Full Judgment Text
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CASE NO.:
Appeal (civil) 3092 of 2002
Appeal (civil) 3123 of 2002
Appeal (civil) 3214 of 2002
PETITIONER:
Cellular Operators Association of India & Ors.
RESPONDENT:
Union of India & Ors.
DATE OF JUDGMENT: 17/12/2002
BENCH:
S.B. Sinha.
JUDGMENT:
J U D G M E N T
S.B. SINHA, J:
I agree with the conclusions of the judgment prepared by My Lord, the Chief
Justice of India that the matter should be remitted back to the tribunal but I would
like to assign additional reasons therefor.
The basic fact on the matter has been noticed by My Lord, the Chief Justice
of India.
I may, however, point out that the learned counsels appearing on behalf of the
parties have raised a large number of contentions.
They not only filed written submissions before this Court, our attention has
also been drawn to the written submissions filed before the learned TDSAT. The
questions raised are numerous and varied. The learned counsels have also taken us
through a large number of documents. A large number of charts have been filed
before us for one purpose or the other. The parties had also relied upon the opinion
of experts on technical matters. The learned counsels have also referred to a large
number of authorities.
If we were to determine the questions raised before us ourselves, we would
have noted the submissions of the learned counsels in great details but having regard
to the order proposed to be passed, we do not intend to do so, as the submissions
would be raised before the learned TDSAT again and it would be taken through the
documents to which our attention has been drawn by the learned counsel.
Suffice it to point out that before the learned TDSAT admittedly the matter
was heard for 26 days. In this Court also the matter was heard for four days.
It arrived at certain findings without application of its mind on various vital
issues including the issue of its jurisdiction.
Its findings inter alia are: -
(i) That WLL with limited mobility offers benefits to consumers in rural
and urban area.
(ii) WLL with limited mobility would provide uninterrupted trouble free
service because the subscriber does not have to wait endlessly for a
mechanic to come and rectify the fault in the wire line.
(iii) A subscriber having WLL with limited mobility can dispense with the
wireline phone.
(iv) The petitioners cannot assail a policy decision taken by the Government.
(v) The Jurisdiction of the Tribunal is not wider than that of the Supreme
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Court.
(vi) Government has a right to change its policy and the argument that a
departure from well established policy can be quashed is of no
substance.
(vii) By letter dated 25.9.2000, the Cellular Operators stated that they had
no objection to introduction of limited mobility provided level playing
field conditions were maintained.
(viii) This is not a case of mindless change of policy in a hurry nor is the
decision arbitrary or mala fide in any way.
(ix) Government is entitled to deviate from a policy decision and adopt
another policy, and this cannot be reviewed.
(x) In the instant case, a new technology has come.
xi) CDMA is far superior to GSM.
(xii) CDMA network costs less to build and operate than GSM.
(xiii) We must make clear that from the chart produced before us, we find
that the charges consumers will have to pay for WLL with limited
mobility will be very much less than the charges currently levied by
the Cell Operators.
(xiv) Petitioners themselves were allowed to migrate. After signing the
migration package, the Cellular Operators cannot be heard to
complain about unexpected new competition.
(xv) The fear expressed by the petitioners is either feigned or imaginary.
(xvi) Advance of technology must be allowed to go ahead without any
check or hindrance.
(xvii) Technological advances have also to some extent blurred the
distinction between Fixed and Wireless Telecom Wireless technology
(xviii) The petitioners can use latest technology including WLL with
mobility as well as the Respondents.
(xix) The Government offered them (petitioners) more than enough
concessions through reduction in licence fees and entry into areas
hitherto unavailable to them, e.g., P.C.O.
(xx) This is a policy decision well within the domain of the Government.
(xxi) Government decided to allow use of spectrum on first come first serve
basis without any rhyme of reason. This is a strange argument
coming from the Petitioners. The Petitioners themselves have not
been charged anything special for use of spectrum. The CMSPs and
FSPs have been treated equally and no special favour was shown to
the FSPs in this regard.
(xxii) It has been argued by Mr. Vaidyanathan that this is inbuilt in the fee
that they have to pay. But there is no evidence for this.
(xxiii) There cannot be any legitimate expectationthat will be an
illegitimate expectation.
Each one of the aforementioned findings have been assailed as perverse.
