Full Judgment Text
IN THE SUPREME COURT OF INDIA
CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO.5508 OF 2003
Ms. G. Vallikumari … Appellants
Versus
Andhra Education Society and others … Respondents
JUDGMENT
G.S. Singhvi, J.
1. This appeal is directed against order dated 10.4.2002 passed by the
Division Bench of Delhi High Court whereby it allowed the writ petition
filed by respondent Nos.1 and 2 and declared Section 12 of the Delhi School
Education Act, 1973 (for short, `the Act’) ultra vires the provisions of the
Constitution and in so far applicability of the exclusion clause contained
therein is restricted to unaided minority institutions, that Section 8(2) of the
Act is not applicable to minority institutions and set aside the direction given
by Delhi School Tribunal (for short, `the Tribunal’) for reinstatement of the
appellant with all consequential benefits.
2. Respondent No.1 is a registered society formed with the primary
object of imparting education to the children belonging to Andhra
community living in Delhi. Respondent No.2 is a private linguistic minority
school established by respondent No.1 and is aided by the Government of
Delhi to the extent of 95%. The appellant was appointed as Upper Division
Clerk (UDC) by respondent Nos. 1 and 2 w.e.f. 25.1.1988. Her appointment
was approved by the Director of Education, Delhi (hereinafter referred to as
`the Director’). In January, 1992, the appellant was granted permission by
the management for doing Postgraduate Diploma in Human Resources
Development Programme. After some time, the appellant applied for study
leave for attending the training programme and also for preparing for the
examination. She reported for duty after three days of the expiry of leave
period, but the management of respondent No.2 refused to accept her joining
and initiated an inquiry against her on the charges of neglecting duties as
UDC, availing leave without prior permission, absence from duty,
misplacing the office records, failure to submit important office
records/registers to the superiors and flouting the directions given by the
management of the school. Shri Y.S. Rao, who was appointed as inquiry
officer, submitted report dated 4.7.1995 with the findings that all the charges
except charge No.4 have been proved against the appellant. A copy of the
inquiry report was supplied to the appellant along with notice dated
9.11.1995 proposing her removal from service. She filed reply dated
20.11.1995. After considering the same, the disciplinary committee
recommended the appellant’s removal from service. The Managing
Committee accepted the same and sent letter dated 24.1.1996 to the Director
seeking his approval in terms of Rule 120(2) of the Delhi School Education
Rules, 1973 (for short, `the Rules’). The latter declined to approve the
proposal. This was conveyed to the management vide letter dated
4.11.1996. Thereupon, the Managing Committee informed the Directorate
of Education that its request for approval of the decision to remove the
appellant may be treated as withdrawn. As a follow up, the Chairman of the
Managing Committee passed order dated 30.11.1996 removing the appellant
from service.
3. The appeal filed by the appellant against her removal from service
was allowed by the Tribunal vide order dated 24.7.2001 mainly on the
ground of violation of Section 8(2) of the Act and Rule 120(2) of the Rules.
The Tribunal referred to the judgments of this Court in Lily Kurian v. Sr.
Lewina and others (1979) 2 SCC 124, Frank Anthony Public School
Employees’ Association v. Union of India (1986) 4 SCC 707 and Y.
Theclamma v. Union of India (1987) 2 SCC 516, and held that the
management of the school could not have removed the appellant from
service without obtaining permission of the Director.
4. Respondent Nos. 1 and 2 challenged the order of the Tribunal in W. P.
No.5088/2001 and made the following prayers:
“(a) Declare Section 8(2) of the Delhi School Education Act,
1973 being not applicable to the aided religious/linguistic
minority institutions, established under Article 30(1) of the
Constitution of India.
(b) Declare Section 12 of the Delhi School Education Act,
1973 in so far as it restricts its applicability to unaided minority
schools, to be ultra vires of Article 30(1) of the Constitution of
India.
(c) Issue a Writ, order or direction thereby quashing the
th
impugned judgment dated 24 July, 2001, passed by the
Respondent No.1 and declare that even in the case of aided
minority school established under Article 30(1) of the
Constitution of India, no prior approval within the meaning of
Section 8(2) of the Delhi School Education Act, 1973, is
required or contemplated and as such quash/set aside the order
dated 24.7.2001 passed by Respondent No.1 in the appeal filed
on behalf of Respondent No.3 and uphold the decision of
petitioners thereby terminating the services of the respondent
No.3.”
