STATE OF UTTAR PRADESH versus PREETAM SINGH AND OTHERS

Citation: [2014] 10 S.C.R. 910 · Decided: 23-09-2014 · Supreme Court of India · Bench: J.S. KHEHAR · Disposal: Dismissed

Cited by 2 judgment(s) · see the full citation network in Lexace

Judgment (excerpt)

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B 
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[2014] 10 S.C.R. 910 
STATE OF UTTAR PRADESH 
v. 
PREETAM SINGH AND OTHERS 
(Civil Appeal No. 6307 of 2010) 
SEPTEMBER 23, 2014 
[JAGDISH SINGH KHEHAR AND ARLIN MISHRA, JJ.] 
Uttar Pradesh Avas Evam Vikas Parishad Adhiniyam, 
1965: 
s.95(1) - Power of Vikas Parishad to make Regulations 
- Implementation of Pension/Family Pension and Gratuity 
Scheme by Vikas Parishad for its employees -
Vikas 
Parishad is vested with the right to make regulations so as to 
D extend to its employees such a scheme. 
Uttar Pradesh State Control Over Public Corporations 
Act, 1975: 
s.2(1) - Directions by State Government in regard to 
E 
'questions of policies' of Vikas Parishad having regard to 
"discharge of its functions" -
Conditions of service of 
employees do not constitute the functions of Vikas Parishad, 
and directions contemplated u/s 2(1) do not extend to the 
directions issued by State Government restraining the Vikas 
F 
Parishad from implementing the Pension/Family Pension and 
Gratuity Scheme. 
The instant appeal arose out of the order of the High 
Court quashing the orders of the State Government 
withdrawing- the permission granted to the U.P. Avas 
G Evam Vikas Parishad to implement the Pension/Family 
Pension and Gratuity Scheme. 
Dismissing the appeal, the Court 
H 
910 
STATE OF UTIAR PRADESH v. PREETAM SINGH 
911 
HELD: 1.1. The directions by the State Government as A 
contemplated u/s 2(1) of the Uttar Pradesh State Control 
Over Public Corporations Act, 1975 could be issued to the 
Vikas Parishad only in respect of questions of policy 
having a nexus to the "discharge of its functions", as 
stipulated in s.15 of the Uttar Pradesh Avas Evam Vikas 
B 
Parishad Adhiniyam, 1965. [para 12] [920-F, G] 
1.2. The State of Uttar Pradesh had the right to issue 
directions only in respect of the functions assigned to the 
Vikas Parishad u/s 15 of the 1965 Act. The conditions of 
service of employees, in the considered view of this C 
Court, do not constitute the functions of the Vikas 
Parishad, and as such, the directions contemplated u/s 
2(1) of the 1975 Act, do not extend to the directions issued 
by the State of Uttar Pradesh in the impugned orders 
dated 13.9.2005 and 12.7.2007. [para 12] [927-D-E] 
D 
1.3. Under clause (d) of s. 93(1 ), the financial liability 
transferable to the State Government in the event of 
dissolution of the Board, is limited of the fund and 
properties of the Board vested in it. Thus, the State of 
Uttar Pradesh in case of dissolution of the Board, would 
E 
only bear the responsibility of discharging the liabilities, 
to the extent of the properties of the Board which stand 
transferred to it. Therefore, no financial liability would 
stand transferred to the State Government, even in the 
event of the dissolution of the Vikas Parishad. [para 13] 
F 
[925-D-F] 
1.4. In view of clause (f) of s.95 (1) read with clause 
(I) of s.95(1), the Vikas Parishad is vested with the right 
to make regulations, so as to extend to its employees a 
scheme in the nature of Pension/Family Pension and G 
Gratuity Scheme i.e., a scheme similar to the one framed 
by the Vikas Parishad on 19.5.2009. [para 14] [927-C] 
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 
6307 of 2010. 
H 
912 
SUPREME COURT REPORTS 
[2014] 10 S.C.R. 
A 
From the Judgment and Order dated 16.01.2009 in 
Respondent/employee's Writ Petition No. 582 (S/B) of 2000 
of the High Court of Judicature at Allahabad, Lucknow Bench. 
P.N. Misra, Abhisth Kumar, Som Raj Choudhury for the 
B 
Appellant. 
Rakesh Dwivedi, Jaideep Gupta, Vishwajit Singh, Pankaj 
Singh, Abhindra Maheshwari, Ajit Sharma, Upander Mishra, 
Temple Law Firm for the Respondents. 
c 
The Judgment of the Court was delivered by 
JAGDISH SINGH KHEHAR, J. 1. The Uttar Pradesh 
Avas Evam Vikas Parishad (hereinafter referred to as the 
'Vikas Parishad') is a corporate body. It came into existence, 
0 
consequent upon the promulgation of the Uttar Pradesh Avas 
Evam Vikas Parishad Adhiniyam, 1965 (hereinafter referred to 
as the '1965 Act'). The employees of the VikaS"Parishad were 
members of a Contributory Provident Fund Scheme. The Vikas 
Parishad desired to grant its employees better retiral benefits. 
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A proposal was made, to extend pensionery benefits to the 
employees of the Vikas Parishad, in place of the existing 
Contributory Provident Fund Scheme. In furtherance of the 
aforesaid objective, a resolution dated 21.2.1995 was passed,. 
proposing to replace the existi

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