Supreme Court Allows Non-Government Organizations in Vruddhashram Scheme Due to Arbitrary Non-Selection. Government Failed to Justify Exclusion of Satisfactory Institutions from the List of Selected Organizations.

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Case Note & Summary

The dispute arose from the exclusion of two non-government organizations, Raja Shri Shivrai Pratishthan and Siddhai Mahila Mandal, from a government list for running Vruddhashrams under the Matoshree Vruddhashram Scheme. The Maharashtra government had previously framed rules for providing grant-in-aid to recognized Vruddhashrams, and the appellants were initially included in this scheme. However, a subsequent resolution shifted the policy to a non-grant-aid basis, leading to a selection process where the appellants were not chosen. They challenged this decision, arguing it was arbitrary and violated their rights under Article 14 of the Constitution, as they had not been given an opportunity to be heard before their applications were rejected. The High Court dismissed their petitions, stating that the previous grant-in-aid did not create a vested right and that the government’s revised policy was valid. The appellants argued that their Vruddhashrams were functioning satisfactorily and that there was no evidence of deficiencies. The Supreme Court found that the government had not provided sufficient justification for the non-selection and that the appellants were entitled to preferential treatment under the policy. The court concluded that the non-selection was arbitrary and directed the government to include the appellants in the list of selected institutions, mandating compliance within one month.

Headnote

A) Constitutional Law - Violation of Article 14 - Arbitrary Non-Selection - Constitution of India, Article 14 - The appellants contended that their non-selection for running Vruddhashrams was arbitrary and capricious, violating their right to equality. The court held that the government failed to provide evidence justifying the non-selection and directed their inclusion in the list of selected institutions (Paras 5-6).

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Issue of Consideration

Whether the non-selection of the appellants for conducting Vruddhashrams on a non-grant-aid basis was arbitrary and violative of Article 14 of the Constitution.

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Final Decision

The Supreme Court allowed the appeals, set aside the High Court's order, and directed the State of Maharashtra to include the names of the appellants in the list of institutions selected for conducting Vruddhashrams on a non-grant-aid basis, to be completed within one month.

Law Points

  • Article 14 of the Constitution
  • natural justice
  • policy decision
  • preferential treatment
  • arbitrary action
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Case Details

2008 LawText (SC) (07) 8

Civil Appeal No.4678 of 2008

2008-07-28

B.N. Agrawal, G.S. Singhvi

V.A. Bobde, V.N. Raghupathy

Raja Shri Shivrai Pratishthan, Siddhai Mahila Mandal

State of Maharashtra and Ors.

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Nature of Litigation

Challenge to the exclusion from the list of institutions for running Vruddhashrams.

Remedy Sought

Inclusion in the list of institutions selected for conducting Vruddhashrams.

Filing Reason

Allegation of arbitrary exclusion and violation of natural justice.

Previous Decisions

High Court dismissed the writ petitions filed by the appellants.

Issues

Arbitrariness of non-selection Violation of natural justice

Submissions/Arguments

Appellants argued their institutions were functioning satisfactorily and should have been included. Government contended that the selection was based on policy decisions.

Ratio Decidendi

The court held that the non-selection of the appellants was arbitrary and violated Article 14, as the government failed to provide evidence of any deficiencies in their operations.

Judgment Excerpts

The non-selection is wholly arbitrary and violative of Article 14 of the Constitution. The applications of the appellants could not have been indirectly rejected without any rhyme or reason.

Procedural History

The appellants filed writ petitions in the Bombay High Court challenging the government resolution, which were dismissed, leading to appeals in the Supreme Court.

Acts & Sections

  • Constitution of India: Article 14
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