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1961 DIGILAW 210 (KER)

Supdt Erumeli Estate v. Industrial Tribunal Alleppey

1961-07-14

C.A.VAIDIALINGAM

body1961
JUDGMENT C.A. Vaidialingam, J. 1. In this writ proceeding, Mr. K. P. Abraham, learned counsel for the writ petitioner, challenges the award of the Industrial Tribunal, Alleppey in Industrial Dispute No. 48 of 1958. In particular, the learned counsel attacks the jurisdiction of the Tribunal to embark upon an enquiry, which is the subject matter of issue No. 1; and there are also attacks made on the findings recorded under issues Nos. 6 and 7. The other questions decided under the various issues other than these issues do not arise for decision by this court. 2. Before I go into the merits of the attack relating to the findings recorded on issues 1, 6 and 7, I will deal with a general attack made by Mr. K. P. Abraham, learned counsel, based upon the provisions of S.17 of the Industrial Disputes Act. That is, according to the learned counsel, the award has not been published by the State Government within the period mentioned in sub-s.(1) of S.17 of the Act. The award itself is dated 25-6-60 and it is seen from Ext. P. 1 that the award has been received by the State Government on 29-6-60. Under the provision of sub-s.(1) of S.17, it is provided that the award is to be published in such manner as the Government may think fit within a period of 30 days from the date of its receipt. Therefore, the State Government should have published it within 30 days of the receipt by it, namely, 29-7-1960. But actually it is seen that the award was published only in the State Gazette dated 2nd August 1960. Therefore, the contention of Mr. K. P. Abraham, learned counsel, is inasmuch as there has been a violation of the provisions of sub-s.(1) of S.17, which, according to him, is mandatory, the result will be that the award itself is void and therefore no action can be taken on the basis of this award. 3. This contention could very well have been avoided, to say frankly, if the State Government had been a little more diligent and had published the award, as they could have done and as they are ordinarily bound to do, within the time mentioned in sub-s.(1) of S.17. But the question is whether the non publication of the award within the period mentioned in S.17(1) really invalidates the award itself. 4. But the question is whether the non publication of the award within the period mentioned in S.17(1) really invalidates the award itself. 4. The learned Government Pleader appearing for the State has urged that notwithstanding the use of the expression "shall" in sub-s.(1) of S.17 and notwithstanding the further direction about the publication within a particular time mentioned therein, the award cannot be considered to be either void or illegal because, according to him, these provisions are mere directory and not certainly mandatory. The use of the word "shall" by itself, it has been held in several decisions of the Supreme Court itself including the recent decision in State of U.P. v. Babu Ram (AIR 1961 Supreme Court 951), is not conclusive. Therefore, the court will have to consider the general scheme of the Act, as well as the result that will follow from placing a construction one way or other regarding the use of the expression 'shall' on the provision made in sub-s.(1) of S.17. 5. After considering the contentions of Mr. K. P. Abraham and those of the learned Government Pleader, I am not inclined to accept the contention of the learned counsel for the petitioner that the mere non publication within the time mentioned in sub-s.(1) of S.17 invalidates the award itself. There is nothing in the Act itself to indicate that a publication contrary to the provisions of sub-s.(1) will go to the root of the award itself or will make the award illegal or void. In order to bring into operation the further provisions of sub-s.2 of S.17 and the provisions of S.17(A) it is highly desirable that the award is published within the time mentioned in S.17(1) because it is only on such publication that it becomes final under sub-s.(2) and it becomes enforcible under S.17A after the expiry of 30 days from the date of its publication under S.17(1). Excepting that a slight delay, in publishing the award under S.17(1) results in postponing its finality under S.17(2) or its becoming enforcible under S.17(A), no other consequence flow from the delay and therefore, in my view, the provisions of sub-s.(1) of S.17 should be considered only to be merely directory and not certainly mandatory. In this view, the first general contention of Mr. K. P. Abraham has to be rejected. 6. In this view, the first general contention of Mr. K. P. Abraham has to be rejected. 6. The other contentions, as I mentioned earlier, are really based upon the findings recorded under issues 1, 6 and 7. Issue No. 1 related to "payment of wages for a certain number of days in March, June, July and August 1957." There is a subsidiary contention regarding the rinding recorded under issue No. 1 and it is based really upon the provisions of S.2(k) read with S.25 of the Industrial Disputes Act. That is, according to the learned counsel even assuming there has been a refusal to give employment for the periods in question, it will amount at the most only to this, that the employer will be bound to pay compensation on the basis that there has been a lay off. In this case, it is also the contention of Mr. K. P. Abraham, that the union itself insisted only a compensation being paid on this basis. Therefore, Mr. Abraham alternatively urged under this head of attack, that in any event, the Tribunal erred in awarding full wages for all these days during the months in question instead of fixing compensation on the basis of a lay off. At this stage I may mention that in the view that I take about Mr. Abraham's contention on issue No. 1 a consideration of this question may not become necessary. But even otherwise, if it becomes necessary, I am not inclined to