Supreme Court Allows Appeal in Samvida Shala Shikshak Appointment Case — Compensation Enhanced for Arbitrary Denial of Appointment. State's mala fide conduct in repeatedly amending rules to deny appointment despite court orders warrants restitution.

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Case Note & Summary

The appellant, a former Instructor in a Non-Formal Educational Centre, was selected for the post of Samvida Shala Shikshak Grade-III in an examination held on 31st August 2008. However, the State Government denied her appointment citing an amendment to Rule 7-A of the Madhya Pradesh Panchayat Samvida Shala Shikshak (Employment and Conditions of Contract) Rules, 2005, which made her ineligible. The appellant challenged the amendment, and the High Court quashed it in 2012, directing the State to consider her appointment under the unamended criteria. Despite this and subsequent orders, the State repeatedly rejected her claim, even after the Supreme Court dismissed a Special Leave Petition. In 2018, the State retrospectively amended Rule 7-A with effect from 1st January 2008 to further deny her claim. By the time the matter reached the Division Bench, the post had been abolished, and the appellant had become overage. The Division Bench allowed the State's appeal but awarded compensation of Rs. 1,00,000. The Supreme Court, hearing the appellant's appeal, found the State's conduct to be mala fide and arbitrary. It held that the High Court erred in not granting appointment or adequate compensation. Relying on Manoj Kumar v. Union of India, the Court emphasized the duty of constitutional courts to provide restitution for illegal administrative actions. Since appointment was no longer possible, the Court enhanced the compensation to Rs. 5,00,000, payable within eight weeks, with interest at 6% per annum if delayed. The appeals were allowed, and the impugned orders were modified accordingly.

Headnote

A) Service Law - Appointment - Samvida Shala Shikshak Grade-III - Denial of Appointment - The appellant, an ex-Instructor, was selected in 2008 but denied appointment due to an amended rule (Rule 7-A) which was struck down by the High Court. Despite repeated court orders, the State continued to deny appointment and retrospectively amended the rule to circumvent orders. The Supreme Court held that the High Court erred in not granting appointment or adequate compensation, and enhanced compensation to Rs. 5,00,000. (Paras 2-10)

B) Constitutional Law - Restitution - Public Law Proceedings - Duty of Constitutional Courts - The Supreme Court, relying on Manoj Kumar v. Union of India, held that constitutional courts have a duty to provide restitution for arbitrary and illegal administrative actions, even if the primary relief (appointment) is unattainable due to passage of time. Compensation is a secondary measure to address injurious consequences. (Paras 9-10)

C) Administrative Law - Mala Fides - Retrospective Amendment - The State's action of retrospectively amending Rule 7-A to deny appointment despite court orders was held to be mala fide and arbitrary. Such conduct warrants enhanced compensation to remedy the injustice caused to the appellant. (Paras 8-10)

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Issue of Consideration

Whether the High Court erred in denying appointment to the appellant despite holding that the denial was illegal, and whether compensation of Rs. 1,00,000 was adequate given the prolonged arbitrary conduct of the State.

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Final Decision

Appeals allowed. Impugned orders modified. State directed to pay Rs. 5,00,000 as compensation to the appellant within eight weeks, failing which interest at 6% per annum from the date of this order until payment.

Law Points

  • Restitution in public law
  • mala fide administrative action
  • retrospective amendment to circumvent court orders
  • compensation for illegal denial of appointment
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Case Details

2024 LawText (SC) (5) 59

CIVIL APPEAL NO(S). OF 2024 (Arising out of SLP(C) NO(S). 23966-23968 OF 2022)

2024-05-03

Sandeep Mehta

L.C. Patne, Rekha Pandey, Raghav Pandey, Sharmistha Choudhury, Gauri Pandey, Mrinal Gopal Elker, Saurabh Singh, Ankita Chaudhary, Pashupathi Nath Razdan, Abhinav Shrivastav

SMITA SHRIVASTAVA

THE STATE OF MADHYA PRADESH & ORS. ETC.

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Nature of Litigation

Civil appeal against High Court order denying appointment and awarding inadequate compensation.

Remedy Sought

Appointment to the post of Samvida Shala Shikshak Grade-III or adequate compensation.

Filing Reason

Denial of appointment despite passing selection exam and court orders in her favour.

Previous Decisions

High Court quashed Rule 7-A amendment in 2012; subsequent orders directed consideration; Division Bench allowed State's appeal but awarded Rs. 1,00,000 compensation; review dismissed.

Issues

Whether the High Court erred in denying appointment to the appellant despite holding that the denial was illegal. Whether the compensation of Rs. 1,00,000 was adequate given the prolonged arbitrary conduct of the State.

Submissions/Arguments

Appellant argued that the State's conduct was mala fide and arbitrary, and that the High Court should have granted appointment or higher compensation. State argued that the post was abolished and the appellant became overage, so appointment was not possible.

Ratio Decidendi

Constitutional courts have a duty to provide restitution for arbitrary and illegal administrative actions. When primary relief (appointment) is unattainable due to passage of time caused by the State's mala fide conduct, adequate compensation must be awarded to remedy the injustice.

Judgment Excerpts

It is a glaring case wherein the adamant, arbitrary, mala fide and high-handed approach of the State Government and its officials has driven the appellant to a series of prolonged litigations... This concomitant duty to take reasonable measures to restitute the injured is our overarching constitutional purpose.

Procedural History

Appellant filed Writ Petition No. 91 of 2011 which was allowed on 21.02.2012 quashing Rule 7-A amendment. Another Writ Petition No. 1578 of 2011 allowed on 01.02.2013. State rejected claim repeatedly. Contempt petitions filed. Division Bench in Writ Appeal Nos.1972 of 2019 and 799 of 2021 allowed State's appeal on 07.05.2022 awarding Rs. 1,00,000 compensation. Review Petition No.707 of 2022 dismissed on 03.08.2022. Present appeals filed.

Acts & Sections

  • Madhya Pradesh Panchayat Raj Avam Gram Swaraj Adhiniyam, 1993: Section 95(1), Section 70(2)
  • Madhya Pradesh Panchayat Samvida Shala Shikshak (Employment and Conditions of Contract) Rules, 2005: Rule 7-A
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