VISWANATHA PILLAI Vs. STATE OF KERALA

JUDGEMENT

(1.) WHEN the counsel for the Public Service Commission (for short'the PSC') filed a memo of appearance without affixing the additional stamps as required under S. 23 of the Kerala Advocates' Welfare Fund Act, 1980 (for short'the act), the registry objected to the same and insisted that such a memorandum of appearance shall be affixed by additional stamps. The matter has been placed before us to consider whether the proviso to S. 23 of the Act would apply to the counsel who appears for the PSC. The relevant portion of S. 23 of the Act reads as follows: "23. Vakalath to bear stamps - (1) Every vakalatll filed by an Advocate shall be affixed with stamp in addition to the court fee stamps affixed thereon, and no vakalatll shall be valid unless so stamped. Explanation :- If two or more Advocates jointly appear by a single vakalatll separate stamps shall be affixed by each of such Advocates. Provided that nothing contained in this sub-section shall apply in respect to any memorandum of appearance filed by an advocate appearing on behalf of the Government". The contention of the counsel for the Public Service commission is that the Public Service Commission is to be construed as "government" for the purpose of the proviso to S. 23 of the Act. We issued notice to the Bar Council of Kerala and Sri. P. R. Raman, advocate, appeared on behalf of the Bar Council. We heard the counsel for the PSC and also the counsel for the Bar Council.

(2.) THE question that arises for consideration is whether the PSC could be treated as Government for the purpose of the Act. In order to appreciate the real nature and position of the PSC, the various provisions contained in the Constitution of India are to be noted. Art. 315 of the constitution says that there shall be a Public Service Commission for the Union and a Public Service Commission for each State. Art. 315 (5) states that the commission is constituted for serving the needs of the Union or the State as the case may be and as regards the members of the State Public Service commission, the Governor shall be the appointing authority. A member of a public Service Commission shall hold office for a term of six years from the date on which he enters upon his office or until he attains the age of sixty two years whichever is earlier and a person who holds office as a member of a Public service Commission shall, on the expiration of his term of office, be ineligible for reappointment to that office. In respect of State Public Service commission, the Governor of the State may by regulations determine the number of members of the Commission and their conditions of service and make provision with respect to the members of the staff of the Commission and their conditions of service. Art. 320 of the Constitution says that it shall be the duty of the psc to conduct examinations for appointments to the services of the State and the PSC shall be consulted on all matters relating to methods of recruitment to civil services and for civil posts and the State shall also consult the PSC on the principles to be followed in making appointments to civil services and posts and in making promotions and transfers from one service to another and on the suitability of candidates for such appointments, promotions or transfers and also in respect of disciplinary matters affecting a person serving under the Government of a State in a civil capacity including memorials or petitions relating to such matters. It is also the duty of a Public Service Commission to advise the State Government in respect of any matter referred to them by the governor of the State and the nature and scope of such references also provided in Clauses (3), (4) and (5) of Art. 320 of the Constitution. Art. 322 of the constitution says that all expenses of the PSC including salaries," allowances and pensions payable to or in respect of the members or staff of the commission shall be charged on the Consolidated Fund of the State. Art. 323 says that it shall be the duty of the PSC to present annually to the Governor of the state a report as to the work done by the Commission and on receipt of such report, the Governor shall cause a copy thereof together with a memorandum explaining, as respects the cases, if any, where the advice of the Commission was not accepted, the reasons for such non-acceptance to be laid before the Legislature of the State. 2a. THE various provisions contained in Arts. 315 to 323 of the Constitution show that the State PSC is constituted for serving the needs of the State and it is an independent constitutional body. THE PSC" is discharging sovereign functions of the State. A close study of various provisions in the Constitution would show that the PSC can only be construed as government for the purpose of S. 23 of the Act.

(3.) THE learned counsel for the respondents referred to the decisions reported in Novopan India Ltd, v. Collector of Central Excise (1994 Supp. (3) SCC 606), Liberty Oil Mills (P) Ltd. v. C. C. E. ( (1995) 1 SCC 451), Rajasthan Shipping and Weaving Mills Ltd. v. C. C. E. ( (1995) 4 SCC 473)and Housing Board of Haryana v. Employee's Union ( (1996) 1 SCC 95) for the purpose of contending that an exemption clause shall not be liberally construed in favour of the assessee. It is true that the exemption clause shall not be construed liberally so as to extend the term and scope of the extension notification and it is for the assessee to show that he comes squarely within the ambit of the notification. It is also equally true that whenever there is an ambiguity or doubt regarding the exemption provision in the fiscal statute, it should be resolved in favour of the revenue and not in favour of the assessee. But the aforesaid decisions have been rendered while interpreting the fiscal statute and these decisions are not strictly applicable to the facts of this case. We are of the view that the Public Service Commission is discharging the functions in the State and being a constitutional body, it should be treated as Government for the purpose of the proviso to S. 23 of the act and counsel who filed the memo of appearance need not affix the additional stamp as envisaged in S. 23 of the Act. . .