5. The Division Bench of the High Court briefly noticed the factual
matrix of the case and the provisions of the Act, referred to the judgments of
this Court in State of Kerala v. Very Rev. Mother Provincial Etc. 1970
(2) SCC 417, DAV College Etc. Etc. v. State of Punjab and others 1971
(2) SCC 269, Ahmedabad St. Xavier’s College Society and another v.
State of Gujarat and another 1974 (1) SCC 717, Lily Kurian v. Sr.
Lewina and others (supra), All Saints High School, Hyderabad and
others v. Government of Andhra Pradesh and other 1980 (2) SCC 478,
Frank Anthony Public School Employee’s Association v. Union of India
and others (supra), Y. Theclamma v. Union of India (supra), Anjuman-
e-Mishbul Muslemin v. State of Bihar 1988 PLJR 1107, Association of
Teachers in Anglo-Indian School v. The Association Aids Anglo-Indian
School in India and others AIR 1995 Calcutta 194, All Bihar Christian
Schools Association and another v. State of Bihar and others 1988 (1)
SCC 206, Bihar State Madarasa Education Board, Patna v. Madarsa
Hanfia Arabic College, Jamalia and others 1990 (1) SCC 428, Manohar
Harries Walters v. Basel Mission Higher Education Center, Dharwad
and others 1992 Supp. (2) SCC 301, St. Johns Teachers Training
Institute (For Women), Madurai and others v. State of Tamil Nadu and
others 1993 (3) SCC 595 and held that any provision which seeks to take
away the right of the managing committee to pass any order of dismissal,
removal or reduction in rank, would be violative of Article 30(1) of the
Constitution of India. Such a provision may, however, be upheld if an
independent Tribunal wholly unconnected with the affairs of the institution
as in the case of Delhi Act, or a provision is made to over-see that the
governing body complies with the principles of natural justice.
The Division Bench then considered the questions whether Section
8(2) of the Act read with Rule 120(2) of the Rules confers unguided powers
upon the Director to refuse to approve the action proposed to be taken by the
management of the recognized private educational institutions against its
employee and whether the direction given by the Tribunal for reinstatement
of the appellant was legally correct and answered the same in the following
words:
“It is further incorrect to contend that sub section (2) of Section
8 does not suffer from unbridled power. As to what are the
matters which are to be taken into consideration for grant or
refusal of approval are not specified. In terms of Rule 120 no
guidelines have been provided. Even no time limit has been
provided within which such order should be passed. Such
unbridled and unguided power, in our opinion, cannot be
upheld.
In the instant case, the Tribunal has not found fault with the
management in the matter of holding of domestic enquiry or
disciplinary proceedings against the respondent. It was clearly
held that not only the principles of natural justice have been
complied with but also the provisions of Section 8 and Rule 120
have been complied with. No reason has been assigned as to
why the approval was refused. It clearly goes to show that the
Director of Education did not follow any principle which could
tantamount to arbitrary exercise of power for exercising his
statutory function. We, therefore, are of the opinion that sub-
section (2) of Section 8 cannot be held to have any application
so far as minority institutions are concerned. In the instant
case, no guidelines have also been provided by reason of Rule
120 of the Rules.”
The Division Bench finally declared that Section 12 of the Act insofar
as it restricts the applicability of the Act to unaided minority institutions is
ultra vires and set aside the order passed by the Tribunal.
