2006 for demolishing the said unauthorized
    construction on its own. Shri Dosu Ardesar Bhiwandiwala
    had filed Regular Civil Suit No.95/07 against the said
    notice in the court of Civil Judge, Junior Division, Uran and
    the same was decided on 19.12.2007 in which plaintiffs          D
    application was rejected.

          Junior Engineer of Uran Municipal Council lodged a
    complaint with Uran police Station under Sections 53 and
    54 of the Maharashtra Regional and Town Planning Act,
    1966 against the said unauthorized construction on              E
    24.7.2007. Shri Jayant Gosal and three others filed Public
    Interest Litigation No. 57 of 2008 concerning the said
    unauthorized construction of the said Trust in the Bombay
    High Court and the same is presently subjudice. You are
    the Trustee of the said Trust and as President of the           F
    Municipal Council, you are duty bound to oppose the
    unauthorized construction. However, you did not take any
    action to oppose the same and it appears that you have
    supported the unauthorized construction. You have,
    therefore, violated Sections 44, 45, 52 and 53 of the           G
    Maharashtra Regional and Town Planning Act, 1966.

    Charge No.2

    The Municipal Council had called the General Body
                                                                    H
    796~         SUPREME COURT REPORTS               [2012] 3 S:C.R .


A     .:Meeting on 22.3.2007 by way of Resolution No. 2 Survey
      ~·Nos.    8 + 9 + 10 + 11 at Mouje Mhatawali area
      ; :admeasuring about 4000 square meters was proposed for
         reservation of garden. However, instead of that, the
         resolution was passed for reserving the same for hospital,
B        nursing home and medical college. At that time, you were
      upresiding over the meeting. By this illegal Act, you have
       ~violated Sections 44( 1 ){e) and 42(1 ), (2) and (3) of

       1
        ,.Maharashtra Municipal Councils, Panchayat Samit! and
       ~~ndustrial Township Act, 1965.                       ·6
c      ~Charge No.3
       ..
       ~~

       ;After you were elected as the President on 20.12.2006, a
       rGeneral Body Meeting was held on 9.1.2007. Although it
       ·is required under Section 80(1) of the Maharashtra
D      . Municipal Councils, Panchayat Samiti and Industrial
        Township Act, 1965 to hold the General Body Meeting once
       ~
         in. two months, no such meeting was
                                          .    held for a period of
        three months between 28.2.2007 and 28.5.2007. By the
        ·said act, you have violated Section 81 (1) of the
E        Maharashtra Municipal Councils, Panchayat Samiti and
         Industrial Township Act, 1965.
         ,..'
                                             •                 ~·
           "
           Charge No.4                                            "
           ;:r
           ~n_ the meeting held on 9.1.2007, the suggestion to the
F          Agenda No.4 made by Members Shri Chintaman Gharat
           and Shri Shekhar Mhatre that a rented car be provided for
           ~~e use of the President was rejected by you. Similarly, the
           Members Shri Chintaman Gharat and Shri Shekhar
           Mhatrehad made suggestion to the Agenda No,11 of the
G          ~ame meeting that new Nalla be constructed near Ughadi
           at Bhavara Phanaswadi. The said suggestion was
           rejected after being read over. Similarly, Members Shri
           Chintaman Gharat and Shri Shekhar Mhatre had made
           suggestion to the Agenda No.20 in the same meeting that
H          new Nalla be constructed in front of the house of Shri
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 797
   RAIGAD AND ORS. [DR. S.S. CHAUHAN, J.]
  Kailash Patail at Bhavara Phanaswadi. The said                 A
  suggestion was rejected. Similarly, suggestion was made
  by Shri Chintaman Gharat and Shri Shekhar Mhatre to
  Agenda No.23 that the Standing Committee be authorized
  to open the tender/approvals and give sanctions for
  diverse works of the Municipal Council. The said               B
  suggestion was rejected. Similarly, suggestion was made
  by Shri Chintaman ·Gharat and Shri Shekhar Mhatre to
  Agenda No. 27 of the same meeting regarding allotment
  of contract for spraying insecticides in Ward Nos. 1 to 17
  of the Municipal Council. It appears from the minutes of the   c
  meeting dated 9.1.2007 that even said suggestion was
  rejected. You have, therefore, violated rules 30, 32(1) and
  (2) of the Maharashtra Municipal Councils (Conduct of
  Business) Rules, 1966 by frequently rejecting the
  suggestions of the Members of the Municipal Council.           D

  Charge No.5

  Tenders were invited on 5.10.2006 for installing Cl Pipeline
  of 300 mm. diameter for outlet and inlet of GSR Tank at
  Sarvodayawadi within Uran Municipal Council by the             E
  construction department of Maharashtra Jeevan
  Pradhikaran, Panvel by its Outward No.MJPBV /MC/MS/
  Uran /311/3/06 dated 7.12.2006 at the Town Hall of the
  Uran Municipal Council. Pursuant to the same three
  tenders were invited, details whereof are as follows :         F
        Name & Address                     Tender
        of the Contractor                  Amount
    1,. M/s Shailemsh Construction         9, 11,351.~0
        Ulhasnagar
    2. M/s Padmavati Enterprise,           8,92,375.00           G
        Ambernath
    3. Mis Kiran B. Jadhav,                8.47,462.98
        Ulhasnagar

                                                                 H
    798       SUPREME COURT REPORTS                   [2012] 3 S.C.R.


A                Out of the aforesaid three tenders, the lowest tender
          of Mis Kiran B. Jadhav, Ulhasnagar was accepted as per
          Clause 171 of the Maharashtra Accounts Code, 1971.
          However, the estimate was prepared as per the DSR of
          2005-2006. As a result when the tenders were invited,
B         there was a difference of more than 10% in the tender
          amount. Therefore, by citing Item No.44 of the Standing
          Order No.36 of the Commissioner and Director,
          Directorate of Municipal Administration, the Municipal
          Council called for the current market rates from the
c         concerned commercial dealers. M/ s Nazmi Electrical &
          Hardware Limited, Kalyan and Mis Sanjay Steel Tube
          Corporation Limited on 5.1.2007 to compare the
          difference in the rates of the tenderers/ contractors and the·
D         market rates and decided that the rates of the tenderers
          were less than the market rates on the basis of the
          comparison and sanctioned the tenders and the bills of the
          tenderers were paid thereby you have violated paragraphs
           Nos. 44 to 47 of Standing Order No.36 regarding inviting
E         tenders and approvals dated 29.12.2005 bearing No.
           NPSI.Inviting Tenders/2005/Case No.151 /05and Rule
           No.171 of the Maharashtra Accounts Code, 1971.

          Charge No.6
F         Tenders were invited on 5.10.2006 for installing Cl Pipeline
          of 300 mm. diameter for outlet and inlet of GSR Tank at
          Sarvodayawadi within Uran Municipal Council by the
          construction department of Maharashtra Jeevan
          Pradhikaran, Panvel by its Outward No.MJPBV/MC/MS/
G
          Uran /311/3/06 dated 7.12.2006 at the Town Hall of the
          Uran Municipal Council. Pursuant to the same three
          tenders were invited, details whereof are as follows:

H
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 799
    RAIGAD AND ORS. [DR. S.S. CHAUHAN, J.]