We, however, need not go into the aforementioned question in view of the
order proposed to be passed by us in our opinion the learned Tribunal failed to assign
sufficient or cogent reasons in support of its findings. In relation to some issues, no
reason has been assigned. Some issues although noticed have not been adverted to.
Some issues have even not been noticed. The impugned order of the TDSAT,
therefore, does not fulfil the criteria of a judgment.
A judgment of a court or a Tribunal should contain concise statement of case,
points of decisions, the reasons for such decisions and decisions thereupon.
In Balraj Taneja and Anr. v. Sunil Madan and Anr. [(1999) 8 SCC 396] it has
been held :
"Judgment" as defined in Section 2(9) of the Code of Civil
Procedure means the statement given by the Judge of the
grounds for a decree or order. What a judgment should
contain is indicated in Order 20 Rule 4(2) which says that
a judgment "shall contain a concise statement of the case,
the points for determination, the decision thereon, and the
reasons for such decision." It should be a self-contained
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document from which it should appear as to what were the
facts of the case and what was the controversy which was
tried to be settled by the court and in what manner. The
process of reasoning by which the court came to the
ultimate conclusion and decreed the suit should be
reflected clearly in the judgment."
In Union of India and Ors. v. Manager, M/s Jain and Associates [(2001) 3
SCC 277], this Court held as follows :
"The result is before pronouncing judgment, the
court has to apply its mind to arrive at the conclusion
whether there is any cause to modify or remit the
award. Further the phrase "pronounce judgment"
would itself indicate judicial determination by
reasoned order for arriving at the conclusion that
decree in terms of award be passed. One of the
meanings given to the word "judgment" in Webster’s
Comprehensive Dictionary [International Edn., Vol. I
(1984)] reads thus : "the result of judging; the
decision or conclusion reached, as after consideration
or deliberation". Further, Order 20 Rule 4(2) CPC in
terms provides that "judgment" shall contain a
concise statement of case, the points for
determination, the decision thereon, and the reasons
for such decision. This is antithesis to pronouncement
of non-speaking order."
It did not follow the said guidelines. Even as an appellate authority the
TDSAT was required to comply with the principles of or analogous to the provisions
of Order 41 Rule 33 of the Code of Civil Procedure. See Rattan Dev v. Pasam Devi
[(2002) 7 SCC 441] and B.S. Sharma v. State of Haryana and Anr. [(2001) 1 SCC
434].
As regards the issue of jurisdiction, it posed a wrong question and gave a
wrong answer.
TDSAT was required to exercise its jurisdiction in terms of Section 14A of
the Act. TDSAT itself is an expert body and its jurisdiction is wide having regard to
sub-section (7) of Section 14A thereof. Its jurisdiction extends to examining the
legality, propriety or correctness of a direction/order or decision of the authority in
terms of sub-section (2) of Section 14 as also the dispute made in an application
under sub-section (1) thereof. The approach of the learned TDSAT, being on the
premise that its jurisdiction is limited or akin to the power of judicial review is,
therefore, wholly unsustainable. The extent of jurisdiction of a court or a Tribunal
depends upon the relevant statute. TDSAT is a creature of a statute. Its jurisdiction
is also conferred by a statute. The purpose of creation of TDSAT has expressly been
stated by the Parliament in the Amending Act of 2000. TDSAT, thus, failed to take
into consideration the amplitude of its jurisdiction and thus misdirected itself in law.
The learned Attorney General has relied upon a decision of this Court in
Union of India v. Parma Nanda [(1989) 2 SCC 177], but the said decision has no
application at all to the fact of the matter.
If a jurisdictional question or the extent thereof is disputed before a tribunal,
the tribunal must necessarily decide it unless the statute provides otherwise. (See
Judicial review of Administrative Law by H.W.R. Wade & C.F. Forsyth, page No.
260). Only when question of law or mixed question of fact and law are decided by a
tribunal, the High Court or the Supreme Court can exercise its power of judicial
review.
