Supreme Court of India · 1978-02-21
MADAN MOHAN PATHAK vs UNION OF INDIA & ORS. ETC.
- Citation / case number
- SC 1976/61013
- Court
- Supreme Court of India
- Petitioner
- MADAN MOHAN PATHAK
- Respondent
- UNION OF INDIA & ORS. ETC.
- Bench
- BEG, M. HAMEEDULLAH (CJ),CHANDRACHUD, Y.V.,BHAGWATI, P.N.,KRISHNAIYER, V.R. & DESAI, D.A.,FAZALALI, S.M. & SHINGAL, P.N.
Judgment text excerpt
The Supreme Court examined the validity of the Life Insurance Corporation (Modification of Settlement) Act, 1976, particularly in relation to the bonus payable to Class III and Class IV employees under the settlement dated January 24, 1974. The Court held that the Act, which effectively absolved the Corporation from its obligation to pay the bonus as per the Writ of Mandamus issued by the High Court, amounted to a compulsory acquisition of property without compensation, violating Article 31 of the Constitution. Consequently, the Court ruled that the Act was unconstitutional and upheld the employees' right to the bonus as per the settlement.