JUDGEMENT
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(1.) Calling in question the legal penetrability of the order dated April
12, 2004 passed by the Division Bench of the High Court of Judicature of
Delhi in Writ Petition Nos. 7606 of 2003, 1335, 1336, 1337, 1344 and 1345
of 2004 by a common judgment, the present batch of appeals by way of
special leave under Article 136 of the Constitution has been filed.
(2.) Though prayers in different writ petitions were couched differently,
yet the three basic reliefs which were sought before the High Court are
Rule 5 of the Appellate Tribunal for Foreign Exchange (Recruitment, Salary
and Allowances and Other Conditions of Service of Chairperson and Members)
Rules, 2000 (hereinafter referred to as 'the Rules') is ultra vires the
Foreign Exchange Management Act, 1999 (for brevity 'the Act); for quashment
of certain notifications issued by the Government of India, Ministry of
Law, Justice and Company Affairs, appointing part time Members of the
Appellate Tribunal by issue of a writ of quo warranto as they did not
satisfy the eligibility criteria as stipulated in the Act; and further to
quash the appointment of respondent No. 3 to act as the Chairperson as he
was a part time Member and also was not eligible to hold the post.
(3.) It was urged before the High Court that the Rule travels beyond the
scope and ambit of the Act and, in fact, directly runs counter to the
provisions in the Act and, therefore, deserves to be declared as ultra
vires. It was canvassed that when the Act did not conceive of part time
Members, even a person meeting the eligibility criteria could not be
appointed as a part time Member. It was further propounded before the High
Court that a part time Member who was disqualified to hold the post could
not have been allowed to act as the Chairperson as that would destroy the
spirit of the Act. To bolster the said submissions, the petitioners before
the High Court placed reliance on Chander Mohan v. State of Uttar Pradesh and others, 1967 1 SCR 77 Shri Kumar Padma Prasad v. Union of India and others, 1992 2 SCC 428 and
State of Maharashtra v. Labour Law Practitioners Association and others, 1998 2 SCC 688.;
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