JESTAMANI GULABRAI DHOLKIA AND OTHERS vs THE SCINDIA STEAM NAVIGATION COMPANY, BOMBAY AND OTHERS

The Supreme Court interpreted Section 20(1) of the Air Corporations Act, 1953, affirming that it applies to employees loaned to existing air companies, not just direct recruits. The Court established that employees who were working under the Air Services of India Limited on the appointed day, despite being loaned from another company, were considered employees of the Corporation and thus lost rights against their original employers. The appeal was dismissed, confirming the applicability of the Act to the appellants' situation.