Translate
Text Highlighter

Bookmark

PDF

Share

Report a problem
AMICUS AI
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Acts
  • Sections 240(2)(3), 241, 248, 266 and 276 of the Government of India Act, 1935
  • provisions of S. 240(3) of the Government of India Act of 1935,
  • SECTION 240 GOVERNMENT OF INDIA ACT 1935
  • GOVERNMENT OF INDIA ACT 1935
  • S. 241(2)(b) of the Government of India Act of 1935.
  • Article 14 of the Limitation Act.20.
  • Article 120 of the Limitation Act
  • Article 14 of the Limitation Act
  • article of the Limitation Act.22.
  • Article 131, Limitation Act.
Are you a practicing lawyer?
Enhance your digital presence and reach by creating a Casemine profile.
Upload pleading to use the new AI search
Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Acts
  • Sections 240(2)(3), 241, 248, 266 and 276 of the Government of India Act, 1935
  • provisions of S. 240(3) of the Government of India Act of 1935,
  • SECTION 240 GOVERNMENT OF INDIA ACT 1935
  • GOVERNMENT OF INDIA ACT 1935
  • S. 241(2)(b) of the Government of India Act of 1935.
  • Article 14 of the Limitation Act.20.
  • Article 120 of the Limitation Act
  • Article 14 of the Limitation Act
  • article of the Limitation Act.22.
  • Article 131, Limitation Act.
Smart Summary

Case Summary: Dwarka Prasad — Opinion of Mukerji, J.

Factual and Procedural Background

The plaintiff, Dwarka Prasad, was appointed Junior Assistant Registrar, Co-operative Societies on 15-10-1921. He was dismissed by an order of the Registrar dated 4-9-1939. On appeal to the Governor, the Governor's order of 3-5-1940 set aside the earlier removal and directed that the plaintiff "will now be treated as under suspension" from the date of removal, with a subsistence allowance equal to 1/6th of his pay. Later proceedings culminated in a final order of dismissal by the Governor on 23-8-1941. The plaintiff's petitions for reconsideration to the Governor were unsuccessful.

On 2-5-1944 the plaintiff gave notice under Section 80 of the Criminal Procedure Code of his intention to sue the Government for wrongful dismissal and unpaid salaries. A plaint filed in forma pauperis was presented on 11-7-1944 and the Court allowed the plaintiff to sue in forma pauperis and registered the plaint on 16-12-1944.

The plaint sought (a) a declaration that the Governor's dismissal order was wrongful/illegal/ultra vires and reinstatement; (b) arrears of pay, damages and future pay at Rs. 220 per month until reinstatement; and (c) interest and costs. The United Provinces Government defended principally on two legal grounds: (1) that the suit was barred by limitation; and (2) that arrears of salary could not be recovered from the Crown. The trial Court dismissed the suit on both grounds. The plaintiff appealed.

Legal Issues Presented

  1. Whether the dismissal of the plaintiff was illegal and void (specifically whether it contravened Sections 240(2)(3), 241, 248, 266 and 276 of the Government of India Act, 1935, read with relevant Classification, Control and Appeal Rules).
  2. Whether the procedure adopted in the disciplinary enquiry was illegal or defective and in contravention of R.55 of the Classification, Control and Appeal Rules and provisions of the Public Servants Inquiry Act, 27 of 1850, and, if so, its effect.
  3. Whether the plaintiff's suit was barred by limitation.
  4. Whether a public servant may, by suit, recover arrears of salary or subsistence allowances from the Crown (i.e., whether such claims are maintainable against the Government).

Arguments of the Parties

Plaintiff / Appellant

  • The plaintiff argued that the notice to show cause provided to him occurred at a stage earlier than that contemplated by S.240(3) of the Government of India Act, 1935, so that he was not given the statutory opportunity to show cause against the proposed action; consequently the dismissal was invalid.
  • The plaintiff sought a declaration of illegality/ultra vires of the dismissal, reinstatement, arrears, damages and future pay and interest.

