GOPAL MILL MAZDOOR UNION Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) MANAGEMENT of company (respondent No. 3) made an application on August 9, 1984 under S. 25 -0 of the Industrial Disputes Act, 1947 (for short 1947 Act) seeking permission to close down Sudershan Textiles Mills Kota (for short STM) with effect from October 9, 1984. The appellants -unions however opposed the application and the State Government vide its order, dated October 5, 1984, refused permission for closure. The management of company then filed review application under S. 25 -0(5) of 1947 Act on October 8, 1984. The matter was referred by the State Government to the Industrial Tribunal Kota for adjudication. The Tribunal vide its award, dated March 6. 1985, held that order, dated October 5, 1984, was 1 illegal and closure of STM was just and legal. The said award was assailed by the unions by filing writ petition in the High Court. Learned Single Judge however, did not find merit in the writ petition and dismissed the same on September 14, 1990. Against this judgment of learned Single Judge that this appeal has been filed by the unions. Brief facts :

(2.) CONTEXTUAL facts depict that STM employing nearly 1500 workers, both permanent and badlis, was earlier known as Shri Gopal Industries Ltd. This company got amalgamated with Maharaja Shri Ummed Mills Ltd. Pali with effect from January 1, 1978, vide High Court's order, dated September 7, 1978, the High Court indicated in the said order thus : ''The scheme of the amalgamation of the transferor company into transferee company has been agreed to by the Board of Directors of both the Companies, with the object of rehabilitating and reviving the transferor company so that there may be no unemployment of workers by closure of the transferor company and also avoiding production losses. Both the companies carry on the business of textiles, therefore, similar in nature and inter connected. '' (emphasis supplied)

(3.) BEING aggrieved of the refusal by State Government vide management moved application under S. 25 -0(5) of the 1947 Act on October 8, 1984. The State Government referred the matter to Industrial Tribunal Kota for adjudication with a direction to submit its decision to Government within thirty days from the date of reference. Term of reference, dated November 27, 1985, were as under :