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B.G Chavan v. The State Of Bombay, And Others Opponents
Summary of the Opinion (Chagla, C.J.)
Factual and Procedural Background
The councillors of the Nipani Borough Municipality were elected in June 1951 for a statutory period of three years under s.25(1) of the Bombay Municipal Boroughs Act, 1925. On 22 September 1951 the third opponent was elected President of the Municipality; the resolution specified the period of his office as three years, so his office expired on 21 September 1954.
On 22 September 1954 the Collector gave notice of a meeting to elect the successor, to be held on 9 October 1954. On 8 October 1954 the Collector postponed the meeting. The petitioner and some other councillors objected, made representations to the Collector and then to the Minister of Local Self Government, all to no avail. The petitioner filed a petition seeking a writ of mandamus directing the Collector to convene a meeting of the Municipality to elect a President in place of the third opponent.
Relevant statutory developments: Act XXXV of 1954 (in force 11 May 1954) amended the Bombay Municipal Boroughs Act, 1925 so that the life of the Municipality became four years (with Government power to extend in aggregate to five years). Act XXXV also added a second proviso to s.19 providing that where the term of office of a municipality is extended under the Act to an aggregate of up to five years, the president and vice-president holding office immediately before that extension shall continue until the extended term expires. Later, Act LIV of 1954 (in force 14 October 1954) further amended s.19 and was made retrospective to the date of Act XXXV of 1954 by s.3 of Act LIV.
The Collector took the view (relying on the second proviso added by Act XXXV of 1954) that the President who was in office immediately before the amendment continued in office until the extended municipal term expired; accordingly, he refused to convene the meeting. The petitioner challenges that view and seeks the mandamus to compel the Collector to call the election meeting.
Legal Issues Presented
- What is the true effect of Act XXXV of 1954 substituting four years for three years in s.25(1) of the Bombay Municipal Boroughs Act — does it operate by amending the principal Act (so the Act must be read as amended) or does it operate prospectively so as not to affect municipalities already elected for three years?
- Whether the second proviso added to s.19 by Act XXXV of 1954 (which provides continuity of president/vice-president where the term of office of a municipality is extended under the Act to up to five years) applies to an extension effected by the amending Act itself or only to an extension effected by a government order under s.25(1) of the main Act.
- Whether the Collector lawfully refused to convene a meeting for election of a new President, or whether the Collector has a statutory duty to convene such a meeting and may be compelled by mandamus to do so.
- Whether voters (and prospective candidates) possess vested rights in the duration of a municipality such that the amendment cannot affect their rights absent express enactment or necessary intendment.
Arguments of the Parties
Third Opponent's Arguments (Mr. Purushottam)
- The amending Act XXXV of 1954 is prospective in character and could not apply to Municipalities already elected for the statutory three-year period; it could apply only to Municipalities elected after the amendment came into force.
- Therefore, no question of electing a President could arise until general elections were held for this Municipality under the amended provisions.
Collector's Position
- The Collector relied on the second proviso added to s.19 by Act XXXV of 1954 and took the view that the President holding office immediately before the amendment continued to hold office until the date on which the extended term of the Municipality expired; consequently, no meeting needed to be convened to elect a new President.
Petitioner / Mr. Kalagate's Arguments
- Argued that voters possess two vested rights: (a) the right to vote at the end of three years to elect a new Municipality and (b) the right to offer oneself as a candidate. The amendment affects both rights and vested rights should not be taken away unless by express enactment or necessary intendment.
- Also urged that the Municipality's resolution electing the President for three years should be construed to continue for the life of the Municipality.
Government's Position (Mr. Desai)
- Mr. Desai was given time to consider the position on behalf of Government and subsequently made submissions; the opinion records that submissions were considered in relation to Mr. Purushottam's point. The opinion does not set out the detailed content of Mr. Desai's submissions.
