THE GENERAL MANAGER, SOUTHERN RAILWAY versus RANGACHARI
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1961 George Orihes (P.) Ltd. v. State of Madras S. f(, Das j. 196c April z8. 586 SUPREME COURT REPORTS [1962] he may turn it over again and again till he finally hands it to Government. There is thus nothing ano- ma.lous in the law treating it as part of the amount on which tax must be paid by him. This conception of a turnover is not new. It is found in England and America and there is no reason to think that when the legislatures in India defined 'turnover' to include tax also, they were striking out into something quite unknown aud unheard of before. The only question which has been raised in these appeals is regarding the validity of the impugned Act. That question having been decided against the appellants, the appeals fail and are dismissed with costs. One hearing foe. Appeals dismissed. THE GENERAL MANAGER, SOUTHERN RAILWAY v. RANG A CHARI (P. B. GAJENDRAGADKAR, A. K. SARKAR, K. N. W ANCHOO, K. C. DAS GUPTA and N. RAJAGOPALA AYYANGAR, JJ.) State Service-Power of Stale to reserve appointments and posts for backward classes-Scope of such reservation-"Appoint- ments or posts", Meaning of-Posts. if include selection posts in tlze services-Constitution of India, Arts. 16(4), 335. This appeal was directed against an order of the Madras High Court issuing a writ of mandamus at the instance of the respondent restraining the appellants from giving effect to two circulars issued by the Railway Board reserving selection posts in Class Ill of the Railway service in favour of the members of the Scheduled Castes and Scheduled Tribes with retrospective operation. It was urged on behalf of tbe respondent tl1at the Constitution made a clear distinction between backward classes on the one hand and Scheduled Castes and Scheduled Tribes on the other, and th.at Art. 16(4) applied only to reservation of posts at the stage of appointment and not to posts for promo- tions after appointment and, therefore, the circulars which fell 2 S.C.R. SUPREME COURT REPORTS 587 outside the scope of Art. 16(4) and contravened Art. 16(1). This r96r was denied by the appellant who pleaded the contrary. The first circular, inter alia, prescribed a quota of reservation for General Man.ager, selection posts and gave retrospective effect to it and the second S"uthern Railway gave guidance and directions as to how the first should be im- v. p!emented. A subsequent clarification issued by the Board Rangachari stated that no reversion of staff already promoted to selection posts was contemplated. The High Court held that the expres- sion "backward classes" in Art. 16(4) included members of the Scheduled Castes and Scheduled Tribes, but that the word 'appointments' did not denote promotion and the word 'posts' meant posts outside the civil services and thus the impugned circulars were not covered by Art. 16(4) and wen' ultra vires. Held, (per Gajendragadkar, Sarkar, and Das Gupta, JJ.), that the impugned circulars were well within the ambit of Art. 16(4) of the Constitution and the appeal must succeed. Articles 16(1) and 16(2) of the Constitution are intended to give effect to Art. 14 and Art. 15(1) of the Constitution and these Articles form parts of the same constitutional code of guarantees and supplement each other. Article 16(1) should, therefore, be construed in a broad and general, and not pedan- tic and technical way. So construed, "matters relating to em- ployment" cannot mean merely matters prior to the act of appointment nor can 'appointment to any office' mean merely the initial appointment but must include all matters relating to employment, whether prior or subsequent to the employment, that are either incidental to such employment or form part of its terms and conditions and also include promotion to a selec~ lion post. Although Art. 16(4), which in substance is an exception to Arts. 16(1) and 16(2) and should, therefore, be strictly con- strued, the court cannot in construing it overlook the extreme solicitude shown by the Constitution for the advancement of socially and educationally backward classes of citizens. The scope of Art. 16(4), though not as extensive as that of Art. 16(1) and (2),-and some of the matters relatinr; to employ- ment such as salary, increment, gratuity, pension and the age of superannuation, must fall outside its non-obstantc clause, there can be no doubt that it must include appointments and posts in the services. To put a narrowe
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