Uttar Pradesh Co-operative Societies Employees Service Regulations, 1975: Regn. 87 – Prior approval – Administrative Committee in exercise of powers conferred under r.10 r/w proviso to r.15 passed office order on 8.8.2016 that prior to imposing of penalty, the approval of Dairy Milk Commissioner/Registrar would be mandatory – In terms of the said Circular, the order of punishment was passed against respondent-employee after approval from the Dairy Milk Commissioner discharging functions as the Registrar – Challenge against – Held: The exercise of the powers under the Act are conferred by designation – The prior approval of the punishment is by the Registrar – If, incidentally, the person holding the post of Registrar is also Chairman of the Administrative Committee, it cannot be said to be illegal as he is exercising the powers of Registrar as well as of the Chairman of the Administrative Committee in terms of the Act or the Rules – The Chairman is the Disciplinary Authority in terms of proviso to r.15 of the Dairy Service Rules – Though, the Administrative Committee has resolved that the approval of the Dairy Milk Commissioner/Registrar would be mandatory, but such Resolution has to be read in the context of proviso to r.15 which confers jurisdiction on Chairman of the Administrative Committee to be a Disciplinary Authority – Since the Chairman of the Administrative Committee happens to be the Registrar, the decision to impose punishment may not require prior approval – However, if prior approval has been sought from the office of Registrar, that will not vitiate the proceedings – There is nothing wrong in the exercise of power by the Chairman of the Committee – Thus, there is no error in the order of punishment passed by the Administrative Committee – Uttar Pradesh Co-operative Dairy Federation and Milk Union Centralised Service Rules, 1984 – ss.10, 15. Allowing the appeal, the Court
HELD : 1. The Uttar Pradesh Co-operative Dairy Federation and Milk Union Centralised Service Rules, 1984 came to be published in the U.P. Government Gazette on 29.8.1984. As per the said Rules, the Administrative Committee was to consist of a Managing Director of the Federation, a nominee of the Registrar not below the rank of Class I Officer, a nominee of the Managing Director of the Federation and a Member Secretary. Rule 15 of the Dairy Service Rules contemplates that the Appointing Authority and the authority exercising disciplinary control over the members of the service shall be such as may be laid down in the regulations. However, the proviso contemplated that till the enforcement of such regulations, the Chairman of the Administrative Committee shall be the Appointing Authority and would act as the authority exercising disciplinary control as well. [Paras 11, 13][740-C-D; 743-E-F]
2. The Administrative Committee in exercise of the powers conferred under Rule 10 read with proviso to Rule 15 passed an office order on 8.8.2016 that prior to imposing of penalty, the approval of Dairy Milk Commissioner/Registrar would be mandatory. It is in terms of the said Circular that the order of punishment was passed against the employee after approval from the Commissioner (Dairy Milk), discharging functions as the Registrar. [Paras 14, 15][743-G; 744-C]
3. Section 122 of the Act and Rule 389-A of the 1968 Rules empower the State Government to constitute an authority for recruitment, training and disciplinary control of the employees of Co-operative Societies. By virtue of notification dated 4.3.1972, Uttar Pradesh Co-operative Institutional Service Board was constituted for the purpose of recruiting, training and exercising disciplinary control of the employees of Apex Level Societies, Central or Primary Societies. Later, Regulation 87 of the Service Regulations mandated that no order of punishment could be passed without prior concurrence of the Board. However, by notification dated 17.11.1979 issued again in terms of the powers conferred on the State Government under Section 122 of the Act and Rule 389-A of the 1968 Rules, the Apex Level Society i.e. Pradeshik Co-operative Dairy Federation, Central or Primary Milk Societies, whose area of operation extends to more than one district or State and Co-operative Milk Unions, including Kanpur Co-operative Milk Board, were taken out of the control of Uttar Pradesh Co-operative Institutional Service Board. A Selection Committee was constituted in respect of Category I and II employees. Thereafter, it was the Selection Committee who was empowered for the purpose of recruitment, training and disciplinary control of the employees of Dairy Co-operative Societies until the Dairy Service Rules came into force upon publication of the Gazette on 29.8.1984 and not the Service Regulations since it ceased to apply vide notification 17.11.1979 issued by the State. The Resolution dated 20.09.1984 by the Cadre Authority which provided that the service conditions of the members of the Centralised Service shall be governed by the 1975 Regulations will not revive the applicability of Regulation
87 of the Service Regulations as Rule 15 of the Dairy Service Rules contemplate the Appointing and Disciplinary Authority. [Para 18][745-G-H; 746-A-D]
4. The Administrative Committee exercises overall control and supervision over the members of the Service in terms of Rule 10(i) of the Dairy Service Rules. Such Administrative Committee constituted under Rule 5 of the Dairy Service Rules is the Appointing Authority till the time Regulations are framed in terms of Rule 15 of the said Rules. Therefore, the Resolution dated 20.9.1984 will not determine the Appointing or Disciplinary Authority, the same being covered the Statutory Rule namely the Dairy Service Rules. The Dairy Service Rules have been framed in exercise of the jurisdiction conferred under Section 122A of the Act. The Regulations can be framed by the Registrar or the State either under Section 121 or 122 of the Act or in terms of Rule 9 of the Dairy Service Rules. Such Rules would have precedence over the Regulations, which are framed or are required to be framed either by the Registrar or by the Authority entrusted with the task of recruitment, training and disciplinary control. Therefore, in terms of proviso to Rule 15, the Chairman of the Administrative Committee is the Appointing and Disciplinary Authority. Hence, the Service Regulations would be inapplicable to determine the Appointing Authority and/or the Disciplinary Authority in respect of the employees of Co-operative Milk Societies. [Paras 19, 20][746-E-H; 747-A]