In the aforementioned treatise it has been noticed :
"Jurisdiction over fact and law: summary
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At the end of a chapter which is top-heavy with obsolescent material it may be useful
to summarise the position as shortly as possible. The overall picture is of an
expanding system struggling to free itself from the trammels of classical doctrines
laid down in the past. It is not safe to say that the classical doctrines are wholly
obsolete and that the broad and simple principles of review, which clearly now
commend themselves to the judiciary, will entirely supplant them. A summary can
therefore only state the long-established rules together with the simpler and broader
rules which have now superseded them, much for the benefit of the law. Together
they are as follows.
Errors of fact
Old rule: The court would quash only if the erroneous fact was jurisdictional.
New rule: The court will quash if an erroneous and decisive fact was
(a) jurisdictional;
(b) found on the basis of no evidence; or
(c) wrong, misunderstood or ignored.
Errors of law
Old rule: The court would quash only if the error was
(a) jurisidictional; or
(b) on the face of the record.
New rule: The court will quash for any decisive error, because all errors of law
are now jurisdictional."
The rule as regard deference to expert bodies applies only in respect of a
reviewing court and not to an expert tribunal. It may not be the function of a court
exercising power of judicial review to act as a super-model as has been stated in
Administrative Law by Bernard Schwartz, 3rd edition in para 10.1 at page 625; but
the same would not be a case where an expert tribunal has been constituted only with
a view to determine the correctness of an order passed by another expert body. The
remedy under Section 14 of the Act is not a supervisory one. TDSAT’s jurisdiction
is not akin to a court issuing a writ of certiorari. The tribunal although is not a court,
it has all the trappings of a Court. Its functions are judicial.
In ’Jurisdiction and Illegality’ by Amnon Rubinstein a judicial power in
contrast to the reviewing power is stated thus:
"A judicial power, on the other hand, denotes a process in
which ascertainable legal rules are applied and which,
therefore, is subject to an objectively correct solution. But
that, as will be seen, does not mean that the repository of
such a power is under an enforceable duty to arrive at that
solution. The legal rules applied are capable of various
interpretations and the repository of power, using his own
reasoning faculties, may deviate from that solution which
the law regards as the objectively correct one."
The regulatory bodies exercise wide jurisdiction. They lay down the law.
They may prosecute. They may punish. Intrinsically, they act like an internal audit.
They may fix the price, they may fix the area of operation and so on and so forth.
While doing so, they may, as in the present case, interfere with the existing rights of
the licensees.
Statutory recommendations made by it are normally accepted by the Central
Government, as a result of which the rights and obligations of the parties may
seriously be affected. It was in the aforementioned premise the Parliament thought
of creating an independent expert tribunal which, if an occasion arises therefor, may
interfere with the finding of fact, finding of law or a mixed question of law and fact
of the Authority. Succinctly stated the jurisdiction of the tribunal is not
circumscribed in any manner whatsoever.
This Court in Parma Nanda (supra) was considering the jurisdiction of the
Administrative Tribunal constituted under the Administrative Tribunals Act, 1985.
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Having regard to the provisions of the said Act, it was held that the jurisdiction of the
Tribunal is that of the Civil Court or of the High Court under Articles 226/227 of the
Constitution of India. The question which arose for consideration in that case was as
to whether the Civil Court or the High Court in a suit or a writ petition can interfere
with the quantum of punishment imposed upon an employee by his employer.
The said decision has no application in the instant case. Apart from the fact
that even in relation to invocation of the doctrine of proportionality this Court has
categorically held that court’s jurisdiction in this regard although is limited but in a
given situation it can exercise its jurisdiction either by remitting the matter back to
the Disciplinary Authority or impose a lesser punishment, when the order of
punishment is found to be unreasonable attracting Article 14 of the Constitution of
India or when the quantum of punishment is so disproportionate that the same is
shocking to judicial conscience. See Om Kumar and Ors. V. Union of India [(2001)
2 SCC 386].
There cannot be any doubt whatsoever that when jurisdiction upon a court or
a Tribunal is conferred by a statute, the same has to be construed in terms thereof and
not otherwise. The power of judicial review of this Court as also the High Court,
however, stand on a different footing. The power of this Court as also the High
Court although is of wide amplitude, certain restrictions by way of self-discipline
are imposed. Ordinarily the power of judicial review can be exercised only when
illegality, irrationality or impropriety is found in decision making process of the
authority.
Similarly, the Civil Court’s jurisdiction in service matters is circumscribed by
the provisions of the Special Relief Act, 1963.
