N.C.C.F. is not an 'instrumentality' nor an 'agency' of the "State" within the meaning of Article 12 of the Constitution of India.

Y.B. Suryawanshi, J.

1. The petitioners, employees of respondent No. 1, the National Co-operative Consumers' Federation of India Limited ('N.C.C.F.' for short), have filed this petition under Article 226 of the Constitution of India, principally challenging the non-compliance of the policy of 'equal pay for equal work', and also discriminatory attitude in the payment of emoluments of fixed pay and daily wages to the ad hoc employees vis a vis regular employees of the same cadre, doing similar work.

2. The petitioners are all employees of the respondent N.C.C.F., posted in its Indore Branch. The petitioner No. 1 Ramu Ram Sahu is working since 7-5-84 as L.D.C. on a fixed pay of Rs. 662/r per month both the petitioners Nos. 2 and 3 are working as ID.Cs. since 10-8-84, on a fixed pay of Rs. 662/- per month; the petitioner No. 4 is employed since 23-1-84, as Junior Accounts Clerk also on fixed pay as above, whereas, petitioner No. 5 is employed since 12-1-84 as a Peon on daily wages at the rate of Rs. 15.90 per day.

3. According to the petitioners, the N.C.C.F. is a society registered under the Delhi Co-operative Societies Act, 1973, fully controlled by the Government of India and is an "instrumentality" of the Union of India created for the purpose of co-ordinating activities of the Co-operative Consumers' Societies in the States. The main object of the N.C.C.F. is to assist, aid and counsel its member institutions as per principles of cooperation and to facilitate their working and generally to act as Spokesman of Consumers' Co-operative movement in India and also to assist organisation and promotion of consumers' co-operative institutions. For the purpose of achieving its objects, the N.C.C.F. has been given liberty by its bye-laws to secure from the Government or other sources, requisite facilities, assistantance, financial aid. The membership, according to its bye-laws, is open to apex level Consumer Co-operative Federations in the States and other entities. The Government of India, the National Cooperative Union of India, N.A.F.E.D. or any other national level co-operative organisation on reciprocal basis constitute its membership. There is a "Board of Directors" of the N.C.C.F. which consists of: (i) one representative of the State Level Federation of Societies admitted to membership; (ii) 3 nominees of the Government of India; (iii) one nominee each of the National Co-operative Union of India, the National Co-operative Development Corporation of India, National Agricultural Co-operative Marketing Federation of India and any other national level co-operative organisation on reciprocal basis; (iv) the Managing Director-- (a) 9 Directors to be elected by the member consumer co-operative societies and other co-operative societies engaged in retail distribution of a consumer goods; (b) one Director to be elected by the member Central/Wholesale Consumers' Cooperative Society admitted to membership; and (c) not more than 2 eminent co-operators or economists or management experts, as may be co-opted by the Board of Directors, provided that the co-opted members shall have no right to vote. Under the bye-laws, even the "general body" cannot remove the Government nominees from the Board of Directors.

4. The petitioners have further averred that Shri Chatterjee, I.A.S., has been appointed as the "Managing Director"; and at present the Board of Directors has been superseded and Shri K.C. Pandya, I.A.S., has been appointed as Administrator in place of the Board. Therefore, the N.C.C.F. is an "instrumentality" of the Union of India and is fully controlled by it and is, therefore, 'State' within the meaning of Article 12 of the Constitution of India and it, therefore, cannot violate the fundamental rights of its employees.

5. It is further averred that the petitioners have been throughout discriminated in violation of Articles 14 and 16 of the Constitution of India. The respondents are not honouring the principle of "equal pay for equal