{"id":124451,"date":"2008-11-05T00:00:00","date_gmt":"2008-11-04T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/habri-cooperative-credit-and-vs-the-presiding-officer-on-5-november-2008"},"modified":"2015-07-31T18:10:48","modified_gmt":"2015-07-31T12:40:48","slug":"habri-cooperative-credit-and-vs-the-presiding-officer-on-5-november-2008","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/habri-cooperative-credit-and-vs-the-presiding-officer-on-5-november-2008","title":{"rendered":"Habri Cooperative Credit And … vs The Presiding Officer on 5 November, 2008"},"content":{"rendered":"
Punjab-Haryana High Court<\/div>\n
Habri Cooperative Credit And … vs The Presiding Officer on 5 November, 2008<\/div>\n
C.W.P. No.9477 of 1987                                -1-\n\n\n      IN THE HIGH COURT OF PUNJAB AND HARYANA\n                   AT CHANDIGARH\n\n                        ****\n                                      C.W.P. No.9477 of 1987\n                                     Date of Decision:05.11.2008\n\n\nHabri Cooperative Credit and Service Society Limited,\nHabri, Tehsil Kaithal, District Kurukshetra\n                                                   .....Petitioner\n           Vs.\n\nThe Presiding Officer, Labour Court, Ambala and another\n                                                  .....Respondents\n\n\nCORAM:- HON'BLE MR. JUSTICE HARBANS LAL\n\nPresent:-   Mr. Rakesh Gupta and Mr. C.B. Goel, Advocates\n            for the petitioner.\n\n            Mr. R.S. Chahar, Advocate for respondent No.2.\n                        ****\nJUDGMENT\n<\/pre>\n
HARBANS LAL, J.\n<\/p>\n
            This petition has been moved by Habri Cooperative Credit and<\/p>\n
Service Limited, Habri under Articles 226\/227 of the Constitution of India<\/p>\n
for quashing the impugned award Annexure P.2 dated 2.5.1987.<\/p>\n
            The brief facts giving rise to this petition are that prior to<\/p>\n
coming into force of the Common Cadre Rules, 1975, the respective<\/p>\n
Societies used to employ its staff. Under these Rules, all the Secretaries<\/p>\n
working in the Primary or Central Cooperative Societies were screened and<\/p>\n
selected by the Appointing Authority.        Balwant Singh- respondent<\/p>\n
(hereinafter to be referred as `the workman’) was not selected by the<\/p>\n
authority. Consequently, he was no more in service of the petitioner-<\/p>\n
Society.    He had relinquished the charge on 1.9.1976.         After the
\n C.W.P. No.9477 of 1987                                    -2-<\/span><\/p>\n
enforcement of these Rules, the Primary Cooperative Society ceased to have<\/p>\n
any control over the appointment or removal of the Secretaries of the<\/p>\n
Society.   Thus, the workman was not the employee of the petitioner-<\/p>\n
Society. He was not brought on the Common Cadre Rules referred to above.<\/p>\n
He did not ask for any reference to the arbitration as contemplated by<\/p>\n
Sections 55 and 56 of the Punjab Cooperative Societies Act, 1961, nor<\/p>\n
Section 102 of the Haryana Cooperative Societies Act, 1984. He remained<\/p>\n
at home after 1.9.1976 when he gave the charge of his post. He preferred a<\/p>\n
reference under the Industrial Disputes Act, 1947 (for short, `the Act’) and<\/p>\n
served a demand notice under Section 2-A of the Act on 2.7.1984. State<\/p>\n
Government did not refer the same for adjudication on the ground that he<\/p>\n
was not the employee of the said Bank. The petitioner- Society is a primary<\/p>\n
Society and is a member of the Kurukshetra Central Cooperative Bank<\/p>\n
Limited, Kurukshetra. Since the dispute was not referred for adjudication<\/p>\n
against the Kurukshetra Central Cooperative Bank Limited, no reference<\/p>\n
could be preferred against the petitioner- Society, who was not the employer<\/p>\n
of the workman. However, the demand notice was referred to the Presiding<\/p>\n
Officer, Labour Court, Ambala. Since the workman was not the employee<\/p>\n
of the petitioner- Society, so the later did not prefer to contest the dispute.<\/p>\n
Consequently, the Labour Court passed an award dated 2.5.1987 ex parte<\/p>\n
Annexure P.2. The very demand of the workman and the decision of the<\/p>\n
Government referring the same to the Labour Court for adjudication of the<\/p>\n
dispute between the workman and the petitioner- Society is wholly illegal<\/p>\n
and without jurisdiction, as there existed no relationship of master and<\/p>\n
servant between them. Moreover, there was no order of termination of<\/p>\n
service of the workman- Balwant Singh. The impugned award Annexure
\n C.W.P. No.9477 of 1987                                   -3-<\/span><\/p>\n
P.2 is patently illegal and without jurisdiction on the grounds as embodied<\/p>\n