            Name & Address                    Tender
                                                                   A
            of the Contractor                 Amount
       1.   Mis Shailesh Construction         4,21, 165.00
            Ulhasnagar
       2.   M/s Padmavati Enterprise,         4, 18,889.28         B
            Ambernath
       3.   M/s Kiran B. Jadhav,              3,78,507.78
            Ulhasnagar                                       .
           Out of the aforesaid three tenders, the lowest tender   c
    of M/s Kiran 8. Jadhav, Ulhasnagar was accepted as per
    Clause 171 of the Maharashtra Accounts Code, 1971.
     However, the estimate was prepared as per the DSR of
    2005-2006. As a- result when the tenders were invited,
    there was a difference of more than 10% in the tender D
    amount. Therefore, by citing Item No.44 of the Standing
    Order No.36 of the Commissioner and Director,
    Directorate of Municipal Administration, the Municipal
    Council called for the current market rates from the
    concerned commercial dealers. M/s Nazmi Electrical & E
    Hardware Limited, Kalyan and M/s Sanjay Steel Tube
    Corporation Limited on 5.1.2007 to compare the
    difference in the rates of the tenderers I contractors and
    the market rates and decided that the rates of the tenderers
    were less than the market rates on the basis of the
    comparison and sanctioned the tenders and the bills of the F
    tenderers were paid thereby you have violated paragraphs
    Nos. 44 to 47 of Standing Order No.36 regarding inviting
    tenders and approvals dated 29.12.2005 bearing No.
    NPS/lnviting Tenders/2005/Case No.151/05 and Rule
    No.171 of the Maharashtra Accounts Code, 1971.               G

    B. The appellant submitted his explanation dated
18.12.2008 in writing. After considering the same, the appellant
was issued a notice for hearing on 23.1.2009. The appellant
remained present alongwith·his advocate before the competent       H
    800 r< SUPREME COURT REPORTS                 [2012] 3 S.C:R.

A authority i.e. Hon'ble Chief Minister holding the portfolio of
  Department. However, vide impugned order dated 21.3.2009,
  the appellant was declared disqualified for his remaining tenure
  and further declaring him disqualified for a period of six years
  even as member of the Council.
B       t-1
       C~ Being aggrieved, the appellant filed the writ petition
  challenging the order dated 21.3.2009. The writ petition stood
  dismissed vide impugned judgment and order dated
  18.6.2009.
           ~-   ...
C       Hence, this appeal.

        3. Shri Vinay Navare, learned counsel appearing for the
  appellaf:!~, has submitted that only three charges i.e. charge
  nos.3, 5,, ~nd 6 have been held proved against the appellant.
0 One charge is that the appellant did not call for a meeting for a
  period of three months i.e. from 28.2.2007 to 28.5.2007 as
  requiredJl.mder Section 81(1) of the Act 1965, for which the
  appellant had furnished explanation which was worth
  acceptar9e. The officer concerned of the municipal council did
E not infor~ the appellant, nor the members asked to hold such
  meeting ~-s required under Section 81 (1) of the Act 1965, so it
  was mer~ly an inadvertent act and could not be intentional.
  Therefor~, the question of committing any misconduct could not
  arise.      s
F           ' - charges which stood proved are regarding the
        4. o·ther
  acceptance of fresh tenders at high rates for incomplete work
  of laying down 300 mm. Cl pipeline for water supply. The tender
  for lower e$timated cost was not accepted rather there was a
  difference'.of more than 10 per cent in tender amount. The
G explanatio~ was furnished by the appellant that there was a
  resolution~by the council itself accepting the said tenders and,
  therefore; 1the appellant exclusively could not be held
  responsib!e for acceptance of tenders on the high rate of Cl
  pipes. Even the rate of C.I. pipe purchased by Maharashtra
H Jivan Praci6ikaran were also considered and after considering
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 801
   RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
all these factors, the lowest bid was accepted by the Uran            A
Municipal Council. The Chief Officer, the Junior Engineer has
also considered the technical aspect, and, then the
recommendation was forwarded under the signature of
President, Chief Officer and Jr. Engineer and thereafter, the
Municipal Council passed resolution and accepted the said             B
tender. Therefore, it cannot be said that by doing this the
appellant has breached any of the statutory provisions.

     5. It is further submitted that at the time of hearing on
21.3.2009, the complainant wanted to rely upon some new               C
grounds, and, therefore, the appellant raised the objection. The
Hon'ble Chief Minister directed the Secretary to fix up a date
of hearing, however, no date of hearing was fixed and impugned
order dated 21.3.2009 had been passed without affording any
opportunity of hearing to the appellant. Therefore, the said order
was passed in utter disregard of the principles of natural justice    D
and cannot be sustained in the eyes of law.

     The Competent/Statutory authority has not recorded
reasons for conclusions arrived, by which, at least the three
charges stood proved against the appellant. The expression            E
'misconduct' has not been understood in correct perspective.
Even if the three charges stood proved, the punishment
imposed is totally disproportionate, more so, was not warranted
in the facts and circumstances of the case. The High Court
erred in not appreciating the facts in correct perspective,           F
therefore, the impugned judgment and order is liable to be set
aside.                                                      ·

      6. Shri Mike Prakash Desai and Shri Sudhansu
Choudhary, learned counsel appearing on behalf of the
respondents, have vehemently opposed the appeal contending            G
that charges proved against the appellant constituted grave
misconduct on his part and was liable to be removed and has
rightly been declared disqualified for further period of six years.
The appellant had been given full opportunity to defend himself.
The period of disqualification has lapsed, thus this Court is         H
      I I




    802         SUPREME COURT REPORTS                   (2012) 3 S.C.R.


A dealing with an academic issue. The impugned order does not
  warrant any interference in the facts and circumstances of the
  case. The appeal lacks merit and, accordingly, is liable to be
  dismissed.

B     , ; 7. We have considered the rival submissions made by the
    learned counsel of the parties and perused the record. Before
    considering the case on merits, it is pertinent to deal with
    certain legal issues.
     ..
     ' '

c MISCONDUCT:
   ..
         8. Misconduct has been defined in Black's Law Dictionary,
    Sixth Edition as:                                    ,,

            "A transgression of some established and .definite rule of
            action, a forbidden act, a dereliction from duty, unlawful
D           behavior, wilful in character, improper or wrong behavior,
            its synonyms are misdemeanor, misdeed, misbehavior,
            delinquency,impropriety,mismanagement offense, but not
            negligence or carelessness."

E           Misconduct in office has been defined as:

            "Any unlawful behavior by a public officer in relation to the
            duties of his office, wilful in character. Term embraces acts
            which the office holder had no right to perform, acts
            performed improperly, and failure to act in the face of an
F
            affirmative duty to act."

