High CourtDivision BenchAppeal allowed; High Court order setting aside ...

New Delhi Municipal Council v. Pan Singh and Ors.

Case / Petition Number:Civil Appeal No. 1214 of 2007
Neutral Citation:[2007] 3 S.C.R. 711

Case Details & Bench

Court
High Court
Hon'ble Judges
  • S.B. Sinha
  • Markandey Katju
Judgment Date
2007-03-08
Court Decision / Holding
Appeal allowed. The impugned High Court order directing parity and back wages to post-cut-off date Meter Readers is set aside; the 17 senior Meter Readers’ ad hoc pay protection did not establish a general precedent or extend automatically to others; those not parties to the reference could not be treated identically; discretionary relief in favour of those who waited 17 years was inappropriate; no costs.
Final Disposition
Appeal allowed; High Court order setting aside and directing parity is set aside; no costs.

Parties to the Case

Appellants / Petitioners

  • New Delhi Municipal Council

Respondents

  • Pan Singh and Others

Legal Representation & Advocates

Counsels for Petitioners

  • • Rakesh K. Khanna
  • • Dr. Rashmi Khanna
  • • Surya Kant
  • • Shailja Sinha
  • • Jahanvi Worah
  • • Neeraj Sharma

Counsels for Respondents

  • • Asha Jain Madan
  • • Mukesh Jain
  • • Ambar Jain

Case Synopsis & Summary

This Supreme Court judgment concerns the New Delhi Municipal Council (NDMC) and a dispute over pay scales for Meter Readers and Shift Incharge posts. Historically, two pay bands existed: Shift Incharge (Rs. 220-400) and Meter Readers (Rs. 185-300). Seventeen senior Shift Incharges elected to convert to Meter Readers and were granted a higher pay scale on an ad hoc basis, with pay protection personal to them and without creating a general precedent. Some Meter Readers who were employed at the relevant time challenged this treatment as discriminatory. The Industrial Tribunal awarded pay parity for those 17 Meter Readers, fixing a cut-off date (6.2.1982) beyond which others would not automatically receive the higher scale. The Respondents, who were appointed after the cut-off date, sought parity via writ petitions in 1999, arguing that the employer should treat similarly situated employees alike. The High Court allowed the petition, directing back wages for those not party to the original dispute, effectively extending the benefit to a broader class. The NDMC appealed, contending that (i) the 18(3)(b) provision of the Industrial Disputes Act binds only those who were party to the reference and who claim similar benefits; (ii) delay and latches render discretionary relief inappropriate for those who waited 17 years to seek relief; (iii) one cannot equate those not covered by the Award with those within its scope. The Court ultimately allowed the appeal, holding the narrower class and ad hoc nature of the benefit, and setting aside the High Court order without costs.

Provisions of Law Cited

Industrial Disputes Act, 1947, Section 18(3)(b)Constitution of India Article 226New Delhi Municipal Act, 1994

Legal Doctrines & Maxims

  • Discretionary jurisdiction may not be exercised in favour of those who approach the Court after a long time.
  • Delay and Laches are relevant factors for exercise of equitable jurisdiction.
  • Representations would not be adequate explanation to take care of delay.
  • Writ petitions should ordinarily be filed within a reasonable time (often three years as a norm).
  • No automatic extension of an Award to employees not party to the dispute.

Submissions & Arguments

Contentions of Appellants / Petitioners

NDMC contended that the cut-off date fixed by the Industrial Tribunal creates a separate class; those who joined after the cut-off date were not parties to the reference and could not be treated alike simply because others were granted higher pay on an ad hoc basis. The writ petitions filed in 1999 were beyond a reasonable time; Section 18(3)(b) does not automatically extend the Award’s benefits to those who were not parties to the dispute; discretionary relief should not be conferred on those who approached the court after a long lapse, and there was no basis to grant back wages to late entrants.

Contentions of Respondents

The respondents argued that under Section 18(3)(b) of the IDA, those employed subsequently would be bound by the Award if they performed similar duties; since they were previously under the same employer and there existed a common goal, parity with the Awardees should be granted; they were not seeking new independent industrial relief but claiming the benefits of the earlier award, and the High Court’s approach to ensure equity by treating similarly situated employees fairly should be allowed.

