BALLABB KUMAR Vs. STATE OF BIHAR

JUDGEMENT

(1.) The petitioners in the present writ application have prayed for quashing of the Government instruction dated 10-8-1992 issued b"y the Joint Secretary, Department of Water Resources (respondent no. 2), as contained in Annexure 36, and the office order contained in letter no. 2131 dated 17-8-1992 issued by the Secretary, Administration of the Bihar State Construction Limited (respondent no. 5), as contained in Annexure 37, whereby and whereunder, in implementation of the aforementioned instruction dated 10.8.1992, the absorption of the petitioners as Movement Inspector in the aforesaid Corporation and their upgradation in the scale of the Movement Inspector sanctioned earlier have been cancelled, consequently the petitioner s have been reverted to work on daily wages as they were working before their absorption. Further, the petitioners have also prayed to issue a writ in the nature of mandamus commanding the respondents to treat them in continuous service on the posts of Movement Inspector in respondent Corporation and continue to pay the salary allowances etc. to them of the said posts.

(2.) In short, the case of the petitioners is that the Bihar State Construction Corporation Limited (hereinafter referred to as 'the Corporation') is a Company incorporated under the Indian Companies Act with its 100% share of the Government of Bihar and, thus, it is an instrumentality of the State. The work of the Corporation is of construction and it has got its own Articles of Association defining its power and functions.

(3.) Clause 47 of the said Articles of Association provides the power of Directors which includes the power to appoint staff Under sub-clause (iii) the Board of Directors has been vested with the power to appoint such staff or create such posts as may be necessary for the purposes of the Company, provided that no appointment or creation of such post carrying on ultimate salary exceeding Rs. 2,250/- per month is to be made without the prior approval of the Governor. Clause 48 of the said Articles of Association contains the rights of the Governor to issue directives which reads as follows :