MAHARAJA SAYAJIRAO UNIVERSITY Vs. ARVINDBHAI PARSOTTAMBHAI SHAH

JUDGEMENT

(1.) In this petition under Article 227 of the Constitution, the Maharaja Sayajirao University of Baroda has challenged the judgment and award dated 14.6.1988 passed by the Labour Court, Baroda in recovery application No. 259/80.

(2.) The short question arising for consideration in this petition is whether the Industrial Employment (Standing Orders) Act, 1946 (hereinafter referred to as "the Act") is applicable to the petitioner-University. The petitioner-University had suspended the respondent from service during pendency of a departmental inquiry on the ground that the respondent had demanded illegal gratification of Rs.5,000.00 from a student for getting him admitted to the First Year in diploma course. During pendency of the inquiry, the respondent was paid 25% of the salary in accordance with the rules of the University. The respondent, therefore, challenged the said order in so far as the respondent was not paid subsistence allowance in accordance with the Industrial Employment (Standing Orders) Act, 1946.

(3.) The University contended before the Labour Court that the University is not an industry or an industrial establishment as defined by the Act and, therefore, only the rules of the University are applicable and not the Industrial Employment (Standing Orders) Act. However, the Labour Court held that in view of the decision of the Apex Court in Bangalore Water Supply case, industry as defined therein would include the petitioner-University and, therefore, the Act was applicable to the University.