Defendant / Respondent (United Provinces Government)

  • The Government's written statement relied on two principal legal contentions: (1) the suit was barred by limitation as it was filed more than one year after dismissal; and (2) a public servant holding office at the pleasure of the Crown could not claim arrears of salary from the Crown by suit.
  • On appeal before this Court, Mr. Dhaon for the respondent additionally argued that the legal representatives of the deceased plaintiff could not obtain relief after the plaintiff's death, or at most could be entitled only to monies to the date of the suit (an argument based on Article 131 of the Limitation Act, as presented in the opinion).

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
High Commissioner for India v. I.M. Lall, AIR 1948 PC 121 (Privy Council) Interpretation of S.240(3) of the Government of India Act, 1935: the requirement that the civil servant be given a reasonable opportunity of showing cause applies only when a definite conclusion has been reached on charges and a provisional determination of the punishment is made (i.e., the words are mandatory). The Court adopted the Privy Council's interpretation to hold that the notice given to the plaintiff was premature (given before charges were proved and before the stage when action was proposed), rendering the dismissal invalid.
Abdul Vakil v. Secretary of State, AIR 1943 Oudh 368 Distinction between Article 14 and Article 120 of the Limitation Act: suits seeking declaration that an order is invalid or ultra vires are governed by Article 120, not Article 14. The Court relied on this authority to conclude that Article 14 did not apply to ultra vires dismissals and that Article 120 was the proper article for limitation; consequently the suit was within time.
Secretary of State v. Parashram Madhavrao, AIR 1934 PC 108 Clarification that Article 14 of the Limitation Act applies when a plaintiff seeks to set aside an act or order (i.e., not where the order is ultra vires/nullity) and discussion of Article 131 in the Privy Council's reasoning. The Court cited this case to support the proposition that Article 14 is not applicable where the order is ultra vires and to explain why Article 120, not Article 14, applied to the plaintiff's suit.
State of Bihar v. Abdul Majid, AIR 1954 SC 245 (Supreme Court) Establishes that Indian law (as explained by the Supreme Court) permits a public servant to recover arrears of salary from the Crown; Section 240 of the Government of India Act places restrictions on the Crown's pleasure and makes breaches justiciable. The Court relied on this decision to reject the respondent's contention that arrears could not be recovered and to hold that the plaintiff could claim arrears or subsistence allowances by suit.

Court's Reasoning and Analysis

The Court addressed the legal issues in sequence and applied statutory interpretation informed by precedent.

  1. Interpretation of S.240(3) (legality of dismissal):
    • The Court followed the Privy Council in High Commissioner for India v. I.M. Lall: S.240(3) is mandatory and requires that a civil servant be given a reasonable opportunity to show cause only when "action is proposed" — i.e., after charges have been proved and a provisional determination of punishment is reached.
    • In the present case the notice given to the plaintiff occurred at a stage before the charges were proved and before the stage when any specific action was proposed. The Court therefore held that the notice was invalid for the purposes of S.240(3), and the resulting dismissal was ultra vires and invalid.
  2. Limitation:
    • The trial Court had held Article 14 of the Limitation Act applied (one-year bar to set aside acts/orders). The present Court analyzed the scope of Article 14 and concluded it applies where there is no question of ultra vires or nullity.
    • Relying on Abdul Vakil and Secretary of State v. Parashram Madhavrao, the Court held that where an order is claimed to be ultra vires, Article 120 of the Limitation Act is the appropriate provision. On that basis the Court found the suit was within time and the trial Court's application of Article 14 to bar the suit was unsustainable.
  3. Recoverability of arrears from the Crown:
    • The Court considered the established English principle that a civil servant "holds office at the pleasure of the Crown" (durante bene placito) and may have no cause of action for wrongful dismissal. It noted, however, that Section 240 of the Government of India Act, 1935, imposes statutory restrictions that limit that pleasure and make breaches justiciable.
    • Relying on the Supreme Court decision in State of Bihar v. Abdul Majid, the Court concluded that under Indian law a public servant may recover arrears of salary or subsistence allowances from the Crown by suit.
  4. Effect of plaintiff's death and relief to legal representatives:
    • The plaintiff died during the pendency of the appeal (21-11-1951). The Court held that although the deceased plaintiff's legal representatives could not obtain the personal declaratory relief sought by the plaintiff after his death, they were entitled to the legal finding that the dismissal was wrongful and to the monetary consequences of that finding (i.e., sums that accrued to the plaintiff and would pass to his representatives).
    • The Court rejected the respondent's submission that legal representatives could be entitled to nothing or only to sums up to the date of the suit; it found that the legal representatives could claim sums that accrued to the plaintiff by reason of the illegal dismissal.
  5. Quantification and remand:
    • The Court determined it could not compute the exact monetary amount due to the plaintiff's estate from the materials before it. It therefore directed that an issue be sent to the trial Court to determine "What is the amount to which Dwarka Prasad would have been entitled to under the Fundamental Rules from 11-7-1941 to the date of his death (21-11-1951)" (the Court observed that suspension began earlier but framed the computation period for trial Court determination).
    • The Court identified R.53 of the Fundamental Rules (framed under S.241(2)(b) of the Government of India Act, 1935) as governing the subsistence/suspension entitlements and stated the plaintiff was entitled to emoluments admissible under the Fundamental Rules while under suspension.
    • Directions were given that the trial Court should return the finding within three months and that parties would have ten days to file objections to the finding.

