R.C. TIWARI versus M.P. STATE CO-OPERATIVE MARKETING FEDERATION LTD. AND ORS.

Citation: [1997] 3 S.C.R. 795 · Decided: 09-04-1997 · Supreme Court of India · Bench: K. RAMASWAMY, D.P. WADHWA · Disposal: Dismissed
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Judgment (excerpt)

R.C. TIWARI 
v. 
M.P. STATE CO-OPERATIVE MARKETING 
FEDERATION LTD. AND ORS. 
APRIL 9, 1997 
[K. RAMASWAMY AND D.P. WADHWA, JJ.] 
Labour Law : 
A 
B 
llldustlial Disputes Act, 1947/M.P. Co-operative Societies Act, 1960 : 
C 
S. JO( 1 )/S. S~Employec dismissed for misconduct-Order confinned 
in Reference under the Societies Act-On a reference under the Industlia/ 
Disputes Act, Labour Court holding that the domestic enqui1y was vitiated by 
illegality and set aside the order of dismissal-High Cowt reversing i!--On 
appeal held the finding recorded by the Deputy Registrar would operate as res D 
judicata-High Cowt justified in holding that the Labour Court has no 
jwisdictio11 to decide the dispute once over and the reference itself is bad in 
law. 
Co-operative Central Bank Ltd. & Ors. Etc. v. Additional Industrial 
Tribunal, Andhra Pradesh, Hyderabad & Ors. Etc., AIR (1970) SC 245, held E 
inapplicable. 
CIVIL APPELLATE JURISDICTION: Special Leave Petition (C) 
No. 9143 of 1997. 
From the Judgment and Order 8.7.96 of the Madhya Pradesh High 
Court in M.P. No. 2077 of 1992. 
S.B. Upadhyay and Ashok Kumar Gupta for the Petitioner. 
The following Order of the Court was delivered : 
Delay condoned. 
The only question in this case is : whether the refen;nce under 
Section 10(1) of the Industrial Disputes Act, 1947 (for short, the "Act") 
F 
G 
is maintainable in view of the provisions contained in the M.P. Co-
H 
795 
796 
SUPREME COURT REPORTS 
[1997) 3 S.C.R. 
A operative Societies Act, 1960 (for short, the 'Societies Act')? Admittedly, 
the petitioner was dismissed from service for his misconduct. Thereafter, 
he sought a reference under the Societies Act which was confirmed and 
became final. On a reference made under the Act, the Labour Court in 
case No. 48/85 held that domestic enquiry was vitiated by illegality and 
B accordingly it set aside the order of dismissal. In Writ Petition No. 2077/92 
by judgment dated July 8, 1996, the High Court has held that in view of 
the provisions contained in Section 55 of the Societies Act, the Labour 
Court has no jurisdiction and, therefore, the reference is bad. It is also held 
that since the finding was recorded by the Deputy Registrar, Co-op. 
Societies against the petitioner in the award, it operates as res judicata. The 
C question is whether the view taken by the High Court is correct in law. 
D 
E 
F 
G 
Section 55 of the Societies Act postulates thus : 
"55. Registrar's .power to determine conditions of employment 
in societies. - (1) The Registrar may, from time to time frame 
rules governing the terms and conditions of employment in a 
society or class of societies and the society or class of Societies 
to which such terms and conditions of employment are ap-
plicable shall comply .with the order that may be issued by the 
Registrar in this behalf. 
(2) Where a dispute including a dispute regarding terms of 
employment working conditions and disciplinary action taken 
by a society, arises between a society and its employees, the 
Registrar or any officer appointed by him not below the rank 
of Assistant Registrar shall decide the dispute and his decision 
shall be binding on the society and its employees. 
Provided that the Registrar or the officer referred to above 
shall not entertain the dispute unless presented to him within 
thirty days from the date of the order sought to be impugned. 
Provided further that in computing the period of limitation 
under the foregoing proviso the time requisite for obtaining 
copy of the order shall be excluded." 
Learned counsel for the petitioner seeks to place reliance on 
H Section 64 of the Act dealing with disputes referable to the arbitration 
R.C. TIWARI v. M.P. STATE CO-OP MKTG. FEDERATION LID. 797 
and contends that the dispute of dismissal from service of the employee of A 
the society being not one of the disputes referable to the arbitration under 
the Societies Act, the award of the Dy. Registrar is without jurisdiction. 
He relied on the decision of this Court in Co-operative Central Bank Ltd. 
& Ors. Etc. v. Additional lndusllial Tribunal, Andhra Pradesh, Hyderabad & 
Ors. Etc., AIR (1970) SC 245. He also places reliance on Section 93 of 
the Societies Act which states that nothing contained in the Madhya 
Pradesh Shops and Establishments Act 1958, the M.P. Industrial 
Workmen (Standing Orders) Act, 1959 and the M.P. Industrial Rela-
tions Act, 1960 shall apply to a Society registered under this Act. By 
necessar
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