            P. Ramanatha Aiyar's Law Lexicon, Reprint Edition 1987
            at page 821 defines 'misconduct' thus:

G           "The term misconduct implies a wrongful intention, and not
            a mere error of judgment. Misconduct is not necessarily
            the same thing as conduct involving moral turpitude. The
            word misconduct is a relative term, and has to be
            construed with reference to the subject matter and the
H           context wherein the term occurs, having regard to the
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 803
    RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]

    scope of the Act or statute which is being construed.            A
    Misconduct literally means wrong conduct or improper
    conduct. In usual parlance, misconduct means a
    transgression of some established and definite rule of
    action, where no discretion is left, except what necessity
    may demand and carelessness, negligence and                      B
    unskilfulness are transgressions of some established, but
    indefinite, rule of action, where some discretion is
    necessarily left to the actor. Misconduct is a violation of
    definite law; carelessness or abuse of discretion under an
    indefinite law. Misconduct is a forbidden act; carelessness,     c
    a forbidden quality of an act, and is necessarily indefinite.
    Misconduct in office may be defined as unlawful behaviour
    or neglect by a public officer, by which the rights of a party
    have been affected."

    Thus it could be seen that the word 'misconduct' though          D
    not capable of precise definition, on reflection receives its
    connotation from the context, the delinquency in its
    performance and its effect on the discipline and the nature
    of the duty. It may involve moral turpitude, it must be
    improper or wrong behaviour; unlawful behaviour, wilful in       E
    character; forbidden act, a transgression of established
    and definite rule of action or code of conduct but not mere
    error of judgment, carelessness or negligence in
    performance of the duty; the act complained of bears
    forbidden quality or character. Its ambit has to be              F
    construed with reference to the subject matter and the
    context wherein the term occurs, regard being had to the
    scope of the statute and the public purpose it seeks to
    serve .... ".
                                                                     G
(See also: State of Punjab & Ors. v. Ram Singh Ex.
Constable, AIR 1992 SC 2188).

     9. Mere error of judgment resulting in doing of negligent
act does not amount to misconduct. However, in exceptional
circumstances, not working diligently may be a misconduct. An        H
    804       SUPREME COURT REPORTS                  [2012] 3 S.C.R.

A action which is detrimental to the prestige of the institution may
  also amount to misconduct. Acting beyond authority may be a
  misconduct. When the office bearer is expected to act with
  absolute integrity and honesty in handling the work, any
  misappropriation, even temporary, of the funds etc. constitutes
B a serious misconduct, inviting severe punishment. (Vide:
  Disciplinary Authority-cum-Regional Manager & Ors. v.
  Nikunja Bihari Patnaik, (1996) 9 SCC 69; Government of
  Tamil Nadu v. K.N. Ramamurthy, AIR 1997 SC 3571;
  Inspector Prem Chand v. Govt. of NCT of Delhi & Ors., (2007)
C 4 SCC 566; and State Bank of India & Ors. v. S.N. Goyal, AIR
  2008 SC 2594).

       10. In Government of A.P. v. P. Posetty, (2000) 2 SCC
  220, this Court held that since acting in derogation to the
  prestige of the institution/body and placing his present position
D in any kind of embarrassment may amount to misconduct, for
  the reason, that such conduct may ultimately lead that the
  delinquent had behaved in a manner which is unbecoming of
  an incumbent of the post.

E       11. In M.M. Malhotra v. Union of India & Ors., AIR 2006
    SC 80, this Court explained as under:

          " ....... It has, therefore, to be noted that the word
          'misconduct' is not capable of precise definition. But at the
          same time though incapable of precise definition, the word
F         'misconduct' on reflection receives its connotation from the
          context, the delinquency in performance and its effect on
          the discipline and the nature of the duty. The act
          complained of must bear a forbidden quality or character
          and its ambit has to be construed with reference to the
G         subject-matter and the context wherein the terms occurs,
          having regard to the scope of the statute and the public
          purpose it seeks to serve."

     A similar view has been reiterated in Baldev Singh
H Gandhi v. State of Punjab & Ors., AIR 2002 SC 1124.
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 805
   RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
     12. Conclusions about the absence or lack of personal          A
qualities in the incumbent do not amount to misconduct holding
the person concerned liable for punishment.

    (See: Union of India & Ors. v. J. Ahmed, AIR 1979 SC
1022).                                                              B

    13. It is also a settled legal proposition that misconduct
must necessarily be measured in terms of the nature of the
misconduct and the court must examine as to whether
misconduct has been detrimental to the public interest. (Vide:
General Manager, Appellate Authority, Bank of India & Anr.          C
v. Mohd. Nizamuddin AIR 2006 SC 3290).

      14. The expression 'misconduct' has to be understood as
a transgression of some established and definite rule of action,
a forbidden act, unlawful behaviour, wilful in character. It may    D
be synonymous as mis-demeanour in propriety and
mismanagement. In a particular case, negligence or
carelessness may also be a misconduct for example, when a
watchman leaves his duty and goes to watch cinema, though
there may be no theft or loss to the institution but leaving the    E
place of duty itself amounts to misconduct. It may be more
serious in case of disciplinary forces. Further, the expression
'misconduct' has to be construed and understood in reference
to the subject matter and context wherein the term occurs taking
into consideration the scope and object of the statute which is
                                                                    F
being construed. Misconduct is to be measured in the terms
of the nature of misconduct and it should be viewed with the
consequences of misconduct as to whether it has been
detrimental to the public interest.

DISGRACEFUL CONDUCT :                                               G

      15. The expression 'disgraceful· conduct' is not defined in
the statute. Therefore, the same has to be understood in given
dictionary meaning. The term 'disgrace' signifies loss of honor,
respect, or reputation, shame or bring disfavour or discredit.
                                                                    H
    806      SUPREME COURT REPORTS                   [2012] 3 S.C.R.


A   Disgraceful means giving offence to moral sensibilities and
    injurious to reputation or conduct or character deserving or
    bringing disgrace or shame. Disgraceful conduct is also to be
    examined from the context in which the term has been employed
    under the statute. Disgraceful conduct need not necessarily be
B   connected with the official of the office bearer. Therefore, it may
    be outside the ambit of discharge of his official duty.

    REMOVAL OF AN ELECTED OFFICE BEARER:

         16. The municipalities have been conferred Constitutional
C   status by amending the Constitution vide 74th Amendment Act,
    1992 w.e.f. 1.6.1993. The municipalities have also been
    conferred various powers under Article 2438 of the Constitution.

      · 17. Amendment in the Constitution by adding Parts IX and
D   IX-A confers upon the local self Government a complete
    autonomy on the basic democratic unit unshackled from official
    control. Thus, exercise of any power having effect of destroying
    the Constitutional Institution besides being outrageous is
    dangerous to the democratic set-up of this country. Therefore,
    an .elected official cannot be permitted to be removed
E   unceremoniously without following the procedure prescribed by
    law, in violation of the provisions of Article 21 of the
    Constitution, by the State by adopting a casual approach and
    resorting to manipulations to achieve ulterior purpose. The
    Court being the custodian of law cannot tolerate any attempt
F   to thwart the Institution.

