G.S.SINGHVI, J. - (1.) THIS petition has been filed by the Punjab Ware-house Field Employees Union and seven employees holding the posts of Warehouse Manager, Godown Assistant and Technical Assistant in the service of Punjab State warehousing Corporation (for short the Corporation) and who are posted at different godowns of the Corporation situated in the State of Punjab. The conditions of service of these and others who are members of petitioner No. 1 are governed by the provisions contained in the Punjab State Warehousing Staff Regulations, 1960 which have been framed by the Government of Punjab in exercise of its power under Section 34 of the Agricultural Produce (Development and Warehousing Corporation) Act, 1956.
(2.) THE respondent-Corporation has been constituted under the Warehousing Corporation Act, 1962 (Central Act ). Its functioning are governed by the provisions of 1962 Act as well as the State Warehousing Act, 1957 which has been enacted by the Punjab Assembly and various rules and regulations framed under the Act, 1962 and the Act of 1957. One set of such rules is Punjab Warehouse Rules, 1958. 2. The respondent-Corporation stores the goods on behalf of different depositors which include private as well as public bodies. Public bodies like MARKFED, PUNSUP, FCI and also Punjab Food and Civil Supplies Department are among the depositors with the respondent-Corporation. These agencies procure food grains from various sources and the Corporation stores these food-grains and other goods in its stores. The Corporation recovers storage charges from the depositors. In the petition, the petitioners have questioned the action of respondent No. 2 in effecting recoveries from the employees for their alleged failure to provide 'storage gain' at the rate of 1 percent per bag on the wheat stocks of depositors like PUNSUP, MARKFED as also Food and Supplies Department, Punjab. They have also sought a writ of mandamus against respondent No. 2 for strict compliance of provision of Section 17 of 1957 Act and Rule 28 of 1958 rules. Petitioners have also prayed for quashing of circular (annexure P/12) dated 27. 3. 1989 as well as agreements entered into by the Corporation with depositors in so far as they provide for storage gain at the rate of 1 percent. Case set up by the petitioners is that in terms of Section 17 of 1957 Act read with Rule 28 of the 1958 Rules, a Warehouseman is not responsible for the loss of weight or bulk by dryage or shrinkage or gain in weight or bulk by the absorption of moisture within the limits specified in Appendix 'a' and Appendix 'b' to these rules but the respondent-Corporation is on the basis of agreements entered into by it with various depositrs insisting upon the Warehouse-man to provide minimum 1% gain in wheat and is effecting recovery from the employees in all those cases where gain in the wheat stored in the godown is less than 1%. Petitioners have contended that the Corporation cannot proceed against them on account of alleged failure of the petitioners and other employees to achieve the target of gains in terms of agreements entered by the respondent-Corporation with its depositors or their failure to fulfil the conditions specified in Annexure P/20 which is in the form of a draft notification prepared by the respondent-Corporation and which has not been accepted by the State Government so far.
(3.) THE respondents have contested the writ petition by stating that with the introduction of new technology, various new methods of preservation and storage of stocks, the terms and conditions were settled with the depositors from time to time. They have further stated that the warehouse Manager and other staff working under M/s Control are not being held responsible for losses caused by natural calamities. However, as per the agreements entered into with the depositing agencies, the Corporation is required to provide 1% gain in these stocks on account of moisture and this condition contained in the agreements, is neither arbitrary or against public policy. It has been stated by the respondent-Corporation that PUNSUP, MARKFED and Food and Supplies Department are taking 1-1/2 per cent gain from their own staff and, therefore, the Corporation has to provide atleast 1% gain to them in order to remain in business of depositing the goods. Further plea of the respondent-Corporation is that disciplinary action is being taken against the employees for their failure on various counts and in all cases where penalty is imposed, the employees have failed to file appeal under the relevant statute.;