High CourtDivision BenchAppeal allowed; remitted to trial court for dis...

Coal Mines Provident Fund Commissioner v. Ramesh Chander Jha

Case / Petition Number:Civil Appeal No. 1932 of 1982
Neutral Citation:1990 S.C.R. 1

Case Details & Bench

Court
High Court
Hon'ble Judges
  • K. N. Saikia
  • M. Fathima Beevi
Judgment Date
1990-01-31
Court Decision / Holding
The Court held that the Coal Mines Provident Fund Commissioner is a 'public officer' within section 2(17)(h) CPC. The Commissioner, though compensated out of the Fund, is appointed by the Government as Chief Executive Officer of the Board, and during tenure performs public duties under the Act and the scheme. He remains an officer in the Government service when acting as Provident Fund Commissioner, and the mere fact of Fund-based salary does not alter this status. The Court remitted the case to the trial court for disposal in light of these findings and allowed the appeal.
Final Disposition
Appeal allowed; remitted to trial court for disposal consistent with the judgment.

Parties to the Case

Appellants / Petitioners

  • Coal Mines Provident Fund Commissioner

Respondents

  • Ramesh Chander Jha

Legal Representation & Advocates

Counsels for Petitioners

  • • M.C. Mahajan
  • • Hemanl Sharma
  • • Ms. A. Subhashini

Counsels for Respondents

  • • M.P. Jha

Case Synopsis & Summary

The case concerns whether the Coal Mines Provident Fund Commissioner qualifies as a "public officer" under section 2(17)(h) of the Code of Civil Procedure, thereby requiring prior notice under section 80 CPC before suing him in respect of acts done in his official capacity. The Coal Mines Provident Fund Commissioner (appellant) contends that he is an officer appointed by the Government to head the Board established under the Coal Mines Provident Fund and Miscellaneous Provisions Act, 1948; his salary is paid out of the Fund, but this does not forfeit his status as a Government servant during tenure, nor does it cease to render him amenable to public duties. The respondent, Ramesh Chander Jha, maintains that the Commissioner is not a public officer, arguing that the Board’s officers are not in the Government’s service and that the suit should be dismissed for lack of notice under section 80 CPC. The trial court and Patna High Court agreed with the respondent. In allowing the appeal, the Supreme Court held that the word "service" in section 2(17)(h) connotes more than mere government control and that the Commissioner, though paid from the Fund, is appointed by the Government as chief executive of the Board and performs public duties. The Court discusses precedents, distinguishing some earlier authorities (e.g., on liquidators) and relying on others that recognize public duties, ultimately holding the Commissioner is a public officer and remitting the case for disposal consistent with its reasoning.

Provisions of Law Cited

CPC 1908 Sec 2(17)(h)CPC 1908 Sec 80Coal Mines Provident Fund and Miscellaneous Provisions Act, 1948 Sec 3Sec 3ASec 3BSec 3CSec 4Sec 10C

Legal Doctrines & Maxims

  • To serve means "to perform function; do what is required for"
  • Public duty refers to duty concerning the affairs or service of the public; the word 'public' may include any class of the public or any community.

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant contends that the Coal Mines Provident Fund Commissioner is a 'public officer' under section 2(17)(h) CPC because he is appointed by the Government to administer the PF scheme and exercises public duties. Although his pay is drawn from the Fund, this does not negate his status as a government servant during tenure, nor does delegation of powers under the Act remove him from the service of the Government. He argues that Section 80 CPC notice is mandatory for suits against such public officers and that the Board operates under government control. The Deputy would be able to exercise government-like powers under delegation (Section 10C).

Contentions of Respondents

The respondent argues that the PF Commissioner is not a 'public officer' since he is an officer of a public body funded by the Fund and not in the Government’s service; he contends that the Board is autonomous and that government appointment to lead the Board does not place him in the Government service, citing cases such as Kamta Prasad Singh (Patna) to show corporations’ officers are not public officers. The respondents contend that the trial court’s decision aligning with non-public-officer status should stand.

Cited Precedents (5)

Case NameCitationTreatmentExplanation
Liquidator of Society Sangakheda Kalan Co-Operative Bank, Hoshangabad v. Ayodhyaprasad ShiamlalAIR 1939 Nagpur 232DistinguishedThe decision favoring public-officer status for a liquidator is distinguished by the present judgment.
Kuppu Govinda Chettiar v. Uttukottai Co-Operative SocietyAIR 1940 Madras 831DistinguishedMadras 1940 decision held a Deputy Registrar acting as Liquidator is not a public officer; this is used to distinguish the Nagpur case.
Vishnu Wasudeo Joshi v. T.L.H. Smith PearseAIR 1949 Nagpur 362PositiveHeld that a public officer remains so despite deputation if the duty is public.
Commissioner of Wakfs, Bengal v. Shahebzada Mohammed Zahangir ShahAIR 1944 Calcutta 206PositivePublic duty involves duties concerning the public service; 'public' may include any community.
Kamta Prasad Singh v. The Regional Manager, F.C.I.AIR 1974 Patna 376DistinguishedCorporation officers are not public officers; distinguished in the present case which involves government appointment to PF Commissioner.