         The democratic set-up of the country has always been
    recognized as a basic feature of the Constitution, like other
    features e.g. Supremacy of the Constitution, Rule of law,
G   Principle of separation of powers, Power of judicial review
    under Articles 32, 226 and 227 of the Constitution etc. (Vide:
    His Holiness Keshwananda Bharti Sripadagalvaru & Ors. v.
    State of Kera/a & Anr., AIR 1973 SC 1461; Minerva Mills Ltd.
    & Ors. v. Union of India & Ors., AIR 1980 SC 1789; Union of
H   India v. Association for Democratic Reforms & Anr., AIR 2002
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 807
   RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
SC 2112; Special Reference No. 1of2002 (Gujarat Assembly               A
Election Matter), AIR 2003 SC 87; and Ku/dip Nayar v. Union
of/ndia & Ors., AIR 2006 SC 3127).

     18. It is not permissible to destroy any of the basic features
of the Constitution even by any form of amendment, and
                                                                       B
therefore, it is beyond imagination that it can be eroded by the
executive on its whims without any reason. The Constitution
accords full faith and credit to the act done by the executive in
exercise of its statutory powers, but they have a primary
responsibility to serve the nation and enlighten the citizens to
further strengthen a democratic State. Public administration is        C
responsible for the effective implication of the rule of law and
constitutional commands which effectuate fairly the objective
standard set for adjudicating good administrative decisions.
However, wherever the executive fails, the Courts come forward
to strike down an order passed by them passionately and to             D
remove arbitrariness and unreasonableness, for the reason,
that the State by its illegal action becomes liable for forfeiting
the full faith and credit trusted with it. (Vide: Scheduled Castes
and Scheduled Tribes officers Welfare Council v. State of U.P.
& Ors., AIR 1997 SC 1451; and State of Punjab & Ors. v. G. S.          E
Gill & Ant., AIR 1997 SC 2324).

     19. Basic means the basis of a thing on which it stands,
and on the failure of which it falls. In democracy all citizens have
equal political rights. Democracy means actual, active and             F
effective exercise of power by the people in this regard. It
means political participation of the people in running the
administration of the Government. It conveys the State of affair
in which each citizen is assured of the right of equal
participation in the polity. (See: R. C. Poudyal v. Union of India     G
& Ors., AIR 1993 SC 1804).
    20. In Peoples Union for Civil Liberties (PUCL) & Anr. v.
Union of India & Anr., AIR 2003 SC 2363, this Court held as
under:-
                                                                       H
    808      SUPREME COURT REPORTS                   [2012] 3 S.C.R.

A         "The trite saying that "democracy is for the people, of the
          people and by the people" has to be remembered for ever.
          In a democratic republic, it is the will ofthe people that is
          paramount and becomes the basis of the authority of the
          Government. The will is expressed in periodic elections
B         based on universal adult suffrage held by means of secret
          ballot. It is through the ballot that the voter expresses his
          choice or preference for a candidate "Voting is formal
          expression of will or opinion by the person entitled to
          exercise the right on the subject or issue", as observed by
c         the Court in Lily- Thomas v. Speaker, Lok Sabha, (1993)
          4 SCC 234 quoting frorr. Black's Law Dictionary. The
          citizens of the country are enabled to take part in the
          Government through their chosen representatives. In a
          parliamentary democracy like ours, the Government of the
          day is responsible to the people through their elected
D
          representatives. The elected representative acts or is
          supposed to act as a live link between the people and the
          Government. The people's representatives fill the role of
          law-makers and custodians of the Government. People
          look to them for ventilation and redressal of their
E         grievances."

        21. In State of Punjab v. Baldev Singh etc. etc., AIR 1999
  SC 2378, this Court considered the issue of removal of an
  elected office bearer and held that where the statutory provision
F has a very serious repercussions, it implicitly makes it
  imperative and obligatory on the part of the authority to have
  strict adherence to the statutory provisions. All the safeguards
  and protections provided under the statute have to be kept in
  mind while exercising such a power. The Court considering its
G earlier judgments in Mohinder Kumar v. State, Panaji, Goa
  (1998) 8 SCC 655; and Ali Mustafa Abdul Rehman Moosa
  v. State of Kera/a, AIR 1995 SC 244, held as under:-

          "It must be borne in mind that severer the punishment,
          greater has to be the care taken to see that all the
H
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 809
    RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
     safeguards provided in a statute are scrupulously                 A
     followed."

     22. The Constitution Bench of this Court in G. Sadanandan
v. State of Kera/a & Anr., AIR 1966 SC 1925, held that if all
the safeguards provided under the Statute are not observed,            8
an order having serious consequences is passed without
proper application of mind, having a casual approach to the
matter, the same can be characterised as having been passed
mala fide, and thus, is liable to be quashed ..

      23. There can also be no quarrel with the settled legal          C
proposition that removal of a duly elected Member on the basis
of proved misconduct is a quasi-judicial proceeding in nature.
(Vide: Indian National Congress (I) v. Institute of Social Welfare
& Ors., AIR 2002 SC 2158). This view stands further fortified
by the Constitution Benc.h judgments of this Court in Bachhitar        D
Singh v. State of Punjab & Anr., AIR 1963 SC 395 and Union
of India v. H.C. Goel, AIR 1964 SC 364. Therefore, the
principles of natural justice are required to be given full play and
strict compliance should be ensured, even in the absence of
any provision providing for the same. Principles of natural justice    E
require a fair opportunity of defence to such an elected office
bearer.

      24. Undoubtedly, any elected official in local self-
government has to be put on a higher pedestal as against a
                                                                       F
government servant. If a temporary government employee
cannot be removed on the ground of misconduct without holding
a full fledged inquiry, it is difficult to imagine how an elected
office bearer can be removed without holding a full fledged
inquiry. In service jurisprudence, minor punishment is
permissible to be imposed while holding the inquiry as per the         G
procedure prescribed for it but for removal, termination or
reduction in rank, a full fledged inquiry is required otherwise it
will be violative of the provisions of Article 311 of the
Constitution of India. The case is to be understood in an entirely
different context as compared to the government employees,             H
    810      SUPREME COURT REPORTS                   [2012] 3 S.C.R.


A   for the reason, that for the removal of the elected officials, a
    more stringent procedure and standard of proof is required.

