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M/S. U. P. ELECTRIC SUPPLY CO., LTD. versus THE WORKMEN OF M/S. S. N. CHOUDHARY, CONTRACTORS AND ANOTHER

Citation: [1960] 3 S.C.R. 189 · Decided: 08-03-1960 · Supreme Court of India · Bench: P.B. GAJENDRAGADKAR · Disposal: Appeal(s) allowed

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Judgment (excerpt)

3 S.C.R. SUPREME COURT REPORTS 
189 
remedies available to the petitioner for obtaining 
i96o 
relief.· It cannot complain of a breach of Art 14. 
P b'·- ·r 
Th 
h 
. 
f th 
. . 
. th 
if ar '~ni rampo•l 
e ot er contention o 
e peht10ner IS 
at. 
C<HJp. 
Chapter IY permits the State to compete with a private 
Society Ltd. 
citizen, it offends Art. 14 because in view of the vast 
v. 
resources of th. e State a private citizen is bound to lose 
R. T. A. 
1 
£ 
d 
Aurangabad 
in such competition. --This point is clear y un ounde • 
Article 19(6) as it now stands, contemplates such a 
Sarkar J. 
competition as we have earlier pointed out. The peti-
tioner can base no grievance on such competition. 
, 
For these reasons we think that this petition must 
fail' and hence it is dismissed with· costs. 
· · 
Petition dismi;~ed. ··· 
M/s. U. P. ELECTRIC SUPPLY CO., LTD. 
v. 
THE WORKMEN OF M/s. S. N. CHOUDHARY, 
CONTRACTORS AND ANOTHER 
(P. B. GAJENDBAGADKAR AND K. N. \VANCHOO, JJ). 
·· · · Industri~lDispute-Tribunal deciding issue not rejerred to it~ 
Jurisdiction-U.P. Industrial Dispute Act, r947 (XXV III of r947), 
&~~~0~& 
.. 
The appellant company used to employ J\Iessrs. S. 11: Chou-
dhary as its contractors for doing certain work for it and the 
contractors in their turn used to employ some workmen to carry 
out the work _w)lich they took on contract. A dispute having 
arisen between the contractors and their workmen an application 
was made before the conciliation board by the workmen in which 
both the company and the contractors were parties and four 
· matters were referred, namely, non-grant of bonus for two years, 
non-grant of festival holidays, non-fixation of minimum wages · 
of those workmen at par with the workmen of the company and 
non-abolition of the contract system. As conciliation failed the 
Government referred the dispute to the Industrial Tribunal under 
the U.P. Industrial Disputes Act in which only three points out 
of the four mentioned above were referred and the question of 
non-abolition of the contract system was· not referred. The 
parties to this reference were the contractors and their workmen . 
and not the appellant company. By a subsequent notification, 
ho;vever, the Government impleaded the Company asa party to 
. the dispute but did not amend the previous referring order by 
Ma1eh8 
M/,,U P. 
Electric 
Supply Co. Ltd. 
v. 
Workmen of 
Mf'· S. N. 
Choudhary 
190 
SUPREME COURT REPORTS 
[1960] 
adding the fourth point of dispute which was hefore the concilia-
tion board, namely, the non-abolition of the contract system. 
The Industrial Tribunal framed a number of issues the most 
important of which was whether the workmen concerned were 
the employees of the appellant company or of the contractors 
and came to the conclusion that those workmen were in fact and 
'in reality the employees of the company. On appeal by the 
company by special leave, 
. 
Held, that on such a reference there could be no jurisdiction 
in the tribunal to· decide the question whether these workmen 
were the \vorkmen of the company or of the contractors, for 
such a question was riot referred to the tribunal. 
CIVIL APPELLATE JURISDICTION: Civil Appeal 
No. 481of1958. 
Appeal by special leave from the Award dated 
June 29, 1957, of the State Industrial, Tribunal U.P. 
Allahabad, in Ref. No. 98 of 1956. 
M. G. Setalvad, Attorney-General for India, S. N: 
Andley, J.B. Dadachanji, Rameshwar Na.th and P. L. 
V ohra, for the appellants. 
• 
A. D. Mathur, for respondent No. 1. 
G. G. Mathur and G. P. Lal, for respondent No. 2. 
G. N. Dikshit and G. P. Lal, for the intervener. 
1960. March, 8. The Judgment of the Court was 
delivered by 
Wanchoo J. 
WANOHOO, J.-This is an appeal by special leave 
against the order of the Industrial Tribunal, Allaha-
bad. The appellant is the U. P. Electric Supply Co. 
Ltd., Lucknow, (hereinafter called the company). It 
appears that the company used to employ Messrs. 
S. M. Choudhary (hereinafter referred to as the con-
tractors) as its contractors for doing certain work for 
it. The contractors in their turn used to employ a 
number of persons to carry out the work.which they 
had taken on contract. A dispute.arose between the 
qontractors and their workmen in 1956 and an appli-
cation was made on June 6, 1956, by the workmen 
before the conciliation board. To this application 
both the company as well as the contractors were 
parties and four matters were referred by the work-
men to 

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