Table of Precedents Cited
| Precedent | Rule or Principle Cited For | Application by the Court |
|---|---|---|
| Shamrao Parulekar v. State of Bombay | Where a subsequent Act amends an earlier one so as to incorporate itself (or part) into the earlier Act, the earlier Act must thereafter be read as if the altered words had been written into it (except where that would produce repugnancy, inconsistency or absurdity). | Applied to treat the principal Act as having been altered by Act XXXV of 1954 — the Act is to be read as amended so that the life of the Municipality is four years under the Act as it stands. |
| Crawford on Statutory Construction (cited, p.110) | When a section is amended, the original ceases to exist and the new section supersedes it and becomes part of the law as if the amendment had always been there. | Invoked to support the conclusion that the amended provision must be read into the main Act and that the substitution of four years for three means the municipal term is now four years under the Act. |
| Sutherland on Statutory Construction (cited, pp.431–432) | The act or code as amended should be construed as to future events as if it had been originally enacted in that form; the phrase "this Act" in an amended section generally refers to the whole Act as amended. | Used to justify reading "under this Act" as referring to the main Act as amended (not only to the amending Act) and to treat the amended Act as the operative statute for determining the municipal term. |
Court's Reasoning and Analysis
The court began by identifying the central interpretive question: the true effect of Act XXXV of 1954 which substituted four years for three years in s.25(1) of the principal Act.
Applying established principles of statutory construction (as stated in Shamrao Parulekar, Crawford and Sutherland), the court held that when an Act amends an earlier Act in this manner the earlier Act must be read as if altered words had been written into it. Thus the principal Act, as it stands after amendment, fixes the life of the Municipality at four years. The court explained that this is not a retrospective application of the amendment but an alteration of the rule that governs the future event (the election of councillors under "this Act" read as amended).
The court addressed the Collector's reliance on the second proviso added to s.19 by Act XXXV of 1954. It identified a critical textual point: the proviso refers to cases "where the term of office of a municipality is extended, under this Act, to a term not exceeding in the aggregate five years." The court construed "under this Act" to refer to the main Act as amended and not to the amending Act as a separate source of extension. Consequently, the only form of "extension" contemplated by the second proviso is an extension effected by an order of the Government under s.25(1) of the main Act — not an extension effected by incorporating a new statutory duration into the main Act by amendment.
Reading the Act as amended therefore produces the legal position that the statutory duration of the Municipality is four years; there is no "extension" by virtue of the amending Act that would trigger the second proviso. The court thus rejected the Collector's view that the President's three-year term was automatically extended to four years by Act XXXV of 1954.
On the argument of vested rights raised by Mr. Kalagate, the court observed that a voter’s primary vested rights are to vote and to stand as a candidate; the duration of the municipal body is a legislative matter of policy and may be altered by the Legislature. Even if the durations argued by Mr. Kalagate were treated as vested, the court found nothing to prevent the legislature from taking away such rights by necessary intendment, and the form of the amendment indicated legislative intent to affect the municipal term.
Turning to the Municipality’s resolution fixing the President’s term at three years, the court emphasized that the Municipality used clear and unambiguous language to fix a specific period of office. Even if the municipal life were four years, the Municipality could validly elect a President for three years and hold a subsequent election for the remainder. The court held that the Municipality’s indicated specific period must be given effect to.
Since the President’s term expired on 21 September 1954, s.23(1A) required a new President to be elected and the procedure in s.19A applied. The Collector therefore had a statutory duty to call a meeting for election of a President and had failed to discharge that duty. The court concluded that a writ of mandamus could and should issue to compel the Collector to convene the meeting.
Holding and Implications
Holding: The court made the rule absolute and directed the Collector to call a meeting of the councillors of the Nipani Borough Municipality as early as possible for the election of a new President. The court ordered Respondent No. 1 to pay the costs.
Implications:
- Direct effect on the parties: the Collector is compelled to convene the meeting for election of a President and Respondent No. 1 must pay costs.
- Legal consequence as applied in this opinion: the amending Act must be read into the principal Act so that the municipal term (as amended) is four years; the second proviso to s.19 applies only where the term is extended by an order of Government under s.25(1), not where the statutory duration has been altered by an amendment incorporated into the main Act.
- The opinion applies established principles of statutory construction to resolve whether an amendment operates as an "extension" triggering a proviso; it does not state that a new judicial precedent beyond this application is being created.
Disposition in the opinion: Rule absolute. (Order signed "G.N.V.")
Chagla, C.J:—
The Councillors of the Nipani Borough Municipality were elected in June 1951 for a period of three years. That was the life of the Municipality under s. 25(1) of the Bombay Municipal Boroughs Act, 1925. On September 22, 1951, the third opponent was elected the President of the Municipality and the resolution electing him specified the period of his office as three years. His office expired on September 21, 1954. On September 22, 1954, the Collector gave notice of a meeting to elect his successor and that meeting was to be held on October 9, 1954. On October 8, 1954, the Collector postponed the meeting and the petitioner and some other councillors objected to the postponement of the meeting. A representation was sent to the Collector and he was asked to hold another meeting. The Collector refused to convene a meeting. A remainder was sent to the Minister of Local Self Government on October 29, 1954, which also met with the same fate and ultimately the petitioner has come before us on this petition for a mandamus directing the Collector to convene a meeting of the Municipality for electing a President in the place of the third opponent.
