NAGARATHNA. J

1. The Karnataka Government Insurance Department (hereinafter, referred to as the "KGID” for the sake of brevity) has assailed the order of the learned Single Judge dated 07/01/2002 passed in W.P.No.29154/99. By the said order, it has been held that the appellant herein, who was the petitioner before the learned Single Judge, is an "Industry", within the meaning of Section unamended 2(j) of the Industrial Disputes Act, 1947 (hereinafter, referred to as the “I.D.Act", for the sake of brevity).

2. The relevant facts leading up to the filing of this appeal are that the Government of Karnataka being of the opinion that an industrial dispute existed between the workmen and management of the KGID, by order dated 26/10/1994, referred the following points of dispute to the Industrial Tribunal, Bangalore, for adjudication under Section 10(1) of the I.D.Act:-

1) Whether the withholding of payment of bonus from 1980 to the workers of the Karnataka Government Insurance Department Workers Association working with the Director, Karnataka Government Insurance Department, Bangalore, is in accordance with law?

2) If not, to what relief the workers in question are entitled to?

Subsequently, a corrigendum was issued on 07/12/1994 as follows:-

"Whether the withholding of payment of bonus from 1980 to the workers of the Karnataka Government Insurance Department working with the Director, Karnataka Government Insurance Department, Bangalore, is in accordance with law? 3. The reference was registered as I.D.No.32/94. After recording evidence, the Industrial Tribunal, Bangalore, passed an award on 26/09/1997. The same was however, set aside in W.P.No.3018/98, with a direction to re-examine the case on merits. Subsequently, the Tribunal examined the matter and allowed the reference by holding that the workmen are entitled to bonus as prayed for in the reference. The said order was assailed by the appellant before the learned Single Judge. The learned Single Judge placing reliance on an unreported judgment of this Court in W.P.No.20613/80, disposed of on 15/04/1981 and order passed in W.A.No.839/81 dated 21.01.1987, filed by KGID against the order dated 15.04.1981, held that the award of the Tribunal did not call for any interference and accordingly, dismissed the writ petition. Being aggrieved by the said order, the Insurance Department of the State Government has filed this appeal.

4. We have heard the learned counsel for the parties. They have also filed their synopsis of arguments and list of authorities, which we have perused.

5. It is contended on behalf of the appellant that the appellant herein is the erstwhile Mysore Government Industrial Department, established by the Princely State of Mysore on 20/08/1889. The scheme of Insurance was initially confined to only male Government servants but was later extended to women employees also w.e.f. 11/07/1894. The Life Insurance Scheme was extended to general public on 15/7/1895. With the Nationalisation of the Life Insurance business in India, the public branch of the Department was bifurcated and merged with the Life Insurance Corporation of India on 01/09/1956 and the KGID is confined to the Insurance Scheme for the Government servants only. It is also stated that the appellant Department is functioning under the exemption Clause (c) of Section 118 of the Insurance Act, 1938 and that the Karnataka Government Servants (Compulsory Life Insurance) Rules 1958, have been framed under Article 309 of the Constitution of India. Thus, it is contended that the employees of the KGID are not workmen within the meaning of the I.D.Act, but are Government servants as defined in Section 2(3) of the Karnataka State Civil Services Act, 1978 and other allied rules; that the method of Recruitment Service Conditions, Retirement and Pension, are all governed by various Rules and Regulations framed under Article 309 of the Constitution. Therefore, the argument proffered is that the officers of the d