6. Shri P.P. Rao, learned senior counsel appearing for the appellant
argued that negative declaration made by the High Court on the
constitutionality of Section 12 was totally uncalled for because this Court
has already held in Frank Anthony Public School Employees’
Association’s case that Section 12, which excludes the applicability of
Chapter IV of the Act to unaided minority institutions except Section 8(2), is
violative of Article 14 of the Constitution. Learned senior counsel submitted
that even though in Frank Anthony Public School Employees’
Association’s case , the two-Judge Bench did not notice an earlier
Constitution Bench judgment in Lily Kurian’s case, the legal position has
been clarified in Y. Theclamma’s case . Shri P.P. Rao submitted that in
view of the law laid down in Frank Anthony Public School Employees’
Association’s case and Y. Theclamma’s case, it was neither necessary nor
there was any justification for the Division Bench of the High Court to have
pronounced upon the vires of Section 12 of the Act. Learned senior counsel
extensively referred to the provisions of the Act and the Rules as also the
judgment of the larger Bench in T.M.A. Pai Foundation v. State of
Karnataka (2002) 8 SCC 481 and submitted that when the ratio of the
judgment in Frank Anthony Public School Employees’ Association’s case
has been approved by the larger Bench, the Division Bench of the High
Court was not justified in nullifying Section 12 of the Act. Learned
counsel submitted that even though Section 8(3) does not, in terms provide
for an appeal by the management of the recognized private school, the same
should be read as implicit in the language of that section, else it may be
argued that the provision is discriminatory and violative of doctrine of
equality. Shri P.P. Rao then argued that the High Court committed serious
error by setting aside the reinstatement of the appellant without even
adverting to the issue relating to legality of the action taken by the
management of respondent Nos.1 and 2. Learned senior counsel also
invoked the doctrine of proportionality and submitted that the extreme
penalty of removal from service imposed upon the appellant may be
substituted with a lesser penalty. In support of this argument, Shri P.P. Rao
relied upon the judgments of this Court in Ashok Kumar v. Union of India
1988 (2) L.L.J. 344, Union of India v. M.B. Patnaik 1981 (2) SCC 159,
Dev Singh v. Punjab Tourism Corporation Limited and another 2003
(8) SCC 9, Shri Bhagwan Lal Arya v. Commissioner of Police, Delhi and
others 2004 (4) SCC 560.
7. Learned counsel appearing for the NCT of Delhi adopted the
arguments of Shri P.P. Rao and emphasized that the Tribunal did not commit
any error by setting aside the appellant’s removal from service because
management of respondent Nos.1 and 2 had acted in clear violation of
mandate of Section 8(2) read with Rule 120 (2) of the Rules.
8. Shri L.N. Rao, learned senior counsel appearing for respondent Nos.1
and 2 supported the impugned order and argued that in view of the judgment
in Frank Anthony Public School Employees’ Association’s case , Section
8(2) cannot be treated applicable to aided minority institutions and Section
8(3) cannot be read as providing an effective remedy to the management of
the school against an order passed by the Director. He submitted that if
Section 8(2) is not applicable to unaided minority institutions then its
applicability to aided minority institutions would result in violation of
Article 14. Shri L.N. Rao also relied upon the larger Bench judgment in
T.M.A. Pai Foundation’s case and submitted that right of the private aided
minority institutions to regulate the discipline cannot be curtailed by a
provision like one contained in Section 8(2) of the Act.
9. We have considered the respective submissions. Sections 8 and 12 of
the Act and Rule 120 of the Rules which have bearing on the decision of this
appeal read as under:
8. Terms and conditions of service of employees of
recognised private schools.– (1) The Administrator may make
rules regulating the minimum qualifications for recruitment,
and the conditions of service, of employees of recognised
private schools:
Provided that neither the salary nor the rights in respect of leave
of absence, age of retirement and pension of an employee in the
employment of an existing school at the commencement of this
Act shall be varied to the disadvantage of such employee:
Provided further that every such employee shall be entitled to
opt for terms and conditions of service as they were applicable
to him immediately before the commencement of this Act.
(2) Subject to any rule that may be made in this behalf, no
employee of a recognised private school shall be dismissed,
removed or reduced in rank nor shall his service be otherwise
terminated except with the prior approval of the Director.
(3) Any employee of a recognised private school who is
dismissed, removed or reduced in rank may, within three
months from the date of communication to him of the order of
such dismissal, removal or reduction in rank, appeal against
such order to the Tribunal constituted under section 11.
(4) Where the managing committee of a recognised private
school intends to suspend any of its employees, such intention
shall be communicated to the Director and no such suspension
shall be made except with the prior approval of the Director:
Provided that the managing committee may suspend an
employee with immediate effect and without the prior approval
of the Director if it is satisfied that such immediate suspension
is necessary by reason of the gross misconduct within the
meaning of the Code of Conduct prescribed under section 9, of
the employee:
Provided further that no such immediate suspension shall
remain in force for more than a period of fifteen days from the
date of suspension unless it has been communicated to the
Director and approved by him before the expiry of the said
period.