Holding and Implications

Holding: The appeal is allowed in part: the trial Court's dismissal of the plaintiff's suit on the grounds of limitation and non-recoverability of salary is set aside; the dismissal of the plaintiff was held to be illegal/ultra vires; and the plaintiff (through his legal representatives) is entitled to recover such sums as would have accrued to him under the Fundamental Rules while under suspension.

Implications (direct effects on the parties):

  • The trial Court's conclusions that the suit was barred by Article 14 of the Limitation Act and that arrears could not be recovered from the Crown were set aside.
  • The dismissal dated 23-8-1941 was declared illegal/ultra vires; although the deceased plaintiff's legal representatives cannot obtain the personal declaratory relief the plaintiff sought, they are entitled to a judicial finding of wrongful dismissal and to the monetary consequences flowing from that finding.
  • The Court remanded the matter to the trial Court to quantify the sums due to the plaintiff's estate under R.53 of the Fundamental Rules (framed under S.241(2)(b)), specifying the period for quantification (11-7-1941 to 21-11-1951) and fixed timelines for return of the finding and for objections.

The opinion does not purport to lay down any broader new principle beyond its application of existing authorities; it applies established precedents (as cited) to the facts and remands the factual quantification to the trial Court.

Prepared from the opinion of Mukerji, J., as provided. This summary strictly reflects only the information contained in the supplied text.

    Jagdish Prasad Mathur v. United Provinces Government

    Mukerji, J.:— This is an appeal by a plaintiff whose suit was dismissed by the trial Court on two grounds, namely—

    (1) on the ground of limitation: and

    (2) on the ground that the money which was in the nature of arrears of salary was not recoverable.

    2. The facts giving rise to this litigation briefly stated were these — the plaintiff, Dwarka Prasad, was appointed a Junior Assistant Registrar, Co-operative Societies, on 15-10-1921. After serving for some years he got into trouble with the result that he was dismissed on 4-9-1939 by an order of the Registrar. He preferred an appeal to the Governor, who, by his order of 3-5-1940 set aside the earlier order of dismissal of Dwarka Prasad, the plaintiff. This is what was said in the order namely—

    “Babu Dwarka Prasad will now be treated as under suspension with effect from the date of his removal till such time as Government pass orders in this matter. During the period of his suspension he will draw subsistence allowance equal to 1/6th of his pay.”

    3. Subsequent to the aforesaid order other proceedings were taken, and the Governor finally made the order of dismissal of the plaintiff on 23-8-1941. The plaintiff made certain petitions to the Governor for a reconsideration of his case but these petitions proved abortive and his dismissal remained effective.

    4. On 2-5-1944 the plaintiff gave notice to the Government under Section 80 of the Cr PC for filing a suit against the Government for wrongful dismissal and also claiming therein such salaries as would be payable to him in respect of the wrongful dismissal. On 11-7-1944 a petition in ‘forma pauperis’ was filed by the plaintiff accompanied with the proposed plaint. On 16-12-1944 the Court permitted the plaintiff to sue in ‘forma pauperis’ and his plaint was registered, as such on that date.