        25. This Court examined the provisions of the Punjab
  Municipal Act, 1911, providing for the procedure of removal of
  the President of the Municipal Council on similar grounds in
8
  Tarlochan Dev Sharma v. State of Punjab & Ors., AIR 2001
  SC 2524 and observed that removal of an elected office bearer
  is a serious matter. The elected office bearer must not be
  removed unless a clear-cut case is made out, for the reason
C that holding and enjoying an office, discharging related duties
  is a valuable statutory right of not only the elected member but
  also of his constituency or electoral college. His removal may
  curtail the term of the office bearer and also cast stigma upon
  him. Therefore, the procedure prescribed under a statute for
  removal must be strictly adhered to and unless a clear case is
D made out, there can be no justification for his removal. While
  taking the decision, the authority should not be guided by any
  other extraneous consideration or should not come under any
  political pressure.

E         26. In a democratic institution, like ours, the incumbent is
    entitled to hold the office for the term for which he has been
    elected unless his election is set aside by a prescribed
    procedure known to law or he is removed by the procedure
    established under law. The proceedings for removal must
F   satisfy the requirement of natural justice and the decision must
    show that the authority has applied its mind to the allegations
    made and the explanation furnished by the elected office bearer
    sought to be removed.

       27. The elected official is accountable to its electorate
G because he is being elected by a large number of voters. His
  removal has serious repercussions as he is removed from the
  post and declared disqualified to contest the elections for a
  further stipulated period, but it also takes away the right of the
  peopl~ of his constituency to be represented by him.
H Undoubtedly, the right to hold such a post is statutory and no
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 811
    RAIGAD AND ORS. [DR. S.S. CHAUHAN, J.]
person can claim any absolute or vested right to the post, but A
he cannot be removed without strictly adhering to the provisions
provided by the legislature for his removal (Vide: Jyoti Basu &
Ors. v. Debi Ghcsa/ & Ors., AIR 1982 SC 983; Mohan Lal
Tripathi v. District Magistrate, Rai Bare/ly & Ors., AIR 1993
SC 2042; and Ram Beti etc. etc. v. District Panchayat B
Rajadhikari & Ors., AIR 1998 SC 1222).

      28. In view of the above, the law on the issue stands
crystallized to the effect that an elected member can be
removed in exceptional circumstances giving strict adherence       C
to the statutory provisions and holding the enquiry, meeting the
requirement of principles of natural justice and giving an
incumbent an opportunity to defend himself, for the reason that
removal of an elected person casts stigma upon him and takes
away his valuable statutory right. Not only the elected office
bearer but his constituency/electoral college is also deprived     D
of representation by the person of his choice. A duly elected
person is entitled to hold office for the term for which he has
been elected and he can be removed only on a proved
misconduct or any other procedure established under law like
'No Confidence Motion' etc. The elected official is accountable    E
to its electorate as he has been elected by a large number of
voters and it would have serious repercussions when he is
removed from the office and further declared disqualified to
contest the election for a further stipulated period.
                                                                   F
RECORDING OF REASONS:

     29. It is a settled proposition of law that even in
administrative matters, the reasons should be recorded as it
is incumbent upon the authorities to pass a speaking and
reasoned order. In Kumari Shri/ekha Vidyarthi etc. etc. v. State   G
of U.P. & Ors., AIR 1991 SC 537, this Court has observed as
under:-

    "Every such action may be informed by reason and if
    follows that an act un-informed by reason is arbitrary, the    H
    812     ' SUPREME COURT REPORTS                  [2012] 3 S.C.R.


A          rule of law contemplates governance by law and not by
           humour, whim or caprice of the men to whom the
           governance is entrusted for the time being. It is the trite
           !aw that "be you ever so high, the laws are above you." This
           is what a man in power must remember always."
B            1··
       30. In L.l.C. of India & Anr. v. Consumer Education and
    Research Centre & Ors., AIR 1995 SC 1811, this Court
  observed that the State or its instrumentality must not take any
  irrelevant or irrational factor into consideration or appear
  arbitrary in its decision. "Duty to act fairly" is part of fair
C procedure envisaged under Articles 14 and 21. Every activity
  of the public authority or those under public duty must be
  received and guided by the public interest. A similar view has
  been reiterated by this Court in Union of India v. M.L. Capoor
  & Ors., AIR 1974 SC 87; and Mahesh Chandra v. Regional
D Manager, UP. Financial Corporation & Ors., AIR ·1993 SC
    935.
        31. In State of West Bengal v. Atul Krishna Shaw & Anr.,
    AIR 1990 SC 2205, this Court observed that "giving of reasons
E is an essential element of administration of justice. A right to
  reason is, therefore, an indispensable part of sound system of
  judicial review."

        32. In S.N. Mukherjee v. Union of India, AIR 1990 SC
    1984, it has been held. that the object underlying the rules of
F natural justice is to prevent miscarriage of justice and secure
  fair play in action. The expanding horizon of the principles of
  natural ju'stice provides for requirement to record reasons as it
  is now regarded as one of the principles of natural justice, and
  it was held in the above case that except in cases where the
G requirement to record reasons is expressly or by necessary
  implication dispensed with, the authority must record reasons
  for its decision.

      33. In Krishna Swami v. Union of India & Ors., AIR 1993
H SC 1407, this Court observed that the rule of law requires that
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 813
    RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
any action or decision of a statutory or public authority must be     A
founded on the reason stated in the order or borne-out from the
record. The Court further observed:

    "Reasons are the links between the material, the
    foundation for their erection and the actual conclusions.
                                                                      8
    They would also demonstrate how the mind of the maker
    was activated and actuated and their rational nexus and
    synthesis with the facts considered and the conclusions
    reached. Lest it would be arbitrary, unfair and unjust,
    violating Article 14 or unfair procedure offending Article        C
    21."

     34. This Court while deciding the issue in Sant Lal Gupta
& Ors. v. Modem Co-operative Group Housing Society Ltd.
& Ors., (2010) 13 SCC 336, placing reliance on its various
earlier judgments held as under:                                      D

    "28. It is a settled legal proposition that not only
    administrative but also judicial order must be supported
    by reasons, recorded in it. Thus, while deciding an issue,
    the Court is bound to give reasons for its conclusion. It is      E
    the duty and obligation on the part of the Court to record
    reasons while disposing of the case. The hallmark of order
    and exercise of judicial power by a judicial forum is for the
    forum to disclose its reasons by itself and giving of reasons
    has always been insisted upon as one of the fundamentals
                                                                      F
    of sound administration of the justice - delivery system, to
    make it known that there had been proper and due
    application of mind to the issue before the Court and also
    as an essential requisite of the principles of natural justice.
    "The giving of reasons for a decision is an essential
    attribute of judicial and judicious disposal of a matter          G
    before Courts, and which is the only indication to know
    about the manner and quality of exercise undertaken, as
    also the fact that the Court concerned had really applied
    its mind." The reason is the heartbeat of every conclusion.
    It introduces clarity in an order and without the same, the       H
    814       SUPREME COURT REPORTS                   (2012] 3 S.C.R.


A         order becomes lifeless. Reasons substitute subjectivity
          with objectivity. The absence of reasons renders an order
          indefensible/unsustainable particularly when the order is
          subject to further challenge before a higher forum.
          Recording of reasons is principle of natural justice and
B         every judicial order must be supported by reasons
          recorded in writing. It ensures transparency and fairness
          in decision making. The person who is adversely affected
          must know why his application has been rejected."

