Andhra Pradesh High Court
Judges : A.GANGADHARA RAO, J.R.VIMADALAL, P.RAMACHANDRA RAJU
Visakhapatnam District Marketing Cooperative Society Ltd. - Appellant
Versus
Government Of A.P. - Respondent
Decided On : 12-31-76
INDUSTRIAL DISPUTES ACT, 1947 - SECTION 2-A - SHOPS AND ESTABLISHMENTS ACT, 1966 - SECTION 40, 41 - CONSTITUTION OF INDIA - ARTICLE 254 - REPUGNANCY - INDIVIDUAL DISPUTE - REFERENCE TO LABOUR COURT - WRIT OF CERTIORARI - SUMMARY DISMISSAL OF EMPLOYEE - APPLICABILITY OF SHOPS AND ESTABLISHMENTS ACT - JURISDICTION OF LABOUR COURT.
Fact of the Case:
The petitioner, a Co-operative Society registered under the Andhra Pradesh Co-operative Societies Act, 1968, dismissed the third respondent, its Manager, for alleged misappropriation. The third respondent challenged the dismissal in a writ petition, which was dismissed. He then raised an industrial dispute before the Labour Officer, who submitted a failure report to the Government. The Government initially declined to refer the dispute for adjudication but later changed its mind and referred the matter to the Labour Court under Section 10 of the Industrial Disputes Act, 1947 (I. D. Act). The petitioner filed a writ petition challenging the reference.
Finding of the Court:
The Court held that there was repugnancy between Section 2-A of the I. D. Act and Sections 40 and 41 of the Shops and Establishments Act, 1966 (Shops Act) to the extent that Section 2-A sought to bring individual disputes relating to termination of services within the ambit of the I. D. Act. The Court held that the Shops Act prevailed over the I. D. Act in this regard by virtue of Article 254(2) of the Constitution, which gives precedence to State laws that have received the President's assent.
Issues: 1. Whether there was repugnancy between Section 2-A of the I. D. Act and Sections 40 and 41 of the Shops Act? 2. Whether the Shops Act prevailed over the I. D. Act in this regard? 3. Whether the Labour Court had jurisdiction to adjudicate the individual dispute?
Ratio Decidendi: 1. The Court applied the tests of repugnancy laid down in Tika Ramji v. State of U. P. (AIR 1956 SC 676) and Deep Chand v. State of U. P. (AIR 1959 SC 648) to determine whether there was repugnancy between the two statutes. 2. The Court found that the Shops Act and the I. D. Act did not cover the same field, as the Shops Act applied only to shops and establishments and provided remedies for certain types of disputes between an individual workman and the shop or establishment, while the I. D. Act was a statute of wider import enacted for the settlement of industrial disputes in general. 3. However, the Court held that there was repugnancy to the extent that Section 2-A of the I. D. Act sought to bring individual disputes relating to termination of services within the ambit of the I. D. Act, as this matter was squarely covered by Sections 40 and 41 of the Shops Act. 4. The Court held that the Shops Act prevailed over the I. D. Act in this regard by virtue of Article 254(2) of the Constitution, which gives precedence to State laws that have received the President's assent.
Final Decision: The Court allowed the writ petition, quashed the reference to the Labour Court, and prohibited the Labour Court from adjudicating the individual dispute.
( 1 ) THE petitioner in this writ petition is a Co-operative Society registered under the Andhra Pradesh Co-operative Societies Act, 1968. The third respondent was not at all material times the Manager of the Petitioner-society. Charges of misappropriation were framed against the third respondent by the petitioner-society by its charge memo dated 15-9-1967. Challenging the said charge memo the third respondent filed W. P. No. 1807 of 1967, but did not submit any explanation in regard to the charges contained therein. The petitioner-society constituted a disciplinary committee to enquire into the allegations contained in the charge memo, but the third respondent, though duly served with a notice, did not appear before the said committee or participate in the enquiry held by it. The Disciplinary Committee thereafter issued a second show cause notice dated 11/02/1968 directing the third respondent to show cause why he should not be dismissed from service, but the third respondent failed to show cause against the same, and the petitioner-society, after perusing the report and the findings of the said committee, dismissed the third respondent from service by its order dated 20/02/1968. The third respondent thereafter filed writ petition No. 1253 of 1968 for quashing the said order of dismissal. Writ Petition No. 1807 of 1967 as well as Writ Petition No. 1253 of 1968 was dismissed by this Court by a common order on the 2nd of April, 1970.
( 2 ) THE third respondent thereafter raised an industrial dispute before the Labour Officer, Srikakulam, who held conciliation proceedings but ultimately submitted a failure report to the Government. The Government in the first instance, declined to refer the dispute for adjudication by its order dated 5/11/1971, on the ground that the third respondent has not availed of the opportunities given to him to defend himself against the charges framed and the action proposed to be taken against him. The Government, however, thereafter changed its mind, and G. O. Ms. No. 268, dated 27/04/1974, it referred the dispute arising out of the dismissal of the third respondent for adjudication to the Labour Court, Guntur, the reference being in respect of two matters viz. , (a) whether the dismissal of the third respondent by the petitioner-society was justified and (b) if it was not justified to what relief was the third respondent entitled?
( 3 ) THE petitioner-society has filed the present petition against the State Government as the first respondent, the Presiding Officer of the Labour Court, Guntur, as the second respondent, and against the third respondent, for the issue of a writ of certiorari or any other appropriate direction or order to quash the reference in G. O. Ms. No. 268, dated 27-4-1974, and to issue consequential directions prohibiting the second respondent from adjudicating upon I. D. No. 42/1974 on his file. On the writ petition coming up before our brother Lakshmaiah, by consent of parties, the matter was referred, by his order dated 6/04/1976, referred the matter to a Full Bench for resolving the conflict between the two sets of decisions to which they referred in their said order. The learned Chief Justice has, thereafter constituted this Full Bench to hear the writ petition.
( 4 ) THE conflicting judgments mentioned in the referring judgment of the Division Bench are the unreported judgments of two Division Benches dated 25-7-1973 and 16-9-1975 in W. P. No. 5494 of 1971 (Andh Pra) and W. A. No. 899 of 1974 (Andh Pra) respectively on the one hand, and the decision of another Division Bench of this Court in the case of M. Krishnaswami v. Assam Tea Depot, (1976 - I APLJ 291): (1977 Lab IC 432) on the other. In the former two unreported decisions, the view taken was that where Andhra Pradesh Shops and Establishments Act, 1966, (hereinafter referred to as the Shops Act) was applicable, the remedy under s. 33-C (2) of the Industrial Disputes Act (hereinafter referred to as the I. D
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