(5) Where the intention to suspend, or the immediate
suspension of an employee is communicated to the Director, he
may, if he is satisfied that there are adequate and reasonable
grounds for such suspension, accord his approval to such
suspension.
12. Chapter not to apply to unaided minority schools.–
Nothing contained in this Chapter shall apply to an unaided
minority school.
The Delhi School Education Rules, 1973
120. Procedure for imposing major penalty.– (1) No order
imposing on an employee any major penalty shall be made
except after an inquiry, held, as far as may be, in the manner
specified below:
(a) the disciplinary authority shall frame definite charges on
the basis of the allegation on which the inquiry is proposed to
be held and a copy of the charges together with the statement of
the allegations on which they are based shall be furnished to the
employee and he shall be required to submit within such time as
may be specified by the disciplinary authority, but not later than
two weeks, a written statement of his defense and also to state
whether he desires to be heard in person;
(b) on receipt of the written statement of defence, or where
no such statement is received within the specified time, the
disciplinary authority may itself make inquiry into such of the
charges as are not admitted or if considers it necessary so to do,
appoint an inquiry officer for the purpose;
(c) at the conclusion of the inquiry, the inquiry officer shall
prepare a report of the inquiry regarding his findings on each of
the charges together with the reasons therefor;
(d) the disciplinary authority shall consider the record of the
inquiry and record its findings on each charge and if the
disciplinary authority is of opinion that any of the major
penalties should be imposed, it shall–
(i) furnish to the employee a copy of the report of the
inquiry officer, where an inquiry has been made by such
officer;
(ii) give him notice in writing stating the action proposed to
be taken in regard to him and calling upon him to submit within
the specified time, not exceeding two weeks, such
representation as he may wish to make against the proposed
action;
(iii) on receipt of the representation, if any, made by the
employee, the disciplinary authority shall determine what
penalty, if any, should be imposed on the employee and
communicate its tentative decision to impose the penalty to the
Director for his prior approval;
(iv) after considering the representation made by the
employee against the penalty, the disciplinary authority shall
record its findings as to the penalty which it proposes to impose
on the employee and send its findings and decision to the
Director for his approval and while sending the case to the
Director, the disciplinary authority shall furnish to him all
relevant records of the case including the statement of
allegation charges framed against the employee, representation
made by the employee, a copy of the inquiry report, where such
inquiry was made, and the proceedings of the disciplinary
authority.
(2) No order with regard to the imposition of a major penalty
shall be made by the disciplinary authority except after the
receipt of the approval of the Director.
(3) Any employee of a recognised private school who is
aggrieved by any order imposing on him the penalty of
compulsory retirement or any major penalty may prefer an
appeal to the Tribunal.
10. In Frank Anthony Public School Employees’ Association’s case
the petitioner challenged the vires of Section 12 of the Act on the ground
that the same is violative of Article 14 of the Constitution. The two-Judge
Bench noticed the scheme of the Act, referred to Article 30(1) and (2) and
various judgments of this Court including Very Rev. Mother Provincial’s
case , Ahmedabad St. Xavier’s College Society’s case and observed:
“Section 8(1) merely empowers the Administrator to make
rules regulating the minimum qualifications for recruitment,
and the conditions of service of recognised private schools.
Section 8(1) is innocuous and in fact Section 13 which applies
to unaided minority schools is almost on the same lines as
Section 8(1). The objection of the respondents is really to
Section 8(2), 8(3), 8(4) and 8(5) whose effect is (1) to require
the prior approval of the Director for the dismissal, removal,
reduction in rank or other termination of service of an employee
of a recognised private school, (2) to give a right of appeal to a
Tribunal consisting of a single member who shall be a District
Judge or who has held an equivalent judicial office, (3) to
require prior approval of the Director if it is proposed to
suspend an employee unless immediate suspension is necessary
by reason of the gross misconduct of the employee in which
case the suspension shall remain in force for not more than 15
days unless approval of the Director is obtained in the
meanwhile. In the Nine-Judge Bench case Ray, C.J. and
Palekar, J. took the view that Section 51-A of the Gujarat Act
which provided that no member of the staff of an affiliated
college shall be dismissed, removed or reduced in rank except
with the approval of the Vice-Chancellor was violative of
Article 30(1) as it conferred arbitrary power on the Vice-
Chancellor to take away rights of the minority institutions.