However, the jurisdiction of the Industrial Tribunal or the Labour Court in a
similar situation having regard to the provision of Section 11A of the Industrial
Disputes Act, 1947 is much wider and akin to the appellate power. Similarly,
exercise of jurisdiction by the same court in an appeal vis--vis a revision would be
different. Its approach as an appellate authority or a revisional authority even if
arising out the same order would be different.
Even in West Bengal Electricity Regulatory Commission v. C.E.S.C. Ltd.
[2002 (7) SCALE 217] whereupon the learned Attorney General has placed reliance,
this Court specifically stated :
"We notice that the Commission constituted under
s.17 of the 1998 Act is an expert body and the
determination of tariff which has to be made by the
Commission involves a very highly technical
procedure, requiring working knowledge of law,
engineering, finance, commerce, economics and
management. A perusal of the report of the ASCI
as well as that of the Commission abundantly
proves this fact. Therefore, we think it would be
more appropriate and effective if a statutory appeal
is provided to a similar expert body, so that the
various questions which are factual and technical
that arise in such an appeal, get appropriate
consideration in the first stage also. From s.4 of the
1998 Act, we notice that the Central Electricity
Regulatory Commission which has a judicial
member as also a number of other members having
varied qualifications, is better equipped to
appreciate the technical and factual questions
involved in the appeals arising from the orders of
the Commission. Without meaning any disrespect
to the judges of the High Court, we think neither the
High Court nor the Supreme Court would in reality
be appropriate appellate forums in dealing with this
type of factual and technical matters. Therefore, we
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recommend that the appellate power against an
order of the state commission under the 1998 Act
should be conferred either on the Central Electricity
Regulatory Commission or on a similar body. We
notice that under the Telecom Regulatory Authority
of India Act 1997 in chapter IV, a similar provision
is made for an appeal to a special appellate tribunal
and thereafter a further appeal to the Supreme Court
on questions of law only. We think a similar
appellate provisions may be considered to make the
relief of appeal more effective."
It may, however, be noticed that in relation to transmission and distribution
losses, although this Court was exercising the same power as that of the High Court,
it allowed a claim of transmission and distribution losses to the extent of 19% i.e.
2.2% more that what was allowed by the Commission for the year 2000-01 and 18%
for the year 2001-02.
Sub-section (7) of Section 14A confers a wide jurisdiction upon the Tribunal.
The Tribunal being an expert body is entitled to exercise its appellate jurisdiction
both on fact as also in law over a decision of order/decision/direction of the
Authority. Its power to examine the correctness, legality or propriety of the order
passed by the Authority as also in relation to the dispute must be held to be a wide
one.
The learned TDSAT should have borne in mind that its decision on fact and
law is final and appeal lies to this Court in terms of Section 18 of the Act only on
substantial questions of law. It, therefore, was obliged to determine the questions of
law and facts so as to enable this Court to consider the matter if any substantial
question of law arises on the face of the judgment.
Furthermore, the question as to whether the procedural requirements have not
been fulfilled or not had not been gone into by the learned TDSAT.
In Permian Basin Area Rate Cases [390 US 747, 20 L Ed 2d 312], the U.S.
Supreme Court has laid down the parameters of judicial review. In relation to the
opinion of the committee, it was held that if the agency has before it representative
evidence, ample in quantity to measure with appropriate precision the financial and
other requirements of the pertinent parties. It was held :
"It follows that the responsibilities of a reviewing
court are essentially three. First, it must determine
whether the Commission’s order, viewed in light of
the relevant facts and of the Commission’s broad
regulatory duties, abused or exceeded its authority.
Second, the court must examine manner in which the
Commission has employed the methods of regulation
which it has itself selected, and must decide whether
each of the order’s essential elements is supported by
substantial evidence. Third, the court must determine
whether the order may reasonably be expected to
maintain financial integrity, attract necessary capital,
and fairly compensate investors for the risks they
have assumed, and yet provide appropriate protection
to the relevant public interests, both existing and
foreseeable. The court’s responsibility is not to
supplant the Commission’s balance of these interests
with one more nearly to its liking, but instead to
assure itself that the Commission has given reasoned
consideration to each of the pertinent factors. Judicial
review of the Commission’s orders will therefore
function accurately and efficaciously only if the
Commission indicates fully and carefully the
methods by which, and the purposes for which, it has
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chosen to act, as well as its assessment of the
consequences of its orders for the character and future
development of the industry. We are, in addition,
obliged at this juncture to give weight to the unusual
difficulties of this first area proceeding; we must,
however, emphasize that this weight must
significantly lessen as the Commission’s experience
with area regulation lengthens. We shall examine the
various issues presented by the rate structure in light
of these interrelated criteria."
