IN THE HIGH COURT OF BOMBAY AT GOA
M.S. SONAK, DAMA SESHADRI NAIDU, BHARATI H. DANGRE, JJ.
Vassudev Madkaikar and Others – Appellants
Versus
State of Goa and Others – Respondents
Writ Petition No. 92 of 2021
Decided On : 05-03-2021
Constitution of India - Article 226 - Article 12 - The cleavage of opinions between the two sets of perspectives on the issue as to whether a 'Goa State Cooperative Bank' is a 'State' within the meaning of Article 12 and whether the said Bank is discharging any public function - In case GSCB is not a 'State' within the meaning of Article 12 - Whether it performs any public functions, which would warrant issuance of writ in the nature of mandamus in discharge of its performance of the public functions – Held, The Goa State Cooperative Bank Ltd. is not a 'State' or an instrumentality thereof nor does it fall within the ambit of 'Any other authority' for the purposes of Article 12 of Constitution of India - The GSCB does not discharge any public functions, which would warrant issuance of writ in the nature of mandamus in discharge of its performance of public functions- There cannot be any dispute that writ is maintainable under Article 226 of Constitution of India even against a private management for enforcing the 'public duty' cast upon them, but it cannot be said that the same is available also for enforcing the terms and conditions of service in every situation- the Accountant who had knocked the doors of the Court who was aggrieved by issuance of a charge-sheet by the Socio-Economic Unique Foundation, a private Society without any government control, and which was held to be not answering the description of a State, an agency or instrumentality of State or that of any other authority, it was held that though acting as a accredited agent to the Government it discharges duties of public nature, mere service dispute in terms of non-statutory service rules does not permit the petitioner to take recourse to Article 226 of the Constitution of India - Writ Petition to be placed before the appropriate Bench for its consideration.
JUDGMENT :
BHARATI H. DANGRE, J.
1. The cleavage of opinions between the two sets of perspectives on the issue as to whether a 'Goa State Cooperative Bank' is a 'State' within the meaning of Article 12 and whether the said Bank is discharging any public function, so as to render it amenable to the writ jurisdiction of this Court under Article 226 is the issue placed for consideration of this Full Bench.
The two division benches of this Court, in Ganesh Morto Naik vs. Goa State Co-operative Bank Ltd. and in another case of Surendra J. Kalangutkar vs. Goa State Co-operative Bank Ltd. ruled that the Goa State Cooperative Bank Ltd. (hereinafter referred to as GSCB) is a 'State' for the purpose of Article 12 and that since it is discharging public functions, it is amenable to writ jurisdiction under Article 226 of the Constitution of India. On the other hand, the judgment delivered at Aurangabad, in case of Shri Suresh Bhanudas Shinde and Another vs. State of Maharashtra and Others, Writ Petition No. 334 of 2018 has taken a contradictory view, when confronted with the issue whether the District Cooperative Bank Ltd. is a 'State', in the backdrop of the grievances raised by one of its employees and held that the said Bank is not a 'State' within the meaning of Article 12 and even the exercise of writ jurisdiction was refused since the contractual terms between the employer and employee were held to be not subjected to any control of the State Government. Relegating the petitioner to avail other remedies available under the law, the writ petition was dismissed. Running parallel to the said view is the decision of the Full Bench of this Court in Shamrao Vithal Co-operative Bank Limited vs. Padubidri Pattabhiram Bhat, AIR 1993 Bom 91, which ruled that Multi State Co-operative Bank registered under the Maharashtra State Cooperative Societies Act, 1984 is not a 'State' within the meaning of Article 12, though it is governed by the Banking Regulations Act, 1949 and it performs public functions.
2. In view of the aforesaid conflicting decisions, the Division Bench (Justice M.S. Sonak and Justice Bharati Dangre, JJ.) of this Court while dealing with Writ Petition No. 92/2021, Vassudev Madkaikar and Others vs. State of Goa and Others deemed it appropriate to resolve the said contentious issues, as such issues recur in various matters, relating not only to the GSCB but also other Cooperative banks in the State of Goa and referred the matter for a decision by a Larger Bench. In terms of the said reference, the Hon'ble The Chief Justice was pleased to constitute the Larger Bench in terms of Chapter I, Rule 8 of the Bombay High Court Appellate Side Rules.
3. The question for our consideration, in light of the reference order can be precisely and accurately framed as under:
(ii) In case GSCB is not a 'State' within the meaning of Article 12, whether it performs any public functions, which would warrant issuance of writ in the nature of mandamus in discharge of its performance of the public functions.
Brief submissions:
The brief submissions advanced in favour, and against the reference question by respective parties:
4. In resolving the conflict, we are assisted by the learned Senior Counsel, Shri S.D. Lotlikar alongwith Mr. Chaitanya Padgaonkar representing the petitioner, the learned Advocate General Mr. Devidas J. Pangam with Ms. Sapna Mordekar, Additional Government Advocate and also by Mr. Girish Sardessai for the Respondent No. 3-GSCB and Mr. Vivek Rodrigues for the Intervenor. We have also heard the learned Senior Counsel Mrs. Agni in support of the proposition that GSCB is a 'State' and a writ would lie against it.
5. From the erudite submissions advanced by the illustrious counsels, though prolix in nature, the crystallate which emerges from the concentrate of distillate is capitulated and reproduced
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