in this petition. In his written statement, the respondent- workman has<\/p>\n
averred that he was possessing all the pre-requisite qualifications as<\/p>\n
envisaged under Rule 9.6 of the Common Cadre Rules, which came into<\/p>\n
force on 3.3.1975, whereas the answering respondent remained in the<\/p>\n
employment of the petitioner- Society till 1.9.1976.       His services were<\/p>\n
dispensed with without any reason or notice as contemplated under the Act.<\/p>\n
He had served the petitioner- Society since 1971 to 1.9.1976 and had never<\/p>\n
been an employee of the Central Bank under the Common Cadre Rules. The<\/p>\n
demand notice was served upon the petitioner- Society.            The reference<\/p>\n
against the Kurukshetra Central Cooperative Bank was declined by the State<\/p>\n
Government vide memo on the sole ground that the answering respondent<\/p>\n
was not an employee of the Bank and that is why the dispute was referred.<\/p>\n
Lastly, it has been prayed that this petition may be dismissed.<\/p>\n
            After hearing the representative of the workman, the learned<\/p>\n
Presiding Officer, Labour Court, Ambala passed the impugned award by<\/p>\n
observing as under:-\n<\/p>\n
            “The matter is already subjudice with the Court without<\/p>\n
            awaiting the result of the criminal case services of Shri Balwant<\/p>\n
            Singh have been terminated in violation of Section 25(F). So, I<\/p>\n
            think that the termination order passed by the respondent<\/p>\n
            regarding services of workman is at this stage unjust and illegal<\/p>\n
            during the pendency of Criminal Case against the workman and<\/p>\n
            other person. So, termination of the workman is set aside with<\/p>\n
            the relief of reinstatement with continuity in service and with<\/p>\n
            full back wages, I pass an ex-parte award regarding the dispute
\n C.W.P. No.9477 of 1987                                  -4-<\/span><\/p>\n
            in hand between the parties accordingly. This Award of mine<\/p>\n
            regarding the present Industrial dispute shall not have any<\/p>\n
            effect on the Criminal Case pending in the Court of S.D.J.M.<\/p>\n
            Kaithal. Neither this Award shall in any respect influence the<\/p>\n
            mind of the Criminal Court while delivering judgment in<\/p>\n
            Criminal Case.”<\/p><\/blockquote>\n
            Feeling aggrieved with this award, the petitioner has filed this<\/p>\n
petition.\n<\/p>\n
            I have heard the learned counsel for the parties, besides<\/p>\n
perusing the findings returned by the learned Presiding Officer, Labour<\/p>\n
Court with due care and circumspection.\n<\/p>\n
            Mr. Rakesh Gupta, Advocate appearing on behalf of the<\/p>\n
petitioner urged with great eloquence that the services of the workman were<\/p>\n
terminated in October, 1976 whereas he asked for a reference on 29.6.1985<\/p>\n
which is obviously after about nine years. He could not ask for any relief at<\/p>\n
such a belated stage. The learned Labour Court has gravely erred in not<\/p>\n
taking into consideration this long delay of nine years. To buttress this<\/p>\n
stance, he has sought to place abundant reliance upon the observations made<\/p>\n
in re: Haryana State Cooperative Land Development Bank vs. Neelam,<\/a><\/p>\n
2005(2) Recent Services Judgments 438, in which the respondent-<\/p>\n
workman had approached the Labour Court after more than seven years.<\/p>\n
The Labour Court held that the claim was made at a belated stage and<\/p>\n
answered the award against the respondent- workman. The award was set<\/p>\n
aside by the High Court and ordered reinstatement of the respondent. The<\/p>\n
Apex Court held that the conduct of the respondent in approaching the<\/p>\n
Labour Court after more than seven years had rightly been considered
\n C.W.P. No.9477 of 1987                                    -5-<\/span><\/p>\n
relevant for refusing relief to her. It was not a fit case where the High Court<\/p>\n
should have interfered with the discretionary jurisdiction exercised by the<\/p>\n
Labour Court.\n<\/p>\n
            To tide over these submissions, Mr. R.S. Chahar, Advocate<\/p>\n
representing the respondent argued that the petitioner did not have the<\/p>\n
courage to contest this matter before the Presiding Officer of the Labour<\/p>\n
Court. In the impugned award, it has been mentioned that respondent-<\/p>\n
Management was served, but in-spite of service, it did not appear. The<\/p>\n
respondent- Management was proceeded ex parte. It clearly indicates that<\/p>\n
the Management was quite disinterested to pursue the matter before the<\/p>\n