      35. In Institute of Chartered Accountants of India v. L.K.
C Ratna & Ors., AIR 1987 SC 71, this Court held that on charge
  of misconduct the authority holding the inquiry must record
  reasons for reaching its conclusion and record clear findings.
  The Court further held:

D         "In fairness and justice, the member is entitled to know why
          he has been found guilty. The case can be so serious that
          it 'can .attract the harsh penalties provided by the Act.
          Moreover, the member has been given a right of appeal
          to the High Court under S. 22 A of the Act. The exercise
E         his right of appeal effectively he must know the basis on
          which the Council has found him guilty. We have already
          pointed out that a finding by the Council is the first
          determinative finding on the guilt of the member. It is a
          finding by a Tribunal of first instance. The conclusion of the
F         Disciplinary Committee does not enjoy the status of a
          "findin·g". Moreover, the reasons contained in the report by
          the Disciplinary Committee for its conclusion may or may
          not constitute the basis of the finding rendered by the
          Council. The Council must, therefore, state the reasons for
          its finding".
G
         36. The emphasis on recording reason is that if the
  decision reveals the 'inscrutable face of the sphinx', it can be
  its silence, render it virtually impossible for the courts to perform
  their appellate function or exercise the power of judicial review
H in adjudging the validity of the decision. Right to reason is an
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR,                      815
  . RAIGAD AND ORS. [DR. S.S. CHAUHAN, J.]
indispensable part of a sound judicial system, reasons at least         A
sufficient to indicate an application of mind of the authority
before the court. Another rationale is that the affected party can
know why the decision has gone against him. One of the
salutary requirements of natural justice is spelling out reasons
for the order made. In other words, a speaking out, the                 B
inscru.table face of the sphinx .is ordinarily incongruous with a
judicial or quasi-judicial performance.

MALICE IN LAW:

      37. This Court has consistently held that the State is under      C
an obligation to act fairly without ill will or malice- in fact or in
law. Where malice is attributed to· the State, it can never be a
case of personal ill-will or spite on the part of the State. "Legal
malice" or "malice in law" means something done without lawful
excuse. It is a deliberate act in disregard to the rights of others.    D
It is an act which is taken with an oblique or indirect object. It
is an act done wrongfully and wilfully without reasonable or
probable cause, and not necessarily an act done from ill feeling
and spite. Mala fide exercise of power does not imply any moral
turpitude. It means exercise of statutory power for "purposes           E
foreign to those for which it is in law intended." It means
conscious violation of the law to the prejudice of another, a
depraved inclination on the part of the authority to disregard the
rights of others, where intent is manifested by its injurious acts.
Passing an order for unauthorized purpose constitutes malice            F
in law. (See: Addi. Distt. Magistrate, Jabalpur v. Shivakant
Shukla, AIR 1976 SC 1207; Union of India thr. Govt. of
Pondicherry & Anr. v. V. Ramakrishnan & Ors., (2005) 8 SCC
394; and Kalabharati Advertising v. Hemant Vimalnath
Narichania & Ors., AIR 2010 SC 3745).
                                                                        G
    38. Section 55 of the Act 1965 provides for removal of the
President of the Council by No Confidence Motion. Sections
55A and 558 provide a mode of removal of duly elected
President on proved misconduct or negligence etc., which read
as under:                                                               H
    816      SUPREME COURT REPORTS                    [2012] 3 S.C.R.

A       Section 55A.- Removal of President and Vice-President
      ; by Government:-

      .'       Without prejudice to the provisions of Section SS-1A
      1
       )'1nd SS, a President or a Vice-President may be removed
       'from office by the State Government for misconduct in the
B      1
        discharge of his duties, or for neglect of or incapacity to
        perform, his duties or for being guilty of any disgraceful
        conduct, and the President or Vice-President so removed
        shall not be eligible for re-election or re-appointment as
         President or Vice-President as the case may be, during
c        the remainder of the term of office of the Councillors:

                Provided that, no such President or Vice-President
          shall be removed from office, unless he has been given a
          reasonable opportunity to furnish an explanation.
D
          558.- Disqualification for continuing as Councillor or
          becoming Councillor on removal as President or Vice-
          President:

          Notwithstanding anything contained in Section SSA, if a
E         Councillor or a person is found to be guilty of misconduct
          in the discharge of his official duties or being guilty of any
          disgraceful conduct while holding or while he was holding
          the office of the President or Vice-President, as the case
          may be, the State Government may,-
F
          (a) disqualify such Councillor to continue as a Councillor
          for the remainder of his term of office as a Councillor and
          also for being elected as a Councillor, till the period of six
          years has elapsed from the order of such disqualification;
G         (b) Disqualify such person for being elected as a Councillor
          till the period of six years has elapsed from the order of
          such disqualification.

          39. It is also pertinent to refer to the provisions of Section
H 81 of the Act 196S which reads as under:
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 817
   RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
  "Section 81- Provisions in regard to meetings of Council:        A
       The following provisions shall be observed with
  respect to the meetings of a Council:

  (1) For the disposal of general business, which shall be
  restricted to matters relating to the powers, duties and         B
  functions of the Council as specified in this Act or any
  other law for the time being in force, and any welcome
  address to .a distinguished visitor, proposal for giving
  Manpatra to a distinguished person or resolution of
  condolence (where all or any of these are duly proposed),        C
  an ordinary meeting shall be held once in two months. The
  first such meeting, shall be held within two months, from
  the date on which the meeting of the Council under Section
  51 is held, and each succeeding ordinary meeting shall be
  held within two months from the date on which the last           D
  preceding ordinary meeting is held. The President may
  also call additional ordinary meetings as he deems
  necessary. It shall be the duty of the President to fix the
  dates for all ordinary meetings and, to call such meetings
  in time.                                                         E
  (1A) If the President fails to call an ordinary meeting within
  the period specified in clause (1 ), the Chief Officer shall
  forthwith report such failure to the Collector. The Collector
  shall, within seven days from receipt of the Chief Officer's
                                                                   F
  report or may, suo motu, call the ordinary meeting. The
  agenda for such meeting shall be drawn up by the
  Collector, in consultation with the Chief Officer:

  (2) The President may, whenever he thinks fit, and shall
  upon the written request of not less than one-fourth of the      G
  total number of Councillors and on a date not later than
  fifteen days after the receipt of such request by the
  President, call a special meeting. The business to be
  transacted at any such meeting shall also be restricted to
  matters specified in clause (1 ).                                H
    818       SUPREME COURT REPORTS                   [2012] 3 S.C.R.


A         (3) If the President fails to call a meeting within the period
          specified in clause (2), the Councillors who had made a
          request for the special meeting being called, may request
          the Collector to call a special meeting. On receipt of such
          request, the Collector, or any officer whom he may
B         designate in this behalf, shall call the special meeting on
          a date within fifteen days from the date of receipt of such
          request by the Collector. Such meeting shall be presided
          over by the Collector or the Officer designated, but he shall
          have no right to vote."
c       40. The instant case requires to be examined in the light
    of aforesaid settled legal propositions and the statutory
    provisions.