Cited Precedents (12)

Case NameCitationTreatmentExplanation
Punjab National Bank And Ors. v. Manjeet Singh And Anr.(2006) 8 SCC 647DistinguishedThe Court notes the case discusses binding effect of the Award under Section 18(3)(b) but distinguishes it from the present facts where the respondents were not parties to the reference.
Govt. of West Bengal v. Tarun K. Roy And Ors.(2004) 1 SCC 347PositiveCited to support the principle that delay and equitable considerations affect the exercise of jurisdiction.
Chairman, U.P. Jal Nigam & Anr. v. Jaswant Singh And Anr.(2006) 12 SCALE 347PositiveCited as authority on delay and equitable relief considerations.
Karnataka Power Corp. Ltd. through its Chairman & Managing Director v. K. Thangappan and Anr.(2006) 4 SCC 322PositiveCited for principles on equitable treatment and delay.
Lipton India Ltd. and Ors. v. Union of India and Ors.(1994) 6 SCC 524PositiveSupport for the proposition that writ petitions should be filed within a reasonable time.
MR. Gupta v. Union of India And Ors.(1995) 5 SCC 628PositiveSupportive precedent on timely filing and equitable relief.
Shiv Dass v. Union of India & Ors.(2007) 2 SCALE 325PositiveReiterates that representations do not excuse delay and that late relief is unlikely.
Luniab National Bank (supra)UnknownMentioned OnlyCited in context of extension of awards to non-parties; treated as reference rather than controlling law.
State of Orissa v. Sri Pyarimohan SamantarayAIR 1976 SC 2617PositiveUsed to illustrate that repeated representations do not justify delay.
K. V. Raja Lakshmiah v. State of MysoreAIR 1967 SC 993PositiveSupport for reasonable time for filing writs.
State of Orissa v. Arun KumarAIR 1976 SC 1639PositiveSupports delay to consider in equitable relief.
Lipton India Ltd. v. Union of India(1994) 6 SCC 524PositiveReiterated for reasonable time principle.

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Extracted Judgment Text

Exact text extracted from official judgment records.

