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  • provisions of Section 79 of the Rajasthan Public Trusts Act, 1959 (in short 1959 Act)
  • together.4. Section 79 of the Rajasthan Public Trusts Act, 1959 (for short 1959 Act)
  • provisions contained in Section 79 of the Rajasthan Public Trusts Act 1959
  • Section 79 of 1959 Act are(i) The provisions of Section 79 of 1959 Act
  • SECTION 37 PAYMENT OF BONUS ACT 1965
  • provisions of the Public Trusts Act,
  • statute.15. Section 79 of 1959 Act
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  • provisions of Section 79 of the Rajasthan Public Trusts Act, 1959 (in short 1959 Act)
  • together.4. Section 79 of the Rajasthan Public Trusts Act, 1959 (for short 1959 Act)
  • provisions contained in Section 79 of the Rajasthan Public Trusts Act 1959
  • Section 79 of 1959 Act are(i) The provisions of Section 79 of 1959 Act
  • SECTION 37 PAYMENT OF BONUS ACT 1965
  • provisions of the Public Trusts Act,
  • statute.15. Section 79 of 1959 Act
Smart Summary

Written Judgment — Shiv Kumar Sharma, J.

Factual and Procedural Background

The matters arise from writ petitions challenging the validity and operation of Section 79 of the Rajasthan Public Trusts Act, 1959 (the "1959 Act") and actions taken under that provision in relation to the management of Shri Dadu Dayalu Mahasabha. The principal petition before the Division Bench was D.B. Civil Writ Petition No. 772/2000. The petitioners sought three primary reliefs:

  • Declaration that Section 79 of the 1959 Act is ultravires the Constitution.
  • Declaration that appointment of a Managing Committee (respondents 2, 3 and 4) was illegal and null and void and that its actions be struck down.
  • Injunction restraining respondents 2, 3 and 4 from interfering in the management of Shri Dadu Dayalu Mahasabha and from interfering with the elected managing committee (respondents 6–16).

Three other writ petitions concerning management of the same trust (Nos. 5559/99, 936/2001 & 6361/2002) that were pending before a Single Bench were ordered to be tagged with the principal petition. The Division Bench was tasked with considering whether Section 79 permits excessive delegation of legislative power to the executive.

Legal Issues Presented

  1. Whether the provisions contained in Section 79 of the Rajasthan Public Trusts Act, 1959 are open to attack on the ground of excessive delegation (i.e., whether Section 79 is ultravires the Constitution).
  2. Whether the appointment of the Managing Committee (respondents 2, 3 and 4) constituted an action that should be declared illegal and set aside (as relief sought by the petitioners), insofar as that appointment relied upon the impugned provision.
  3. Whether relief by way of injunction should be granted to restrain the respondents from interfering in the management of Shri Dadu Dayalu Mahasabha.

Arguments of the Parties

Petitioners' Arguments (as presented by Mr. B.P. Agrawal, Sr. Counsel)

  • Section 79 amounts to abdication of legislative power by the State Legislature and is therefore impermissible under Constitutional law.
  • The section effectually delegates legislative power to the executive, which cannot be done in the manner contemplated.
  • Because the order under Section 79 must not be inconsistent with the other provisions of the Public Trusts Act, the provision is not saved from the vice of delegation.
  • The section authorises the State Government to determine for itself what the purposes of the Act are and to make provisions for removal of doubts and difficulties — a function normally of the legislature.
  • Exercise of legislative authority cannot be delegated to the executive; the wording of Section 79 confers too wide a power on the State Government.
  • Reliance was placed on Jalan Trading Company Private Ltd v. Mill Mazdoor Sabha and State of Tamil Nadu v. K. Sabanayagam to support the submission that Section 79 is constitutionally invalid as excessive delegation.

Respondent / Government Arguments (as presented by Mr. S.M. Mehta, Advocate General)