         41. The case has initially originated because of the
D   complaint filed by Shri Chintaman Raghunath Gharat, Ex-
    President and the then sitting Municipal Councillor, Uran
    Municipal Council (Respondent No.5) dated 3.5.2007
    regarding the misconduct of the appellant. The preliminary
    inquiry was conducted through Collector, Raigad. The Collector,
E   Raigad made an inquiry through Deputy Collector and
    submitted the inquiry report dated 25.8.2008 and as no action
    was taken by the Statutory Authority against the appellant, Shri
    Gharat filed a Writ Petition No. 2309 of 2008 before the High
    Court which was disposed of vide order dated 3.4.2008
F   directing the respondent no. 2 (Hon'ble Minister of State, Urban
    Development, the then Hon'ble Chief Minister) to take a
    decision on the application/complaint submitted by Shri Gharat
    within a period of 8 weeks. As the decision could not be taken
    within that stipulated time, Shri Gharat filed Contempt Petition
G   No. 379 of 2008 which was disposed of by the High Court
    directing the statutory authority to take up the decision
    expeditiously.

      It was, in fact, in view of the High Court's order, the
  chargesheet/showcause notice dated 3.12.2008 containing 6
H charges was served upon the appellant. In response to the said
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 819
   RAIGAD AND ORS. [DR. B.S .. CHAUHAN, J.]
chargesheet dated 3.12.2008, the appellant furnished               A
explanation dated 18.12.2008 denying all the charges framed
against him and furnished a detailed explanation. In this
respect, hearing was held on 23.1.2009 wherein the appellant
as well as the complainant appeared alongwith their advocates
and made their submissions before the Hon'ble Minister. The        B
impugned order was passed on 21.3.2009 holding the appellant
guilty of three charges imposing the punishment as referred to
herein above.

     The impugned order dated 21.3.2009 runs from pages 28
to 52 of the appeal paper-book. The facts and the charges run      C
from pages 28 to 36. Explanation furnished by the appellant
runs from pages 36 to 47. The order of the Hon'ble Minister
runs only to 5 pages. It is evident from the said order that the
Hon'ble Minister did not make any reference to the pleadings
taken by the appellant either in his reply to show cause or        D
during the course of hearing. The order simply reveals that the
Hon'ble Minister noticed certain things. Two paragraphs at
page 48 are not relevant at all for our consideration. The
admission of the appellant that meeting was not held for a
period of 3 months between 28.2.2007 to 28.5.2007 has been         E
relied upon. In other paragraphs reference has been made to
Standing Order 36 issued by the Director and Commissioner,
Directorate of Municipal Administration, providing for the
procedure for inviting tenders and then straightaway without
giving any reason, finding is 'ecorded as under:                   F

    "Out of the 3 tenders received for installation of 300 mm
    diameter pipeline for outlet and inlet of GSR tank at
    Sarvodayawadi and Town Hall of Uran Municipal Council,
    lowest tender is accepted as per clause 171 of the             G
    Maharashtra Municipal Council Accounts Code, 1971.
    However, the tenders were invited as per the DSR rates
    for the year 2005-2006. The lowest tender received at that
    time and was more than 10% of the rates of the estimate
    (approximately 31 % and 37%). Despite this, the said
                                                                   H
    820      SUPREME COURT REPORTS                 [2012] 3 S.C.R.


A         tender was accepted."

          Then, a very cryptic order of punishment has been passed.

        42. The explanation furnished by the appellant for not
  holding the meeting and acceptance of tender by the council
B itself and not by the appellant, has not been considered at all.
  No reasoning has been given by the Statutory Authority for
  reaching the conclusions. We fail to understand as on what
  basis such a cryptic order imposing such a severe punishment
  can be sustained in the eyes of law.
c
         43. The High Court has also erred in not dealing with any
    of the issues raised by the appellant while furnishing his
    explanation rather relied upon the findings recorded by the
    Hon'ble Minister. There is nothing in the judgment of the High
0   Court wherein the grievance of the appellant has been
    considered or any reasoning has been given to uphold the
    findings recorded by the Statutory Authority imposing such a
    severe punishment.

        44. Shri Chintaman Raghunath Gharat, Ex-President was
E the complainant, thus, at the most, he could lead the evidence
  as a witness. He could not claim the status of an adversial
  litigant. The complainant cannot be the party to the lis. A legal
  right is an averment of entitlement arising out of law. In fact, it
  is a benefit conferred upon a person by the rule of law. Thus, a
F person who suffers from legal injury can only challenge the act
  or omission. There may be some harm or loss that may not be
  wrongful in the eyes of law because it may not result in injury to
  a legal right or legally protected interest of the complainant but
  juridically harm of this description is called damnum sine injuria.
G The complainant has to establish that he has been deprived of
  or denied of a legal right and he has sustained injury to any
  legally protected interest. In case he has no legal peg for a
  justiciable claim to hang on, he cannot be heard as a party in
  a lis. A fanciful or sentimental grievance may not be sufficient
H to confer a locus standi to sue upon the individual. There must
RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 821
   RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
be injuria or a legal grievance which can be appreciated and A
not a stat pro ratione valuntas reasons i.e. a claim devoid of
reasons. Under the garb of being necessary party, a person
cannot be permitted to make a case as that of general public
interest. A person having a remote interest cannot be permitted
to become a party in the lis, as the person wants to become a B
party in a case, has to establish that he has a proprietary right
which has been or is threatened to be violated, for the reason
that a legal injury creates a remedial right in the injured person.
A person cannot be heard as a party unless he answers the
description of aggrieved party. (Vide: Adi Pherozshah Gandhi          c
v. H.M. Seervai, Advocate General of Maharashtra, AIR 1971
SC 385; Jasbhai Motibhai Desai v. Roshan Kumar, Haji
Bashir Ahmed & Ors., AIR 1976 SC 578; Maharaj Singh v.
State of Uttar Pradesh & Ors., AIR 1976 SC 2602; Ghulam
Qadir v. Special Tribunal & Ors., (2002) 1 SCC 33; and D
Kabushiki Kaisha Toshiba v. Tosiba Appliances Company &
Ors., (2008) 10 SCC 766). The High Court failed to appreciate
that it was a case of political rivalry. The case of the appellant
has not been considered in correct perspective at all.

      45. In such a fact-situation, the complaint filed by the        E
respondent No. 5 could at the most be pressed into service as
a material exhibit in order to collect the evidence to find out the
truth.

