DIRECTOR GENERAL ESI Vs. T ABDUL RAZAK

JUDGEMENT

(1.) CIVIL APPEALS NOS. 3952/1988, 3953/1988 AND 1913/1989.

(2.) The employees' State Insurance Corporation (for short 'the Corporation') is a statutory corporation established under the provisions of the Employees State Insurance Corporation Act, 1948 (hereinafter referred to as the Act). Under Section 16 of the Act the Director General of the Employees State Insurance Corporation (for short the Director General) is the Chief Executive Officer of the Corporation and is one of the principal officers. Section 17 of the Act makes provisions with regard to staff other than the Principal Officers. In sub-section (2) of Section 17 it is provided that the Corporation shall, with the approval of the Central Government, make regulations regarding the method of recruitment, pay and allowances, discipline, superanuation benefits and other conditions of service of the members of its staff Section 94-A, wherein provisions has been made for delegation of powers, provides that the Corporation, and subject to the regulations made by the Corporation in this behalf, the Standing committee may direct that all or any of the powers and functions which may be exercised by the Corporation or the Standing Committee, as the case may be, may, in relation to such matters and subject to such conditions, if any, as may be specified, be also exercised by any officer or authority subordinate to the Corporation. Sub-section (1) of Section 95 of the Act empowers the Central Government to make rules not inconsistent with the Act for the purpose of giving effect to the provisions thereof. Under Clause (d) of sub-section (2) of Section 95 such rules may provide for the powers and duties of the principal officers and the conditions of their service. Sub-section (1) of Section 97 empowers the Corporation to make regulations not inconsistent with the Act and the rules made thereunder for the administration of the affairs of the Corporation and for carrying into effect the provisions of the Act. Under Clause (xxi) of sub-section (2) of Section 97 such regulations may provide for the method of recruitment, pay and allowances, discipline, superanuation benefits and other conditions of service of officers and servant of the Corporation other than the principal officer.

(3.) The Rules have been framed by the Central Government in exercise of the powers conferred by Section 95 of the Act. Rule 16 relating to the powers and duties of the Director General is as under :-