  • Section 79 does not amount to excessive delegation. It is an enabling provision allowing the State to remove difficulties in giving effect to the Act and does not vest legislative power in the executive.
  • Reliance was placed on the decision in Gammon India Ltd. v. Union of India, in which the Supreme Court distinguished Jalan Trading Co. and held that a comparable provision was concerned with giving effect to the Act and with administrative functioning, not with impermissible delegation.
  • Additional reliance was placed on Commissioner of Income-tax, Hyderabad v. Dewan Bahadur Ramgopal Mills Ltd., though the opinion does not elaborate the precise point taken from that case.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Jalan Trading Company Private Ltd v. Mill Mazdoor Sabha Held that a provision authorising the Government to provide by order for removal of doubts or difficulties, where the order was final and authorised the Government to determine the purposes of the Act and to alter provisions, involved unlawful delegation of legislative power to the executive. The Court reviewed Jalan as an example of excessive delegation. It noted the two reasons given by the Supreme Court in Jalan (government determining purposes; power to alter provisions amounting to legislative authority) but ultimately distinguished the facts of Section 79 from the vice found in Jalan.
State of Tamil Nadu v. K. Sabanayagam Explains the distinction between conditional legislation (no delegation) and delegated legislation (delegation of ancillary legislative functions to an outside authority); conditional legislation is not open to attack for excessive delegation while delegated legislation may be. The Court used this distinction to frame the analysis of whether Section 79 constitutes conditional legislation or impermissible delegated legislation.
Gammon India Ltd. v. Union of India Distinguished Jalan Trading Co.; held (in para 38 quoted in the opinion) that a provision for removing difficulties that is for giving effect to provisions of the Act and relates to administrative functioning does not amount to excessive delegation where no finality or power of alteration is contemplated. The Court quoted Gammon at length and applied its reasoning to conclude that Section 79 is an administrative, "giving effect" provision and does not amount to excessive delegation.
Commissioner of Income-tax, Hyderabad v. Dewan Bahadur Ramgopal Mills Ltd. The opinion records reliance upon this decision, but does not state within the text the specific rule or principle extracted from it. The case was cited by counsel and noted by the Court as having been relied upon; the judgment does not detail how the Court applied any principle from this precedent in its reasoning beyond noting the reliance.
McEldowney v. Forde Explains the role of the courts when subordinate legislation is challenged: (1) construe the parent Act's description of subordinate legislation, (2) construe the subordinate legislation, and (3) decide whether the subordinate legislation complies with that description. The Court relied on this explanation to articulate the judicial role in reviewing delegated legislation and to emphasize that courts examine whether delegated legislation stays within statutory bounds rather than substituting policy judgments.

Court's Reasoning and Analysis

The Court proceeded through a structured analysis focused on the doctrine of delegated legislation and the doctrine of ultra vires, emphasizing the limited and supervisory role of courts in relation to delegated rule-making:

  1. The Court acknowledged that delegated legislation is a necessary feature of modern administration but must operate under proper controls so the administration's powers are properly exercised and the disadvantages minimised.
  2. The doctrine of ultra vires requires that rule-making bodies act within the authority conferred by the parent statute; delegated legislation that exceeds that authority, is inconsistent with the parent Act, or fails required procedures will be struck down.
  3. The Court invoked McEldowney v. Forde to state the judicial task: determine what subordinate legislation is authorised by the parent Act, construe the subordinate instrument, and decide whether it complies with that description. The court stressed that judges do not adjudicate policy merits but interpret scope and compliance.
  4. Applying these principles, the Court examined the language and purpose of Section 79. The Court concluded that Section 79 authorises the State Government to make an order to remove a difficulty that has arisen in giving effect to the Act. The provision is an instrument of administrative functioning intended to give effect to the Act's provisions rather than to enable the Government to determine the Act's purposes or to alter the Act's provisions.
  5. The Court distinguished the problematic features identified in Jalan (governmental determination of purposes and power to alter provisions; finality of orders) from the scope of Section 79. It found that Section 79 does not confer on the State Government the power to determine for itself the purposes of the Act, nor does it grant a wide power to act in any manner even though not inconsistent. Rather, it is confined to giving effect to the Act and removing difficulties in that context.
  6. On this basis the Court held that the provision is an application of internal administrative functioning and does not amount to excessive delegation of legislative power; therefore it is not ultravires the Constitution.

Holding and Implications

Holding: The Court held that Section 79 of the Rajasthan Public Trusts Act, 1959 does not amount to excessive delegation and is not ultravires the Constitution of India.

Implications (direct consequences):

  • The Division Bench concluded that determination of the reliefs sought in the four tagged matters requires adjudication by the Single Bench. Accordingly, the Division Bench remitted all four matters to the Single Bench for adjudication and directed the Deputy Registrar (Judicial) to forthwith list the matters before the Single Bench.
  • The opinion focuses on the specific challenge to Section 79 and does not elaborate broader doctrinal consequences beyond its application to the petitions before the Court. Therefore, the direct effect is the validation of Section 79 for purposes of these proceedings and administrative listing of the tagged matters; the opinion does not purport to set out any wider new principle beyond its reasoning in this case.

This summary is based exclusively on the content of the provided opinion and does not add or infer information beyond what is present in the text.

    Prabhudas Swami & Anr. v. State Of Rajasthan & Ors.

    The Judgment of the Court was delivered by

    Shiv Kumar Sharma, J.:— Meaningful question that arises for our consideration in the instant matters is whether provisions contained in Section 79 of the Rajasthan Public Trusts Act 1959 are open to attack on the ground of excessive delegation.