    5. In his plaint the plaintiff worded his reliefs in these words—

    (a) A declaration be given to him that the order of dismissal passed by His Excellency the Governor of the United Provinces was not passed in due course of law and was wrongful, illegal and ‘ultra vires’ and that notwithstanding the order the plaintiff is still in the service of the Crown as Inspector Co-operative Societies and entitled to enjoy all other rights and privileges as are incumbent on his office and the plaintiff be reinstated as Inspector Co-operative Societies with all the rights and privileges incumbent on his office.

    (b) that arrears of pay as claimed along with damages as well as future pay at the rate of Rs. 220/- per month till the date of reinstatement be allowed to him: and

    (c) that the plaintiff may be allowed reasonable amount of interest on the arrears of pay as well as costs of the suit.

    6. The plaintiff also prayed that the Court may grant any other relief that it may think appropriate in the circumstances of the case.

    7. The plaint is a long document and sets out in great detail the facts and the grounds on which the plaintiff claimed his reliefs. In a written statement filed on behalf of the United Provinces Government, as it then was, stand was mainly taken on two questions of law—

    (1) that the suit was barred by limitation, having been filed more than one year beyond the date of dismissal and

    (2) that the plaintiff was entitled to claim no salary even if the dismissal was void because the plaintiff held his position at the pleasure of the Crown and he could claim no arrears of salary by a suit from the Crown.

    8. The trial Court as we have already said, dismissed the plaintiff's suit holding against the plaintiff on both the points of law raised against him.

    9. The trial Court framed four issues in all in the suit. The first issue was—

    “Is the dimissal of the plaintiff illegal and void being in contravention of Sections 240(2)(3), 241, 248, 266 and 276 of the Government of India Act, 1935 read with R. 4 made by U.P Government, in exercise of the powers conferred by R. 54 of the Classification, Control and Appeal Rules?”

    10. The second issue was—

    “Was the procedure adopted in the enquiry illegal and defective and in contravention of R. 55 of the Classification, Control and Appeal Rules and also Sections 2, 3, 10, 13, 15, 18 and 19 of the Public Servants Inquiry Act, 27 of 1850? If so, its effect?”

    11. The fourth issue was — “Is the suit barred by time?” The third one was the usual issue which is framed in such suits, namely “To what relief, if any, is the plaintiff entitled?” On the first issue the Court below came to the conclusion that the dismissal of the plaintiff was not illegal or void. The determination of that issue was had on an interpretation by the Court below of S. 240 and the other relevant sections of the Government of India Act of 1935.

    12. The exact scope of S. 240, Cl. (3) is no more a matter of controversy after..the decision of the Privy Council in the case of — ‘High Commr. for India v. I.M Lall’, AIR 1948 PC 121 (A), the relevant portion of S. 240(3) is in these words—

    “No such person as aforesaid shall be dismissed or reduced in rank until he has been given a reasonable opportunity of showing cause against ‘the action proposed to be taken’ in regard to him.”…………………

    13. Their Lordships of the Privy Council in ‘I.M Lall's case (A)’, referred to above, held that the words of S. 240(3) are mandatory and it was the opinion of their Lordships that the person against whom any punishment is contemplated must have an opportunity of showing cause against it. Indeed, their Lordships say that in their opinion no action is proposed within the meaning of the sub-section until a definite conclusion has been come to on the charges, and the actual punishment to follow is provisionally determined on.

    14. Prior to that stage, their Lordships say the charges are improved and “the suggested punishments are merely hypothetical.” It is on that stage being reached that the statute gives the civil servant the opportunity for which sub-s. (3) makes provision. It is on this interpretation of that sub-clause that their Lordships held the view which now is the settled view of the law that a Government servant must have notice, possibly a second notice of the action which is proposed to be taken against him.

    15. In this particular case the notice that the plaintiff had was at a stage much earlier than the stage when any question of the action to be taken could arise. The notice was given to him when the charges against him had yet to be proved. The argument of the learned counsel for the plaintiff-appellant, therefore, was that the view of the Court below, that the notice which had been given to the plaintiff in the first in stance calling upon him to show cause was not a notice that complied with the provisions of S. 240(3) of the Government of India Act of 1935, was correct.

    16. In view of the Privy Council decision already referred to we must hold that the argument of learned Counsel for the plaintiff-appellant was right. The dismissal of the plaintiff, therefore, as a consequence of the invalid notice and without his having had an opportunity of showing cause against the proposed action contemplated was invalid in law and could not be deemed to be a proper dismissal.