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Extracted Judgment Text

Exact text extracted from official judgment records.

COAL MINES PROVIDENT FUND COMMISSIONER _v._ RAMESH CHANDER JHA JANUARY 31, 1990 A [K.N. SAIKIA AND M. FATHIMA BEEVI, JJ.] B _Code_ _of Civil Procedure,_ _1908:_ _Sections 2(17) and_ _80-Coa/_ _Mines Provident Fund Commissioner-Whether 'public officer'._ Respondent instituted a suit against the appellant, the Coal Mines Provident Fund Commissioner without a notice as required under section 80 C.P.C. Appellant objected stating that he was a public officer within the meaning of the term occurring in section 80 C.P.c. and that the suit was incompetent. The trial court overruled the objection an'1 held that the appellant was not a pubhc officer. The High Court confirmed the same. Aggrieved, the appellant, has preferred this appeal by special leave. Allowing the appeal, this Court, HELD: 1.1 The courts below have erred in holding that the Coal Mines Provident Fund Commissioner is not'-a public officer within the meaning_of the_ term in section 2(17)(h) of the C.P.C. The word 'service' # c D E in section 2 (17)(h) C.P.C. must necessarily mean something more than being merely subject to the orders of Government or control of the Government. To serve means "to per{orm function; do what is re- F quired for". The Commissioner appointed by Government performs the functions as envisaged in the Act and the scheme thereunder. When he is actually acting in the capllcity of Provident Fund Commissioner, he does not cease to be an officer in the service of the #### Government. f 184E-F; 18SF] 1.2 The fact that the Commissioner receives the salary and allowances out of the Coal Mines Provident Fund and not from the Government during the tenure as Commissioner would make no difference when th-e description_ as an officer in the servire of the Government is answered. 11840 J 181 -G H A B ## c D 182 SUPREME COURT REPORTS [ 1990] 1 S.C.R. 2. In th~ present case, the Provident Fund Commissioner holds the office of Commissioner on appointment by Government by virtue of his office. His services are temporarily placed at the disposal of the Board constituted under Section 3 of the Coal Mines Provident Fund and Miscellaneous Provisions Act, 1948. He does not, therefore, cease to be an officer in the service of the Government. The payment of his pay out of the Fund does not alter his status as Government employee. [!SSE] _Liquidator_ _of Society Sangakheda Kalan Co-Operative Bank,_ _Hoshangabad_ v, _Ayodhyaprasad Shiamlal,_ AIR 1939 Nagpur 232; _Kuppu Govinda Chattiar_ v. _Uttukottai Co-Operative Society,_ AIR 1940 Madras 831; _Vishnu Wasudeo Joshi_ v. _T.L.H._ _Smith Pearse,_ AIR 1949 Nagpur 362; _Commissioner of Wakfs, Bengal_ v. _Shahebzada Moham-_ _med Zahangir Shah,_ AIR 1944 Calcutta 206 and _Kamta Prasad Singh_ v. _The Regional Manager,_ _F._ _C.J.,_ AIR 1974 Patna 376, referred to. CIVIL APPELLATE JTTRJSDICTION: CivilAppeal No. 1932 of 1982. From the Judgment and Order dated 7 .9.1981 of the Patna High Court in C.R. No. 341of1980 (R). M.C. Mahajan, Heman! Sharma and Ms. A. Subhashini for the E Appellant. M.P. Jha for the Respondent. The Judgment of the Court was delivered by F F ATHIMA BEE VI, J. This appeal by special leave is against the judgment dated 7.9.1981 of the High Court of Judicature at Patna, Ranchi Bench, Ranchi in Civil Revision No. 341 of 1981. The short question that falls for consideration in this appeal is whether the Coal Mines Provident Fund Commissioner is a 'public officer' as defined in section 2(17) of the Code of Civil Procedure. G Section 80 of the Code requires a notice to be issued as prescribed before instituting a suit against a public officer in respect of any act purporting to be done by such pubic officer in his official capacity. The respondent herein instituted a suit against the appellant-the Coal Mines Provident Fund Commissioner-without a notice under section H 80 C.P .C. The objection in this behalf was repelled by the trial court l # v I P.F. COMMR. _v._ R.C. JHA [FATHIMA BEEVI, J.) 183 and the High Court holding that the Coal Mines Provident Fund Com- A . missioner is not a public officer. According to the appellant the Commissioner is a public officer within the meaning of the term occurring in section 80 of the C.P .C., and, therefore, the suit is incompetent. The term 'public officer' is defined in section 2(17) of the Code of Civil Procedure. Public Officer means a person falling under any of B the descriptions in clauses (a) to {h). It is contended on behalf _of_ the appellant that the Coal Mines Provident Fund Commissioner falls under the description in clause (h) which reads as under: "(h) Every Officer in the service or pay of the government ## or remunerated by fees or commission for the performance c of any public duty." It is necessary to refer to the relevant provision in the Coal Mines Provident Fund and Miscellaneous Provisions Act, 1948 for the purpose of determining whether the appellant answers this description. Under section 3, the Central Government may, by notification in D the Official Gazette, frame the Coal Mines Provident Fund Scheme for the establishment of a provident fund for employees and specify the coal mines to which the said scheme shall apply. The fund