High CourtsSingle Bench(2000) 12 MAD CK 0069

The Food Corporation of India, 2 Haddows Road, Chennai-6 vs Food Corporation of India, Royapettah, Chennai-14 and 22

Madras High Court · Decided on 5 December 2000

HON’BLE JUDGES
A. Ramamurthi, J
CASE NUMBER
O.A.No. 498 to 500 of 2000 in Civil Suit No. 368 of 2000

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Judgment

185 paragraphs · 4,058 words
1.

These applications are filed by the applicant / plaintiff to grant an order of Interim Injunction restraining the respondents and their men from

pasting, sticking or in any manner exhibiting any banner, playcards or posters or wall writing or such other material anywhere in the applicant''s

office at No.2, Haddows Road, Chennai-6, to grant interim injunction restraining them from preventing ingress and egress of the officers and others

and vehicular movements from and out of the applicant''s office premises and also interim injunction restraining them from holding any

demonstration, shouting slogans, gathering in number on dharnas and going on fast into death or relay fast inside and in front of the office premises

of the applicant pending disposal of the suit.

2.

The case in brief for disposal of all the applications is as follows:

The applicant is a statutory Corporation established under Food Corporation of India Act, 1964 to procure, store and distribute foodgrains. They

are having offices throughout India and the applicant is controlling the activities of the offices in the Southern States and the Union Territories of

Pondicherry and Andaman and Nicobar Islands. The applicant is a wholly subsidised Corporation of the Government of India and it is established

to serve the poor and downtrodden by supplying necessary foodgrains through the Public Distribution System. The applicant for administrative

reasons transferred 38 employees and suspended one employee in November, 1999. Out of 38 employees transferred, 21 employees accepted

the transfer and joined duty, respondents 2 to 19 did not accept the transfer order and started agitating through the first respondent. They were

insisting on the cancellation of the order. Since the applicant has acted bona fide and the transfers were effected for administrative reasons, they

refused to cancel the order. The respondents started conducting meetings in the premises of the applicant without obtaining permission and were

holding meeting inside the compound in front of the main entrance of the applicant''s office. Many outsiders were also participating in the said

meetings.

3.

The respondents resorted to violent activities and prevented the employees from entering and leaving the premises of the applicant through the

main gate. They also prevented the people who have business transaction with the applicant from entering and leaving the premises. They also

prevented the vehicular movement inside the compound. The respondents from 1.5.2000 have intensified their activities. They held a meeting on

8,5.2000 in front the main entrance inside the compound. They have erected shamianas and used sound amplifier. They used abusive language and

Instigated the members to take violent action against the officers and staff. They have defaced the walls both inside and outside. They have pasted

posters, tied banners and written on the walls in red paint. They also started fast unto death. The applicant gave a complaint to the police

authorities and they took into custody respondents 2 and 3 who were on fast unto death. For this, respondents 21 and 22 started fast unto death.

They were squatting in front of the main entrance. The applicant was forced to close the main gate and the main entrance. The employees of the

applicant used the side entrance only. The respondents instead of resorting to legal means provided under law, resorted to wholly unjustified and

Intimadatory agitation which could result in violence to person and property. They have no right under law to deface the premises of the applicant

by pasting and displaying posters, playcards and banners all over the place within the office premises. The demonstrations and meeting and

shouting of slogans lead to an adverse Impact leaving the reputation of the applicant bad in the eyes of the public. The sufferers are the farmers and

consumer public especially below the poverty level. The current activities and agitation of the respondents against the public interest and public

good. Unless they are restrained from these activities, the applicant will not be in a position to render service to the public and they have got a

prima facie case and the balance of convenience is in their favour.

4.

The respondent filed a counter affidavit and denied the various averments. The first respondent Association is a registered Body and registered

under the Societies Registration Act. There are about i500 members in the Association, who belong to SC or ST community. This association has

been formed with a view to protect the interest of its members who belong to SC and ST community, and who are working in the applicant

corporation. There had been a large scale oppression of the members of this association by some of the officers of the applicant corporation.

Recently, the Zonal Manager passed a series of illegal orders, transferring the members of the association in contravention to the transfer policy

and also took vindictive action against the office bearers of the association, substantial number of persons covered by the said illegal orders were

comprised of the respondent association. Representations were made by the respondent association to the Zonal Manager and he started issuing a

series of illegal transfer orders to far off places in violation of the transfer policy. Some of the office bearers were also suspended. Some of the

members of the association have protested against such illegal orders in a lawful manner. The Zonal Manager also issued various public notices and

threatened to terminate the services of the members. The association has been making repeated representations besides conducting peaceful

demonstrations as permissible in law apart from conducting relay fast. They also submitted a memorandum to the National Commission for SC and

ST which is a constitutional body besides representations to the Minister for Food, Union of India and others. The Commission had enquired into

the matter and addressed a letter to the applicant corporation holding that the action of the applicant is illegal and requested them to withdraw the

same. Notwithstanding the report of the Commission, the applicant have been pursuing their vindictive action.

