1997 (1) TMI 536 - SC - Indian Laws

Summary

Issues Involved:
1. Constitutionality of the Jammu and Kashmir Shri Mata Vaishno Devi Shrine Act, 1988.
2. Whether the Shri Mata Vaishno Devi Shrine Board is a controlled corporation.
3. The Governor's role under the Act - as an executive head or in his official capacity.
4. Compensation for the extinguished rights of Baridars.

Summary:

1. Constitutionality of the Act:
The appellants challenged the constitutionality of the Jammu and Kashmir Shri Mata Vaishno Devi Shrine Act, 1988. The Act was enacted to provide for the better management, administration, and governance of Shri Mata Vaishno Devi Shrine and its endowments. The Act, consisting of 25 sections, overrides any contrary law, scheme of management, decree, custom, usage, or instrument. The Supreme Court upheld the constitutionality of the Act, emphasizing its objective to ensure proper, efficient, and effective management of the Shrine and its properties for the benefit of pilgrims.

2. Controlled Corporation:
The appellants argued that the Shrine Board is a controlled corporation, thereby entitling them to compensation for the deprivation of their right to receive offerings. The Supreme Court examined whether the Board is a controlled corporation under Article 12 of the Constitution. The Court concluded that the Board is not a controlled corporation. The Board is a body corporate with perpetual succession and a common seal, vested with the management of the Shrine and its properties. The Governor's role as the ex-officio Chairman of the Board does not equate to State control over the Board.

3. Governor's Role:
The Court analyzed whether the Governor exercises powers under the Act as the executive head of the State or in his official capacity as Governor. The Act entrusts the Governor with the power to nominate members of the Board, supersede or dissolve the Board, and oversee the administration, management, and governance of the Shrine. The Court held that the Governor exercises these powers in his official capacity as Governor, not as the executive head of the State. The Governor's role is to ensure proper management and administration of the Shrine, distinct from the executive functions performed with the aid and advice of the Council of Ministers.

4. Compensation for Baridars:
The Act extinguishes the rights of Baridars from the date of its commencement. The appellants argued that the Act is void for not providing compensation for the deprivation of their rights. The Court noted that the Act provides for the appointment of a Tribunal to recommend compensation for Baridars. The Tribunal shall consider the income derived by Baridars and make recommendations to the Board. The Board shall examine the recommendations and take an appropriate decision. The Court directed the Governor to appoint the Tribunal within six weeks and instructed the Tribunal to dispose of the claims expeditiously.

Conclusion:
The Supreme Court upheld the constitutionality of the Jammu and Kashmir Shri Mata Vaishno Devi Shrine Act, 1988, and concluded that the Shrine Board is not a controlled corporation. The Governor exercises powers under the Act in his official capacity as Governor. The Court directed the appointment of a Tribunal to recommend compensation for the extinguished rights of Baridars and instructed the Board to take appropriate decisions based on the Tribunal's recommendations. The appeals were disposed of without any order as to costs.