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TMI Blog2019 (2) TMI 1927X X X X Extracts X X X X X X X X Extracts X X X X ..... erein is a Limited Company having its registered office at Calcutta. Respondent No. 1 was engaged in the business of manufacture and sale of cement. They have a cement factory at Porbandar in the State of Gujarat. 4. The Appellant is a Union of workers. These workers were working, at all relevant time, in the cement factory of Respondent No. 1 at Porbandar. According to the Appellant-Union, as many as 500 workers, who are the members of it, were working at the relevant time in the said cement factory. 5. Respondent No. 1, however, closed the cement factory somewhere in the year 1998 for myriad reasons without paying the wages to its workers. 6. A dispute, therefore, arose between the Appellant-Union and Respondent No. 1-Company (employer) regarding the non-payment of outstanding wages payable to the workers. The Appellant-Union, therefore, approached the Labour Court at Junagadh (Gujarat) and filed Recovery Application No. 86/98 under the Industrial Disputes Act, 1947 for the recovery of the outstanding wages payable to the workers against Respondent No. 1. 7. By order dated 12.04.1999, the Labour Court allowed the application and directed Respondent No. 1-Company to pay a sum ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ibunal insofar as the Debt Recovery Tribunal directs: It is being further ordered that in the case of default on the part of the Defendants in adhering to any of the terms and condition hereinabove stated, the certificate of recovery so issued, shall automatically be altered for the total applicant's claim as filed on July 2002 and the applicant being granted the liberty to appropriate the entire money lying with the present learned transferring Tribunal in O.A. No. 142 of 1998 after receiving the said sum from the learned Receiver and it is also being ordered that the learned Receiver is hereby being ordered to stand discharged.... E. To grant such other and further relief as the Hon'ble Court deems fit and proper in the interest of justice. 11. The Respondent Nos. 1 & 2, i.e., Company and the Indian Bank on entering their appearance in the SCA raised a preliminary objection before the writ court contending that the SCA filed by the Appellant-Union is not maintainable in the High Court of Gujarat at Ahmedabad inasmuch as no part of the cause of action in relation to the subject matter of the SCA has arisen in the State of Gujarat which entitled the Appellant-Union to fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... g heard the learned Counsel for the parties and on perusal of the record of the case, we are inclined to allow the appeal and while setting aside the impugned order of the Division Bench restore the order of the Single Judge. 21. In our considered opinion, the Division Bench erred in not noticing Article 226(2) of the Constitution of India while deciding the question arising in this case. 22. In other words, the question as to whether the Gujarat High Court has territorial jurisdiction to entertain the Appellant's petition (SCA) or not, should have been decided keeping in view the provisions of Article 226(2) of the Constitution read with Section 20 of the Code of Civil Procedure, 1908 (for short, "CPC"). 23. Article 226 of the Constitution and Section 20 of Code of Civil Procedure read as under: Article 226 of the Constitution 226. Power of High Courts to issue certain writs (1) Notwithstanding anything in Article 32 every High Court shall have powers, throughout the territories in relation to which it exercises jurisdiction, to issue to any person or authority, including in appropriate cases, any Government, within those territories directions, orders or writs, includin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the time of the commencement of the suit actually and voluntarily resides, or carries on business, or personally works for gain, provided that in such case either the leave of the Court is given, or the Defendants who do not reside, or carry on business, or personally work for gain, as aforesaid, acquiesce in such institution; or (c) the cause of action, wholly or in part, arises. Explanation-A corporation shall be deemed to carry on business at its sole or principal office in India or, in respect of any cause of action arising at any place where it has also a subordinate office, at such place. 24. Article 226(2) of the Constitution, in clear terms, empowers the High Court (let us say "A" High Court) to entertain the writ petition if the cause of action to file such writ petition against the Respondents of the said writ petition has arisen wholly or in part within the territorial jurisdiction of "A" High Court. 25. Clause (2) further empowers a High Court to issue any order, directions or writ as provided in Clause (1) of Article 226 of the Constitution in such writ petition notwithstanding that seat of such Government or the Authority or the residence of such person against wh ..... X X X X Extracts X X X X X X X X Extracts X X X X
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