Now, it is necessary to draw attention to certain amendments that were made in the Bombay Municipal Boroughs Act, 1925. By Act XXXV of 1954 which came into force on May 11, 1954, the life of the Municipality was extended from three years to four years. Under s. 25(1) the life of the Municipality which was originally three years was extensible by order of Government to a term not exceeding four years and by this amendment the life of the Municipality could be extended by order of Government to five years. Therefore, the result of the amendment was that the statutory period of the Municipality was four years and the Government had a right further to extend that period for a term not exceeding five years. Section 19 of the Act provided for the term of office of President and the term of office was to be not less than one year and not exceeding three years and it was left to the Municipality to determine out of these two periods what should be the life of the President. The first proviso to this section was intended to deal with cases where the election of the successor took some time and the successor was not elected before the expiry of the office of the original incumbent and the first proviso, therefore, stated that
“the term of office of such president shall be deemed to extend to and expire with the date on which his successor is elected.”
A second proviso was added by Act XXXV of 1954 and that is the relevant proviso on which the Collector has relied in not convening the meeting and that proviso is:
“Provided further that where the term of office of a municipality is extended, under this Act to a term not exceeding in the aggregate five years the president and vice-president holding offices immediately before the date with effect from which such term is extended shall continue to hold their respective offices until the date on which the term so extended expires.”
And the view taken by the Collector is that inasmuch as the President was holding office before Act XXXV of 1954 extended the term of office of the Municipality his office should continue until the extended term expires and, therefore, according to the Collector the President's term of office was automatically extended from three years to four years. This is the view that the petitioners challenge in these petitions.
Now, we may refer to another amending Act that was passed and that is Act LIV of 1954 which came into force on October 14, 1954. In s. 19 the maximum term of the President's office was to be four years instead of three years and “not less than one year” which was the minimum term of office was qualified by “or not less than the residue of the term of office of the Municipality whichever was less;” so that by reason of this amendment the President could be elected for a shorter period than one year provided that period was the residue of the term of office of the Municipality and by s. 3 these amendments were made retrospective to come into force with Act XXXV of 1954. Now, a rather interesting point was raised by Mr. Purushottam on behalf of the third opponent which was a matter of some considerable importance and, therefore, we gave time to Mr. Desai to consider the position on behalf of Government and Mr. Desai has now made his submission. What was urged by Mr. Purushottam was that the amending Act XXXV of 1954 was prospective in character and it could not possibly apply to the Municipalities which had been elected for the statutory period of three years. According to him, the Act could only apply to Municipalities which would be elected after the amending Act came into force and, therefore, according to him, no question of electing a President can arise until general elections have been held with regard to this Municipality. Now, what we have to consider is what is the true effect of Act XXXV of 1954 substituting four years for three years in s. 25(1). The Supreme Court in Shamrao Parulekar v. State of Bombay(2) has considered the effect of an amending Act and it is laid down that when a subsequent Act amends an earlier one in such a way as to incorporate itself, or a part of itself, into the earlier, then the earlier Act must thereafter be read and construed (except where that would lead to a repugnancy, inconsistency or absurdity) as if the altered words had been written into the earlier Act with pen and ink and the old words scored out so that thereafter there is no need to refer to the amending Act at all. The same principle is enunciated in Crawford on Statutory Construction at page 110:
“But where a section of a statute is amended, the original ceases to exist and the new section supersedes it and becomes a part of the law just as if the amendment had always been there.”
And in Sutherland on Statutory Construction it is stated at page 431:
“The act or code as amended should be construed as to future events as if it had been originally enacted in that form.”
Therefore, applying this principle to the amending Act, the position is that when we are to-day considering what is the life of the Municipality we must look at the Act as it stands to-day amended by the amending Act. The original Act has ceased to exist and what has to be given effect to is the Act as amended. Therefore, reading the original Act as amended, the position is that the councillors elected at a general election under this Act shall hold office for a term of four years. It would not be true to say that this is giving retrospective effect to the amendment. The amendment deals with a future event viz. the election of the councillors and it is this future event that is altered or modified by the amendment. It is also material to note that, as the Act is amended, the expression that we have to construe is “under this Act” and not “under the amending Act” and there again Sutherland at page 432 states:
“The phrase ‘this Act’ in a section as amended is generally held to refer to the whole Act as amended and not merely to the amending Act.”
