PER SHIV KUMAR SHARMA, J. - (1.) MANAGEMENT of company (respondent No. 3) made an application on August 9, 1984 under S. 25 -0 of the Industrial Disputes Act, 1947 (for short 1947 Act) seeking permission to close down Sudershan Textiles Mills Kota (for short STM) with effect from October 9, 1984. The appellants -unions however opposed the application and the State Government vide its order, dated October 5, 1984, refused permission for closure. The management of company then filed review application under S. 25 -0(5) of 1947 Act on October 8, 1984. The matter was referred by the State Government to the Industrial Tribunal Kota for adjudication. The Tribunal vide its award, dated March 6. 1985, held that order, dated October 5, 1984, was 1 illegal and closure of STM was just and legal. The said award was assailed by the unions by filing writ petition in the High Court. Learned Single Judge however, did not find merit in the writ petition and dismissed the same on September 14, 1990. Against this judgment of learned Single Judge that this appeal has been filed by the unions. Brief facts :
(2.) CONTEXTUAL facts depict that STM employing nearly 1500 workers, both permanent and badlis, was earlier known as Shri Gopal Industries Ltd. This company got amalgamated with Maharaja Shri Ummed Mills Ltd. Pali with effect from January 1, 1978, vide High Court's order, dated September 7, 1978, the High Court indicated in the said order thus : ''The scheme of the amalgamation of the transferor company into transferee company has been agreed to by the Board of Directors of both the Companies, with the object of rehabilitating and reviving the transferor company so that there may be no unemployment of workers by closure of the transferor company and also avoiding production losses. Both the companies carry on the business of textiles, therefore, similar in nature and inter connected. '' (emphasis supplied) Management of company on August 8, 1984 moved an application under S. 25 -0 of the 1947 Act for permission to close down its undertaking namely the STM Kota with effect from October 9, 1984. The unions opposed the application. State Government after hearing both the parties vide order, dated October 5, 1984, refused the permission for closure on the following grounds : ''(a) that STM formerly known as Shri Gopal Industries, Ltd., Kota was amalgamated with Maharaja Shree Ummaid Mills, Ltd., with effect from January 1, 1978 for its rehabilitation, revival and to avoid unemployment of the workers due to the likely closure of that company. (b) that Maharaja Shree Umaid Mills, Ltd., and STM both were engaged in the business of textiles and thus not only similar in nature, but are also inter connected. (c) that Maharaja Shree Umaid Mills, Ltd., of which STM is a unit has shown profits during the years 1982 -83 and 1983 -84. (d) that Shree Gopal Industries, Ltd., Kota, now known as STM has shown profit in the year 1979 after amalgamation with Maharaja Shree Umaid Mills, Ltd. (e) that though STM has shown losses in the year 1982 -83 and 1983 -84, these losses can be averted in future if adequate interest free funds for investment are made available to this unit out of the reserve of Maharaja Shree Umaid Mills, Ltd., to revive and rehabilitate this unit. (f) that the workers of this unit have given increased production during the year 1983 -84 as compared to the output for the year 1982 -83. Thus the workers could in no way be blamed for the losses incurred by this unit. (g) that if management is properly streamlined and good quality of raw material is made available, there would be little possibility of the unit incurring losses in future. " The Stale Government was of the opinion that there was no adequate and sufficient justification for the closure of the unit. (emphasis supplied)
(3.) BEING aggrieved of the refusal by State Government vide management moved application under S. 25 -0(5) of the 1947 Act on October 8, 1984. The State Government referred the matter to Industrial Tribunal Kota for adjudication with a direction to submit its decision to Government within thirty days from the date of reference. Term of reference, dated November 27, 1985, were as under : ''Therefore, the State Government acting under S. 25 -0(5) of the Industrial Dispute (Rajasthan Amendment) Act (Act No. 80 of 1984) refers the said review application to the Industrial Tribunal Kota. Whether the application of closure by Messers Sudershan Textiles (Pro. M.S.K. Mills, Ltd.) Rangpur Road Kota is just and legal. The Industrial Tribunal shall submit its decision to the State Government within 30 days of the reference. '' The order of reference and other relevant papers, i.e., company 's application, documents, etc., were received by the Tribunal on November 28, 1984 and it was registered on the same day as case No. ITR 24 of 1984.;