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of <h1>CSIR's governance and government control under Article 12 challenged, mandamus refused after finding it not 'State'</h1> The dominant issue was whether the Council for Scientific and Industrial Research (CSIR) qualifies as 'State' under Art. 12, so as to attract a writ of ... Whether Council for Scientific and Industrial Research (CSIR) is 'the State' within the meaning of Article 12 of the Constitution. Whether a prayer seeking issuance of a mandamus or an order in the nature of mandamus could lie against a company incorporated under the Companies Act wherein the Central and the State Governments held respectively 56 and 32 per cent shares? Held that:- Appeal dismissed. As on the material available, we have recorded a positive finding that CSIR is not a society 'owned or controlled by Government'. We cannot ignore that finding solely by relying on the contents of the notification wherein we find the user of relevant expression having been mechanically copied but factually unsupportable. For the foregoing reasons, it is to be opined that Council for Scientific and Industrial Research (CSIR) is not the State within the meaning of Article 12 of the Constitution. Issues: (i) Whether the Council of Scientific and Industrial Research (CSIR) is 'the State' within the meaning of Article 12 of the Constitution of India; (ii) Whether the earlier decision in Sabhajit Tewary v. Union of India should be overruled in light of subsequent authorities and the facts relating to CSIR.Analysis: The Court reviewed the constitutional scope of 'the State' in Article 12, the purpose of Part III, and the jurisprudential development from Rajasthan Electricity Board, Sukhdev Singh, Ramana (International Airport Authority), Ajay Hasia and subsequent cases. The analysis applied the established indicia/tests (ownership/financial dependence, monopoly/functional importance, deep and pervasive control, transfer of a government department) and emphasised that the determination depends on the cumulative effect of relevant facts rather than any single rigid test. The majority examined CSIR's origin, objects, management, rules and bylaws, the composition and control of its Governing Body, applicability of Central service rules to its employees, budgetary dependence on Government grants (noting substantial governmental funding and CAG audit/Parliamentary oversight), power of the President of CSIR (Prime Minister ex officio) to review Governing Body decisions, and the 1986 notification under Section 14(2) of the Administrative Tribunals Act. On balance, the majority concluded that CSIR functions as an instrumentality or agency of the Government and falls within the enlarged meaning of 'the State' under Article 12; further, the Court held that Sabhajit Tewary was factually and doctrinally distinguishable and its limited ratio had been eroded by subsequent authorities, and therefore it was open to be overruled insofar as it denied Article 12 coverage to CSIR.Conclusion: The majority holds that CSIR is 'the State' within the meaning of Article 12; Sabhajit Tewary is overruled as regards its application to CSIR; the matter is remitted to the appropriate Bench for further disposal in accordance with this decision. This outcome is in favour of the Appellant.
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