Similarly, Section 52-A which contemplated reference of any
dispute connected with conditions of service, between the
governing body and any member of the staff to an Arbitration
Tribunal consisting of one member nominated by the governing
body, one member nominated by the member of the staff and an
Umpire appointed by the Vice-Chancellor was also held to be
violative of Article 30(1). It was said that this provision would
introduce an area of litigious controversy in educational
institutions and displace the domestic jurisdiction of the
management. Jaganmohan Reddy, J. and Alagiriswami, J.,
agreed with the conclusions of Ray, C.J. Khanna, J. thought that
the blanket power given by Section 51-A to the Vice-
Chancellor to veto the disciplinary action and the power given
by Section 52-A to the Vice-Chancellor to nominate an Umpire
were both objectionable, though he observed that there was
nothing objectionable in selecting the method of arbitration for
settling major disputes. Mathew, J., also objected to the blanket
power given to the Vice-Chancellor by Section 51-A. He also
thought that Section 52-A was too wide and permitted needless
interference in day-to-day affairs of the institution by providing
for arbitration in petty disputes also. Keeping in-mind the views
of the several learned Judges, it becomes clear that Section 8(2)
must be held to be objectionable. Section 8(3) provides for an
appeal to the Tribunal constituted under Section 11, that is, a
Tribunal consisting of a person who has held office as a District
Judge or any equivalent judicial office. The appeal is not to any
departmental official but to a Tribunal manned by a person who
has held office as a District Judge and who is required to
exercise his powers not arbitrarily but in the same manner as a
court of appeal under the Code of Civil Procedure. The right of
appeal itself is confined to a limited class of cases, namely,
those of dismissal, removal or reduction in rank and not to
every dispute between an employee and the management. The
limited right of appeal, the character of the authority constituted
to hear the appeal and the manner in which the appellate power
is required to be exercised make the provision for an appeal
perfectly reasonable, in our view. The objection to the reference
to an Arbitration Tribunal in the Nine-Judge Bench case was to
the wide power given to the Tribunal to entertain any manner of
dispute and the provision for the appointment of Umpire by the
Vice-Chancellor. Those defects have been cured in the
provisions before us. Similarly, the provision for an appeal to
the Syndicate was considered objectionable in State of Kerala
v. Very Rev. Mother Provincial as it conferred the right on the
University.
Section 8(4) would be inapplicable to minority institutions if it
had conferred blanket power on the Director to grant or
withhold prior approval in every case where a management
proposed to suspend an employee but we see that it is not so.
The management has the right to order immediate suspension of
an employee in case of gross misconduct but in order to prevent
an abuse of power by the management a safeguard is provided
to the employee that approval should be obtained within 15
days. The Director is also bound to accord his approval if there
are adequate and reasonable grounds for such suspension. The
provision appears to be eminently reasonable and sound and the
answer to the question in regard to this provision is directly
covered by the decision in All Saints High School where
Chandrachud, C.J. and Kailasam, J. upheld Section 3(3)(a) of
the Act impugned therein. We may also mention that in that
case the right of appeal conferred by Section 4 of the Act was
also upheld. How necessary it is to afford some measure of
protection to employees, without interfering with the
management’s right to take disciplinary action, is illustrated by
the action taken by the management in this very case against
some of the teachers. These teachers took part along with others
in a “silent march”, first on April 9, 1986 and again on April
10, 1986, despite warning by the principal. The march was
during the break when there were no classes. There were no
speeches, no chanting or shouting of slogans, no violence and
no disruption of studies. The behaviour of the teachers appears
to have been orderly and exemplary. One would have thought
that the teachers were, by their silent and dignified protest,
setting an example and the soundest of precedents to follow to
all agitators everywhere. But instead of sympathy and
appreciation they were served with orders of immediate
suspension, something which would have never happened if all
the provisions of Section 8 were applicable to the institution.
