Supreme Court Allows State Appeal in Waqf Board Supersession Case — Upholds Government's Power to Supersede Board Under Section 99 of Waqf Act, 1995 When Elected Members Are Less Than Nominated Members, Rendering Board Unable to Perform Functions. Partial Setting Aside of Supersession Order Is Impermissible; Challenge Barred by Constructive Res Judicata.

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Case Note & Summary

The State of Tamil Nadu appealed against a common judgment of the Madras High Court that partially set aside the supersession of the Tamil Nadu Waqf Board. The Board was originally constituted on 10.10.2017 with 11 members, including elected and nominated members. In May 2019, the Muslim Member of Parliament demitted office, reducing the Board to 10 members, with only 4 elected members against 6 nominated members, violating Section 14(4) of the Waqf Act, 1995 which requires elected members to outnumber nominated members at all times. The State Government issued a show cause notice and, after considering replies, superseded the Board on 18.09.2019 under Section 99 of the Act, citing the Board's inability to perform its functions. The supersession was extended and a fresh election process was initiated. Syed Ali Akbar and Dr. Haja K. Majeed, elected members from the Mutawalli constituency, challenged the supersession and subsequent orders. The High Court allowed their writ petitions, setting aside the supersession order only insofar as it affected them. The Supreme Court granted leave and stayed the High Court's order. The appellants argued that the supersession was valid under Section 99 as the Board was unable to perform due to the imbalance between elected and nominated members, and that the High Court's partial setting aside was impermissible. They also contended that the challenge was barred by constructive res judicata as the validity of the supersession had been upheld in earlier proceedings. The respondents argued that the two Senior Advocates nominated under Section 14(1)(b)(iii) should be considered elected members, and that the grounds for supersession did not meet the requirements of Section 99, particularly the second proviso requiring prima facie evidence of financial irregularity or misconduct. The Supreme Court analyzed the provisions of the Waqf Act, 1995, particularly Sections 14(4) and 99. It held that the State Government correctly formed the opinion that the Board was unable to perform its functions due to the violation of Section 14(4). The Court noted that the supersession order was an indivisible administrative action and could not be partially set aside. It also observed that the earlier challenge to the supersession had been dismissed, and the subsequent challenge was barred by constructive res judicata. The Court allowed the appeals, set aside the High Court's judgment, and upheld the supersession order dated 18.09.2019 and the subsequent election process.

Headnote

A) Waqf Law - Supersession of Waqf Board - Section 99 of Waqf Act, 1995 - Grounds for Supersession - The State Government superseded the Tamil Nadu Waqf Board on the ground that elected members were less than nominated members, rendering the Board unable to perform its functions. The High Court partially set aside the supersession order. The Supreme Court held that the supersession was valid under Section 99 and partial setting aside was impermissible. (Paras 2-9)

B) Waqf Law - Composition of Waqf Board - Section 14(4) of Waqf Act, 1995 - Elected Members Must Outnumber Nominated Members - The provision mandates that elected members shall at all times be more than nominated members. When the Member of Parliament demitted office, the number of elected members reduced to four against six nominated members, violating Section 14(4). The State Government correctly invoked Section 99. (Paras 3-5)

C) Civil Procedure - Res Judicata - Constructive Res Judicata - Earlier Challenge to Supersession Dismissed - The validity of the supersession notification was upheld by the High Court in a previous writ petition (W.P. No.20417 of 2019) decided on 12.11.2019. The subsequent challenge by the same parties was barred by constructive res judicata. (Para 9)

D) Waqf Law - Partial Setting Aside of Supersession - Impermissible - The High Court set aside the supersession order only insofar as it affected two members of the Mutawalli constituency. The Supreme Court held that a supersession order cannot be partially set aside; it is an indivisible order. (Paras 6-7)

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Issue of Consideration

Whether the State Government's order superseding the Tamil Nadu Waqf Board under Section 99 of the Waqf Act, 1995 was valid when the number of elected members became less than nominated members, and whether the High Court could partially set aside the supersession order.

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Final Decision

The Supreme Court allowed the appeals, set aside the impugned judgment of the High Court dated 17.08.2020, and upheld the supersession order dated 18.09.2019 and the subsequent election process. The Court held that the supersession was valid under Section 99 of the Waqf Act, 1995, and the High Court erred in partially setting it aside. The election held on 09.09.2020 was declared valid subject to further orders.

