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1969 (1) TMI 68 - SC - Companies LawWhether a person holds an office of profit under a Government is the amount of control which the Government exercises over that officer? Held that:- The power to appoint and dismiss respondent No. 1 does not vest in the Government or in any government servant. The power to control and give directions as to the manner in which the duties of the office are to be performed by respondent No. 1 also does not vest in the Government, but in an officer of the Company. Even the power to determine the question of remuneration payable to respondent No. 1 is not vested in the Government which can only lay down rules relating to the conditions of service of the employees of the Company. Thus unable to agree that, in these circumstances, the indirect control exercisable by the Government because of its power to appoint, the Directors and to give general directions to the Company can be held to make the post of Superintendent, Safety Engineering Department, an office of profit under the Government. he principles which will apply to the Company will be on a par with those applicable to other Government Companies or Companies in which the Government holds more than 25 per cent of the share capital. The Company cannot, therefore, be treated as either being equivalent to the Government or to be an agent of the Government, so that the control exercised by its Directors or the Managing Director over respondent No. 1 cannot be held to be control exercised by the Government. Therefore, respondent No. 1 cannot be held to be holding an office of profit under the Government of Mysore and was Pot disqualified from being chosen as a member of the Assembly of the State. Appeal dismissed.
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