A - I B # NEW DELHI MUNICIPAL COUNCIL }'. PAN SINGH AND ORS. MARCH 8, 2007 [S.B. SINHA AND MARKANDEY KA TJU, JJ.] _Labour Laws:_ -· ~ _industrial Disputes Act, 1947; S.18:_ c _Shifis-lncharge working in higher scale of pay opted to serve as Meter Readers in lower scale of pay-Pay protection provided by employer-New Delhi Municipal Council-Employees serving as Meter Readers at relevant time raising an industrial dispute claiming pay parity-Industrial Tribunal allowing pay parity to them fixing a cut-off date-Filing of a writ petition_ D _by subsequent appointee-Meter Readers claiming parity in pay scales with the earlier Awardees-Allowed by High Court-On appeal, Held: Employer allowed higher pay scale to shift Incharge in order to protect their pay/ndustrial Tribunal allowed pay parity to Meter-Readers who have been serving as such at the relevant time by fixing a cut-off date-Subsequent appointee-Meter Readers were neither parties to the Industrial dispute nor_ E _they raise any grievance in regard to their condition of service-They filed writ petition only after 17 years after their appointment-Discretionary jurisdiction may not be exercised in favour of those who have not approached the Court within a reasonable time-It was not a fit case where the High Court should have exercised its discretionary jurisdiction in favour of writ_ F _petitioners-Meter Readers-Hence, impugned order cannot be sustained and set aside._ There were posts of Meter Readers as also Shifts Incharge in the pay scale of Rs. 220-400 and Rs. 185-300 respectively in the New Delhi Municipal Council (NDMC)/appellant. The posts of Meter Readers were meant to be G filled up by direct recruitment. 17 senior most Shifts In charge, however, for certain reasons opted to become Meter Readers which was allowed by the appellant-employer. As they were working in a higher scale of pay, their pay was protected. Some other Meter Readers who were working as such at the H 711 712 [2007) 3 S.C.R. ## SUPREME COURT REPORTS A relevant time raised an industrial dispu.te purported to be on the premise that they had been discriminated against. The Industrial Tribunal by reason of an Award allowed pay parity to them. Subsequent appointees-Meter Readers/ respondents filed a Writ Petition before the High Court claiming parity in the matter of grant of scale of pay with the Awardees-Meter Readers whose pay scale was revised earlier in terms of an Award of the Industrial Court. B The Writ Petitions have been allowed by the High Court observing that although they are not covered by the Award, but the appellant being model employer must grant the same scale of pay to them as granted earlier to other serving Meter Readers. C Appellant-ND MC contended that once the cut off date was fixed by the Tribunal, the respondents, having joined the services of the appellant thereafter, could not have been directed to be treated alike in the matter of grant of the same scale of pay; and that the Writ Petitions having been filed in July, 1999, the High Court committed a serious illegality in directing back wages in their favour. j . D E Respondent submitted that the Award of the Industrial Tribunal was binding upon the appellant in terms of Section 18(3)(b) of the Industrial Disputes Act and in that view of the matter, as respondents perform same or similar nature of duties as are being performed by the other workmen, they were entitled to be treated alike; and that the respondent did not raise a separate industrial dispute as they had all along been under the impression that they would be covered by the Award which may be made in the said Reference. )"' ~ ## Allowing the appeal, the Court F HELD: 1.1. Seventeen persons who were granted higher scale of pay had been working as Shifts In charge. As Shifts In charge, they were entitled to a higher scale of pay. They were given a higher scale so as to protect their pay which were personal to them and that too on an ad-hoc measure. It was not by way of a revision of scale of pay as understood in the ordinary G sense of the term. [Para to] [717-C) \ . 1.2. The Industrial Tribunal in its A ward proceeded on the basis that the concerned workmen were entitled to the benefit of higher scale as they were similarly situated to those 17 senior most Meter Readers. The direction in terms of _the_ Award was confined only to those who were in employment at H the time when the said benefit was given to the said 17 Meter Readers. They, 713 NEW DELHI MUNICIPAL COUNCIL r. PAN SINGH - ~ · thus, formed a class by themselves. A cut-off date having been fixed by the A Tribunal, those who were thus not similarly situated, were to be treated to have formed a different class. They could not be treated alike with the others. The High Court has not considered this aspect of the matter. jParas 11, 12 and 131 (717-E, Fl 1.3. Although, Section 18(3)(b) of the Industrial Disputes Act provides B that all workmen who were employed in an establishment, subsequently become employed therein would also be bound by the Award of the Industrial Tribunal. But, they must be entitled to the similar benefits. Respondents were not parties to the said dispute. They did not raise any grievance in regard to their conditions of service. Had they been parties to the Reference, the matter C might have been otherwise. (Para 1411717-H; 718-A-B) > _Punjab National Bank And Ors_ v. _Manjeet Singh And Anr.,_ (2006) 8 sec 647, relied on. .. 