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SUPREME COURT SAYS WRIT NOT MAINTAINABLE AGAINST AIR INDIA LIMITED

Recently Supreme Court dismissed an appeal challenging the order passed by Bombay High Court dismissing the writ petitions filed by erstwhile employees of Air India Limited, observing that since the Air India Limited after its transfer being a govt. entity is dispensing the functions being a private company, hence not amenable to the ambit of writ jurisdiction.

Brief facts


The appellants were working with Air India. Post retirement they filed a writ petition with respect to stagnation and non -promotion to the employees alleging violation of Articles 14, 16 and 21 of the Constitution of India. It was observed that at the time of filing the writ petitions before the Bombay High Court, Air India being Govt entity came within the purview of State defined under Article 12 of the Constitution. In light of the same the writ petitions filed were initially found to be maintainable.

However, in the year 2021, during the pendency of writ petition, bid of Talace India Private Limited to purchase 100% equity shares was accepted by the Govt. of India. As a result, Air India Limited became a private entity.

Thereafter, it was pleaded on behalf of Air India that since it is no longer a State entity under Article 12 of the Constitution, therefore, the writ petition is not maintainable. Allowing the same, the Bombay High Court, dismissed the writ petition, preferred by the appellants herein being the erstwhile employees.

ISSUE 

Now the question before Supreme Court in the present appeal was whether a writ petition which was maintainable at the time of its institution be continued even after change of its status i.e. from govt. to private entity, during the pendency of the writ petition ?  


Supreme Court after referring judgments of Kalpana Yogesh Dhagat 2016 SCC & other similar judgments, observed that once there is disinvestment and an entity becomes a private one, then it becomes immune from the jurisdiction of writ under 226 of the Indian Constitution. 

Applying the said ratio, Supreme observed that there is no dispute to the factum that M/s Talace India Pvt Limited have purchased 100% equity shares from the govt. , post which the Govt. has no administrative control over Air India and it comes out of the defination of State.

CONCLUSION 

Hence, Supreme Court was pleased to dismiss the appeal filed by erstwhile employees. It was also noted that since the Division Bench has given liberty to the appellants to approach the appropriate forum, hence the impugned order requires no interference.


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