shall vest in, and be administered by the Board constituted under section 3A. The Board thus constituted consists of (a) a Chairman appointed by the Central Government; (b) the Coal Mines Provident Fund Commis- E sioner, ex-officio; and others specified in the section. The other relevant provisions read thus: "3B. The Board of Trustees constituted under section 3A shall be a body corporate under the name specified in the Notification constituting it, having perpetual succession F and a common seal and shall by the said name sue and be sued. 3C. _Appointment_ _of_ _Officers:_ ( 1) The Central Government shall appoint a Coal Mines n·ovident Fund Commissioner, who shall be the Chief Executive Officer of the G Board and shall be subject to the general control and superintendence of the Board. 2 .................... . 3. . .................. . H A B ### c #### 184 SUPREME COURT REPORTS I 1990] 1 S.C.R. 4. The method of recruitment, salary and allowances, discipline arid other conditions of service of the Coal Mines Provident Fund Commissioner shall be such as may be specified by the Central Government and such salary and allowances shall be paid out of the Fund." It is thus seen that the Commissioner is an officer appointed by the Central Government as the Chief Executive Officer of the Board. Though subject to the general control of the Board, discipline and the condition of service are such as may be specified by the Central Government. The salary and allowances are paid out of the fund. The Commissioner may exercise the powers exercisable by the Central Government under the Act or scheme framed thereunder on delegation of such power under section lOC. It will be dear from these provisions that an officer in the service of the Government by virtue of his office, is appointed as Commissioner by the Government and he performs public duties. The fact that D the Commissioner receives the salary and allowances out of the fund **and not from the Governn1ent during the tenure as Commissioner** would make no difference when the description as an officer in service of the Government is answered. The word 'service' in section 2 (17)(h) must necessarily mean E something more than being merely subject to the orders of Government or sontrol of the Government. To serve means "to perform function; do what is required for''. The Commissioner appointed by Government performs the functions as envisaged in the Act and the scheme thereunder. When he is actually acting in the capacity of Provident Fund Commissioner, he does not cease to be an officer in the F service of the Government. In _Liquidator of Society Sangakheda Kalan Co-operative Bank,_ _Hoshangabad_ v. _Ayodhyaprasad Shiamlal,_ AIR 1939 Nagpur 232, Pollock, J. held that liquidator is a public officer as he is appointed by the Government and discharges public duties. This decision is distinG guished in _Kuppu Govinda Chettiar_ v. _Uttukottai Co-operative Society,_ AIR 1940 Madras 831 holding that Deputy Registrar acting as Liquidator is not a public officer. The reasoning adopted is that qualiquidator he is not an officer in the service of the Government. In _Vishnu Wasudeo Joshi_ v. _T.L.H. Smith Pearse,_ AIR 1949 H Nagpur 362 it was held that a person who was a member of the Indian _.).._ PT COMMR. _v._ R.C. JHA IFATHIMA BEEVI, J.J 185 Educational Service but whose services were lent to the Rajkum"r A Colleg~, Raipur as principal is a public officer within section 2( 17)(h) and did not cease to be in the service of the Crown by reason of hi' deputation. In _Commissioner_ _of Wakj;, Bengal_ v. _Shahebzada Mohammed_ _Zahangir Shah,_ AIR 1944 Calcµtta 206 the Court said that the expres- B sion "public duty" refers to duty concerning to the affairs or service of the public and the word 'public' may include any class of the public or any community. In this view, the Commissioner of Wakfs who functions in relation to such public endowments in general was held to perform a public duty and, therefore, a public officer within the mean## ing of section 80 of the Code, c In _Kamta Prasad Singh_ v. _The Regional Manager, F.C.I.,_ AIR 1974 Patna :j76 the question arose whether the officers of the Food Corporation of India are public officers. The Corporation is a body corporate. The Court held that Government does not include a Corporation and that officers of the Corporation are not in the service of D Government and are not public officers. These are cases where the concerned officer did not hold his office in the Corporation by virtue of his being a Government employee. In the present case, the Provident Fund Commissioner holds the office of Commissioner on appointment by Government by virtue of his office. His services are temporarily placed at the disposal of the Board. He does not, there- E fore, cease to be an officer in the service of the Government. The payment of his pay out of the Fund does not alter his status as Government employee. We are, therefore, of the opinion that the courts below have erred in holding that the Coal Mines Provident Fund Commisioner is not a public officer within the meaning of the term in section 2(17)(h) of the C.P.C. We, accordingly, allow the appeal F and remit the case to the trial court for disposal in the light of what has been stated above. G.N. Appeal allowed.