Therefore, it was under the original Act and not under the amendment that the life of the Municipality was fixed at four years.
Now, it is urged by Mr. Kalagate that there are two vested rights that a voter has. One is to vote at the end of three years and have a new Municipality elected and the other is to offer himself as a candidate, and according to Mr. Kalagate, this amendment affects both the vested rights and we should not hold that vested rights have been taken away unless it is so done by express enactment or necessary intendment. It is difficult to accept the view that a voter has a vested right in the duration of the body which he elects. His vested right is the right to vote and it may be that his vested right is also to stand as a candidate. But the question as to the duration of the Municipality is a question of policy which is for the legislature to determine from time to time. When the election took place undoubtedly by statute the duration of the Municipality was fixed for three years. But it was open to the Legislature on grounds of policy to extend that period and fix the duration at four years and not at three years. But even assuming that the rights suggested by Mr. Kalagate are vested rights, there is nothing to prevent the legislature from taking away those rights. It is not necessary that the rights should be taken away expressly. It is sufficient if they are taken away by necessary intendment and, in our opinion, looking at the form that the amendment has taken and looking to the canon of construction which must be applied to the amendment, it is clear that the legislature did intend that the voters' rights relied upon by Mr. Kalagate were to be affected by fore, in our opinion, the duration of which the Act applied was extended years to four years.
Now, turning to the main question as to the action taken by the Collector, he obviously seems to have taken the view that the term of office of the Municipality was extended under the amending Act and, therefore, the President must continue to hold office until the date on which the term so extended expired. The fallacy underlying this reasoning is that the expression “under this Act” referred to in the second proviso is not to the amending Act but to the main Act and, therefore, the extension must be under the main Act and not under the amending Act. The only extension that the main Act contemplates is by an order of the Government under s. 25(1). As we have already pointed out, the office of a Municipality is extensible and that extension can be brought about by the Government by a proper order. It is that extension to which the second proviso refers. The Collector thought that inasmuch as the amendment extended the life from three years to four years, the proviso applied to that extension. But if we incorporate the amendment in the main Act, as we must do, then there is no question of extension. The original Act must be read as it was amended and therefore, the only extension that the second proviso can contemplate is the extension which the State Government can bring about by issuing an order under s. 25(1). Therefore we are dealing here with a case where the term of office of the Municipality has not been extended at all. Four years is its statutory duration and, therefore, no question can arise of the term of office of the President being extended by reason of the extension of the duration of the Municipality. Now, Mr. Kalagate has urged that when the Municipality elected the President for a period of three years, its natural life was three years and the Municipality contemplated that the President should continue to hold office so long as the Municipality continued to exist and says Mr. Kalagate that if by reason of legislative amendment the life of the Municipality has been extended to four years, we must construe the resolution of the Municipality to mean that the President should continue in office not for three years but for four years. In our opinion, in the first instance, the Municipality has used clear and unambiguous language and has fixed the period of office of the President at three years. Even assuming the natural life of the Municipality was four years and not three years, there was nothing to prevent the Municipality from appointing the President for a period of three years and having another election of a President for the remaining one year. In the second place, it is not true to say that in no eventuality the life of the Municipality could have been extended when the third opponent was elected the President. As we have already pointed out, the office of the councillors was extensible by the Government and, therefore, if by a notification the Government had extended the life of the Municipality from three years to four years, in any view of the case a new election would have to be held by the Municipality for the President. Therefore, there is no reason whatever for us to assume that the Municipality intended that the President should hold office for a longer period than three years or during the statutory term of office of the councillors. The Municipality have indicated the specific period and we must give effect to the intention of the councillors. If, therefore, the term of office of the President expired on September 21, 1954, under s. 23(1A) a new President has to be elected and the procedure to be followed is the same as laid down in s. 19A. The Collector has to call a meeting for the election of a President. This is a statutory duty cast upon the Collector and the Collector has failed to discharge this statutory duty. Therefore, it is open to us to issue a mandamus upon him and call upon him to discharge this statutory duty.
We will, therefore, make the rule absolute and direct the Collector to call a meeting of the councillors of the Nipani Borough Municipality as early as possible for the election of a new President, Respondent No. 1 to pay the costs.
Rule absolute
G.N.V
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