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NATIONAL CONFEDERATION OF OFFICERS ASSON. OF CENTRAL PUBLIC SECTOR UNDERTAKING AND ORS. versus UNION OF INDIA AND ORS.

Citation: [2004] SUPP. 6 S.C.R. 489 · Decided: 30-11-2004 · Supreme Court of India · Bench: ASHOK BHAN · Disposal: Disposed off

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Judgment (excerpt)

NATIONAL CONFEDERATION OF OFFICERS ASSON. OF 
A 
CENTRAL PUBLIC SECTOR UNDERTAKING AND ORS. 
v. 
UNION OF INDIA AND ORS. 
NOVEMBER 30, 2004 
B 
[ASHOK BHAN AND DR. AR. LAKSHMANAN, JJ.] 
Sick Industrial Companies Special Provisions Act, 1985 : 
S. 18-Sick Public 
Undertakings-Registered with BIFR-
C 
Implementation of revised IDA pay scales under O.M dated 19. 7. 1995-
Held, since revival proposal has been approved by BlFR, petitioners would 
be entitled to same benefits as given in NTC (IDA) Employees Association's 
case-Constitution of India-Article 32-Labour law-Revised IDA pay 
sca/8. 
The Central Government denied the benefits of revised IDA pay 
scales under O.M. dated 19.7.1995 to those sick public undertaking~ 
which were registered with the BIFR. Employees of British India 
Corporation, a Government Undertaking and its two units, represented 
by petitioner No. I -Association -
all the three being sick undertakings 
and registered with the BIFR- filed the present writ petition contending 
that in Special Leave Petition No. 16732/97 in the case of National 
Textile Corporation and its subsidiaries, which were also sick 
undertakings, the Court by an interim order dated 7.5.1999 granted tile 
benefits ofO.M. dated 19.7.1995 with effect from 1.1.99 and, therefore, 
the petitioners were also entitled to similar relief. The stand of the 
respondents was that the interim order dated 7.5.99 was purely on ad 
hoc basis subject to ultimate decision and confined to the said case and 
therefore, the petitioner in the instant case were not entitled to the 
revised IDA pay scales. 
In the National Textile Corporation's* case, while disposing of the 
special leave petition, the Court on 27.9.2002, observed that the BIFR 
D 
E 
F 
G 
had formulated schemes which stood approved by all concerned. The 
Court directed that the Scheme as sanctioned by the BIFR be 
implemented. In the instant case also, the government oflndia had given H 
489 
490 
SUPREME COURT REPORTS (2004] SUPP. 6 S.C.R. 
A approval for the revival proposal. The BIFR also approved the scheme 
to be circulated .11s sanctioned Scheme under Section 18 of the Sick 
Industrial Compal}ies Special Provisions Act, 1985 and has approved 
the revival proposal. 
B 
Disposing of the writ petition, the Court 
HELD : In view of the fact that the revival proposal in the instant 
case has been approved by the BIFR, the petitioners would also be 
entitled for the same benefits as given to the N. T.C. employees Association 
in SLP (C) No. 16732 of 1997 by order dated 27.9.2002. It has been 
C brought on record that the Scheme sanctioned by BIFR would be 
completed by March 2005 and further talks regarding fixation of pay 
would be held thereafter. In the circumstances, it is directed that the 
Scheme as sanctioned by BIFR be implemented so far as the petitioners 
are concerned. [495-D-F] 
D 
E 
*N T.C. (IDA) Emp. Association v. Union of India and Ors.; SLP (C) 
No. 16732/97 decided by Supreme Court on 27.2.2002, relied on. 
CIVIL ORIGINAL JURISDICTION : Writ Petition (C) No. 427 of 
1999. 
Under Article 32 of the Constitution of India. 
Sanjiv Sen and B.S. Banthia for the Petitioners. 
F 
N.N Goswami, Mrs. B. Sunita Rao, Sushi! Kr .. Pathak, Ms. Varuna 
Bhandari Gugnani and D.S. Mahra for the Respondents. 
The Judgment of the Court was delivered by 
DR. AR. LAKSHMANAN, J. : The present writ petition under Article 
G 32 of the Constitution oflndia is concerning release ofrevised IDA pay scale 
in respect of the British India Corporation (a Government Undertaking) and 
its two units situated at Cawnpore Woollen Mills, Kanpur and New Egerton 
Woollen Mills, Dhariwal (Punja~). The employees of the Cawnpore Woollen ยท 
Mills, Kanpur and New Egerton Woollen Mills, Dha~iwal have authorised 
H the National Confederation of Officers' Association of the Central Public 
NATIONAL CONFEDERATION OF OFFICERS ASSN. OF C.P.S.U. v. U.0.1. [LAKSHMANAN, J.) 491 
-ยท Sector Undertaking to submit this petition on their behalf in mis Court and, A 
therefore, the petitioners are jointly submitting this petition. 
The brief controversy involved in this matter is that by order dated 
19. 7 .1995, the Central Government has denied the benefit of revised IDA 
pay scale to those sick public sector undertakings which are registered with B 
the BIFR. This Court on dated 7.5.1999 in S.L.P.(C) No. 16732/1997 
ordered that the National Textile Corporation and its subsidiaries be given 
benefits under O.M. dated 1

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