1997 (4) TMI 518 - SC - Indian Laws

Summary

Issues:
1. Maintainability of reference under Section 10(1) of the Industrial Disputes Act, 1947 in light of the M.P. Co-operative Societies Act, 1960.
2. Jurisdiction of the Labour Court in the dispute regarding dismissal from service under the Societies Act.
3. Applicability of Section 64 of the Act in disputes referable to arbitration under the Societies Act.
4. Interpretation of Section 55 of the Societies Act in relation to disciplinary matters and terms of employment.
5. Res judicata effect of the finding recorded by the Dy. Registrar in the award.

Comprehensive Analysis:
The Supreme Court addressed the issue of the maintainability of a reference under Section 10(1) of the Industrial Disputes Act, 1947 concerning a dismissal from service in the context of the M.P. Co-operative Societies Act, 1960. The petitioner was dismissed for misconduct, leading to a reference under the Societies Act, which was confirmed. Subsequently, a reference was made under the Industrial Disputes Act, resulting in the Labour Court setting aside the dismissal order due to a flawed domestic enquiry. The High Court held that the Labour Court lacked jurisdiction based on Section 55 of the Societies Act and the finding by the Dy. Registrar, which was deemed res judicata. The key question was the correctness of the High Court's view in law regarding jurisdiction (Issue 1).

The petitioner argued that the dispute was not arbitrable under the Societies Act, citing Section 64 of the Act and other provisions excluding the application of certain laws to societies. However, the Court rejected this argument, emphasizing that Section 55 of the Societies Act grants the Registrar authority over disciplinary matters and employment terms, binding on societies and employees. The wide scope of disputes under Section 64 was highlighted, indicating that references under Section 10 of the Societies Act are excluded (Issue 2 and 3).

Regarding the interpretation of Section 55 of the Societies Act, the Court clarified that the Registrar's power extends to disputes on employment terms, working conditions, and disciplinary actions, emphasizing the binding nature of the Registrar's decisions. The Court distinguished a previous judgment under a different Act, emphasizing the comprehensive coverage of disputes under the Societies Act (Issue 4).

The Court also addressed the res judicata effect of the Dy. Registrar's finding, noting that while Section 11 CPC does not apply, the principles of res judicata are applicable to tribunals constituted under the Societies Act. Consequently, the High Court's decision on the Labour Court's lack of jurisdiction and the invalidity of the reference were upheld, leading to the dismissal of the special leave petition (Issue 5).