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Issues:
1. Whether the judgment of the High Court in the writ petition operated as res judicata in the Civil Suit filed by Nanak Singh. 2. Whether the termination of employment of Nanak Singh amounted to dismissal and if the Officer had the authority to terminate the employment. Analysis: 1. The first issue in this case revolves around the application of res judicata. Nanak Singh filed a Civil Suit claiming relief based on two grounds - infringement of Art. 311 of the Constitution and absence of authority in the Officer who terminated his employment. The High Court, after reversing the judgment of the lower court, dismissed the petition filed by Nanak Singh, thereby rejecting both grounds. The Court held that the High Court's decision in the writ petition operated as res judicata in the Civil Suit, as the High Court's dismissal of the petition implied a rejection of both grounds raised by Nanak Singh. 2. The second issue pertains to whether the termination of Nanak Singh's employment amounted to dismissal and if the Officer had the authority to terminate the employment. The High Court provided detailed reasons to conclude that the termination did not constitute punishment. The Court also addressed the authority of the Officer who terminated the employment. Despite an obscure statement in the Court of Appeal's judgment, the Court held that the High Court's dismissal of the petition must be deemed as a negation of the authority issue as well. The Court emphasized that the decision itself, not the reasons given, operates as res judicata. The judgment highlighted that the High Court's dismissal of the petition precludes Nanak Singh from re-litigating the authority issue. 3. The Court referred to the principle of res judicata, emphasizing that any previous decision on a matter in controversy, decided after a fair opportunity for both parties to present their case, will operate as res judicata in subsequent suits. The Court clarified that the High Court's decision in the previous case operated as res judicata, as the authority issue was heard and decided by the lower court. The Court distinguished this case from precedent where disputes were not decided on their merits, emphasizing that in this instance, the authority issue was conclusively addressed by the lower court. 4. Ultimately, the Court allowed the appeal, setting aside the High Court's decree and restoring the decree of the Court of First Instance. The Union of India was directed to pay the costs of the appeal. The judgment reaffirmed that the High Court's dismissal of the petition precluded further litigation on the grounds raised by Nanak Singh, including the authority issue regarding the termination of his employment.
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