    2. The prayer of the petitioners in D.B Civil Writ Petition No. 772/2000, is as under:

    (i) to declare the provisions of Section 79 of the Rajasthan Public Trusts Act, 1959 (in short 1959 Act) to be ultravires of the Constitution.

    (ii) to declare the appointment of the Managing Committee consisting of respondents 2, 3, and 4 to be illegal and null and void and action of the managing committee be struck down.

    (iii) to restrain the respondents 2, 3 and 4 from interfering in the management affairs of Shri Dadu Dayalu Mahasabha and its elected managing committee consisting of respondents 6 to 16.

    3. Three other writ petitions related to management of Shri Dadu Dayalu Mahasabha bearing Nos. 5559/99, 936/2001 & 6361/2002 pending before the Single Bench were also ordered to be tagged together.

    4. Section 79 of the Rajasthan Public Trusts Act, 1959 (for short 1959 Act) authorises the State Government to provide by order for removal of difficulties in giving effect to the provisions of the Act. It reads as under—

    “If any difficulty arises in giving effect to the provisions of this Act, the State Government may, as occasion may require, by order, give such directions, not inconsistent with such provisions, which appear it to be necessary for the purpose of removing the difficulty.”

    5. The main grounds of challenge of the validity of Section 79 of 1959 Act are—

    (i) The provisions of Section 79 of 1959 Act are nothing else but abdication of legislative power by the State Legislature which under the Constitutional law is not permissible.

    (ii) It amounts to exercise of Legislative powers which cannot be delegated.

    (iii) This section, by providing that the order must not be inconsistent with the other provisions of the Public Trusts Act, is not saved by the vide of the delegation of the legislative authority.

    (iv) This section authorities the State Government to determine for itself what purpose of the Act is and to make provisions for removal of doubts and difficulties, normally such functions is of the legislature to remove any difficulties or doubts.

    (v) Exercise of the legislative authority cannot be delegated to executive authority.

    (vi) Wordings of Section 79 conferring such a wide power on the State Government so as to act in any manner it may think necessary even though the same may not be inconsistent.

    6. Mr. B.P Agrawal, learned Senior Counsel appearing for the petitioners canvassed that Section 79 is ultravires to the Constitution as it amounts to excessive delegation. Reliance is placed on Jalan Trading Company Private Ltd v. Mill Mazdoor Sabha (1) and State of Tamil Nadu v. K. Sabanayagam (2).

    7. Constitution Bench of Hon'ble Supreme Court in Jalan Trading Company Private Ltd v. Mill Mazdoor Sabha (supra) had occasion to consider the validity of section 37 of Payment of Bonus Act, 1965 which authorises the Government to provide by order for removal of doubts or difficulties in giving effect to the provisions of the Act. It was observed by their Lordships of the Supreme Court that it is for the Legislature to make provisions for removal of doubts and difficulties but Section 37 of the Act contains a provision that the order must not be inconsistent with the purposes of the Act and another provision in the section made the order of the Government final. Their Lordships therefore held that there was the vice of delegation of legislation to executive authority. Two reasons were given by their Lordships. First, the section authorised the Government to determine for itself what the purpose of the Act were and to make provisions for removal of doubts or difficulties. Secondly, the power to remove the doubt or difficulties by altering the provisions of the Act would in substance amount to exercise of legislative authority and that could not be delegated to an executive authority.

    8. In State of Tamil Nadu v. K. Sabanayagam (supra) it was indicated by the Hon'ble Supreme Court that in case of conditional legislation, the legislation is complete in itself but its operation is made to depend on fulfillment of certain conditions and what is delegated to an outside authority is the power to determine according to its own judgment whether or not those conditions are fulfilled. Whereas in case of delegated legislation proper, some portion of the legislative power of the legislature is delegated to the outside authority in that the legislature though competent to perform both the essential and ancillary legislative functions, performs only the former and parts with the latter i.e the ancillary function of laying down details in favour of another for executing the policy of the statute enacted. According to their Lordships the distinction between the two exists in this that whereas conditional legislation contains no element of delegation of legislative power and, is, therefore, not open to attack on the ground of excessive delegation, delegated legislation does confer some legislative power on some outside authority and is therefore open to attack on the ground of excessive delegation.