1.4. There is another aspect of the matter which cannot be lost sight of. D Respondents filed a Writ Petition after 17 years. They did not agitate their grievances for a long time. They did not claim parity with the 17 workmen at the earliest possible opportunity. They did not implead themselves as parties even in the reference made by the State before the Industrial Tribunal. It is not their case that those employees who were employed or who were recruited after the cut-off date have been granted the said scale of pay. After such a E long time, therefore, the Writ Petitions could not have been entertained even if they are similarly situated. It is trite that the discretionary jurisdiction may not be exercised in favour of those who approach the Court after a long time. Delay and !aches are relevant factors for exercise of equitable jurisdiction. (Para 1611718-D-EI F _Govt. of WB._ v. _Tarun K. Roy And Ors .._ [200411 SCC 347; _Chairman, U.P. Jal Nigam & Anr._ v. _Jaswant Singh And Anr .._ (2006) 12 SCALE 347 and _Karna/aka Power Corpn. Ltd. through its Chairman & Managing Director and Anr._ v. _K. Thangappan and Anr.,_ [2006) 4 SCC 322, relied on. G · 1.5. Although, there is no period oflimitation provided for filing a Writ Petition under Article 226 of the Constitution of India, ordinarily, Writ Petition should be filed within a reasonable time. [Para 17) (718-GI _Lipton India Ltd. and Ors._ v. _Union Of India And Ors.,_ (1994) 6 SCC 524 and _MR, Gupta_ v. _Union of India And Ors .._ ( 1995( 5 SCC 628, referred 714 SUPREME COURT REPORTS [2007] 3 S.C.R. A to. _f._ - l.6. It was not a fit case where the High Court should have exercised its discretionary jurisdiction in favour of the respondents. _Shiv Dass_ v. _Union of India & Ors.,_ (2007) 2 SCALE 325 : (2007) I B Supreme 455, referred to. CIVIL APPELLATE JURISDICTION: Civil Appeal No. 1214 of2007. From the Judgment and Order dated 21 J.2005 of the High Court of Delhi at New Delhi in W.P. No. 4661/1999. .. - c Rakesh K. Khanna, Dr. Rashmi Khanna, Surya Kant, Shailja Sinha, Jahanvi Worah and Neeraj Sharma for the Appellant. Asha Jain Madan, Mukesh Jain and Ambar Jain for the Respondents. D The Judgment of the Court was delivered by S.B. SINHA, J. I. Leave granted. 2. Appellant is a local authority constituted under the New Delhi Municipal Act, 1994. It has been performing its municipal functions in the E New Delhi area; one of them being distribution of electricity to the consumers upon buying the same from the Electricity Supply Companies. For the said purpose, it has a electricity department. In the said department, there were posts of Meter Readers as also Shifts Incharge. The pay scale of Shifts Incharge was Rs. 220-400 and that of the Meter Readers Rs. 185-300. The post of Meter Readers was meant to be filled up by direct recruitment. 17 senior F most Shift In charge, however, for certain reasons opted to become Meter Readers. As they were working in a higher scale of pay, their pay was protected. Such protection of pay was given to them by an Order dated I 0.2.1982, stating : "I. The matter regarding revision of pay scale from Rs. 185-300 to G Rs. 220-440 of those Meter Readers who were promoted as Meter Readers from the Cadre of Shift-In-charge II Grade was discussed in the meeting held on 15 .12.81 at 11.00 AM under the Chairmanship of the Administrator. It was decided by the Administrator that the matter be examined whether higher pay scale of Rs. 220-400 could be given to the 17 such senior-most Meter Readers, purely as ori ad hoc H .,,._ • **==> picture [5 x 2] intentionally omitted <==** **----- Start of picture text -----**<br> -<br>**----- End of picture text -----**<br> NE\\ DELHI MUNICIPAL COUNCIL"· PAN SINGH [S.B. SINHA . .I.] 715 A measure which would be personal to them. 2. Accordingly, the case was discussed in the meeting of Heads of Departments namely CE(E)/CE(C)/F A,CA, Secretary, MOH, DD(H) and LWO headed by the Administrator on 06.02.1982 and was decided that the pay scale of Rs. 220-10-300-EB-400 be allowed w.e.f. 6.2.82 to all those 17 Meter Readers who had previously worked as Shift In charge B Grade I!, but this revision of scale will be personal to them without making any precedent..." 3. Some other Meter Readers who were in services of the appellant at the relevant time raised an industrial dispute purported to be on the premise that they had been discriminated against. Reference was made to the Presiding C Officer, Industrial Tribunal No. 3, Delhi for detem1ination of inter-alia the following industrial dispute:- . -~ y "!. Whether the pay scale of Meter Readers should be revised from Rs. 520-815 to Rs. _590-10001-_ as has been done in case of 17 Meter Readers namely I) Shri Turen Singh, 2) Ram Chander Singh, 3) Shri D Rameshwar Lal Bali, 4. Shri Prem Chand Sharma, 5. Raj Kumar Kalia (6) Sh. Prabhu Dayal, (7) Sh. Anand Kishore Aggarwal, (8) Shri Jagannath Pars had, (9) Sh. D.P. Malhotra, (I 0) Sh. Bhu Dev Sharma, (I I) Sh. Sukh Dev Singh, (12) Shri Ajaib Singh, (13) Shri H.C. Chauhan, (14) Shri K.S. Rawat, (15) Shri Devi Sanai, (16) Shri MansaRam, (17) E Shri Subhash Chand Sharma and if so what directions are necessary in this respect?" 