PUNJAB STATE WAREHOUSING CORPN.CHANDIGAR vs MANMOHAN SINGH

The Supreme Court addressed the validity of a scheme formulated by the State of Punjab for the regularization of employees, specifically questioning whether it applied to contract employees. The Court held that the scheme, established via a circular and not in accordance with Article 162 of the Constitution, could not be extended to public sector undertakings without proper statutory authority. Consequently, the Court ruled that the respondent's claim for regularization under the scheme was invalid, leading to the dismissal of the appeal against the High Court's decision that favored the respondent.