     In the instant case, as all the charges proved against the       F
     appellant have been dealt with exclusively on the basis of
     documentary evidence, there is nothing on record by which
     the complainant could show that the General Body meeting
     was not called, as statutorily required, by the appellant
     intentionally.                                                   G
    46. Not calling the meeting of the General Body of the
House may be merely a technical misconduct committed
inadvertently in ignorance of statutory requirements. It is
nobody's case that the appellant had done it intentionally/
purposely in order to avoid some unpleasant resolution/demand         H
   822       SUPREME COURT REPORTS                 [2012] 3 S.C.R.


A of the council. No finding of fact has been recorded either by
  the competent authority or by the High Court that some urgenU
  important work could not be carried out for want of General
  Body meeting of the council. Merely not to conduct oneself
  according to the procedure prescribed or omission to conduct
B a meeting without any corresponding loss to the corporate
  body, would not be an automatic misconduct by inference,
  unless some positive intentional misconduct is shown. It was
  an admitted fact that the meeting had not been called. However,
  in the absence of any imputation of motive, not calling the
c meeting by the appellant could not in itself, be enough to prove
  the charge.
        Section 81 of the Act 1965 requires that for the disposal
  of the general business, the President should call the meeting
  of the Council within a period of two months from the date on
D which the last preceding ordinary meeting was held. The
  statutory provisions further provided that in case the President
  fails to call the ordinary meeting within the said stipulC}ted
  period, the Chief Officer may report such failure to the Collector
  and the Collector can call the ordinary meeting of the Council
E following the procedure prescribed therein. The President can
  also call the meeting on the request of the members not less
  than one-fourth of the total number of councils. Therefore, the
  cogent reading of all the provisions makes it clear that in case
  the President fails to call the meeting, there are other modes
F of calling the meeting and in such an eventuality where
  reasonable explanation has been furnished by the appellant to
  the show cause notice on this count, the competent authority
  could not have passed such a harsh order.             '
       47. So far as the other charges regarding laying down the
G pipelines at a much higher rate are concerned, it has been a
  positive case of the appellant that as earlier contractor had
  abandoned the work in between and there was a scarcity of
  water in the city, the Chief Officer, the Junior Engineer
  considered the technical aspect and then recommendations
H were forwarded under the signatures of the appellant, the Chief
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 823
    RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
Officer and Junior Engineer to the council, which ultimately          A
passed the resolution accepting the said tenders. In such a fact-
situation, it was a collective consensus decision of the house
after due deliberations. Admittedly, it was not even the
ratification of contract awarded by the appellant himself. Thus,
even by any stretch of imagination it cannot be held to be an         B
individual decision of the appellant and the competent authority
failed to appreciate that the tenders were accepted by the
Council itself and not by the appellant alone. Therefore, he
could not be held responsible for acceptance of tenders.

      We have gone through the counter affidavit filed by             C
respondent No.5, complainant before this court and he has not
stated anywhere that the tenders were not accepted by the
council, rather allegations have been made that the tenders had
been accepted at a higher rate so that the contractor could get
the financial gain. Similarly, technical issue has been raised for    D
not calling the meeting, committing serious irregularities
sufficiently warranting dis-qualification of the appellant on his
omission to call the meeting, but it is not his case that he did it
intentionally. The counter affidavit filed by the State does not
reveal anything in relation to the issues involved herein and it      E
appears that the deponent/officer has merely completed the
formalities without any purpose.
      48. To conclude, we are of the considered opinion and that
too after appreciation of the entire evidence on record that the
fir~t charge proved against the appellant for not calling the
                                                                      F
meeting of Council, did not warrant the order of removal and
the explanation furnished by appellant could have been
accepted. Other charges could not be proved against the
appellant, in view of the fact, that the tenders at a higher rate
were accepted by the Council itself and the appellant could not       G
be held exclusively responsible for it. The Respondent no. 5,
being a political rival, could not have been entertained as a
party to the lis. The charge of not calling the meeting of the
Council had been admitted by the appellant himself, thus, no
further evidence was required, for the reason, that the               H
    824'    SUPREME COURT REPORTS                 [2012] 3 S.C.R.

A admission is the best evidence. The competent authority could
  have considered his exf}lanation alone and proceeded to take
  a final decision. So far as the other charges are concerned,
  as has been observed hereinabove, it had been a consensus
  collective decision of the Council to accept the tender at higher
B rate and the appellant could not have been held guilty of the
  said charges. Thus, the instant case has been a crystal clear
  cut case of legal malice and therefore, the impugned orders
  are liable to be quashed. The duly elected member/chairman
  of the council could rtot have been removed in such a casual
C and cavalier manner without giving strict adherence to the
  safeguards provided under the statute which had to be
  scrupulously followed.

       49. The appellant has raised a question of fact before the
  High Court as well as before this Court submitting that at the
D time of hearing before the Hon'ble Chief Minister, respondent
  No.5 has raised new grounds and the appellant raised serious
  objections as he had no opportunity to meet the same. Thus,
  in order to give the appellant an opportunity to rebut the same
  the competent authority had adjourned the case and directed
E the Secretary to fix a date so that the appellant may meet those
  new objections/grounds. However, the order impugned
  removing the appellant from the post and declaring him further
  disqualified for a period of six years had been passed. It is not
  evident from the order impugned as what could be those new
F grounds which had not been disclosed to the appellant. Thus,
  to ascertain as to whether in order to give an opportunity to the
  appellant to meet the alleged new grounds, the competent
  authority had adjourned the case, this Court while reserving the
  judgment vide order dated 13.2.2012 asked the learned
G Standing Counsel for the State Shri Mike Prakash Desai to
  produce the original record before this Court within a period
  of two weeks. For the reasons best known to the State
  Authorities neither the record has been produced before us, nor
  any application has been filed to extend the time to produce
H the same.
 RAVI YASHWANT BHOIR v. DISTRICT COLLECTOR, 825
    RAIGAD AND ORS. [DR. B.S. CHAUHAN, J.]
     In fact, this Court has been deprived of seeing the original   A
record and to examine the grievance of the appellant. We
express our grave concern and shock the way the State
Authorities has treated the highest court of the land. In such a
fact-situation, the court has no option except to draw the
adverse inference against the State.                                B

     50. In view of the above, the appeal succeeds and is
allowed. The judgment and order of the High Court dated
18.6.2009 as well as the order passed by the Hon'ble Chief
Minister dated 21.3.2009 are hereby set aside.
                                                                    c
     This Court while entertaining the petition had granted
interim protection to the appellant vide order dated 17.7.2009,
which was extended till further orders vide order dated
13.8.2009 and, thus, the orders impugned remained
inoperative. Thus, it will be deemed as no order had ever been      D
passed against the appellant.

    In the facts and circumstances of the case, there will be
no order as to costs.

     A copy of the order be sent directly to the Chief Secretary,   E
State of Maharashtra, Bombay, who may conduct an enquiry
and send his personal affidavit as under what circumstances
the State Authorities could decide not to ensure compliance of
the order of this Court dated 13.2.2012, within a period of four
week from the date of receipt of this order, to the Registrar       F
General of this Court who may place it alongwith the file before
the Bench.

D.G.                                           Appeal allowed.


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