Chandra Nath Jha & Ors vs State Of Bihar & Ors

The Supreme Court held that the liability of the State Government for employees of the R.B.T.S. Homeopathic Medical College and Hospital arises from the date of takeover, specifically from 1.4.1981, as per the Notification dated 29.1.1981 issued by the Health Department, Government of Bihar. The Court directed that employees who received payments from the State should not have those amounts recovered, while others would be entitled to different pay scales only from the takeover date. The appeals were disposed of with these directions, and parties were instructed to bear their own costs.