    17. The other question on which the plaintiff failed in Court below was the question of limitation. The trial Court held that Article 14 of the Limitation Act applied to the case. Article 14 is in these words—

    “To set aside any act or order of an officer of Government in his official capacity, not herein otherwise expressly provided for. One Year The date of the act or order”

    18. The suit of the plaintiff was not to set aside any “act” or “order” of any officer of Government in his official capacity. The plaintiff's suit was as we have pointed out earlier, a suit for declaration to the effect that his order of dismissal was illegal and ‘ultra vires’. There is good authority for the view that Article 14 of the Limitation Act does not apply to those cases where the act or order of any officer is ‘ultra vires’ or without jurisdiction or is otherwise a nullity.

    19. That article applies only to such cases where there is no question of the ‘ultra vires’ of the order or of the want of jurisdiction of the person making the order but where the order is sought to be set aside on some other ground. Mr. Dhaon appearing for the respondent has frankly conceded, and very properly so, that is the true scope of Article 14 of the Limitation Act.

    20. In the case of ‘Abdul Vakil v. Secy of State’, AIR 1943 Oudh 368 (B), a Bench of the Chief Court of Oudh, as it then was held that where a suit was for a declaration that an order of dismissal was invalid or ultra vires, Article 120 of the Limitation Act applied and not Article 14. In the case of the — ‘Secretary of State v. Parashram Madhavrao’, AIR 1934 PC 108 at p. 112(C), their Lordships pointed out that Article 14 of the Limitation Act applies only when the plaintiff seeks to set aside an act or an order.

    21. In this case their Lordships of the Privy Council applied Article 131. That article was applied because on the facts of the case before their Lordships of the Privy Council there was a recurring right. In the case before us there is no such right. Therefore in our view the only proper article that would apply to this case was Article 120 of the Limitation Act, inasmuch as, no specific provision has been made for the type of suit that the plaintiff has filed by any other article of the Limitation Act.

    22. The view of the learned Judge, therefore that the suit was barred by Article 14 of the Limitation Act was unsustainable. In our view the suit was well within time.

    23. The other ground on which the plaintiff has been denied relief is the ground that no public servant could claim arrears of salary from the Crown. After the decision of the — ‘State Of Bihar v. Abdul Majid’, AIR 1954 SC 245 (D), there can be, no doubt, now that the rule as obtains in England in regard to the recovery of salary by a public servant from the Crown by way of a suit is different from the law in regard to this matter in India. The learned Chief Justice of the Supreme Court who delivered the judgment of the Court has pointed out that—

    “the rule that a civil servant holds office at the pleasure of the Crown has its origin in the Latin phrase “durante bene placito” (“during pleasure”) meaning that the tenure of office of a civil servant, except where it is otherwise provided by statute, can be terminated at any time without cause assigned. The true scope and effect of this expression is that even if a special contract has been made with civil servant the Crown is not bound thereby.

    24. In other words, civil servants are liable to dismissal without notice and there is no right of action for wrongful dismissal, that is, that they cannot claim damages for premature termination of their services.”

    25. The learned Chief Justice further points out that—

    “this rule of English law has not been fully adopted in Section 240 of the Government of India Act of 1935.”

    26. According to the learned Chief Justice

    “Section 240 places restrictions and limitations on the exercise of that pleasure and those restrictions must be given effect to. They are imperative and mandatory. It follows, therefore, that whenever there is a breach of restrictions imposed by the Statute by the Government or the Crown the matter is justiciable and the party aggrieved is entitled to suitable relief at the hands of the Court.”

    27. The law therefore is that it is open to a public servant to recover the arrears of his salary by suit. This being the position, the decision of the Court below on this question also must be set aside and we must hold as we do that the plaintiff was entitled to recover such arrears of pay or subsistence allowance or any other remuneration to which under the law he was entitled by suit.

    28. We have held that the dismissal of the plaintiff was ‘ultra vires’ and illegal. We would have given the plaintiff the declaration which he sought in respect of his dismissal but we must notice, at this stage, the fact that the plaintiff died during the pendency of this appeal. He died on 21-11-1951 and this appeal is being continued in this Court by his sons and the widow as his legal representatives.

