SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2005 Supreme(SC) 773

2005(4) Supreme 70
Supreme Court of India
(From Punjab and Haryana High Court)
K.G. Balakrishnan & B.N. Srikrishna, JJ.
State of Haryana & Anr. —Appellants
versus
National Consumer Awareness Group & Ors. —Respondents
Civil Appeal Nos. 3044-3045 of 2005
(Arising out of SLP (C) Nos. 11261-11262 of 2004)
Decided on 4-5-2005
Counsel for the Parties :
For the Appellants : Shanti Bhushan, Sr. Advocate, Neeraj Kumar Jain and Ms. Kavita Wadia, Advocates.
For the Respondents : M.N. Krishnamani, Sr. Advocate, Mrs. Varuna Bhandari Gugnani, Shreekant N. Terdal, A. Mariarputham, Ms. Aruna Mathur, Advocates.­

Important point
Process and context of “consultation with the Chief Justice of State High Court within the meaning of Section 16(1)(a) of Consumer Protection Act is not to be equated with consultation contemplated under Article 217 of Constitution for appointment of High Court Judge.

Headnote:Consumer Protection Act, 1986—Section 16(1)(a) (As amended by Amendment Act, 2002)—Composition of State Commission including appointment of President and members of State Commission—Issue of “consultation with Chief Justice of High Court” under the provision—Process and context is not to be equated with consultation contemplated under Article 217 of the Constitution for appointment of High Court Judge—Consultation with the Chief Justice would not mean consultation with collegium of High Court—Manner of proposal for a consultation with Chief Justice must take place in the manner as laid down in Ashish Handa’s case—Sub-section (1A) of Section 16 could not be said to be intended for appointment of the President of State Commission itself—Procedure contemplated under sub-section (1A) could apply only in respect of appointment of members—Government circular that procedure contemplated for Constitution of a Selection Committee would be equally applicable for appointment of President of State Commission was incorrect.

       Held : In a recent judgment in Ashok Tanwar and Anr. v. State of Himachal Pradesh and Ors., (2005) 2 SCC 104, (to which both of us were parties), the Constitution Bench of this Court had occasion to consider the issue of “consultation with the Chief Justice of High Court” under Section 16 of the Consumer Protection Act, 1986. The Constitution Bench specifically overruled the decision in Ashish Handa (supra) only on this issue holding that the process and context of “consultation with the Chief Justice of the State High Court” within the meaning of Section 16(1)(a) is not to be equated with the consultation contemplated under Article 217 of the Constitution for appointment of a High Court Judge, observing:

       “It is thus clear that the expression “consultation” used in Article 217 of the Constitution in relation to appointment of High Court Judges cannot be read in the same way into “consultation” as contemplated under Section 16 of the Act in the light of what is stated above in Supreme Court Advocates-on-Record Assn., (1993) 4 SCC 441. (vide paragraph 19)

       The Constitution Bench pointed out that, though the process may be similar in several other aspects, the two consultations cannot be held to be qualitatively identical as one was for appointment to a statutory post, while the other was a Constitutional appointment. It was also held (vide paragraph 20) that the requirement of consultation with two seniormost Judges of the High Court could not be read into the consultation required under Section 16 (1A) for appointment of the Chairman of the State Commission, and that consultation with the Chief Justice of the High Court was sufficient. Although overruling Ashish Handa (supra) on this aspect of the matter, the Constitution Bench referred with approval of the said judgment and said:

       “In Ashish Handa (supra) this Court, having regard to what is stated above, held that it is the Chief Justice of the High Court, who should initiate the process in the matter of appointment of a Judge, sitting or retired, as President of the State Commission.” (vide paragraph 21)

       Finally, it concluded thus:

       “Certain statements made by this Court in Ashish Handa (supra) in para 3, give an impression that the Chief Justice of a High Court has to consult his two seniormost colleagues before recommending a sitting or retired Judge for appointment as President of a State Commission as per Section 16 of the Act. In our view that is not the correct position and we do not approve the same. To put it positively, we state that for the purpose of Section 16 of the Act, a Chief Justice of a High Court need not consult his two seniormost colleagues in the High Court for recommending a sitting or retired Judge of a High Court for appointment as President of a State Commission.” (vide paragraph 22)

