KARNANI PROPERTIES LIMITED Vs. STATE OF WEST BENGAL

JUDGEMENT

(1.) This writ petition came up for final disposal before Sabyasachi Mukherji, J. and the learned Judge by his judgment and order passed on the 17th and 20th March, 1972 discharged rule and dismissed the said petition of the Company. Against the said judgment and order of the learned trial Judge, the Company has preferred this appeal.

(2.) The fact of the case material for the purpose of the appeal may be briefly stated. The company was incorporated on the 16th of February, 1950 and the principal object of the Company amongst various other objects and recorded in the Memorandum of Association is : " To acquire by purchase, transfer, assignment or otherwise lands, buildings and landed properties of all description and in particular to acquire from the Karnani Industrial Bank Ltd., of No.3, Synagogue Street, Calcutta the immovable properties now belonging to the said Bank and particularly mentioned in the agreement mentioned in Clause 4 of the Company's Articles of Association and to that end to enter into and carry into effect with or without modification the said agreement, and to improve, manage and develop the said properties and to let out on lease or otherwise dispose of the same." After its incorporation the Company had acquired several mansions, house known as Karnani Mansions situate and lying at premises Nos.21, 23, 25A, 25B, 27A, 29, 31, 33, 35, 37, 39, 43, 45, 47, 55 and 57 Park Street, Calcutta. The business of the Company is to look after and manage the said immovable properties known as Karnani Mansions. It appears that there are about 300 flats located in the said mansions and the said flat is let out to various tenants. It is case of the company that for making the flats attractive to tenants the company provides various extra facilities to the tenants so that by staying at Karnani Mansions the tenants can enjoy some special advantages which are not normally available elsewhere in Calcutta. For this purpose the Company has made elaborate arrangements for supply of water in the flats, free supply of electricity, washing and cleaning of floors and lavatories, lift service, electric repairs and replacing, sanitary repairs and replacing etc. and for enabling the tenants to enjoy these amenities and facilities the company has employed a large number of workmen. It appears that in the business of the company, the company has employed over 50 persons, and the employees of the company can be classified in various categories, namely, sweepers, plumbers, lift-man, durwans, electric and other mistries, mails, bill-collectors and bearers etc. It appears that a dispute arose between the company and its employees earlier and the said dispute was referred to the Industrial Tribunal in accordance with the provisions of the Industrial Disputes Act, 1947. The said matter was heard before the Tribunal for a number of days and a number of witnesses were also examined by the Tribunal. When the matter was being heard by the Tribunal there was settlement between the parties and the parties agreed to certain terms of settlement which were field before the Tribunal. The Tribunal considered the said compromise to be fair and made an award on the 4th February, 1960 on the basis of the said compromise.

(3.) On the 20th of February, 1960 the said award was duly published in the Gazette in accordance with the provisions contained in section 17 of the Industrial Disputes Act, 1947. The said award was duly accepted and acted upon by the parties concerned and on the basis of the said award the salary of the employees which also included dearness allowance was raised and was pad on the basis of the said award which came into effect on and from the 1st of January, 1963. It appears from Ext. 'C' filed before the Industrial Tribunal that the Company raised the salary which was inclusive of dearness allowance in 1963 commencing from the month of July of that year. It further appears from the said exhibit that a further increment was given to the employees with effect from November, 1964. The increased salary of the employees was inclusive of dearness allowance and no separate dearness allowance as such was paid to the employees by the company. It, however, appears from the said Ext. 'C' and also from the evidence of Krishna Kumar Joshi, a Director of the Company who deposed on behalf of the Company before the Tribunal, that the company gave to the employees a further sum byway of temporary dearness allowance from 1965, the maximum amount of the temporary dearness allowance paid was Rs.10/- and the minimum amount was Rs.4/-. From the year 1965 onwards the employees of the company were, therefore, getting the salary as increased in November, 1964 along with the temporary dearness allowance. On the 24th of November, the Secretary of the Union of which the employees of the company are members addressed the following letter to the Labour Commissioner, Government of West Bengal"