Thus, Sections 8(1), 8(3), 8(4) and 8(5) do not encroach upon
any right of minorities to administer their educational
institutions. Section 8(2), however, must, in view of the
authorities, be held to interfere with such right and, therefore,
inapplicable to minority institutions. Section 9 is again
innocuous since Section 14 which applies to unaided minority
schools is virtually on the same lines as Section 9. We have
already considered Section 11 while dealing with Section 8(3).
We must, therefore, hold that Section 12 which makes the
provisions of Chapter IV inapplicable to unaided minority
schools is discriminatory not only because it makes Section 10
inapplicable to minority institutions, but also because it makes
Sections 8(1), 8(3), 8(4), 8(5), 9 and 11 inapplicable to unaided
minority institutions. That the Parliament did not understand
Sections 8 to 11 as offending the fundamental right guaranteed
to the minorities under Article 30(1) is evident from the fact
that Chapter IV applies to aided minority institutions and it
cannot for a moment be suggested that surrender of the right
under Article 30(1) is the price which the aided minority
institutions have to pay to obtain aid from the Government.”
The result of our discussion is that Section 12 of the Delhi
School Education Act which makes the provisions of Chapter
IV inapplicable to unaided minority institutions is
discriminatory and void except to the extent that it makes
Section 8(2) inapplicable to unaided minority institutions. We,
therefore, grant a declaration to that effect and direct the Union
of India and the Delhi Administration and its officers, to
enforce the provisions of Chapter IV [except Section 8(2)] in
the manner provided in the chapter in the case of the Frank
Anthony Public School. The management of the school is
directed not to give effect to the orders of suspension passed
against the members of the staff.”
(emphasis added)
11. In Y. Theclamma’s case , the issue considered by this Court was
whether the suspension of the appellant pending departmental inquiry was
legally correct and justified. The Court referred to earlier judgments
including the Constitution Bench judgment in Lily Kurian’s case and
observed:
“ It is not necessary to go through all the cases relied upon by
the Court in Frank Anthony Public School case for the view
taken that the provisions of Chapter IV of the Act were of a
regulatory nature and therefore did not have the effect of
abridging the fundamental right guaranteed to the minorities
under Article 30(1). It is enough to say that although there is no
reference in the judgment to Lily Kurian case the observations
made by the court with regard to the applicability of sub-section
(4) of Section 8 of the Act which relates to the exercise of the
power of suspension by the management, fall in line with the
view expressed by the majority in All Saints High School case
where such power was held to be, on consideration of all the
decisions starting from In re the Kerala Education Bill, 1957, a
permissible restriction being regulatory in character.
Presumably the court in Frank Anthony Public School case felt
that it was not necessary to refer to Lily Kurian case as the
extent of the regulatory power of the State had been dealt with
by the court in In re the Kerala Education Bill, 1957 and
reaffirmed in the subsequent decisions, including that in All
Saints High School case. In Lily Kurian case one of us (Sen, J.,)
speaking for a Constitution Bench had occasion to observe:
(SCC p. 137, para 36)
“Protection of the minorities is an article of faith in the
Constitution of India. The right to the administration of
institutions of minority’s choice enshrined in Article 30(1)
means ‘management of the affairs’ of the institution. This right
is , however , subject to the regulatory power of the State. Article
30(1) is not a charter for maladministration ; regulation , so that
the right to administer may be better exercised for the benefit of
the institution , is permissible; ”
(emphasis supplied)
In that case, the question was whether the conferment of a right
of appeal to an external authority like the Vice-Chancellor of
the University under Ordinance 33(4) framed by the Syndicate
of the University of Kerala under Section 19( j ) of the Kerala
University Act, 1957 against any order passed by the
management of a minority educational institution in respect of
penalties including that of suspension was an abridgement of
the right of administration conferred on the minorities under
Article 30(1). The question was answered in the affirmative and
it was held that the conferral of the power of appeal to the Vice-
Chancellor under Ordinance 33(4) was not only a grave
encroachment on such institution’s right to enforce and ensure
discipline in its administrative affairs but it was uncanalised and
unguided in the sense that no restrictions were placed on the
exercise of the power. It was further said that in the absence of
any guidelines it could not be held that the power entrusted to
the Vice-Chancellor under Ordinance 33(4) was merely a check
on maladministration.”