Law Points

  • Section 14(4) of Waqf Act
  • 1995 mandates elected members to be more than nominated members at all times
  • Section 99 of Waqf Act
  • 1995 empowers State Government to supersede Board when it is unable to perform its functions
  • Partial setting aside of supersession order is impermissible
  • Constructive res judicata applies when validity of notification was upheld in earlier proceedings
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Case Details

2020 LawText (SC) (11) 42

Civil Appeal Nos.3603-3605 of 2020 (arising out of SLP(C)Nos.10294-10296 of 2020)

2020-09-09

Ashok Bhushan

C.S. Vaidhyanathan (Senior Advocate) for appellant, Ratnakar Dash (Senior Advocate) for respondent No.1, Mehmood Pracha (Advocate) for respondent No.2

The State of Tamil Nadu & Anr.

K. Fazlur Rahman & Anr.

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Nature of Litigation

Civil appeals against High Court judgment partially setting aside supersession of Tamil Nadu Waqf Board.

Remedy Sought

State of Tamil Nadu sought setting aside of High Court's judgment that partially quashed the supersession order dated 18.09.2019.

Filing Reason

The State Government superseded the Waqf Board under Section 99 of the Waqf Act, 1995 on the ground that elected members were less than nominated members, rendering the Board unable to perform its functions. The High Court partially set aside the supersession order.

Previous Decisions

The High Court in W.P. No.20417 of 2019 upheld the validity of the supersession notification dated 15.07.2019. The High Court in the impugned judgment partially set aside the supersession order dated 18.09.2019.

Issues

Whether the supersession of the Tamil Nadu Waqf Board under Section 99 of the Waqf Act, 1995 was valid when the number of elected members became less than nominated members. Whether the High Court could partially set aside the supersession order. Whether the challenge to the supersession was barred by constructive res judicata.

Submissions/Arguments

Appellant: The supersession was valid under Section 99 as the Board was unable to perform due to violation of Section 14(4). Partial setting aside is impermissible. Challenge is barred by constructive res judicata. Respondent No.1: Two Senior Advocates nominated under Section 14(1)(b)(iii) should be considered elected members, so no violation of Section 14(4). Grounds for supersession do not meet Section 99 requirements. Respondent No.2: Power under Section 99 can only be exercised on grounds of financial irregularity, misconduct, or violation of Act as per second proviso. State cannot benefit from its own wrong in constituting the Board.

Ratio Decidendi

The State Government validly exercised its power under Section 99 of the Waqf Act, 1995 to supersede the Tamil Nadu Waqf Board when the number of elected members became less than nominated members, violating Section 14(4) and rendering the Board unable to perform its functions. A supersession order is indivisible and cannot be partially set aside. The challenge to the supersession was barred by constructive res judicata as its validity had been upheld in earlier proceedings.

Judgment Excerpts

Section 14(4) of the Act, 1995 provides that elected members of the Board shall at, all time, be more than the nominated members of the Board. The State Government was of the opinion that two Senior Advocates who were nominated as members under Section 14(1)(b)(iii) proviso cannot be treated as elected members hence the number of elected members are less than nominated members resultantly the Board is unable to perform its work as per the Waqf Act, 1995. The High Court held that supersession dated 18.09.2019 was not in accordance with law, however, the said order was set aside insofar as the election of two persons Syed Ali Akbar and Dr. Haja K. Majeed alone.

Procedural History

The Tamil Nadu Waqf Board was constituted on 10.10.2017. On 18.09.2019, the State Government superseded the Board under Section 99 of the Waqf Act, 1995. The supersession was challenged in various writ petitions. The High Court by judgment dated 17.08.2020 partially set aside the supersession order. The State of Tamil Nadu appealed to the Supreme Court. The Supreme Court granted leave and stayed the High Court's order on 28.08.2020. Election was held on 09.09.2020. The Supreme Court heard the appeals and delivered judgment on 09.09.2020.

Acts & Sections

  • Waqf Act, 1995: 14, 14(1)(b), 14(1)(b)(iii), 14(2), 14(4), 99, 99(1)
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