5.

These applications have been filed with a view to suppress the respondents from vindicating their lawful rights. Since the transfer orders were

contrary to the transfer policy and vindictive, they approached the first respondent association and started making representations to withdraw the

same. They have not resorted to violent activities for preventing employees from entering and leaving the premises. They also did not prevent the

vehicular movement. These allegations have been made only to prejudice the minds of the court. Since the corporation did not heed to anyone of

the representations and did not even consider the report of the Commission, they were constrained to conduct indefinite fast. It is not correct to

state that the outsiders have participated in the meeting. The respondents have only tied banners and kept posters which however have been,

removed. They have issued several notices to the applicant before conducting peaceful and lawful demonstrations. They never conducted any

meeting or any demonstration during office hours. In fact all such meetings are peaceful demonstrations by means of slogan shouting during the

lunch hours done by several other unions and associations. These actions cannot be characterised as illegal or unjustified. The applicant

corporation''s aim is to harass the respondent association. Hence, these applications are liable to be dismissed.

6.

The applicant filed reply affidavit denying the averments in the counter statement. The allegation that there has been large scale oppression of the

members of the respondent association by some of the officers of the applicant is baseless and denied. In 1999 two new Districts were formed in

Karnataka Region of the corporation. Employees were required to work In these newly formed districts. Therefore, 87 employees from Tamil

Nadu, Andhra Pradesh and Kerala Regions were transferred to Karnataka Region. Out of 87 employees, only 27 belong to SC/ST Community,

that too from all the three regions. All the 87 transfers were done in accordance with the rules and regulations of the corporation. There is no

illegality or irregularity, in fact, 19 similarly placed employees of Andhra Pradesh Region challenged their transfer orders in the high Court of

Andhra Pradesh and the writ petitions were dismissed. The Illegal agitation was not conducted in a democratic manner or peacefully. They used

abusive and filthy language inside the office premises and resorted to riotous behaviour. They also sent notice on 5.5.2000 to the effect that they

would intensify their agitation and resort to direct action from 8.5.2000. They also gathered in front of the zonal office of the corporation from the

morning onwards and shouted slogans continuously using filthy language. They used public Address System and threatened the employees and

officials. Respondents 2 to 23 did not go and join at the places to which they were transferred. They were also assembling in front of the Zonal

Office of the corporation and squatting. The first respondent and other respondents did not give any notice as contemplated u/s 22 of the Industrial

Disputes Act, The applicant is a Public Utility Service as defined u/s 2(n) of Industrial Disputes Act. Some of the respondents also undertook fast

unto death amongst the other respondents who were present in the venue. They did not attend to their duties and the corporation lost heavily. The

decision of the National Commission for SC / ST is tilted and their directions are only advisory and not mandatory. The speakers also instigated

them to take law into their hands. All the misconduct were reported in Newspapers with photographs, Many Central Government Officers are

housed in Shastri Bhavan situated just opposite to the Corporation. They were also affected by the illegal strike and activities of the respondents.

They also gave a complaint to the police authorities. The applicant had filed necessary documents to show the violent and undemocratic nature of

the activities of the respondents and others. Only after the interim orders of this Court, the employees of the corporation are able to perform their

duties peacefully. There is no reason to vacate the order.

7.

Heard the learned counsel of both sides.

8.

The points that arise for consideration are

(1) Whether the applicant Corporation has got prima facie case and the balance of convenience is in their favour ?

(2) Whether the respondents have exceeded their rights provided under the Industrial Disputes Act ?

(3) To what relief ?

9.

Points: The Food Corporation of India, and Statutory Corporation established under Food Corporation of India Act, 1964 represented by the

Deputy Zonal Manager, filed these applications, claiming interim injunction restraining the respondents and their men from holding any

demonstration or shouting slogans or dharnas or going on fast unto death or relay fast inside and in front of the office premises of the applicant

situate at No.2, Haddows Road, Chennai, interim injunction restraining them from pasting or sticking or in any manner exhibiting any banners,

playcards or posters or wall writing or such other materials anywhere within the premises and also interim injunction restraining them from

preventing ingress and egress of the officers of the employees and vehicular movements pending disposal of the suit. It is seen from the affidavit that

about 38 employees had been transferred to other State and one employee had been placed under suspension. About 21 employees in obedience

to the orders have also joined in their respective stations. The respondent association insisted that the orders of transfer have to be cancelled and

as they have not been cancelled, they conducted meetings in the premises without obtaining permission and also resorted to violent activities. Apart

from that, they also prevented the employees from entering and leaving the premises through the main gate and further prevented the movement of

vehicles.

