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AJAIB SINGH versus THE SIRHIND COOPERATIVE MARKETING CUM PROCESSING SERVICE SOCIETY LTD. AND ANR.

Citation: [1999] 2 S.C.R. 505 · Decided: 08-04-1999 · Supreme Court of India · Bench: S. SAGHIR AHMAD · Disposal: Appeal(s) allowed

Cited by 3 judgment(s) · cites 3 · see the full citation network in Lexace

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Judgment (excerpt)

AJAIB SINGH 
v. 
THE SIRHIND COOPERATIVE MARKETING CUM 
PROCESSING SERVICE SOCIETY LTD. AND ANR. 
APRIL 8, 1999 
[S. SAGHIR AHMAD AND R.P. SETHI, JJ.] 
Labour Laws : 
A 
B 
Termination of workman-Termination without complying with the C 
provisions of the Industrial Disputes Act-Demand of reinstatement by the 
workman after 7 years- Matter referred by the appropriate government to 
the Labour Court-Management did not take the plea of limitation in 
reference of dispute before the labour court-Held, not having raised such 
plea, workmen could not be deprived of the benefits of the Act-More so D 
when the object of the Act was to create social welfare-Industrial Disputes 
Act, 1947, history traced and object restated-Trade Disputes Act, 1929 (as 
amended in 1938)- Industrial Employment (Standing Orders) Act, 1945-
Defence of India Rules, Rule Bl-A-Limitation Act, 1963, Article 137. 
Practice and Procedure-Plea-New plea-Cannot be taken at the E 
appellate stage to deprive the benefits of the social welfare statutes-Findings 
of facts returned by the High Court in writ proceedings, without pleading-
Unjustified-Constitution of India, 1950, Article 226, 227-Interference on 
findings of fact by lower courts-Jurisdiction-Administrative Law. 
Interpretation of Statues-Interpretation of Welfare Statutes-Statements F 
of objects and reasons-Relevancy of-Constitution of India, 1950, Part IV-
Welfare State. 
The services of the appellant were terminated without compliance of 
the mandatory provisions of the Industrial Disputes Act and the same was G 
referred by the appropriate government to the Labour Court. The management 
justified their action on the ground that the workman, being a salesman, had 
embezzled thousands of rupees. The jurisdiction of the Labour Court to 
entertain and adjudicate the reference was also disputed Labour Court 
directed reinstatement of the workmen with full back wages. The management 
did not press the issue of jurisdiction before the Labour Court. Management H 
505 
506 
SUPREME COURT REPORTS 
[1999] 2 S.C.R. 
A filed a writ petition before the High Court for quashing the award mainly on 
.ยท~ the ground that the workman had approached the labour court i.tfter a 
prolonged delay. It was not in dispute that the service of the workman was 
terminated on 16.7.1974 and he had issued the notice of demand only on 
8.12.1981. Single Judge of the High Court held that the workman was not 
entitled to any relief as he had slept over the matter for 7 years and confronted 
B with the management at a belated stage when it might have been difficult for 
o 
the employer to prove the guilt of the workman. Division Bench of the High 
Court upheld the judgment of the Single Judge, Hence this appeal. 
It was contended by the management-respondent that the principle 
C incorporated under Article 137 of the Schedule to the Limitation Act though 
not specifically made applicable yet it would be deemed to be applicable in a 
case under the Industrial Dispute Act for the purpose of making a reference 
under Section 10 thereof. It was contended by the workman that the principles 
--.. 
incorporated under Article 137 cannot be held to be applicable under the Act 
for the purposes of making a reference of the dispute to the labour court and 
D that the provision of the Act was a social welfare legislation intended to 
protect the interest of the workmen employed in various industries. 
Allowing the appeal, this Court 
HELD: 1.1. The provisions of Article 137 of the Schedule to Limitation 
E Act, 1963 are not applicable to the proceedings under the Industrial Disputes 
Act and that the relief under it cannot be denied to the workmen only on the 
ground of delay. The plea of delay if raised by the employer is required to 
be proved as a matter of fact by showing the real prejudice and not as a 
merely hypothetical defence. No reference to the labour court can be generally 
F questioned on the ground of delay. The tribunal, labour court or board, 
dealing with the case can appropriately mould the relief by declining to grant 
back wages to the workmen till the date he raised the demand regarding his 
illegal retrenchment/termination or dismissal. The Court may also in 
appropriate cases direct the payment of part of the back wages instead offull 
back wages. 
G 
Bombay Gas Co. Ltd. v. Gopa/ Bhiva & Ors., [1964] 3 SCR 709; Town 
Municipal Council Athani v. Presiding Officer, Labour Court & Ors., [1970) 
1 SCR 51; Sha Mulchand &

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