JUDGMENT:

S.B. SINHA, J :

1. Leave granted.

2. Whether the State or the Educational Institution is liable to bear the financial burden for payment of wages to the concerned respondents herein is the question involved in this appeal which arises out of a judgment and order dated 25.08.2005 passed by the High Court of Andhra Pradesh in Writ Appeal No. 1321 of 2001.

3. Respondents, seven in number, were appointed as Secondary Grade Teachers in Church of South India, UP Elementary School. Allegedly, the provisions of the rules had not been followed in recruiting the teachers. Indisputably, such rules of recruitment had been laid down by G.O.Ms. No. 1 dated 1.01.1994. The said rules were framed by the State in exercise of its power conferred upon it under Section 99 read with Sections 20, 21, 79, 80 and 83 of the Andhra Pradesh Education Act, 1982 known as the Andhra Pradesh Educational Institutions (Establishment, Recognition, Administration and Control Of Schools Under Private Managements) Rules, 1993 (for short "the Rules").

4. The Rules categorized several schools; Upper Primary Schools being one of them. The Rules defines the "Educational Agency" in Rule 2(1)(b) to mean "the Societ