Under sub-section (7) of Section 14A, the TDSAT is entitled to regulate its
own procedure. It has not formulated such procedure. It also did not follow the
procedure and in the absence of any procedure laid down therefore, the provisions of
the Code of Civil Procedure should be followed.
Even the scope of judicial review may also vary from case to case. It
depends upon the nature of the matter as also the statute involved therein which is
required to be dealt with by the Court.
In Universal Camera Corporation v. National Labor Relations Board [340 US
474], it is stated :
"We conclude, therefore, that the Administrative
Procedure Act and the Taft-Hartley Act direct that courts
must now assume more responsibility for the
reasonableness and fairness of Labor Board decisions than
some courts have shown in the past. Reviewing courts
must be influenced by a feeling that they are not to
abdicate the conventional judicial function. Congress has
imposed on them responsibility for assuring that the Board
keeps within reasonable grounds. That responsibility is
not less real because it is limited to enforcing the
requirement that evidence appear substantial when
viewed, on the record as a whole, by courts invested with
the authority and enjoying the prestige of the Courts of
Appeals. The Board’s findings are entitled to respect; but
they must nonetheless be set aside when the record before
a Court of Appeals clearly precludes the Board’s decision
from being justified by a fair estimate of the worth of the
testimony of witnesses or its informed judgment on
matters within its special competence or both."
It was observed:
"Our power to review the correctness of application of the
present standard ought seldom to be called into action.
Whether on the record as a whole there is substantial
evidence to support agency findings is a question which
Congress has placed in the keeping of the Courts of
Appeals. This Court will intervene only in what ought to
be the rare instance when the standard appears to have
been misapprehended or grossly misapplied."
Furthermore, the power of this Court under Section 18 of the Act cannot be
equated with the power of judicial review. As this Court will be concerned with a
substantial question of law arising in the case, its jurisdiction would not be restricted
to illegality, irrationality or procedural impropriety in the decision making process.
The learned TDSAT, therefore, has posed absolutely a wrong question and
thus its impugned decision suffers from a misdirection in law.
In Union of India v. Tarachand Gupta and Bros. [(1971) 1 SCC 486], the law
is stated as under :
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"The words "a decision or order passed by an Officer
of Customs under this Act" used in Section 188 of the Sea
Customs Act must mean a real and not a purported
determination. A determination, which takes into
consideration factors which the officer has no right to take
into account, is no determination. This is also the view
taken by courts in England. In such cases the provision
excluding jurisdiction of Civil Courts cannot operate so as
to exclude an inquiry by them. In Anisminic Ltd. v. The
Foreign Compensation Commissioner, Lord Reid at pages
213 and 214 of the Report stated as follows :
"It has sometimes been said that it is only where a
tribunal acts without jurisdiction that its decision is a
nullity. But in such cases the word "jurisdiction" has been
used in a very wide sense, and I have come to the
conclusion that it is better not to use the term except in the
narrow and original sense of the tribunal being entitled to
enter on the enquiry in question. But there are many cases
where, although the tribunal had jurisdiction to enter on
the enquiry, it has done or failed to do something in the
course of the enquiry which is of such a nature that its
decision is a nullity. It may have given its decision in bad
faith. It may have made a decision which it had no power
to make. It may have failed in the course of
the enquiry to comply with the requirements of natural
justice. It may in perfect goods faith have misconstrued
the provisions giving it power to act so that it failed to
deal with the question remitted to it and decided some
question which was not remitted to it. It may have
refused to take into account something which it was
required to take into account. Or it may have based its
decision on some matter which, under the provisions
setting it up, it had no right to take into account. I do not
intend this list to be exhaustive. But if it decides a
question remitted to it for decision without committing
any of these errors it is as much entitled to decide that
question wrongly as it is to decide it rightly."
