Case Note & Summary
The dispute arose from the Steel Authority of India Ltd.'s alleged non-compliance with court orders regarding the employment of displaced persons from the Bokaro Steel Plant project. The High Court of Jharkhand had issued contempt notices against the Steel Authority for not adhering to earlier judgments that mandated employment for displaced families. The Supreme Court noted that the land for the project was acquired with an understanding that one member from each displaced family would be employed. However, it was revealed that a government memorandum from 1986 had withdrawn this employment scheme, a fact that had not been presented in previous litigations. The court highlighted that despite the project being completed over 40 years ago, litigation continued, which was deemed an abuse of the court process. The Supreme Court directed that the 970 persons in category (ii) would be considered for employment, emphasizing that this did not guarantee them appointments but would give them preference when vacancies arose. The court dismissed the contempt proceedings and set aside the High Court's earlier order, aiming to conclude the ongoing disputes regarding employment for displaced persons.
Headnote
A) Contempt of Court - Non-compliance with Court Orders - Steel Authority of India Ltd. not in contempt for employment scheme - Contempt proceedings dismissed - The Supreme Court clarified that the employment scheme for displaced persons was withdrawn in 1986, and the company was only required to consider category (ii) persons for employment, not guarantee it. The court emphasized the need to end ongoing litigation regarding employment claims from displaced persons (Paras 10-14).
Issue of Consideration
Whether the Steel Authority of India Ltd. was in contempt for not complying with earlier court orders regarding employment of displaced persons.
Final Decision
The Supreme Court set aside the High Court's judgment and order dated 3/10.01.2007, dismissed the contempt proceedings, and directed that the 970 persons in category (ii) be considered for employment, with preference given when vacancies arise.
Law Points
- Contempt of Court
- Employment Rights
- Public Sector Employment
- Rehabilitation of Displaced Persons