10.

On 1.5.1990 they have intensified their agitation and they held a meeting on 8.5.2000 in front of the main entrance inside the compound of the

office and many outsiders were also allowed to participate and Public Address System was also used. According to the applicant, these persons

used abusive language and instigated the members to take violent action. They have defaced the walls of the premises both inside and outside,

pasted posters, tied banners and written on the walls in red paint. Some of the members have also started fast unto death and some of them were

squatting in front of the main entrance and preventing ingress and egress of the other members. Instead of resorting to legal means, they resorted to

wholly unjustified and intimidatory agitation, which could result in violence to person and property.

11.

Per contra, the respondents denied the incidents and contended that only to prevent their lawful demonstration and picketing, these

applications are filed by the applicant. They further stated that the office bearers of the association and some other persons have been transferred

in violation of the transfer policy. They gave number of representations to the management and to the National Commission for SC/ST and in spite

of their advice, the orders of transfer have not been cancelled, only to focus the attention of the management, they resorted to demonstration

peacefully and they never indulged in any violent activity. They also denied that they caused any damage or created any panic situation in the said

place.

12.

Learned counsel for the respondents contended that the applicants are not entitled to claim any blanket order of injunction and if an order is

granted, virtually it would be interfering into the rights granted to them under the Industrial Disputes Act. It is therefore necessary to find out

whether the applicant has got prima facie case and the balance of convenience is in their favour.

13.

It is clear from the affidavit as well as reply affidavit filed by the applicant that in 1999, two new districts were formed in Karnataka Region of

the Corporation and employees were required. Under the circumstance 87 employees from Tamil Nadu, Andhra Pradesh and Kerala were

transferred to the Karnataka Region, out of the 87 employees, only 27 belong to SC/ST community and all the 87 transfer orders were done in

accordance with the rules and regulations of the corporation. In short, it is stated that there is no illegality or irregularity in any of these transfer

orders. They also further pointed out that similarly placed 19 persons of Andhra Pradesh Region moved at High Court of Andhra Pradesh relating

to transfer and their writ petitions were dismissed. The Association also sent a notice on 5.5.2000 to the effect that they would intensify their

agitation and to resort direct action from 8.5.2000. This communication has not been disputed by the respondents. It is also categorically stated by

the applicant that the members of the respondent association gathered in front of the Zonal Office from morning, shouted slogans using abusive

language and they also brought outsiders and unauthorisedly erected shamiyanas in front of the entrance, defaced the walls both inside and outside

the office premises and prevented other employees from entering and leaving the place and infact, loyal workers were prevented from doing the

work. It is necessary to state that these respondents have not given any notice as contemplated u/s 22 of the Industrial Disputes Act. Prima facie it

is clear that the action of the respondents cannot be said to be one which can be protected by a court of law. The applicant is a Public Utility

Service as defined u/s 2(n) of the Industrial Disputes Act is not seriously disputed. Under the circumstance, it is manifestly clear that the applicant

corporation is a Public Utility Establishment and even assuming that if some transfers have been effected, it is not the way to approach the same to

redress their grievances. It is therefore clear from the affidavit and the contentions raised by the applicant that the Association has taken law into

their own hands and prevented the loyal employees from ingress and egress and the vehicular movement was also stopped. By any stretch of

imagination it cannot be said that the demonstration is peaceful and the court cannot interfere in their right. The applicant has also filed typed set of

documents with paper cutting to show the alleged peaceful demonstration done by these members.

14.

Learned counsel for the respondents contended that me applicant is not entitled to a blanket order of injunction because the association has got

every right to peaceful agitation or demonstration or gate meeting, etc. and if any blanket order is given, it would virtually curtail the right granted to

them under Article 19 of the Constitution of India. Even assuming that the Association has got the right to ventilate their grievances, it should be

only under lawful means and in a peaceful manner and not shouting slogans using abusive words inside the premises and preventing the loyal

workers and also vehicular movement. They have no right whatsoever, to write in red letters inside and outside the compound and put shamiyana

inside the campus without the permission of the management. Whatever grievances may be, they can establish their solidarity for the grievances far

away from the place of work, as otherwise, reputation of the institution and the service of the customers will be definitely affected. The action of

the respondent association is not one which can be appreciated. No doubt, in the counter, now it is stated that their demonstration was peaceful;

but the very fact that they have sent a letter threatening to take direct action is sufficient to come to the conclusion about the action of the

respondent association. Even assuming that the National Commissioner for SC/ST is a statutory body, they cannot interfere and compel the

management to do a particular thing or not. It is only an advisory and if the management has not adhered to the recommendations or if there is any

flout of the service rules, it is always open to the association to agitate the same in the proper forum provided under the Industrial Dispute Act.