To the same effect are also the observations of Lord Pearce
at page 233, R.V. Fulham, Hammersmith and Kensington
Rent Tribunal is yet another decision of a tribunal properly
embarking on an enquiry, that is, within its jurisdiction, but
at the end of its making an order in excess of its jurisdiction
which was held to be a nullity though it was an order of the
kind which it was entitled to make in a proper case.
The principle thus is that exclusion of the jurisdiction
of the Civil Courts is not to be readily inferred. Such
exclusion, however, is inferred where the statute gives
finality to the order of the tribunal on which it confers
jurisdiction and provides for adequate remedy to do what
the courts would normally do in such a proceeding before it.
Even where a statute gives finality, such a provision does
not exclude cases where the provisions of the particular
statute have not been complied with or the tribunal has not
acted in conformity with the fundamental principles of
judicial procedure. The word "jurisdiction" has both a
narrow and a wider meaning. In the sense of the former, it
means the authority to embark upon an enquiry; in the sense
of the latter it is used in several aspects, one of such aspects
being that the decision of the tribunal is in non-compliance
with the provisions of the Act. Accordingly, a
determination by a tribunal of a question other than the one
which the statute directs it to decide would be a decision not
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under the provisions of the Act, and, therefore, in excess of
its jurisdiction."
In Union of India and Anr. v. Paras Laminates (P) Ltd. [(1990) 4 SCC 453],
this Court held as follows :
"There is no doubt that the Tribunal functions as a court
within the limits of jurisdiction. It has all the powers
conferred expressly by the statute. Furthermore, being a
judicial body, it has all those incidental and ancillary
powers which are necessary to make fully effective the
express grant of statutory powers. Certain powers are
recognized as incidental and ancillary, not because they are
inherent in the Tribunal, nor because its jurisdiction is
plenary, but because it is the legislative intent that the
power which is expressly granted in the assigned field of
jurisdiction is efficaciously and meaningfully exercised.
The powers of the Tribunal are no doubt limited. Its area of
jurisdiction is clearly defined, but within the bounds of its
jurisdiction, it has all the powers expressly and impliedly
granted. The implied grant is, of course, limited by the
express grant and, therefore, it can only be such powers as
are truly incidental and ancillary for doing all such acts or
employing all such means as are reasonably necessary to
make the grant effective. As stated in Maxwell on
Interpretation of Statutes (11th edn.) "where an Act confers
a jurisdiction, it impliedly also grants the power of doing all
such acts, or employing such means, as are essentially
necessary to its execution"."
Furthermore, TDSAT failed to advert unto itself to the following issues :
(1) Non-compliance with Section 11(1)(a)(i) and (ii);
(2) Non-compliance with the fifth proviso by the authority in view of the
divergence of opinion between recommendation dated 8th January,
2001 and guidelines made by the Government of India on 25th
January, 2001;
(3) The issue of substitutability of cellular mobile service with WLL with
limited mobility within the area of SDCA like Delhi, Kolkata etc.
particularly in a case where the subscribers of cellular phone have not
chosen to opt for the roaming facility.
Having regard to the assertions made by the appellants herein that 85% of its
business is related to SDCA only and only 15% subscribers have roaming facility.
TDSAT ought to have addressed itself on the issue as to whether one service is a
substitute of the other or not.
TDSAT had also failed to give its findings on the following issues :
1) That WLL with limited mobility with the existing service is a new
service within the meaning of NTP-99;
2) Whether it is within the policy or outside the policy amounting to
a change in the policy;
3) Whether the conditions attached by the authority and its
recommendations dated 8th January, 2001 have been satisfied.
The Tribunal has opined that the technology may or may not be known as
early as in 1994-95 but it proceeded to decide the issues only from the angle of
consumers’ interest. Consumers’ interest is only one of the relevant factors. It by
itself cannot be decisive. Consumers’ interest is required to be taken into
consideration only when it is found that the actions of the Central Government as
also the recommendation of Authority were within their respective jurisdiction.
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TDSAT proceeded on the basis that the Central Government is entitled to
change its own policy decision without taking into consideration the fact that
according to the Central Government itself it was merely a ’fine tuning of the policy’
and not a change of policy.