Labour Court. That being so, now it does not lie in its mouth to contend<\/p>\n
that the demand was raised by the workman at a belated stage. He further<\/p>\n
puts that a glance through the observations made by the Labour Court<\/p>\n
would reveal that the same call for no interference. At this juncture, it is<\/p>\n
pointed out by the learned counsel for the petitioner that the workman has<\/p>\n
superannuated. This fact has not been denied by the adversary. The learned<\/p>\n
Presiding Officer, Labour Court has observed that while removing the<\/p>\n
workman from service, no notice, no retrenchment compensation was paid.<\/p>\n
The Assistant Registrar Cooperative Societies conducted inquiry against<\/p>\n
him and copy of the inquiry report is Ex.A.2.          Thereafter, arbitration<\/p>\n
proceedings were carried out against him. The award of arbitration is<\/p>\n
Ex.A.3. A police case was registered against him in which four, five other<\/p>\n
persons have also been summoned by the Court and copy of the order of the<\/p>\n
Court is Ex.A.4. He served demand notice upon the Bank and, thereafter,<\/p>\n
his case was referred to the Labour Court. The Cooperative Society issued a<\/p>\n
`no dues certificate’ to him and copy of the same is Ex.A.5. One more `no
\n C.W.P. No.9477 of 1987                                  -6-<\/span><\/p>\n
due certificate’ was issued to him and copy of the same is Ex.A.6. A glance<\/p>\n
through the findings returned by the learned Labour Court would reveal that<\/p>\n
no interference is warranted therein. The workman cannot be reinstated as<\/p>\n
he has already superannuated. The petitioner- Company has not assigned<\/p>\n
any cogent reason for not contesting the matter before the Labour Court. If<\/p>\n
there was delay in serving the demand notice by the workman, in that, the<\/p>\n
petitioner- Company should have come forward and raised an objection in<\/p>\n
this behalf before the Labour Court. The facts of Neelam’s case (supra) are<\/p>\n
distinguishable from the one in hand. That being so, the contention raised<\/p>\n
on behalf of the petitioner’s Company is turned down.<\/p>\n
            Coming to the back-wages, in re: General Manager, Haryana<\/p>\n
Roadways vs. Rudhan Singh,<\/a> 2005(5) SCC 591, it has been held as under:<\/p>\n
            “There is no rule of thumb that in every case where the<\/p>\n
            Industrial Tribunal gives a finding that the termination of<\/p>\n
            service was in violation of Section 25-F of the Act, entire back<\/p>\n
            wages should be awarded. A host of factors like the manner<\/p>\n
            and method of selection and appointment i.e. whether after<\/p>\n
            proper advertisement of the vacancy or inviting applications<\/p>\n
            from the employment exchange, nature of appointment,<\/p>\n
            namely, whether ad hoc, short term, daily wages, temporary or<\/p>\n
            permanent in character, any special qualification required for<\/p>\n
            the job and the like should be weighed and balanced in taking a<\/p>\n
            decision regarding award of back wages. One of the important<\/p>\n
            factors, which has to be taken into consideration, is the length<\/p>\n
            of service, which the workman had rendered with the employer.<\/p>\n
            If the workman has rendered a considerable period of service
\n C.W.P. No.9477 of 1987                                   -7-<\/span><\/p>\n
            and his services are wrongfully terminated, he may be awarded<\/p>\n
            full or partial back wages keeping in view the fact that at his<\/p>\n
            age and the qualification possessed by him he may not be in a<\/p>\n
            position to get another employment. However, where the total<\/p>\n
            length of service rendered by a workman is very small, the<\/p>\n
            award of back wage for the complete period i.e. from the date<\/p>\n
            of termination till the date of the award, which our experience<\/p>\n
            shows is often quite large, would be wholly inappropriate.<\/p>\n
            Another important factor, which requires to be taken into<\/p>\n
            consideration is the nature of employment. A regular service of<\/p>\n
            permanent character cannot be compared to short or<\/p>\n
            intermittent daily-wage employment though it may be for 240<\/p>\n
            days in a calendar year.”<\/p><\/blockquote>\n
            Again in Allahabad Jal Sansthan vs. Daya Shankar Rai,<\/a> 2005<\/p>\n
(5) SCC 124, after considering the relevant cases on the point, their<\/p>\n
Lordships were pleased to observe in the following terms:<\/p>\n