They have no right whatsoever to take direct action against the management and that too, inside the working place during office hours. There is

absolutely no reason for the management to come forward with this type of suit along with the applications unless situation has deteriorated and it

has gone out of control. Now, only for the purpose of this case, the respondents would state that everything was peaceful and only to curb the

rights of the workers, the management has come forward with the suit. If really anyone of the transfer is vindictive and against the rules, nothing

prevented the respondents form pointing out even now. But unfortunately, not even a single in stance has been pointed out by the respondents for

reasons best known to them. It therefore follows that the respondents in the name of the association want to dictate the management and they think

that the management should do what the association say and in short, the association wants to be the supreme than the management.

15.

Learned counsel for the applicant relied on the decision of this court reported in Enfield India Ltd. Etc. v. Enfield Employees Union Etc., 1994

(2) L.W. 476 that in a suit filed by the management for injunction restraining the respondents/Union members from obstructing or preventing

ingress or egress of officers, movement of finished goods, raw materials and from assembling, carrying on demonstrations within 100 metres of the

premises of the factory. It was held, injunction ought to be granted and the suit is not barred by any provisions of Industrial Disputes Act. This

decision is applicable to the case on hand.

16.

Reliance is also placed upon another decision reported in Syndicate Bank v. K. Umesh Nayak, 1994 (II) LLJ 836 that Strike in public utility

concern by workmen without resolving the dispute as per the machinery provided under the Act or under the contract of employment, rules and

regulations is prima facie unjustified. While the legality of the strike is based on examining whether there is breach of provisions of I.D. Act, the

question of justifiability of strike has to be examined by taking into consideration, facts such as service conditions nature of demands, cause which

led to the strike, urgency of the cause or the demands or the workmen, reason for not resorting to the dispute-resolving machinery under the Act,

etc. This decision is also applicable to the case on hand.

17.

Learned counsel for the respondents relied on All India Indian Overseas Bank SC and ST Employees'' Welfare Association and Others Vs.

Union of India (UOI) and Others, relating to the power of the National Commission of SC and ST. It was held that the Commission having not

been specifically granted any power to issue interim injunctions, lacks the authority to issue an order of the type. There is no dispute about this

principle.

18.

Learned counsel for the applicant also relied on Audco India Ltd. Vs. The Audco India Employees'' Union and Others, . wherein it was held

that while the right to carry on any occupation, trade or business is a fundamental right recognised by Article 19(g) of the Constitution of India,

right to strike work is not a fundamental right at all. Yet. strike has been recognised as a legitimate weapon in the armoury of labour by courts of

law, and it is circumscribed by the provisions of the Industrial Disputes Act. Right to strike, can be exercised only after compliance with the

requirements prescribed in the Act. Right to commence strike and continue, the same is regulated and controlled by the provisions of the Act. Any

strike in contravention of the provisions of the Act is illegal, such illegal strike attracts penalty provided in section 26 of the Act.

19.

It is therefore clear from the aforesaid decisions that although the association have got right to peacefully demonstrate yet, it is controlled by

various provisions of the Industrial Disputes Act. When the association fails to comply such such provisions and resort to strike, it will be construed

as an illegal strike under law and I am of the view that the association cannot justify the same even if the grounds are legitimate. The course

adopted by the association is illegal and improper in the eye of law. As adverted to, the association is not in a position to point out that anyone of

the transfer orders has been made by the management in a vindicative manner. On the otherhand, the applicant has positively established that the

association have exceeded their limit and they have done several acts causing stagnation of work and preventing the loyal workers also from

performing their duties. They have defaced the walls and they have used Public Address System and invited the outsiders to address in abusive

language and also threatened the officials and staff working in the Corporation. If such acts are not prevented at the appropriate time, then naturally

it will create a law and order problem and it is the duty of the court to intervene and in the interest of justice, suitable orders can be passed, it is

also made clear in the reply affidavit that opposite to the Food Corporation of India, Central Government offices are located and as a result of the

acts of these respondents, their work was also affected and for which, they have given complaints with the police authorities. This has not been

disputed by the respondents. Moreover, some of the employees have been transferred on administrative grounds and they have no right

whatsoever to join hands with the association and come to the work place and demonstrate inside the premises and prevent the loyal workers from

doing their work. Taking into consideration of, the totality of the circumstances, I am of the view that the applicant corporation have got a prima

facie case and the balance of convenience is in their favour. Hence, these points are answered accordingly.

20.

For the reasons stated above, the respondents and their men are restrained from holding any demonstration, shouting slogans, exhibiting

banners, playcards, posters, distance of 100 metres from the office of the applicant corporation. The demonstration or agitation, if any, can be

done only 100 metres away from the place of work and they are restrained from doing any such demonstration or dharna inside the office

premises. They are also restrained from preventing ingress and egress of the staff and officers of the Corporation and also the vehicular movements

in the premises. The applications are ordered accordingly.