5. Regulation 106 of the Service Regulations empowers the State Government or the Registrar to pass such orders not inconsistent with the Regulations in respect of termination, dismissal or removal. The punishment imposed is of reversion and not of either termination, dismissal or removal. Therefore, Regulation 106 will not be applicable. There is also no inconsistency or difficulty which the State Government or Registrar is empowered to remove in exercise of powers conferred under Regulation 106. The Administrative Committee however passed an office order on 8.8.2016 that the Chairman shall seek prior approval of Dairy Milk Commissioner/Registrar prior to imposing penalty. Such decision of the Administrative Committee is self-regulatory and has been applied by the Administrative Committee in the present case as well while seeking prior approval of the Milk Commissioner/Registrar. [Paras 22, 24][747-C-D; 747-F-G]
6. The 1975 Regulations were framed in exercise of power conferred under Section 122 of the 1965 Act. Till the time 1975 Regulations were framed, the entire statutory regime, in terms of which service conditions including disciplinary control of employees in a co-operative society or class of co-operative societies could be regulated, was in terms of Sections 121 and
122 of the 1965 Act. Regulation 87 of 1975 Regulations, therefore, has to be seen as part of such general statutory regime. [Para 25][747-G-H; 748-A]
7. On 16.04.1976, Section 122-A was inserted in the 1965 Act which now provided for centralization of services. This Section opens with a non-obstante clause and thus, the intent is to give an overriding effect over the general regime contemplated by Sections 121 and 122 of the 1965 Act. Section 122-A of the 1965 Act empowers the Government, by rules, to provide for creation of one or more services of employees of such co-operative society or class of co-operative societies as the Government may think fit and prescribe inter alia conditions of service including appointment and removal of persons appointed to such service. [Para 26][748-B-C]
8. It was in exercise of power conferred under Section 122A of the 1965 Act that 1984 Rules were framed. Rule 15 of the 1984 Rules stipulates that the appointing authority and the authority exercising disciplinary control over the members of the service shall be such as may be laid down in the Regulations and till such Regulations are brought in force, ‘the Chairman of the Committee shall be the appointing authority and the authority exercising disciplinary control over them’. [Para 27][748-C-D]
9. In terms of the specific statutory regime referable to Section 122-A of the 1965 Act, Rule 15 thus, would be the governing principle rather than Regulation 87 framed in exercise of regulation making power referable to the general dispensation under Sections 121 and 122 of the 1965 Act. Rule 15 does not contemplate that the Chairman of the Committee is required to have any prior concurrence of any authority. It would, therefore, be incorrect to rely upon or import the principles of Rule 87 in substitution of clear intent and mandate of Rule 15 of 1984 Rules. [Paras 28 and 29][748-E-F]
10. The Resolution dated 20.09.1984 or for that matter the Office Order dated 08.08.2016 which are pure departmental executive instructions cannot displace statutory Rule 15 and the process contemplated therein and import a requirement which would be in the teeth of Rule 15. [Para 30][748-G]
11. The Milk Commissioner has been appointed as Registrar in exercise of the powers conferred on the State Government by the Act. The approval from the Registrar is in terms of the resolution of the Administrative Committee constituted in terms of Dairy Service Rules. The exercise of the powers under the Act are conferred by designation. The prior approval of the punishment is by the Registrar. If, incidentally, the person holding the post of Registrar is also Chairman of the Administrative Committee, it cannot be said to be illegal as he is exercising the powers of Registrar as well as of the Chairman of the Administrative Committee in terms of the Act or the Rules. [Para 32][749-E-F]
12. The Chairman is the Disciplinary Authority in terms of proviso to Rule 15 of the Dairy Service Rules. Though, the Administrative Committee has resolved that the approval of the Dairy Milk Commissioner/Registrar would be mandatory, but such Resolution has to be read in the context of proviso to Rule
15 which confers jurisdiction on the Chairman of the Administrative Committee to be a Disciplinary Authority. Since the Chairman of the Administrative Committee happens to be the Registrar, the decision to impose punishment may not require prior approval. However, if the prior approval has been sought from the office of Registrar, that will not vitiate the proceedings. Viewed thus, the power exercised by the Chairman of the Committee in the instant case cannot be subject to Regulation
87. Therefore, there is nothing wrong in the exercise of power by the Chairman of the Committee in the present case. Thus, there is no error in the order of punishment passed by the Administrative Committee. The orders passed by the High Court are not based upon correct appreciation of law and facts. [Paras 33, 34 and 35][749-F-H; 750-A-B]
Chandra Pal Singh v. State of U.P. & Ors.1985 Suppl. SCC 92 – referred to.
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