            “We have referred to certain decisions of this Court to<\/p>\n
            highlight that earlier in the event of an order of dismissal being<\/p>\n
            set aside, reinstatement with full back wages was the usual<\/p>\n
            result. But now with the passage of time, it has come to be<\/p>\n
            realized that industry is being compelled to pay the workman<\/p>\n
            for a period during which he apparently contributed little or<\/p>\n
            nothing at all, for a period that was spent unproductively, while<\/p>\n
            the workman is being compelled to go back to a situation<\/p>\n
            which prevailed many years ago when he was dismissed. It is<\/p>\n
            necessary for us to develop a pragmatic approach to problems
\n C.W.P. No.9477 of 1987                                  -8-<\/span><\/p>\n
            dogging industrial relations. However, no just solution can be<\/p>\n
            offered but the golden mean may be arrived at.”<\/p><\/blockquote>\n
            In re: U.P.S.R.T.C. Ltd. vs. Sarada Prasad Misra, JT<\/a> 2006(5)<\/p>\n
SC 114, it was observed as under:\n<\/p>\n
            “From the above cases, it is clear that no precise formula can be<\/p>\n
            adopted nor `cast iron rule’ can be laid down as to when<\/p>\n
            payment of full back wages should be allowed by the Court or<\/p>\n
            Tribunal. It depends upon the facts and circumstances of each<\/p>\n
            case. The approach of the Court\/ Tribunal should not be rigid<\/p>\n
            or mechanical but flexible and realistic. The Court or Tribunal<\/p>\n
            dealing with cases of industrial disputes may find force in the<\/p>\n
            contention of the employee as to illegal termination of his<\/p>\n
            services and may come to the conclusion that the action has<\/p>\n
            been taken otherwise than in accordance with law. In such<\/p>\n
            cases   obviously,   the   workman     would      be   entitled   to<\/p>\n
            reinstatement but the question regarding payment of back<\/p>\n
            wages would be independent of the first question as to<\/p>\n
            entitlement of reinstatement in service. While considering and<\/p>\n
            determining the second question, the Court or Tribunal would<\/p>\n
            consider all relevant circumstances referred to above and<\/p>\n
            keeping in view the principles of justice, equity and good<\/p>\n
            conscience, should pass an appropriate order.”<\/p><\/blockquote>\n
            Thus, entitlement of a workman to get reinstatement does not<\/p>\n
necessarily result in payment of back wages which would be independent of<\/p>\n
reinstatement.   While dealing with the prayer of back wages, factual<\/p>\n
scenario and the principles of justice, equity and good conscience have to be
\n C.W.P. No.9477 of 1987                                    -9-<\/span><\/p>\n
kept in view by an appropriate Court\/ Tribunal.\n<\/p>\n
            Adverting to the case in hand, the workman has undergone<\/p>\n
litigation for over 20 years. The interest of justice would be met, if a sum of<\/p>\n
Rs.2.75 lacs is directed to be paid to him by way of compensation. The<\/p>\n
payment shall be made within 12 weeks from today, failing which it shall<\/p>\n
carry interest at the rate of 9% per month from today till the date of actual<\/p>\n
payment. Accordingly, the award is modified.\n<\/p>\n
            Disposed of accordingly.\n<\/p>\n<\/p>\n
November 05, 2008                                  ( HARBANS LAL )\nrenu                                                    JUDGE\n\nWhether to be referred to the Reporter? Yes.\n <\/pre>\n","protected":false},"excerpt":{"rendered":"
Punjab-Haryana High Court Habri Cooperative Credit And … vs The Presiding Officer on 5 November, 2008 C.W.P. No.9477 of 1987 -1- IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH **** C.W.P. No.9477 of 1987 Date of Decision:05.11.2008 Habri Cooperative Credit and Service Society Limited, Habri, Tehsil Kaithal, District Kurukshetra …..Petitioner Vs. The Presiding […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,28],"tags":[],"class_list":["post-124451","post","type-post","status-publish","format-standard","hentry","category-high-court","category-punjab-haryana-high-court"],"yoast_head":"\nHabri Cooperative Credit And ... vs The Presiding Officer on 5 November, 2008 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/habri-cooperative-credit-and-vs-the-presiding-officer-on-5-november-2008\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Habri Cooperative Credit And ... vs The Presiding Officer on 5 November, 2008 - 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