Employees of a privatized company do not have a legal or vested right to retain company-provided accommodation post-privatization.

JUDGMENT

[Physical Hearing/Hybrid Hearing]

Mini Pushkarna, J. (Oral)--The present writ petition has been filed by employees of Respondent No.2, i.e., Air India Limited, wherein earlier 100% shareholding was with the Government of India. Subsequently, pursuant to Share Purchase Agreement dated 25.10.2021 entered into between the respondents, the entire shareholding of Air India Limited was transferred to M/s Talace Private Limited, a subsidiary of Tata Sons Private Limited. The transaction for privatisation of Air India Limited was complete on 27.01.2022.

2. The petitioners as employees of Air India limited, were allotted accommodation in the Air India Colony, Vasant Vihar, New Delhi in terms of Air India Housing Allotment Rules. The writ petition has been filed by two petitioners in a representative capacity on behalf of all the employees of Air India Limited who are occupants of the Air India Colony, Vasant Vihar, being President and Secretary of Air India Colony Residents' Welfare Association (RWA). Since the said RWA is not a registered organisation, the present writ petition has been filed in individual capacity.

3. Subsequently, during the course of hearing of this case, CM APPL. No. 1728 of 2023 was filed under Order I Rule 10 read with Section 151 of the Code of Civil Procedure, 1908 (CPC) for impleadment of various residents of the Air India Colony, Vasant Vihar as petitioners in the present matter. The said applicants stated in the application that they were willing to give undertaking in writing giving the timeline as to when they will vacate the premises. However, since the present matter was already at the final stages, the said application was disposed of vide order dated 20.02.2023, with directions that orders passed by this Court in the present proceedings shall be binding on all the employees of Air India Limited residing in Air India Colony, Vasant Vihar and that all the employees of Air India Limited who are residents of Air India Colony, Vasant Vihar shall be treated at par with each other.

4. During the course of hearing, Air India Assets Holding Limited (AIAHL), which is a Government entity was made a party in the present proceedings in view of the fact that the colony in question has been transferred to it under the Share Purchase Agreement (SPA) and the scheme of privatisation.

5. By order dated 22.02.2023, Ministry of Housing and Urban Affairs, Land and Development Office, Government of India was also made a party to the present proceedings. This was done on the submission of the petitioners that the said Ministry was the owner of the residential complex in question and that the order appointing an Estate Officer for carrying out proceedings under the provisions of the Public Premises (Eviction of Unauthorised Occupants) Act, 1971 (PP Act) for eviction from the colony in question, was also issued by the said Ministry.

6. The present writ petition has been filed primarily with prayer that the employees of Air India Limited, who had been allotted flats in the Air India Colony, Vasant Vihar, New Delhi, be allowed to stay in the said colony for the time being and for consideration of their representations dated 10.06.2022 and 28.06.2022.

7. There is further prayer for quashing the letter dated 29.09.2021 issued by the Ministry of Civil Aviation, Government of India. By way of the said letter, it was informed that post disinvestment, the employees of Air India were required to vacate the company accommodation as given to them, in terms of the decision of the group of Union Ministers who were part of the Air India Specific Alternative Mechanism (AISAM) constituted by the Cabinet Committee on Economic Affairs to drive the disinvestment process. Thus, letter dated 29.09.2021 stated as follows:

".........

2. The AISAM in its meeting held on 09.08.202l while considering the issue related to vacation of the company accommodation post disinvestment of Air India decided as under:

"AI employees may continue to stay