TaxTMI 
TaxTMI 
TaxTMI 
2007 (1) TMI 551
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....y States forming the United State of Rajasthan on 18.04.1948. Various directions were issued by the Government of Rajasthan in relation to the management of the said temple from time to time. The legislature of the State of Rajasthan enacted Rajasthan Public Trust Act, 1959 (for short "the Act"). Chapter I to IV thereof came into force on 22.10.1959. In exercise of its rule making power contained in Section 76 of the Act, the State of Rajasthan framed Rules known as the Rajasthan Public Trusts Rules, 1962 which came into force on and from 11.06.1962. Chapter V to X and XII of the Act as also the Rules applicable in relation thereto were brought into operation with effect from 1.07.1962. Questioning the validity of some of the provisions of the Act including Sections 52(1)(d) and 53 thereof, some members belonging to Swetambers Jain sect filed a writ petition before the Rajasthan High Court which was marked as writ petition No. 501 of 1962 praying inter alia for the following reliefs: (i) The State of Rajasthan and its officers be restrained from enforcing certain provisions of the Act and declare those provisions void, (ii) Restrain the State and its officers from selling gold an....
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....es, the failure to publish the list and to constitute a Committee would amount to dereliction of duties on its part. In the said writ petition it was prayed for: (i) To issue a Mandamus directing the State Government to issue a list of public trusts under Section 52(2) of the Act and to constitute a Committee for management in terms of Section 53 of the Act. (ii) To issue a suitable writ or direction to quash the order dated 29.9.1979 restraining the State from changing the denominational character of the temple. The State in its affidavit in opposition filed in the said proceedings reiterated its position that the temple was a Hindu temple. Although it had not been brought to the notice of the High Court but now it stands admitted that the State in exercise of its power conferred upon it under Section 52 of the Act notified the said temple vested in the State as a self-supporting temple by a notification dated 25.06.1981 in the following terms: "No. F.8 (12) General/Dev/79/8550 :- In pursuance to State Governments order no 21/781/R/JU/1/79, dated 14-03-80 and same numbered page dated 17- 5-80 and letter no. 14 (3) Khan/Group \026 2/80 dated 7-1-81, the general public is hereb....
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....itution of Committee leaving the matter at the discretion of the State Government opining Sections 52 and 53 of the Act confers such discretion to it. Review petitions filed thereagainst have been dismissed by judgment and order dated 06.02.2002. There are four sets of appeals before us. The first set of appeals, viz., Civil Appeal Nos. 4092-4095, has been filed by the Swetamber Jain sect and is directed against the judgment of the Division Bench of the High Court dated 18.09.1997. The second set of appeals, viz., Civil Appeal Nos. 4086-4089 of 2002, has also been filed by the Swetamber Jain sect and is directed against the order of the Division Bench of the High Court dismissing the review petitions filed against the judgment and order dated 18.09.1997. The third set of appeals, viz., Civil Appeal Nos. 4081-4084 of 2002, is at the instance of the State Government against the judgment and order dated 18.09.1997. The fourth set of appeals, viz., Civil Appeal Nos. 4076-4079 of 2002, is filed by the Digamber Jain sect against the judgment and order dated 18.09.1997. It is furthermore not in dispute that another notification has been issued on 5.12.1997 by the State under Section ....
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.... a common seal and may sue and be sued in his corporate name." Section 17 provides for registration of public trusts. Section 18 provides for inquiry about registration. Sections 52 and 53 of the Act read as under: "52. Application of chapter.-(1) The provisions contained in this Chapter shall apply to every public trust- (a) which vests in the State Government, or (b) which is maintained at the expense of the State Government, or (c) which is managed directly by the State Government, or (d) which is under the superintendence of the Court of Wards, or (e) of which the gross annual income is ten thousand rupees or more. (2) The State Government shall, as soon as may be after the commencement of this chapter, publish in the official Gazette a list of the public trusts to which this Chapter applies and may by like notification and in like manner add to or vary such list. 53. Management of public trusts to which this Chapter applies \026 (1) As from such date as the State Government may appoint in this behalf, the management of a public trust to which this Chapter applies shall notwithstanding any thing contained in any provision of this Act or in any law, custom or usage, ves....
