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Supreme Court of India
K.G. Balakrishnan & B.N. Srikrishna, JJ.
STATE OF HARYANA & ANR.—Appellants
versus
NATIONAL CONSUMER AWARENESS GROUP & ORS.—Respondents
C.A. Nos. 3044-3045 of 2005 — Decided 4.5.2005

Headnote:Consumer Protection Act, 1986 - Section 16(1)(a) (As amended by Amendment Act, 2002)-Composition of State Commission including appointment of President and members of State Commission-Issue of "consultation with Chief Justice of High Court" under the provision-Process and context is not to be equated with consultation contemplated under Article 217 of the Constitution for appointment of High Court Judge-Consultation with the Chief Justice would not mean consultation with collegium of High Court-Manner of proposal for a consultation with Chief Justice must take place in the manner as laid down in Ashish Handas case-Sub-section (1A) of Section 16 could not be said to be intended for appointment of the President of State Commission itself-Procedure contemplated under sub-section (1A) could apply only in respect of appointment of members-Government circular that procedure contemplated for Constitution of a Selection Committee would be equally applicable for appointment of President of State Commission was incorrect.

       The only point of disagreement between Ashish Handa (supra) and Ashok Tanwar (supra) was on the issue whether the consultation with the Chief Justice meant consultation with the collegium of the High Court. The manner of imitations of proposal for a consultation with the Chief Justice under Section 16(1)(a) of the Act must take place in the manner as laid down but the judgment of Ashish Handas case, (1996) 3 SCC 145.

Judgment

B.N. Srikrishna, J.—Leave granted.

2. What is the content of the statutory consultation with the Chief Justice of the High Court postulated under Section 16(1)(a) of the Consumer Protection Act, 1986 is the core issue subjected to debate before us in these two appeals.

3. The Consumer Protection Act, 1986 (hereinafter referred to as ‘the Act’) was brought into force on 24.2.1986. It is an Act “to provide for better protection of the interests of consumers and for that purpose to make provision for the establishment of Consumer Councils and other authorities for the settlement of consumers’ disputes and for matters connected therewith”. The Act established Fora at district level, State level and national level and laid down the procedure of appointing the member of the Fora their respective Chairmen. The dispute pertains to the statutory procedure contemplated for appointments of the Chairman of the State Commission-the Forum at the State level.

4. Section 16(1) provides for the composition of the State Commission including the appointment of the President and members of the State Commission. As originally enacted, Section 16 read as under:

“16. Composition of the State Commissioner.—(1) Each State Commissioner shall consist of—

(a) a person who is or has been a Judge of a High Court, appointed by the State Government, who shall be its President.

(b) Two other members who shall be persons of ability, integrity and standing and have adequate knowledge or experience of, or have shown capacity in dealing with, problems relating to economics, law, commerce, accountancy, industry, public affairs and administration, one of whom shall be a woman.

5. By (Amendment) Act 50 of 1993, which was retrospectively made effective with effect from 18.6.1993, an amendment was made to Section 16 by the addition of a proviso and the amended Section as under:

“16. Composition of the State Commission.—(1) Each State Commissioner shall consist of—

(a) a person who is or has been a Judge of a High Court, appointed by the State Government, who shall be its President:

Provided that no appointment under this Clause shall be made except after consultation with the Chief Justice of the High Court;

(b) two other members who shall be persons of ability, integrity and standing and have adequate knowledge or experience of, or have shown capacity in dealing with, problems relating to economics, law, commerce, accountancy, industry, public affairs and administration, one of whom shall be a woman:

Provided that every appointment made under this Clause shall be made by the State Government on the recommendation of a Selection Committee consis-ting of the following namely:

(i) President —Chairman

of the State

Commission

(ii) Secretary of —Member

the Law

Department

of the State

(iii) Secretary —Member

incharge of

the Depart-

ment dealing

with Consumer

Affairs in the

State

6. By a further amendment, vide (Amendment) Act, 62 of 2002, Section 16(1)(b) was substituted by new provision of Sub-sections (1A) and (1B) which were inserted in Section 16. The amended Section 16, brought into force with effect from 15.3.2003, reads as under:

“16. Composition of the State Commission—(1) Each State Com-mission shall consist of—

(a) a person who is or has been a Judge of a High Court, appointed by the State Government, who shall be its President:

Provided that no appointment under this Clause shall be made except after consultation with the Chief Justice of the High Court.

(b) Not less than two, and not more than such number of members, as may be prescribed, and one of whom shall be a woman, who shall have the following qualifications, namely:

(i) be not less than thirty-five years of age;

(ii) possess a bachelor’s degree from a recognised university; and

(iii) be persons of ability, integrity and standing, and have adequate knowledge and experience of at least ten years in dealing with problems relating to economics, law, commerce, accounta




















































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