STATE OF MADHYA PRADESH vs SHANKER LAL & ORS.

The Supreme Court held that the Madhya Pradesh High Court erred in interpreting Section 94(7) of the Madhya Pradesh Municipalities Act, 1961, which allows the State Government to transfer any officer or servant of a council, not just those specifically enumerated in subsections (1) and (2). The Court clarified that the term 'any officer or servant' includes all employees appointed under the Act, thereby affirming the State Government's authority to transfer the respondents. The appeals were allowed, reversing the High Court's decision.