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....ained in this Act shall apply to a public trust administered by any agency acting under the control of the State Government or by any local authority. (2) The State Government may exempt, by notification specifying the reasons for such exemption, any public trust or class of public trusts from all or any of the provisions of this Act, subject to such conditions, if any, as the State Government may deem fit to impose." Rule 36 of the said Rules reads as under: "36. Manner of ascertaining the wishes of persons interested \026 (1) For the purpose of ascertaining the wishes under sub-section (5) of Section 53, of the persons interested, the State Government shall direct the Assistant Commissioner to issue a public notice in such manner as he may think proper, for inviting suggestions for the constitution of the Committee of management. (2) The Assistant Commissioner shall forward suggestions so received along with his comments, to the State Government through the Commissioner." The core question involved in these appeals is: Whether the State Government is obligated to constitute a committee of management of a public trust to which Chapter X of the Act applies? Or Whether the con....
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....ionary jurisdiction to exercise in the matter of appointment of a committee of management. It is imperative in nature. The expression "shall" used in Sub-sections (1) and (2) of Section 53 of the Act indicates that the natural and ordinary meaning of the words used by the legislature require that a committee of management must be constituted. The expression "shall" ordinarily implies the imperative character of the law. Even if the expression "shall" is read as "may" although there does not exist any reason therefor, the statute provides for a power coupled with a duty. It is a well-settled principle of interpretation of statutes that where discretion is conferred upon a public authority coupled with discretion, the word "may" which denotes discretion, should be construed to mean a command. In Commissioner of Police, Bombay v. Gordhandas Bhanji [1952 SCR 135], it is stated: "We have held that the Commissioner did not in fact exercise his discretion in this case and did not cancel the license he granted. He merely forwarded to the respondent an order of cancellation which another authority had purported to pass. It is evident from these facts that the Commissioner had before him o....
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....f the gazetted government servants, it would be legitimate to give such an opinion to them\005" In State (Delhi Admn.) v. I.K. Nangia and Another [(1980) 1 SCC 258], this Court opined: "We are clear that the Explanation to Section 17(2), although in terms permissive, imposes a duty upon such a company to nominate a person in relation to different establishments or branches or units. There can be no doubt that this implies the performance of a public duty, as otherwise, the scheme underlying the section would be unworkable. The case, in our opinion, comes within the dictum of Lord Cairns in Julius v. Lord Bishop of Oxford: There may be something in the nature of the thing empowered to be done, something in the object for which it is to be done, something in the conditions under which it is to be done, something in the title of the person or persons for whose benefit the power is to be exercised, which may couple the power with a duty, and make it the duty of the person in whom the power is reposed to exercise that power when called upon to do so. The Explanation lays down the mode in which the requirements of Section 17 (2) should be complied with. Normally, the word 'may' implie....
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....y agency under the control of the State Government or by any local authority. Whether the Devasthan Commissioner would be the agency of the State is, therefore, the question. Devasthan Commissioner is a statutory authority. He is an officer of the State. He exercises various functions under the Act. The Act postulates constitution of Advisory Boards and Advisory Committee. Their duties and functions are prescribed. In regard to various provisions of the Act, Devasthan Commissioner indisputably has statutory duties to perform. The Act does not provide that he may be put in charge of the management of any trust falling under Section 52 of the Act. As indicated hereinbefore, Section 53 of the Act contains a non-obstante clause. It is of wide import. A statutory authority, as is well-known, must act within the four corners of the statute. [See Taylor v. Taylor, (1875) 1 Ch D 426] Any action by a statutory authority contrary to or inconsistent with the provisions of the statute, thus, would be void. In the matter of construction of a statute, therefore, the court shall not take recourse to a principle which would render the acts of a statutory authority void in law. A statutory author....
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....keting (P) Ltd., Chhattisgarh and Another [(2004) 3 SCC 185]. It would, therefore, not be possible to give literal interpretation to Section 77 of the Act. Different provisions contained in different Chapters of the Act must, as far as possible, receive harmonious construction. With a view to give harmonious construction, the effect of an exemption clause must be borne in mind. It has not been denied or disputed that keeping in view the different clauses contained in Section 52 of the Act, public trusts which had vested in the State would come within the purview of the Chapter X. Once it is held that all those trusts would also go out of the statute, the provisions of Chapter X would become otiose in a large number of cases. Application of such principle of interpretation is not permissible. It is, therefore, incumbent for us to take recourse to harmonious construction. If principle of harmonious construction is applied, in a case of this nature, particularly, when the State itself has acted upon the directions of the court and had issued notifications in terms of Section 52 of the Act, the State cannot now be permitted to contend that Chapter X shall not apply. It could not appr....