Bombay High Court Hears Writ Petition Against Industrial Court Order Directing Reinstatement of Workmen in Unfair Labour Practice Case. Employer Challenges Order Alleging Denial of Cross-Examination and Lack of Jurisdiction Under Maharashtra Recognition Trade Union and Prevention of Unfair Labour Practices Act, 1971.

High Court: Bombay High Court Bench: AURANGABAD
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Case Note & Summary

The writ petition arose from an industrial dispute between L. G Balakrishnan & Bros Ltd., a manufacturer of chain kits, and its workmen represented by Aurangabad Mazdoor Union (CITU). The workmen alleged that the management engaged in unfair labour practices after they joined the union and demanded wage rise. Earlier complaints had been filed and interim orders obtained restraining changes in service conditions. The workmen claimed that the management insisted on signing a good conduct undertaking, kept them idle, and later brought in outside workers. The Industrial Court in Complaint ULP No. 225/2019 passed an interim order directing the workmen to resume work and restraining the management from altering service conditions. Subsequently, the management terminated 37 workmen on 31.01.2020 and 01.02.2020, citing failure to produce original educational qualification certificates which were allegedly forged, leading to loss of confidence. The workmen amended the complaint to challenge the terminations. The Industrial Court, after hearing, held that the management committed unfair labour practices under various items of Schedules I and IV of the Maharashtra Recognition Trade Union and Prevention of Unfair Labour Practices Act, 1971. It quashed the termination orders and directed reinstatement of the workmen with 50% backwages from date of termination till reinstatement. The management filed the present writ petition challenging the Industrial Court's order. The petitioner raised three main grounds: first, that the Industrial Court curtailed its right to cross-examine all complainants, as only one witness was offered for cross-examination, violating natural justice; second, that the Industrial Court lacked jurisdiction to decide the legality of termination since the complaint was filed before termination and the proper forum was the Labour Court under Section 7 of the Act; third, that the termination was based on loss of confidence due to forged certificates and not on union activities, hence no unfair labour practice was committed. The petitioner relied on several judgments including Prakash Kashiram Sawant v. Motherson Advance Tooling Ltd., Rajneesh Khajuria v. Wockhard Ltd., and others to support its jurisdictional plea. The available text of the High Court's judgment does not include its analysis or final decision, rendering the outcome and ratio unavailable.

Headnote

The judgment text provided does not contain the High Court's final decision or ratio; it only includes the Industrial Court's order being challenged, the factual background, and the petitioner's submissions. The Industrial Court found the petitioner committed unfair labour practices under Items 1(a), 1(b), 4(a), 5 of Schedule I and Items 2, 5, 6, 9 of Schedule IV of the MRTU & PULP Act, quashed termination orders, and directed reinstatement with 50% backwages. The petitioner challenged the order on grounds of violation of natural justice due to denial of cross-examination, lack of jurisdiction, and improper finding of unfair labour practice.

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Issue of Consideration

Whether the Industrial Court's order declaring unfair labour practices and directing reinstatement with backwages was valid in law, particularly with respect to denial of cross-examination, jurisdiction to adjudicate termination, and interpretation of loss of confidence.

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Law Points

  • Unfair labour practices under MRTU & PULP Act
  • termination for loss of confidence
  • jurisdiction of Industrial Court vs Labour Court
  • cross-examination and natural justice
  • forged educational certificates
  • reinstatement with backwages
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Case Details

2025 LawText (BOM) (10) 126

WRIT PETITION NO. 9900 OF 2025

2025-10-17

Arun R. Pedneker, J.

2025:BHC-AUG:29878

Mr. S.V. Dankh, Advocate for the petitioner. Mr. T.K. Prabhakaran, Advocate for respondents.

L. G Balakrishnan & Bros Ltd.

Aurangabad Mazdoor Union (CITU) and Others

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Nature of Litigation

Writ petition challenging the Industrial Court's order declaring unfair labour practices and directing reinstatement with backwages.

Remedy Sought

Petitioner seeks to quash the Industrial Court's order and set aside the directions for reinstatement and backwages; alternatively, remand for cross-examination.

Filing Reason

The petitioner contends that the Industrial Court erred in curtailing cross-examination, lacked jurisdiction to decide termination legality, and improperly found unfair labour practices.

Previous Decisions

The Industrial Court, by order dated 28/02/2025, declared that the petitioner committed unfair labour practices under MRTU & PULP Act, quashed termination orders, and directed reinstatement with 50% backwages.

Issues

Whether the Industrial Court violated natural justice by denying cross-examination of complainants? Whether the Industrial Court had jurisdiction to adjudicate the legality of termination given the termination occurred post-filing of the complaint? Whether the termination based on loss of confidence due to forged certificates constituted an unfair labour practice?

Submissions/Arguments

Denial of cross-examination of complainants other than Mr. Khajekar violates natural justice. Industrial Court lacked jurisdiction as termination should be challenged before Labour Court under Section 7; complaint rendered infructuous. The termination was for loss of confidence due to forged educational certificates, not for union activities, and hence not an unfair labour practice.

Judgment Excerpts

By the impugned order the Industrial Court declared that the petitioners herein indulged in unfair labour practices under section 28 r/w Item Nos. 1(a), 1(b), 4(a) and 5 of Schedule I and Items 2, 5, 6 and 9 Schedule-IV of the MRTU & PULP Act and directed the petitioner to desist from committing such unfair labour practices. The Industrial Court has also quashed and set aside the termination orders dated 31.1.2020 and 1.2.2020 issued to the complainants/workmen by the petitioner and directed the petitioner to reinstate the complainants within two months of the passing of the order. The learned counsel relied upon the judgment of Prakash Kashiram Sawant and Ors. Vs. Motherson Advance Tooling Ltd. Aurangabad reported in 2020 (1) Mh.L.J. 561 to contend that even if the termination is subsequent to filing of the complaint before the Industrial Court under Schedule IV of the MRTU & PULP Act, 1971, the jurisdiction to decide the legality of the termination would be with the Labour Court under section 7 of the Act of 1971.

Procedural History

Complaint ULP No. 225/2019 filed under MRTU & PULP Act before Industrial Court, Jalna; earlier related complaints 125/2019 and 130/2019 with interim orders; workmen terminated on 31.01.2020 and 01.02.2020; complaint amended to challenge terminations; Industrial Court passed order on 28/02/2025; writ petition filed in High Court challenging said order; reserved on 29.09.2025 and pronounced on 17.10.2025.

Acts & Sections

  • Maharashtra Recognition Trade Union and Prevention of Unfair Labour Practices Act, 1971: Section 28, Section 7, Schedule I Items 1(a), 1(b), 4(a), 5, Schedule IV Items 2, 5, 6, 9, 10
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