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2015 (3) TMI 1224

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..... JJ. JUDGEMENT R. BANUMATHI, J. Leave granted. 2. This appeal has been filed against the impugned order dated 8.5.2013 passed by the High Court of Delhi in Writ Petition (Civil) No.7767/2012, wherein the Division Bench of the High Court allowed the writ petition filed by the respondent No.1. The issue falling for consideration is whether minutes of meeting can override statutory regulations. 3. The appellant is Delhi International Airport Limited, a joint venture and public partnership between GMR companies, Ministry of Civil Aviation, Fraport Germany and Eraman Malaysia. Appellant has been granted aerodrome licence by Director General Civil Aviation (DGCA) on 1.5.2008 and is a competent authority with respect to Delhi Airport responsible for upgradation, maintenance and operation of Delhi Airport. Appellant has been conferred power under Section 22(i)(a) of the Airport Authority of India Act, 1994 (short for AAI Act ) to charge fees, rent etc. for the landing, housing or parking of aircraft. Respondent No.1 is a leasing company incorporated under laws of California, U.S.A, engaged in the business of leasing of aircrafts engines and related equipment. 4. Ki .....

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..... e jointly owned by Lessor and KFA; (iii) The concerned airport operators shall release all the de-registered aircraft to the respective owners/lessors immediately so that these aircrafts can fly out of the country. They are at liberty to collect parking charges from the owners/lessors from the date of de-registration. In case any of these deregistered aircrafts are subject matter of any court case between the owners/lessors and the airport operator, then the airport would take action as per the decision of the Court. 7. High Court of Delhi vide impugned order dated 8.5.2013 directed all the airports to release the aircrafts in terms of the above decision taken in the meeting held on 26.3.2013 on payment of parking charges up to 13.5.2013. Being aggrieved, the appellant-DIAL has preferred this appeal by way of special leave. 8. Mr. Gopal Jain, learned Senior Counsel appearing for the appellant submitted that the minutes of the meeting is in the nature of an executive decision and it curtails their statutory power to detain the aircrafts for non-payment of fees and said minutes of meeting cannot override Regulation 10 and other statutory regulations. It was submitted that t .....

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..... arges as are levied by the Authority from time to time. In the event of non-payment of the requisite fee or charges, the Competent Authority shall have a right to detain or stop departure of the aircraft till the fees or charges are paid to Authority, which may include the current and accumulated dues. 12. Competent Authority is defined in Regulation 3(8) which reads as under:- 8. Competent Authority means in relation to exercise of any power of the Authority, the Chairperson, and any member authorized by the Chairperson, Airport Director or Controller of Aerodrome or Incharge of any Airport or civil enclave or any other officer specified by the Chairperson in that behalf. The appellant is the competent authority with respect to the Delhi Airport having been granted aerodrome licence from DGCA on 1.5.2008. Section 42 (2)(o) read with Section 22 of the AAI Act and Regulation 10 is a complete code with regard to the right of the airport operator to levy and ensure collection of dues including the right to detain or stop departure of the aircraft till the fees or charges are paid irrespective of the ownership of the aircraft. The charges and dues are attached to the ai .....

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..... ction is to be taken by way of an order or instrument, it shall be expressed to be taken in the name of the President in whom the executive power of the Union is vested. Clause (2) of Article 77 of the Constitution of India provides that the validity of an order or instrument made or executed in the name of the President, and authenticated in the manner specified in the rules made by the President, shall not be called in question on the ground that it is not an order or instrument made or executed by the President. 18. Under clause (3) of Article 77 of the Constitution of India, the President is to make rules for the more convenient transaction of government business and for the allocation of the same amongst ministers. A similar provision occurs in Article 166(3) empowering the Governors to make rules for the conduct of government business in the States. In all cases in which the President or the Governor exercises his functions conferred on him by or under this Constitution with the aid and advice of his Council of Ministers, he does so by making rules for more convenient transaction of business and for allocation among ministers of the said business in accordance with Article .....

