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1996 INSC 635
Equivalent Citations
citation codes
Case Number
Disposition
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  • Section 5, Subsection 2 of the 1983 Income Tax Act
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Cites
Cited by
Citation Codes
Neutral Citations
1996 INSC 635
Equivalent Citations
citation codes
Case Number
Disposition
Advocates
Judges
Acts
  • Section 5, Subsection 2 of the 1983 Income Tax Act
Smart Summary

Supreme Court of India: Case Summary

Factual and Procedural Background

The Himachal Pradesh Road Transport Corporation (“the Corporation”) challenged two separate orders of the Himachal Pradesh Administrative Tribunal:

  • OA No. 423 of 1995 (order dated 27-3-1995) concerning Shri Dinesh Kumar, son of the late Shri Hari Krishan, an Accountant who died on 14-4-1990.
  • OA No. 3320 of 1994 (order dated 6-3-1995) concerning Ms Parveen Kumari, daughter of the late Shri Om Prakash, a driver who died on 2-11-1991.

Both respondents applied for clerical employment under the Corporation’s “kith and kin policy,” which enables dependants of deceased employees to seek compassionate appointment. Due to lack of immediate clerical vacancies, the Corporation:

  • Placed Shri Dinesh Kumar at Serial No. 27 in the overall waiting list (priority No. 16 for regular appointment) and engaged him as a clerk on contract/part-time basis at Rs 600 per month after he declined an earlier offer of a regular conductor post.
  • Placed Ms Parveen Kumari at Serial No. 45 in the overall waiting list (Serial No. 10 for contract employment) without any current placement.

The Tribunal nevertheless directed the Corporation to appoint both respondents as clerks on a regular basis forthwith; in Ms Parveen Kumari’s case, it even ordered the creation of a supernumerary post. The Corporation appealed to the Supreme Court.

Legal Issues Presented

  1. Whether the Administrative Tribunal had the authority to compel the Corporation to appoint the respondents to regular clerical posts forthwith, despite the admitted absence of existing vacancies.
  2. Whether the Tribunal could legally direct the Corporation to create a supernumerary post to accommodate a claimant under the “kith and kin policy.”

Arguments of the Parties

Appellant: Himachal Pradesh Road Transport Corporation

  • No regular clerical vacancies existed; appointments without vacancies would constitute misuse of public funds.
  • The Tribunal exceeded its jurisdiction by ordering direct appointments and by mandating creation of a supernumerary post.
  • The Corporation had already followed its internal priority lists: Shri Dinesh Kumar was No. 16 for regular appointment; Ms Parveen Kumari was No. 10 for contract appointment.

Respondents: Shri Dinesh Kumar & Ms Parveen Kumari

  • Each sought immediate regular clerical appointment under the “kith and kin policy.”
  • Relied on the Tribunal’s orders granting such appointments.

Table of Precedents Cited

No precedents were cited in the provided opinion.

Court's Reasoning and Analysis

The Supreme Court held that the Tribunal’s orders were “totally unauthorised and illegal” for the following reasons:

  • Lack of vacancies: Appointment to non-existent posts would amount to an abuse of public authority and misuse of public funds.
  • Scope of Tribunal’s power: At most, a tribunal can direct the employer to consider a claimant’s case in accordance with existing rules and subject to vacancy availability. It cannot compel actual appointment or creation of posts.
  • Proper course: The respondents must wait their turn in the priority lists, and appointments must be made only as vacancies arise and eligibility requirements are met.

Holding and Implications

Appeals Allowed – Tribunal orders dated 27-3-1995 and 6-3-1995 are set aside.

Immediate effect: The respondents will not receive regular clerical appointments until vacancies arise, at which point the Corporation must honor their respective priority positions (No. 16 for Shri Dinesh Kumar and No. 10 in the contract-waiting panel for Ms Parveen Kumari) subject to their meeting requisite qualifications. No broader legal precedent was announced; the judgment reinforces the limited powers of tribunals to interfere with public-sector hiring in the absence of vacancies.

To access the original judgment, please Sign In or Subscribe.

    Himachal Road Transport Corporation v. Dinesh Kumar .

    Paripoornan, J.— Special leave granted.

    2. The Himachal Pradesh Road Transport Corporation is the appellant in both the appeals. One Shri Dinesh Kumar is the respondent in the appeal filed against Special Leave Petition (C) No. 15998 of 1995 and one Ms Parveen Kumari is the respondent in the appeal filed against Special Leave Petition (C) No. 16027 of 1995. In this judgment the appellant will be referred to as the ‘Corporation’, and the respondents will be mentioned by their names.

    3. The Corporation has filed the appeals against the order of the Himachal Pradesh Administrative Tribunal in OA No. 423 of 1995 dated 27-3-1995 in the case of Shri Dinesh Kumar and against the order passed in OA No. 3320 of 1994 dated 6-3-1995 in the case of Ms Parveen Kumari. Both the appeals are connected. They involve consideration of a common question, namely, whether the respondents are entitled to be appointed as clerks on regular basis forthwith under the “kith and kin policy”. We should hasten to add that the validity of kith and kin policy was not questioned before us. So, we are not adjudicating the larger aspect in these appeals.