4. Respondents were not parties therein. They did not file any application for their impleadment. By reason of an Award dated 7 .1.1998, the Industrial Court directed :- F "In the light of the above observations of the meter readers, who were in service at the time when the benefit was given to 17 meter readers, whose names are morefully detailed in Annexure B of claim statement are entitled to get the benefit of the said order in the similar manner in which the same has been given to those 17 meter readers purely G as an adhoc measure to be personal to them and discrimination made by the management amongst the same class of meter readers is an act of arbitrariness and amounts to misuse of the principles of law. The management is directed to pay the arrears of the said amount on the same analogy to which 17 meter readers have been given benefit to H 716 SUPREME COlJRT REPORTS [2007] 3 S.C.R. ~.- A the same as per order dated 12.02.82 within a period of6 months from the date the award become enforceable under law failing which the meter readers of the said period will be entitled to get an interest @ 18% per annum to the same ... " 5. The respondents were appointed after 12.2.1982 i.e during the period B 1.4.1982 and 3.6.1984. They filed a Writ Petition claiming parity in the matter of grant of scale of pay by filing a Writ Petition with the Awardees before the High Court of Delhi. By reason of the impugned Judgment, the said Writ Petitions have been allowed stating that although they are not covered by the Award, the appellant being model employer must treat the employees c[similarly situated ][and, ][thus ][as ][the ][respondents ][had ][passed ][the ][test ][in ][June, ] 1981, they could not be denied the pay scale which has been granted to them. 6. Respondent filed the Writ Petition in July, 1999 claiming inter-alia the following reliefs:- - "(a) Issue an appropriate writ, order or direction to the Respondent to grant to the petitioners the benefit of the revised pay scale, as had been granted to other meter readers vide office order dated 10.02.1982 (Annexure-B). Office order dated 23.12.1998 (Annexure-D) and office order dated 17.5.1999 (Annexure - D-1) alongwith all the consequential reliefs. D E - (b) Grant to the petitioners the appropriate amount of damages including cost of the present petition as also such other or fu1ther reliefs as this Hon'ble Court may deem fit, proper and expedient in the facts and circumstances of the present case." 7. Mr. Rakesh K. Khanna, learned senior counsel appearing on behalf F of the appellant would urge that once the cut off date was fixed by the Tribunal as on 6.2.1982, the respondents, having joined the services of the appellant thereafter, could not have been directed to be treated alike in the matter of grant of the same sc.ale of pay. In any event, the Writ Petitions having been filed in July, 1999, the High Court committed a serious illegality G[in ][directing ][back ][wages ][in ][their ][favour. ] 8. Ms. Asha Jain Madan, learned counsel appearing on behalf of the respondent, on the other hand, would submit that the Award of the Industrial Tribunal was binding upon the appellant in terms of Section 18(3 )(b) of the Industrial Disputes Act and in that view of the matter, as respondents perform H same or similar nature of duties as are performed by the other workmen, they y..· • ~ _"<_ NEW DELHI MUNICIPAL COUNCIL _v._ PAN SINGI I [S.13. SINHA. J.] 717 -~ were entitled to be treated alike. The learned counsel would contend that the A respondent did not raise a separate industrial dispute as they had all along been under the impression that they would be covered by the Award which may be made in the said Reference. 9. Respondents were appointed on different dates, admittedly after 6.2.1982. Entitlement of an employee to be placed on a particular scale of pay B would depend upon the terms and conditions laid down in the contract of service. I 0. Seventeen persons who were granted higher scale of pay as noticed hereinbefore had been working as Shifts in charge. As Shifts In charge, they c were entitled to a higher scale of pay. They were given a higher scale so as to protect their pay which were personal to them and that too on an ad-hoc measure. It was not by way of a revision of scale of pay as understood in the ordinary sense of the term. ~ _-.(_ 11. Those Meter Readers who were purported to be similarly situated D meaning thereby those who were in service as on 12.2.1982 i.e. the date when the purported pay scales of 17 senior most Meter Readers on ad-hoc basis were revised, raised an industrial dispute. The Industrial Tribunal in its Award proceeded on the basis that the concerned workmen were entitled to the benefit of higher scale as they were similarly situated to those 17 senior most Meter Readers. E 12. The direction in terms of the Award was confined only to those who were in employment at the time when the said benefit was given to the said 17 Meter Readers. i. ~ \ / _i_ " 13. They, thus, formed a class by themselves. A cut-off date having F been fixed by the Tribunal, those who were thus not similarly situated, were to be treated to have formed a different class. They could not be treated alike with the others. The High Court, unfortunately, has not considered this aspect of the matter. 