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..... e or not; 20. In State of Sikkim vs. Dorjee Tshering Bhutia Ors. (1991) 4 SCC 243 , it is observed as under:- 14 .The government business is conducted under Article 166(3) of the Constitution in accordance with the Rules of Business made by the Governor. Under the said Rules the government business is divided amongst the ministers and specific functions are allocated to different ministries. Each ministry can, therefore, issue orders or notifications in respect of the functions which have been allocated to it under the Rules of Business. 21. In Gulabrao Keshavrao Patil Ors. vs. State of Gujarat Ors. (1996) 2 SCC 26, it is held as under:- 14 It would, therefore, be clear that the decision of a Minister under the Business Rules is not final or conclusive until the requirements in terms of clauses (1) and (2) of Article 166 are complied with. Before the action or the decision is expressed in the name of the Governor in the manner prescribed under the Business Rules and communicated to the party concerned it would always be open by necessary implication, to the Chief Minister to send for the file and have it examined by himself and to take a decision, though the s .....

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..... oa which states that the business of the Government shall be transacted in accordance with the Business Rules. Under Rule 7(2) thereof, the concurrence of the Finance Department is a condition precedent. 69. Likewise, Rule 6 of the Business Rules states, that, the Council of Ministers shall be collectively responsible for all executive orders passed by any Department in the name of the Governor or contract made in exercise of the power conferred on the Governor or any other officer subordinate to him in accordance with the Rules, whether such orders or contracts are authorised by an individual Minister on a matter pertaining to the Department under his charge or as the result of discussion at a meeting of the Council of Ministers or otherwise. This Rule requires that an executive order issued from any Department in the name of the Governor of the State should be known to the Council of Ministers so as to fulfil the collective responsibility of the Council of Ministers. 70. Further, Rule 7 of the Business Rules requires that no Department shall without the concurrence of the Finance Department issue any order which may involve any abandonment of revenue or involve expenditure .....

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..... the meaning of Article 154 of the Constitution, the result would be chaotic. The Chief Minister would remain a mere figure head and every Minister will be free to act on his own by keeping the Business Rules at bay. Further, it would make it impossible to discharge the constitutional responsibility of the Chief Minister of advising the Governor under Article 163. Therefore, it is difficult to accept the contentions of the appellants that the Business Rules are directory. 73. We also subscribe to and uphold the view of the High Court that Business Rules 3, 6, 7 and 9 are mandatory and not directory and any decision taken by any individual Minister in violation of them cannot be termed as the decision of the State Government. We are fortified in our view by several decisions of this Court . (emphasis added) 24. From a combined reading of Rules 3, 4, 4(2) and in the light of the above decisions, the minutes of meeting which is to be converted as a general or special order in writing by the Central Government involving the abandonment of revenue or which has a financial implication on the Airports Authority of India which is under the control of Civil Aviation Ministry, it was re .....

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..... ion that the Central Government has the sole prerogative to take a decision to waive the right to detain the aircraft and in the present case, DIAL has waived its right by participating in the meeting and accepting the decision taken in the meeting. It was also submitted that the Central Government is empowered to take a unilateral decision in this regard and the appellant had not objected to the decision being made and thus precluded from raising any objections regarding the same. When the minutes of meeting were not sanctioned by the competent authority and in accordance with the mandatory requirement of Article 77(3) of the Constitution of India, the same cannot be put against the appellant. 27. In Haridwar Singh vs. Bagun Sumbrui and Ors. (1973) 3 SCC 889 , this Court was dealing with the Business of Rules of the State of Bihar framed under Article 166 (3) of the Constitution of India wherein this Court held (pp.895-896 paras 14-16) as under:- 14. Where a prescription relates to performance of a public duty and to invalidate acts done in neglect of them would work serious general inconvenience or injustice to persons who have no control over those entrusted with the duty .....

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