Karnataka High Court

An interim stay suspends an order’s operation without extinguishing the order itself.

SRI. RAJA REDDY vs THE STATE OF KARNATAKA

Karnataka High CourtJUDGMENT: October 12, 20262 MIN READSOURCE JUDGMENT
An interim stay suspends an order’s operation without extinguishing the order itself.. SRI. RAJA REDDY vs THE STATE OF KARNATAKA. Karnataka High Court. LawLens
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioner challenged a Government order dated 11 June 2026 imposing the same penalties—four increments withheld with cumulative effect and recovery of ₹13,62,810—that had been imposed by an earlier order dated 23 September 2024.

Source reference: p.3–5

The Karnataka State Administrative Tribunal had set aside the earlier penalty order and remanded the matter for fresh consideration, but the Tribunal’s order was later stayed by the High Court in a separate writ petition.

Source reference: p.3–5

The petitioner challenged the Tribunal’s refusal to stay the 11 June 2026 Government order and sought relief under Article 226 of the Constitution

Source reference: p.3–5
02

Issues

1. Whether a stay of the Tribunal’s order setting aside the earlier penalty order wiped out that order or merely suspended its operation.

Source reference: p.5–7

2. Whether the petitioner had made out a prima facie case for setting aside the Tribunal’s refusal to stay the Government order dated 11 June 2026.

Source reference: p.5, 7–8
03

Law Applied

Under Article 226 of the Constitution, the High Court may review the Tribunal’s order and grant appropriate interim relief.

Source reference: p.6–7

Relying on *Shree Chamundi Mopeds Ltd. v. Church of South India*, (1992) 3 SCC 1, the Court applied the principle that quashing an order restores the position as it stood before that order, whereas staying an order merely suspends its operation from the date of the stay; a stay does not, by itself, wipe the order out of existence.

Source reference: p.6–7
04

Reasoning

The Tribunal had set aside the 2024 penalty order, and the subsequent High Court stay of the Tribunal’s order suspended its operation but did not erase it.

Source reference: p.6–8

Applying *Shree Chamundi Mopeds*, the Court held that the stay did not, by itself, eliminate the effect of the Tribunal’s order for purposes of the petitioner’s challenge to the later penalty order.

Source reference: p.6–8

On that basis, the Court found a prima facie case and concluded that the Tribunal’s refusal to grant interim relief could not stand.

Source reference: p.6–8
05

Holding

The High Court set aside the Tribunal’s order dated 21 September 2026 and stayed the Government order dated 11 June 2026 during the pendency of the petitioner’s application before the Tribunal.

The writ petition was disposed of accordingly.

Source reference: p.8
Karnataka High Court

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SRI. RAJA REDDYvsTHE STATE OF KARNATAKA

Karnataka High Court · October 12, 2026

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