       A careful reading of Ashok Tanwar (supra) shows that the Constitution Bench differed from Ashish Handa (supra) only on the issue whether consultation with the Chief Justice meant consultation with the collegium of the High Court. In other respects, Ashish Handa (supra) is approved. (Paras 12 to 14)

       It is inconceivable that sub-section (1A) is intended for appointment of the President of the State Commission itself. In the first place, we cannot accede to the contention that the Chairman of the State Commission, who is or has been a Judge of the High Court, can be selected by a Selection Committee comprising two Secretaries of the State ­Government. Nothing could be more erosive of judicial independence than such interpretation of sub-section (1A). This conclusion of ours is driven home by the proviso to sub-section (1A). This proviso is intended to take care of a contingency where there exists a President of the State Commission, who is unable to Chair the Selection Committee meeting because of absence or other similar reasons. It is only in such a situation, that the State Government may request the Chief Justice of the High Court to nominate a sitting Judge to act as Chairman of the Selection Committee. If the argument of the learned counsel of the Union of India and the construction canvassed by him is admitted, it would mean that even where the President of the State Commission is appointed for the first time, the procedure would be that he would be appointed by a Committee of which two Secretaries would be members. That would be obviously destructive of judicial independence. (Para 18)

Judgment

Srikrishna, J.—Leave granted.

2. What is the content of the statutory consultation with the Chief Justice of the High Court postulated under Section 16(1)(a) of the Consumer Protection Act, 1986, is the core issue subjected to debate before us in these two appeals.

3. The Consumer Protection Act, 1986 (hereinafter referred to as ‘the Act’) was brought into force on 24.12.1986. It is an Act “to provide for better protection of the interests of consumers and for that purpose to make provision for the establishment of consumer councils and other authorities for the settlement of consumers’ disputes and for matters connected therewith”. The Act established fora at district level, state level and national level and laid down the procedure of appointing the members of the fora and their respective Chairmen. The dispute pertains to the statutory procedure contemplated for appointments of the Chairman of the State Commission-the forum at the State level.

4. Section 16(1) provides for the composition of the State Commission including the appointment of the President and members of the State Commission. As originally enacted, Section 16 read as under :

“16. Composition of the State Commission.—(1) Each State Commission shall consist of–

(a) a person who is or has been a Judge of a High Court, appointed by the State Government, who shall be its President;

(b) two other members who shall be persons of ability, integrity and standing and have adequate knowledge or experience of, or have shown capacity in dealing with, problems relating to economics, law, commerce, accountancy, industry, public affairs and administration, one of whom shall be a woman.

5. By (Amendment) Act 50 of 1993, which was retrospectively made effective with effect from 18.6.1993, an amendment was made to Section 16 by the addition of a proviso and the amended section read as under :

“16. Composition of the State Commission.—(1) Each State Commission shall consist of–

(a) a person who is or has been a Judge of a High Court, appointed by the State Government, who shall be its President:

Provided that no appointment under this clause shall be made except after consultation with the Chief Justice of the High Court;

(b) two other members who shall be persons of ability, integrity and standing and have adequate knowledge or experience of, or have shown capacity in dealing with, problems relating to economics, law, commerce, accountancy, industry, public affairs and administration, one of whom shall be a woman:

Provided that every appointment made under this clause shall be made by the State Government on the recommendation of a Selection Committee consisting of the following namely:-

(i) President of the State Commission. – Chairman

(ii) Secretary of the Law Department of the State. – Member

(iii) Secretary incharge of the Department dealing with Consumer Affairs in the State. – Member

6. By a further amendment, vide (Amendment) Act, 62 of 2002, Section 16(1)(b) was substituted by new provision of sub-sections (1A) and (1B) which were inserted in Section 16. The amended Section 16, brought into force with effect from 15.3.2003, reads as under:

“16. Composition of the State Commission:—(1) Each State Commission shall consist of–

(a) a person who is or has been a Judge of a High Court, appointed by the State Government, who shall be its President:

Provided that no appointment under this clause shall be made except after consultation with the Chief Justice of the High Court.

(b) not less than two, and not more than such number of members, as may be prescribed, and one of who shall be a woman, who shall have the following qualifications, namely:—

(i) be not less than thirt












































Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top