14. Submission of learned counsel for the respondent that Section[G ] I 8(3)(b) of the Industrial Disputes Act would govern the Award, in our opinion is not correct. Section 18(3 )(b) although, provides that all workmen who were employed in an establishment, subsequently become employed therein would also be bound by the Award of the Industrial Tribunal. But, they must be entitled to the similar benefits. Respondents were not parties H 718 SUPREME COURT REPORTS (2007] 3 S.C.R. A to the said dispute. They did not raise any grievance in regard to their conditions of service. 15. Had they been parties to the Reference, the matter might have been otherwise, as was held in _Punjab National Bank And Ors_ v. _Manjeet Singh And Anr.,_ (2006] 8 SCC 647, whereupon Ms. Asha Jain Madan, learned B counsel for respondent strongly relied upon. Section 18(3)(b) does not postulate that although the concerned workmen would form different classes, an Award made in favour of another class of workmen would automatically be extended to the other. In _l'uniab National Bank_ (supra), the workman contended that they were not bound by the A ward, which contention was rejected having C regard to the fact that they were similarly situated and in fact were parties in the industrial disputes and were represented through their Union. 16. There is another aspect of the matter which cannot be lost sight of. Respondents herein filed a Writ Petition after 17 years. They did not agitate their grievances for a !ong time. They, as noticed herein, did not claim parity D with the 17 workmen at the earliest possible opportunity. They did not imp lead themselves as parties even in the reference made by the State before the Industrial Tribunal. It is not their case that after 1982, those employees who were employed or who were recruited after the cut-off date have been granted the said scale of pay. After such a long time, therefore, the Writ Petitions .could not have been entertained even if they are similarly situated. It is trite E that the discretionary jurisdiction may not be exercised in favour of those who approach the Court after a long time. Delay and !aches are relevant factors for exercise of equitable jurisdiction. See _Govt. of W.B._ v. _Tarun K. Roy And Ors.,_ ('2004] I SCC 347, _Chairman, U.P. Jal Nigam & Anr._ v. _Jaswant Singh and Anr.,_ (2006) 12 SCALE 347 and _Karna/aka Power Corpn. Ltd. through_ F _its Chairman & Managing Director and Anr._ v. _K. Thangappan and Anr.,_ [2006J 4 sec 322. 17. Although, there is no period of limitation provided for filing a Writ Petition under Article 226 of the Constitution of India, ordinarily, Writ Petition should be filed within a reasonable time. G 18. See _Lipton India ltd. And Ors._ v. _Union of India And Ors.,_ (1994] 6 SCC 524 and _M.R. Gupta_ v. _Union of India And Ors.,_ [ 1995] 5 SCC 628. 19. In _Shiv Dass_ v. _Union of India & Ors.,_ (2007) 2 SCALE 325 : (2007) I Supreme 455, this Court held:- H NEW DELHI MUNICIPAL COUNCIL" PAN SINGH [S.B. SINHA. J.J 719 . -~ "9. It has been pointed om by this Court in a number of cases A that representations would not be adequate explanation to take care of delay. This was first stated in _K. V. Raja Lakshmiah_ v. _State of Mysore,_ AIR (1967) SC 993. There is a limit to the time which can be considered reasonable for making representations and if the Government had turned down one representation the making of another representation on similar lines will not explain the delay. In _State of_ B _Orissa_ v. _Sri Pyarimohan Samantaray,_ AIR ( 1976) SC 2617 making of repeated representations was not regarded as satisfactory explanation of the delay. In that case the petition had been dismissed for delay alone. See _State of Orissa_ v. _Arun Kumar,_ AIR 1976 SC 1639 also. 10. In the case of pension the cause of action actually continues from month to month. That, however, cannot be a ground to overlook delay in filing the petition. It would depend upon the fact of each case. If petition is filed beyond a reasonable period say three years normally the Court would reject the same or restrict the relief which could be granted to a reasonable period of about three years. The . High Court did not examine whether on merit appellant had a case. If on merits it would have found that there was no scope for interference, it would have dismissed the writ petition on that score alone." 20. We, therefore, are of the opinion that it was not a fit case where the High Court should have exercised its discretionary jurisdiction in favour of E the respondents herein. 21. For the reasons aforementioned, impugned Judgment cannot be sustained which is set aside accordingly. The Appeal is allowed. In the facts and circumstances of the case, however, there shall be no order as to costs. F S.K.S. Appeal allowed.