MADON,J. - (1.) AS these two petitions under Article 226 of the Constitution raise common questions and impugn the same action of the respondent, the State of Maharashtra, we propose to dispose of them by one judgment.
(2.) NARSING -Girji Manufacturing Company Limited (hereinafter referred to as 'the Company')i now in liquidation, owned textile mills at Sholapur. Certain disputes between the employees of all textile mills at Sholapur including the Company and their employees were referred for adjudication under the Bombay Industrial Relations Act, 1946. Reference No. 10 of 1946 related to the claim of operatives, while references Nos. 3 to 8 of 1948 related to the claims of the clerical staff. Awards in both those references were made in 1948. By the said awards, dearness allowance at a certain rate was directed to be paid by these textile mills to their employees. On August 8, 1957, the Company closed down its mills because it found it financially impossible to work them. Two winding up petitions were thereafter filed in this Court, being C.A. Nos. 2201 of 1957 and 2396 of 1957, and in the said petitions a winding up order was made on December 10, 1957 and the Official Liquidator was appointed liquidator of the Company. Thereafter, with a view to alleviate the hardship of the workmen of the Company's mills who had been rendered unemployed since the date of the closure of the mills, the State Government desired to take on lease the lands, buildings, structures, machinery and plant of the said mills situate in the mill compound for the purpose of running a textile mill. A scheme for the said purpose was presented to the Company Judge, and by the order dated January 16, 1958, the same was sanctioned. By the said order the Official Liquidator was authorised to let to the Government the immoveable properties, plant and machinery of the said mills situate in the mill compound upon terms and conditions contained in the said scheme, and the Government agreed to pay to the liquidator a nominal rent of rupee one per month as consideration for the said lease Clauses (5), (4) and (5) of the said scheme arc material and require to be quoted in full. These clauses are as follows: 3. Government will not be held responsible for payment of any retrenchment compensation or any other compensation to any labourers or employees engaged by the previous management of the Mills Company or by the Official Liquidator nor shall Government be bound to re -employ such labourers and employees. If any retrenchment or other compensation is payable or becomes payable in respect of the service under the previous management the same shall not be paid or discharged by Government.
(3.) IN the event of Government taking over the services of any labourers or employees who were engaged by the previous management, the taking over of such services will be on the basis of a new contract of employment between Government as the employers and such labourers and workmen as employees during the subsistence of the lease.;