The Court rejected the argument that the decision in Frank Anthony Public
School Employees’ Association’s case was in conflict with the Constitution
Bench judgment in Lily Kurian’s case . Paragraphs 11 and 12, which
contain discussion on this issue, read thus:
“11. It would be seen that the decision of the Court in Frank
Anthony Public School case with regard to the applicability of
sub-section (4) of Section 8 of the Act to the unaided minority
educational institutions is based on the view taken by the
majority in All Saints High School case which, on its turn, was
based on several decisions right from In re the Kerala
Education Bill, 1957 down to St. Xavier, including that in Lily
Kurian. It is therefore difficult to sustain the argument of
learned counsel for the respondents that the decision in Frank
Anthony Public School case holding that sub-section (4) of
Section 8 of the Act was applicable to such institutions was in
conflict with the decision of the Constitution Bench in Lily
Kurian case and therefore required reconsideration. The
contention of learned counsel for the respondents that sub-
section (4) of Section 8 of the Act requiring the prior approval
of the Director for the suspension of a teacher was a flagrant
encroachment upon the right of the minorities under Article
30(1) of the Constitution to administer educational institutions
established by them is answered in all the earlier decisions of
this Court right from In re the Kerala Education Bill, 1957
down to that in All Saints High School case which have been
referred to by the Court in Frank Anthony Public School case.
These decisions unequivocally lay down that while the right of
the minorities, religious or linguistic, to establish and
administer educational institutions of their choice cannot be
interfered with, restrictions by way of regulations for the
purpose of ensuring educational standards and maintaining
excellence thereof can validly be prescribed.
12. It cannot be doubted that although disciplinary control
over the teachers of a minority educational institution is with
the management, regulations can be made for ensuring proper
conditions of service for the teachers and also for ensuring a
fair procedure in the matter of disciplinary action. As the court
laid down in Frank Anthony Public School case the provision
contained in sub-section (4) of Section 8 of the Act is designed
to afford some measure of protection to the teachers of such
institutions without interfering with the Managements’ right to
take disciplinary action. Although the court in that case had no
occasion to deal with the different ramifications arising out of
sub-section (4) of Section 8 of the Act, it struck a note of
caution that in a case where the management charged the
employee with gross misconduct, the Director is bound to
accord his approval to the suspension. It would be seen that the
endeavour of the court in all the cases has been to strike a
balance between the constitutional obligation to protect what is
secured to the minorities under Article 30(1) with (sic and) the
social necessity to protect the members of the staff against
arbitrariness and victimisation.”
12. The prepositions which can be culled out from the above noted two
judgments are:
(i) Section 8(1), (3), (4) and (5) of the Act do not violate the right
of the minorities to establish and administer their educational
institutions. However, Section 8(2) interferes with the said right
of the minorities and is, therefore, inapplicable to private
recognized aided/unaided minority educational institutions.
(ii) Section 12 of the Act, which makes the provisions of Chapter
IV of the Act inapplicable to unaided private recognized
minority educational institutions is discriminatory except to
extent of Section 8(2). In other words, Chapter IV of the Act
except Section 8(2) is applicable to private recognized aided as
well as unaided minority educational institutions and the
concerned authorities of the education department are bound to
enforce the same against all such institutions.
13. We shall now deal with the question whether the Division Bench of
the High Court was justified in setting aside the direction given by the
Tribunal for reinstatement of the appellant with consequential benefits. Shri
Y. S. Rao, who conducted inquiry against the appellant submitted report
dated 4.7.1999 with the findings that all the charges except charge No.4 have
been proved against the appellant. She was given a copy of the inquiry
report along with show cause notice to which she filed reply dated
20.11.1995. In his order, the Chairman of the Managing Committee did
refer to the allegations leveled against the appellant and representation
submitted by her in the light of the findings recorded by the inquiry officer
but without even adverting to the contents of her representation and giving a
semblance of indication of application of mind in the context of Rule
120(1)(iv) of the Rules, he directed her removal from service. Therefore,
there is no escape from the conclusion that the order of punishment was
passed by the Chairman without complying with the mandate of the relevant
statutory rule and the principles of natural justice. The requirement of
recording reasons by every quasi judicial or even an administrative authority
entrusted with the task of passing an order adversely affecting an individual
and communication thereof to the affected person is one of the recognized
facets of the rules of natural justice and violation thereof has the effect of
vitiating the order passed by the concerned authority.