    4. We heard the counsel. The minimal facts necessary for the disposal of the appeals are as follows.

    5. The respondents in both the appeals applied for appointment as clerks under “kith and kin policy” in the Corporation. Shri Dinesh Kumar is the son of late Shri Hari Krishan, who was serving as an Accountant in the Corporation. Shri Hari Krishan died on 14-4-1990, leaving behind him his wife and three sons. The Corporation has settled and paid all dues to the family by way of family pension, gratuity, provident fund, leave encashment, etc. In addition thereto one of the dependants of deceased Shri Hari Krishan, Shri Dinesh Kumar, the respondent, was provided with a part-time job on Rs 600 per month in Bilaspur. Earlier, he was offered the post of a conductor on regular basis, but he declined to accept the same. Since there was no vacancy in the clerical post Shri Dinesh Kumar was appointed on contract basis as a clerk. He moved the Administrative Tribunal and prayed for his appointment as clerk on regular basis with immediate effect. The Tribunal granted the prayer with a condition that the applicant should qualify the typing test within one year. The order of the Tribunal is dated 27-3-1995.

    6. The respondent Ms Parveen Kumari is the daughter of late Shri Om Prakash, who was serving as a driver in the Corporation. He died on 2-11-1991. The respondent submitted application seeking employment under kith and kin policy. The deceased left behind him his wife and daughter. The Corporation settled the monetary compensation due to the deceased by way of family pension, gratuity, provident fund, leave encashment, etc. Under the scheme of appointment for kith and kin of deceased the Corporation took a lenient view and approved the case of the respondent for employment for the post of clerk on 27-5-1993. Her name was included in the waiting panel.

    7. The Corporation has filed Annexure I showing details of the candidates waiting for appointment under kith and kin policy for the post of clerk. Shri Dinesh Kumar is at Serial No. 27 and Ms Parveen Kumari is at Serial No. 45. According to the Corporation, due to high incidents of bus accidents in the hill roads, the death rate in the Corporation is very high whereas the availability of posts are comparatively lesser. It is further stated that list of dependants and claimants for appointment on kith and kin policy are very large. Since there are only limited posts the Corporation is not in a position to accommodate all of them in the permanent posts. It takes some time to provide the persons, who are entitled under the kith and kin policy, with suitable jobs. It is stated with reference to Annexure I that Serial Nos. 1 to 11 were absorbed as clerk-cum-typists during 1994 on regular basis. 20 candidates, appearing at Serial Nos. 12, 13, 15, 16, 17, 18, 20, 21, 22, 23, 24, 25, 26, 28, 30, 31, 32, 33, 34, and Shri Dinesh Kumar were absorbed on contract basis as clerk-cum-typist in 1995. Shri Dinesh Kumar did not accept the post of a regular conductor offered to him earlier on 31-12-1994. So he was appointed on part-time basis as clerk-cum-typist. According to the Corporation Shri Dinesh Kumar will have priority number 16 for appointment on regular basis.

    8. Ms Parveen Kumari is in waiting panel of kith and kin candidates awaiting employment. In the waiting list her serial number is 45. As many as 35 candidates in waiting panel have been absorbed on contract basis. Ms Parveen Kumari is at Serial No. 10 in the waiting panel. She has to wait for her chance. She applied to the Tribunal for appointment as a clerk. The Corporation pleaded that since there is no vacancy and her place is at No. 10 in the waiting list for being appointed even on part-time basis, she has to wait. The Tribunal, by order dated 6-3-1995, held that even if there is no suitable post for appointment, a supernumerary post will be created to appoint the applicant and the respondent Ms Parveen Kumari should be appointed against that post.

    9. In both the cases the Tribunal has directed the Corporation to appoint the respondents as clerks on regular basis. According to the Corporation, no vacant post is available to absorb the respondents immediately on permanent basis. Shri Dinesh Kumar is working on contract basis and his priority number to be appointed on regular basis is 16. Ms Parveen Kumari is in waiting list, to be appointed on contract basis, and her serial number is 10 in that list. The counsel for the Corporation submitted that in the absence of available posts the Administrative Tribunal acted illegally in directing that the respondents should be appointed on permanent basis forthwith. In the case of Ms Parveen Kumari the Tribunal has gone further and has stated that a supernumerary post may be created to accommodate her to be appointed as a clerk.

    10. We are of the view that the Himachal Pradesh Administrative Tribunal acted illegally and without jurisdiction in passing the orders dated 27-3-1995 and 6-3-1995 and in directing that the respondents be appointed in the regular clerical posts forthwith. In the absence of a vacancy it is not open to the Corporation to appoint a person to any post. It will be a gross abuse of the powers of a public authority to appoint persons when vacancies are not available. If persons are so appointed and paid salaries, it will be a mere misuse of public funds, which is totally unauthorised. Normally, even if the Tribunal finds that a person is qualified to be appointed to a post under the kith and kin policy, the Tribunal should only give a direction to the appropriate authority to consider the case of the particular applicant, in the light of the relevant rules and subject to the availability of the post. It is not open to the Tribunal either to direct the appointment of any person to a post or direct the authorities concerned to create a supernumerary post and then appoint a person to such a post. We are of the view that directions given by the Administrative Tribunal, in these two appeals, are totally unauthorised and illegal. We are, therefore, constrained to set aside the orders appealed against. We hereby do so and allow the appeals. There shall be no order as to costs.

    11. Before concluding, we should record the factual position conceded by the counsel appearing for the Corporation. It is stated that Shri Dinesh Kumar is at Serial No. 16 in the priority list for regular appointment as clerk and that Ms Parveen Kumari is at Serial No. 10 for appointment in the waiting panel for the post of clerk on contract basis. As and when vacancies arise for appointment to such posts, the Corporation shall conform to the priorities mentioned hereinabove in the matter of filling up the posts, subject to the fulfilment of necessary qualifications by the candidates concerned.

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    Comments

    Himachal Road Transport Corporation v. Dinesh Kumar .
    (May 7, 1996)