    9. Mr. S.M Mehta, learned Advocate General on the other hand contended that Section 79 of 1956 Act does not amount to excessive delegation. In the instant matters ratio indicated in Gammon India Ltd. etc. etc. v. Union of India (3), is applicable wherein their Lordships of the Supreme Court distinguished the case of Jalan Trading Co. (supra) and held in para 38 as under—

    “Section 34 of the Act was challenged as unconstitutional. Section 34 of the Act provides that if any difficulty arises in giving effect to the provisions of the Act, the Central Government may, by order, published in the official gazette, make such provisions not inconsistent with the provisions of the Act as appears to it to be necessary or expedient for removing the difficulty. Reliance was placed by petitioners on the decision of this Court in Jalan Trading Co. v. Mazdoor Union (supra). Section 37 of the Act in that case authorised the Government to provide by order for removal of doubts or difficulties in giving effect to the provisions of the Act. This Court held that it is for the legislature to make provisions for removal of doubts or difficulties. The section in that case contained a provision that the order must not be inconsistent with the purpose of the Act. Another provision in the section made the order of the Government final. This Court held that in substance there was the vice of delegation to executive authority. Two reasons were given. First the section authorised the Government to determine for itself what the purposes of the Act were and to make provisions for removal of doubts or difficulties. Secondly, the power to remove the doubts or difficulties by altering the provisions of the Act would in substance amount to exercise of legislative authority and that could not be delegated to an executive authority. In the present case, neither finality nor alteration is contemplated in any order under Section 34 of the Act. Section 34 is for giving effect to the provisions of the Act. This provision is an application of the internal functioning of the administrative machinery. Difficulties can only arise in implementation of rules. Therefore, Section 34 of the Act does not amount to excessive delegation.”

    10. Reliance is also placed on Commissioner of Income-tax, Hyderabad v. Dewan Bahadur Ramgopal Mills Ltd. (4).

    11. We have pondered over the rival submissions.

    12. Delegated legislation has come to stay as a necessary component of the modern administrative process. Therefore, the question today is not whether there ought to be delegated legislation or not, but that it should operate under proper controls so that it may be ensured that the power given to the Administration is exercised properly; the benefits of the institution may be utilised, but its disadvantages minimised. The doctrine of ultra vires envisages that a rule making body must function within the purview of the rule making authority conferred on it by the parent Act. As the body making rules has no inherent power of its own to make rules, but derives such power only from the statute, it has necessarily to function within the purview of the statutes. Delegated Legislation should not travel beyond the purview of the present Act. If it does, it is ultra vires and cannot be given any effect. Ultra vires may arise in several ways; there may be simple excess of power over what is conferred by the parent Act; delegated legislation may be inconsistent with the provisions of the parent Act, or statute law or the general law, there may be non-compliance with the procedural requirement as laid down in the parent Act. It is the function of the courts to keep all authorities within the confines of the law by supplying the doctrine of ultra vires.

    13. In McEldowney v. Forde (5), Lord Diplock explained the role of the courts in this area in the following words:

    “The division of functions between Parliament and the courts as respects legislation is clear. Parliament makes laws and can delegate part of its power to do so to some subordinate authority. The courts construe laws whether made by Parliament directly or by a subordinate authority acting under delegated legislative powers. The view of the courts as to whether particular statutory or subordinate legislation promotes or hinders the common weal is irrelevant. The decision of the courts as to what the words used in the statutory or subordinate legislation mean is decisive. Where the validity of subordinate legislation made pursuant to powers delegated by Act of Parliament to a subordinate authority is challenged, the court has a three fold task; first, to determine the meaning of the words used in the Act of Parliament itself to describe the subordinate legislation which that authority is authorised to make, secondly, to determine the meaning of the subordinate legislation itself and finally to decide whether the subordinate legislation complies with that description….”

    14. While adjudging the vires of delegated legislation, the courts are not concerned with the underlying principles or policy. The courts are concerned only with the limited question whether the impugned delegated legislation falls within the scope of the rule making power conferred on the delegate by the statute.

    15. Section 79 of 1959 Act by the very nature of its intent and purpose confers on the State Government power to make an order to remove a difficulty which has already arisen. The true scope and effect of Section 79 seems to be that it is for the State Government to determine if any difficulty of the nature indicated in the section has arisen and then to make such order or give such direction, as appears to it to be necessary to remove the difficulty. Section 79 is necessarily for giving effect to the provisions of 1959 Act. In our opinion this provision is an application of the internal functioning of the administrative machinery. This section only authorises the State Government to pass an order for giving effect the provisions of 1959 Act. It does not authorise the State Government to determine for itself what the purposes of the Act are and then to make provision for removal of difficulties. Wide powers to act in any manner have not been conferred on the State Government by Section 79. Therefore section 79 of 1959 Act does not amount to excessive delegation and provisions contained in this section are not ultravires to the Constitution of India.

    16. In the ultimate analysis looking to the reliefs sought by the petitioner we find that all the instant four matters require adjudication by the Single Bench of this Court. We therefore remit all these matters to the Single Bench for adjudication. The Deputy Registrar (Judicial) is directed to forthwith list these matters before the Single Bench.

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    Prabhudas Swami & Anr. v. State Of Rajasthan & Ors.
    (Feb 11, 2003)