14. A careful reading of the Tribunal’s order shows that though it did not
find any procedural infirmity in the inquiry against the appellant, the order
passed by the Chairman of the Managing Committee was nullified only on
the ground of violation of Section 8(2) of the Act read with Rule 120(2) of
the Rules inasmuch as permission of the Director was not obtained before
removing the appellant from service. The High Court set aside the order of
the Tribunal and indirectly restored the order passed by the Chairman of the
Managing Committee because it was of the view that Section 8(2) is not
applicable to the minority institutions. Neither the Tribunal nor the Division
Bench of the High Court dealt with and decided the appellant’s challenge to
the findings recorded by the inquiry officer and her plea that the extreme
penalty of removal from service imposed on her was not justified because
she was not found guilty of any serious misconduct.
15. Since the order of punishment passed by the Chairman of the
Managing Committee is vitiated due to violation of the statutory rules and
the principles of natural justice, we may have remitted the matter to the
Tribunal with a direction to consider whether or not the penalty of removal
from service imposed upon the appellant was disproportionate to the
misconduct found against her or the action taken by the management was
wholly arbitrary or unjust but keeping in view the fact that the appellant was
removed from service more than 13 years ago, we do not consider it proper
to adopt that course. In Superintendent (Tech.I) Central Excise I.D.D.
Jabalpur and others v. Pratap Rai , 1978 (3) SCC 113, this Court held that
if an order passed by the disciplinary authority is annulled on a technical
ground, the concerned authority is free to pass fresh order but, at the same
time, the Court declined to give such liberty to the administration on the
ground that a period of 15 years had elapsed since the framing of charge. In
Shri Bhagwan Lal Arya’s case, a somewhat similar approach was adopted
by this Court by recording the following observations:
“Thus, the present one is a case wherein we are satisfied that
the punishment of removal from service imposed on the
appellant is not only highly excessive and disproportionate but
is also one which was not permissible to be imposed as per the
Service Rules. Ordinarily we would have set aside the
punishment and sent the matter back to the disciplinary
authority for passing the order of punishment afresh in
accordance with law and consistently with the principles laid
down in the judgment. However, that would further lengthen
the life of litigation. In view of the time already lost, we deem it
proper to set aside the punishment of removal from service and
instead direct the appellant to be reinstated in service subject to
the condition that the period during which the appellant
remained absent from duty and the period calculated up to the
date on which the appellant reports back to duty pursuant to this
judgment shall not be counted as a period spent on duty. The
appellant shall not be entitled to any service benefits for this
period. Looking at the nature of partial relief allowed hereby to
the appellant, it is now not necessary to pass any order of
punishment in the departmental proceedings in lieu of the
punishment of removal from service which has been set aside.
The appellant must report on duty within a period of six weeks
from today to take benefit of this judgment.”
(emphasis supplied)
16. In Dev Singh’s case , the two-Judge Bench held that punishment of
dismissal on the ground of misplacement of file without any ulterior motive
was too harsh and totally disproportionate to the misconduct alleged and the
same would certainly shock the court’s judicial conscience.
17. In view of the above noted judgments, we feel that ends of justice will
be met by substituting the punishment of removal from service imposed on
the appellant with the penalty of stoppage of three increments without
cumulative effect and directing that she shall be paid only 20% of back
wages during the intervening period.
18. In the result, the appeal is allowed. The impugned order of the High
Court is set aside. The punishment of removal from service imposed on the
appellant is substituted with the penalty of stoppage of three increments
without cumulative effect. We also direct that instead of full back wages,
the appellant shall be entitled to 20% of the salary and allowances for the
period between the dates of removal from service and this order.
Respondent Nos.1 and 2 are directed to reinstate the appellant without delay.
The parties are left to bear their own costs.
……………………. J.
(G.S. Singhvi)
…………………….J.
(Dr. B.S. Chauhan)
New Delhi,
February 02, 2010.