    29. These legal representatives are not entitled to the declaration to which the plaintiff would have been entitled but nevertheless the legal representatives are entitled to a finding that the plaintiff's dismissal on 23-8-1941 was an illegal dismissal. Mr. Dhaon appearing for the respondent contended that we could give no relief whatsoever to the legal representatives of the plaintiff after his death, inasmuch as, the primary relief and the other consequential reliefs sought by him were only personally available to the plaintiff and did not enure to the benefit of the legal representatives.

    30. The argument of Mr. Dhaon in its broad aspect is not sound, for we are unable to hold that in no case can the legal representatives be entitled to the benefit of a declaration which a plaintiff would have got if his rights were in some way dependent on such a declaration. In this case from the fact of the plaintiff's unlawful dismissal for certain consequences the result of which would affect the legal representatives in the absence of the plaintiff.

    31. The plaintiff was alive at the time when his dismissal was made. Indeed, he lived for over ten years after his illegal dismissal. The consequence of our holding that the dismissal was illegal must be, that the plaintiff would be entitled to the salaries or allowances or such other benefits that accrued to him under the law. To this money and it must be interpreted in terms of money in many a case, the legal representatives would be entitled to after his death.

    32. In this view of the matter it is impossible for us to say that with the death of the plaintiff the suit died and the Court could give no relief to the legal representatives who were before the Court continuing the appeal on behalf of and in place of the plaintiff. We, therefore, hold that although the legal representatives would not have been entitled to seek a declaration which the plaintiff sought after his death, they are entitled to our finding that the dismissal of the plaintiff was wrongful and further that they are entitled as a result of such a finding to the consequences that flow from such a finding.

    33. It is not, however, possible for us, even though we have found that the plaintiff's legal representatives were entitled to certain sums of money as a consequence of our holding that the dismissal of the plaintiff was illegal, to come to the exact figure and to pass a decree for that sum in favour of the appellant, for there is in this case not sufficient material for us to find out what exactly would be the amount to which the plaintiff would be entitled to from, the date of his suspension to the date of his death in the shape of emoluments or allowances or any other sums to which he may have been entitled under the fundamental rules.

    34. Mr. Dhaon appearing on behalf of the respondent has contended that the plaintiff's legal representatives could be entitled to nothing. At any rate they would be entitled to nothing more than the sum of money to which the plaintiff would have been entitled up to the date of the suit. This contention of Mr. Dhaon is based on a parity of reasoning which he developed on the language of Article 131, Limitation Act. We have been unable to agree with Mr. Dhaon's contention for we have seen no logic in his arguments.

    35. The plaintiff in our judgment would be entitled to all such sums as he would be under R. 53 of the Fundamental Rules framed by the Government of the United Provinces under S. 241(2)(b) of the Government of India Act of 1935. That rule as we found it is in these words—

    “A Government servant under suspension is entitled to a subsistence grant of such amount not less than one-fourth of his pay and not more than one-half of his pay as the suspending authority may direct, provided that in no case shall the amount of the subsistence grant exceed the maximum limits of leave salary on half average pay or half average substantive pay laid down in Fundamental Rules 87-A(2) and 89(2).”

    36. The learned Counsel for the appellant was unable to say or show that the suspension of Dwarka Prasad, the plaintiff by the order of the Governor dated 3-5-1940 was in any way invalid. That being so, the position remains that the plaintiff was properly under suspension from 3-5-1940, and he was entitled to such emoluments as would be admissible to him under the Fundamental Rules. We, therefore, consider it desirable to send down an issue to the Court below in order to determine the question as to the amount duel to the plaintiff at the time of his death. The I parties would be at liberty to give such evidence as they would wish to, in proof of the following issue—

    “What is the amount to which Dwarka Prasad would have been entitled to under the Fundamental Rules from 11-7-1941 to the date of his death (we are informed that the death took place on 21-11-1951).

    37. The Court below will return the finding to this Court within three months from today. The parties will have the usual ten days' time to file such objections to the finding that they may wish to.

    K.S.B

    38. Order accordingly.

    Use AI to get other relevant cases.

    Comments

    Jagdish Prasad Mathur v. United Provinces Government
    (Nov 8, 1954)