The jurisdiction of the Central Government to effect change in the policy
decisions was also in question. If a National policy had been adopted by the Cabinet,
having regard to the provisions contained in Section 14 of the General Clauses Act,
although a change in the policy would be permissible, but the procedure laid down
therefore were required to be followed. This aspect of the matter has also not been
considered by the TDSAT.
In Union of India and Ors. V. Dinesh Engineering Corporation and Anr.
[(2001) 8 SCC 491], this Court even while exercising its power of judicial review
laid down the law thus :-
"There is no doubt that this Court has held in more than one
case that where the decision of the authority is in regard to
a policy matter, this Court will not ordinarily interfere
since these policy matters are taken based on expert
knowledge of the persons concerned and courts are
normally not equipped to question the correctness of a
policy decision. But then this does not mean that the courts
have to abdicate their right to scrutinize whether the policy
in question is formulated keeping in mind all the relevant
facts and the said policy can be held to be beyond the pale
of discrimination or unreasonableness, bearing in mind the
material on record."
In Home Secretary, U.T. of Chandigarh and Anr. v. Darshjit Singh Grewal
and Ors. [(1993) 4 SCC 25], this Court held as follows :
"It may be relevant to emphasise at this juncture that while
the rules and regulations referred to above are statutory, the
policy guidelines are relatable to the executive power of the
Chandigarh Administration. It is axiomatic that having
enunciated a policy of general application and having
communicated it to all concerned including the Chandigarh
Engineering College, the Administration is bound by it. It
can, of course, change the policy but until that is done, it is
bound to adhere to it."
Before TDSAT, the appellants argued that the decision of the Central
Government was arbitrary. The said question was also not answered.
As regards the level playing field, the TDSAT did not refer to a large number
of materials at all. It took a wrong decision that the appellants had conceded the
power of the Central Government in the matter of change of policy and furthermore
agreed thereto in the event, its offers are satisfied.
We may notice that most of the findings recorded by the TDSAT are not
supported by any cogent reason. It arrived at some findings without referring to any
material on records. As for example we may notice that it referred to a chart
purported to have been handed over by Dr. Singhvi but the contents of the chart had
not been disclosed. In any event, the materials on the basis whereof the chart was
prepared had not been disclosed at all.
It failed to notice that the requirement of increasing tele-density in rural areas
was not in question. What was questioned was that encroachment by the FSPs in the
area which is said to be within the exclusive privilege of the cellular operators
having regard to the provision of the NTP-99 and the terms and conditions of the
licences issued to them. It also failed to arrive at any finding as to whether the
concessions given to the appellants by the Central Government were asked for by
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them or not and/or whether only because they received such concessions, they were
estopped or precluded from raising the issues.
The learned TDSAT further failed to take into consideration the question as
to whether the terms of offer made to the appellants as regards for providing fixed
service were similar to those offered to the fixed service providers or not. It merely
held that the appellants can use latest technology including WLL with limited
mobility as also the respondents without taking into consideration the materials to
the effect that the letters of the respondents to the authorities of the Central
Government for giving the same facilities fell on deaf ears. Furthermore, the issue
relating to the grant of concessions to the appellants may be held to be redundant if
the purported decision of the Central Government/or the recommendations of the
authority were illegal and without jurisdiction.
We have enumerated some of the issues raised before us only with a view to
highlight that the TDSAT did not pose unto itself the correct question.
The impugned order, therefore, cannot be sustained and it is set aside
accordingly. The matter is remitted to TDSAT for consideration of the matter afresh
in accordance with law.
Before parting with the case, we may notice that the learned counsel
appearing on behalf of the respondents made strenuous attempts that this Court itself
may enter into merit of the matter. However, having regard to the materials on
record, we think that we should not do the same. This Court in State of West Bengal
and Ors. v. Nuruddin Mallick and Ors.[(1998) 8 SCC 143], observed as under :-
" Submission for the respondents was that this Court itself
should examine and decide the question in issue based on
the material on record to set at rest the long-standing
issue. We have no hesitation to decline such a
suggestion. The courts can either direct the statutory
authorities, where it is not exercising its discretion, by
mandamus to exercise its discretion, or when exercised, to
see whether it has been validly exercised. It would be
inappropriate for the Court to substitute itself for the
statutory authorities to decide the matter."
The principles enunciated in the aforementioned case would also apply
herein.