MINERVA MILLS LTD. & ORS. ETC. ETC. versus UNION OF INDIA & ORS.

MINERVA MILLS LTD. & ORS. ETC. ETC. versus UNION OF INDIA & ORS.

The Sick Textile Undertakings (Nationalisation) Act, 1974 is constitutionally valid as it falls within the protective ambit of Article 31C, and the order under section 18A of the Industrial (Development and Regulation) Act, 1951 was validly passed based on investigation findings of mismanagement. Non-supply of the investigation report did not occasion failure of natural justice, as the company had opportunity to make representations against the takeover. Vacant land within the mill compound forms part of the undertaking under section 4(1) of the Nationalisation Act.

Parties
Petitioner: Minerva Mills Ltd.; Respondent: Union of India
Jurisdiction
India
Judgment Date
09 September 1986
Procedural Posture
Writ Petition / Final Judgment
Outcome
Writ petitions dismissed.
Legal Topics
Nationalisation, Natural Justice, Industrial Undertakings, Sick Textile Undertakings, Vesting of Property
Constitutional Law Administrative Law Industrial Law Nationalisation Natural Justice Industrial Undertakings Sick Textile Undertakings Vesting of Property

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Parties

Minerva Mills Ltd.

Petitioner

Union of India

Respondent

Procedural Posture

Writ Petition / Final Judgment

Legal Issues

  1. 1 Legality of order under section 18A of Industrial (Development and Regulation) Act, 1951
  2. 2 Constitutional validity of Sick Textile Undertakings (Nationalisation) Act, 1974
  3. 3 Violation of principles of natural justice due to non-supply of Investigation Committee report

Ratio Decidendi

The Sick Textile Undertakings (Nationalisation) Act, 1974 is constitutionally valid as it falls within the protective ambit of Article 31C, and the order under section 18A of the Industrial (Development and Regulation) Act, 1951 was validly passed based on investigation findings of mismanagement. Non-supply of the investigation report did not occasion failure of natural justice, as the company had opportunity to make representations against the takeover. Vacant land within the mill compound forms part of the undertaking under section 4(1) of the Nationalisation Act.

Court Disposition

Writ petitions dismissed.

Orders

  • No order as to costs.