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1993 Supreme(Kar) 177

Karnataka High Court
Vysya Bank Ltd., Administrative Office, Bangalore - Appellant
Versus
M.Namadeva Pai - Respondent
Decided On : 08-02-93
Writ Petition : 17495 of 1993

Advocates:
B.C.PRABHAKAR, V.GOPALA GOWDA

The main legal point established in the judgment is the court's emphasis on deciding preliminary issues before industrial adjudication, the refusal to intervene at the stage of adjudication on preliminary issues, except in exceptional cases, and the requirement for examination of witnesses in the presence of the accused as a fundamental aspect of natural justice.

Headnote:

JURISDICTION - LABOUR DISPUTE - Industrial Disputes Act - Section 10(1)(c), Section 10(4-A) - Article 226 of the Constitution - [KEYWORD] - [SUBJECT] - [ACT SECTION LIST] - The judgment discusses the application of the Supreme Court's pronouncements in Cooper Engineering Co. Ltd. v P. P. Mundhe and D. P. Maheshwari v Delhi Administration and Others, emphasizing the need to decide preliminary issues before industrial adjudication and the refusal to intervene at the stage of adjudication on preliminary issues, except in exceptional cases. The court also considers the principles of natural justice and the impact of non-compliance on the validity of domestic enquiry, highlighting the requirement for examination of witnesses in the presence of the accused and the denial of natural justice as prejudice to the accused. The judgment further addresses the jurisdictional issue and the court's discretion to intervene based on the facts and circumstances of each case.

Fact of the Case:

The petitioner, a banking institution, sought to quash orders passed by the second respondent in Reference No. 22/89. The first respondent, a sub-staff, was suspended for alleged misconduct, leading to a domestic enquiry and subsequent dismissal. The Central Government referred the dispute to the second respondent for adjudication under Section 10(1)(c) of the Industrial Disputes Act. The first respondent raised a preliminary objection regarding the validity of the domestic enquiry, alleging non-compliance with the principles of natural justice.

Finding of the Court:

The court refused to entertain the writ petitions, citing the need to avoid undue delay in industrial adjudication and the potential adverse impact on the workmen. It held that the refusal to intervene at the stage of adjudication on preliminary issues, except in exceptional cases, was in the interest of industrial peace. The court also rejected the writ petition in W. P. No. 17495 of 1993, as it found no good ground to interfere with the order of the second respondent on domestic enquiry. The court further rejected W. P. No. 17496 of 1993, considering it a consequential order to the rejected writ petition.

Issues: The court considered whether it could entertain the writ petitions in the exercise of its jurisdiction under Article 226 of the Constitution and whether the orders of the second respondent were perverse and without jurisdiction.

Ratio Decidendi: The court emphasized the need to decide preliminary issues before industrial adjudication and the refusal to intervene at the stage of adjudication on preliminary issues, except in exceptional cases. It also highlighted the requirement for examination of witnesses in the presence of the accused and the denial of natural justice as prejudice to the accused. The court further addressed the jurisdictional issue and the court's discretion to intervene based on the facts and circumstances of each case.

Final Decision: The court refused to entertain the writ petitions, rejected W. P. No. 17495 of 1993, and further rejected W. P. No. 17496 of 1993, considering it a consequential order to the rejected writ petition.

A. J. SADASHIVA, J.

( 1 ) THOUGH the petitions are listed for preliminary hearing, since the first respondent had entered caveat, the petitions are taken up for final disposal with the consent of both the parties.

( 2 ) THESE two writ petitions are by the same petitioner against two orders passed by the second respondent in Reference No. 22/89, In W. P. No. 17495/93, the petitioner has sought for a writ of certiorari to quash the order dated 18-8-1992 passed by the second respondent, answering the preliminary issue against the petitioner, and, the order dated 5-3-1993 directing the petitioner to pay the first respondent 50% of gross salary with effect from 1-10-1992 as an interim-relief, is sought to be quashed in W. P. No. 17496/93.

( 3 ) SRI B. C. Prabhakar, learned counsel for the petitioner submits that, the validity of the order impugned in W. P. No. 17496/93 is dependent upon the validity of the order impugned in W. P. No. 17495/93 by which the domestic enquiry has been set aside. Accordingly W. P. No. 17495/93 is taken up for consideration first.

( 4 ) SRI V. Gopala Gowda, learned counsel for the first defendant has raised a preliminary objection as to the maintainability of the writ petitions. He submits that, in view of the pronouncements of the Supreme Court in the decisions reported in this court would refuse to entertain the writ petitions against an order of the second respondent on a preliminary issue like the validity of the domestic enquiry.

( 5 ) SRI B. C. Prabhakar, learned counsel for the petitioner submits that, the pronouncement of the Supreme Court in the aforesaid cases will not have an universal application, as the Supreme Court has not held that the writ petitions are not at all maintainable against the order passed by the Labour Court or Industrial Tribunal on a preliminary issue. It is his further submission that, the application of the aforesaid decisions of the Supreme Court, is dependent upon the facts and circumstances of each case, as the Supreme Court has observed that, in order to prevent undue delay in industrial adjudication resulting in the workmen being shuttled from court to court, neither the High Court nor the Supreme Court, in exercise of their jurisdiction under Articles 226 and 136 of the Constitution is required to be too astute to interfere with the exercise of jurisdiction by the Tribunals at interlocutory stage on preliminary issue. He further submits that there is no total prohibition for this court to act in exercise of its jurisdiction under Article 226 of the Constitution, if the circumstances so warrants. In support of his contention Sriprabhakar has referred me to two decisions of this court reported in Placing reliance on these two decisions Sri B. C. Prabhakar submits that, this court would not reject the writ petition against the orders of the tribunals on preliminary issue as not maintainable, but it would exercise its jurisdic tion under Article 226 of the Constitution, depending upon the facts and circumstances of each case, as has been done by this court in the aforesaid cases, wherein, the reference was also made to the decisions of the Supreme Court. Sri Prabhakar further submits that, the order impugned in these writ petitions are illegal and unsustainable both on law and on, facts as the order of the second respondent is not based on any evidence, but on surmises and conjuctures. He further submits that, it is not sufficient, for the second respondent to set aside the domestic enquiry, if it is shown that the enquiry is not conducted fairly and properly, it must be further proved that by improper enquiry, it has resulted in prejudice to the interest of persons against whom enquiry was held. In this context, it is his submission that, the domestic enquiry, despite refusal to examine the witnesses afresh in the presence of the first respondent, has not resulted in any prejudice to the case of the first respondent, as he has chosen to cross-examine the witnesses in d
























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