accept his contention for this reason. The plea that was advanced before the Tribunal by the management was not that the employees will be entitled, if at all, to compensation under S.25 of the Industrial Disputes Act but a more specific case was pleaded, namely, that during the days when there was no work due to the rainy weather the employer offered alternative employment to the workmen which was not accepted. That contention, according to the Tribunal, the employer has not been able to prove. Therefore, if I am not accepting the main contention of Mr. Abraham on issue No. 1 the subsidiary contention will stand rejected and the award will have to be confirmed in that respect also. 7. The main ground of attack urged by Mr. That contention, according to the Tribunal, the employer has not been able to prove. Therefore, if I am not accepting the main contention of Mr. Abraham on issue No. 1 the subsidiary contention will stand rejected and the award will have to be confirmed in that respect also. 7. The main ground of attack urged by Mr. Abraham is that the Industrial Tribunal had no jurisdiction to enquire into this matter covered by issue No. 1 and pass an award inasmuch as there has been a conciliation settlement between the members represented by one of the Unions, namely, the High Range Estate Employees Association, on this matter. In that settlement proceeding, the said association has not pressed its right to claim wages for this particular period covered by issue No. 1. Therefore, Mr. Abraham urged that the conciliation agreement entered into by the management with one of the unions which consists of some of the tappers and factory workers of this estate, will nevertheless be binding on the present union also which has raked up the matter, namely, The Akhila Kerala Plantation Labour Union also. 8. In order to appreciate this contention of Mr. K. P. Abraham, certain facts will have to be stated. There is no controversy that in this estate there are three unions functioning, namely, (1) the High Range Estate Employees Association, (2) The Thirucochi Thottarn Thozhilali Union, and (3) The Akhila Kerala Plantation Labour Union. There is also no dispute that all the tappers and factory workers employed in this estate are members of one or the other of these three unions. It is the case of Mr. K. P. Abraham that when several other questions including the question of payment of wages for the periods covered by issue No. 1 was raised by the High Range Estate Employees Association, there was a conciliation proceeding and in the conciliation proceeding there was an agreement arrived at by the management and the said union in and by which the said union, so far as this claim is concerned, agreed not to press the same. Therefore, Mr. K. P. Abraham urges that the Tribunal in this case has no jurisdiction to consider the matter again. In support of this contention Mr. Abraham drew my attention to the recent decision of the Supreme Court reported in Ramnagar Cane and Sugar Co. Therefore, Mr. K. P. Abraham urges that the Tribunal in this case has no jurisdiction to consider the matter again. In support of this contention Mr. Abraham drew my attention to the recent decision of the Supreme Court reported in Ramnagar Cane and Sugar Co. v. Jatin (AIR 1960 S. C. 1012) and he also urged that the decision of the Industrial Tribunal at Madras reported in Tricky District Motor Workers' Union and others v. T. S. T. Company (1960-1 L. L. J. 665) and relied upon by the Industrial Tribunal in this case is not correct in view of the Supreme Court decision adverted to earlier. I will advert to the decision of the Supreme Court presently. 9. The learned Government Pleader appearing for the State and Mr. M. P. Menon, learned counsel appearing for the Union, in view of this decision of the Supreme Court, found considerable difficulty in supporting the award relating at any rate to issue No. 1. But the learned Government Pleader urged that the question as to whether the conciliation settlement pleaded in this case can be considered to be a settlement as defined under the provisions of this Act has not been gone into by the Tribunal. Mr. M. P. Menon, on the other hand, adopted a different line of approach, namely, that even assuming there has been an agreement between the High Range Estate Employees Association and the management which included also giving up the wages for the particular period in question, that agreement, according to him, will be void under the provisions of the Minimum Wages Act and that aspect, though not adverted to by the Tribunal, can be taken into account by this Court to uphold the award. 10. I have no hesitation in rejecting the contention raised by both the Government Pleader as well as Mr. M. P. Menon. That settlement stated to have been effected between the High Range Estate Employees Association and the management in this case, apart from containing the signature of the parties is also signed by the Assistant Labour Officer. The question raised by the learned Government Pleader as to whether the Assistant Labour Officer is a person competent to effect conciliation is a matter which does not appear to have been in controversy before the Tribunal. Again, the contention raised by Mr. The question raised by the learned Government Pleader as to whether the Assistant Labour Officer is a person competent to effect conciliation is a matter which does not appear to have been in controversy before the Tribunal. Again, the contention raised by Mr. M. P. Menon that the conciliation should be considered to be void because of the provisions of the Minimum Wages Act does not also appear to have been raised before the Tribunal. Therefore, I will have to proceed on the basis that parties assumed that there has been a conciliation settlement entered into between the management and the High Range Estate Employees Association. 11. Therefore, the question will be what is the effect of the conciliation settlement entered into, no doubt between only the High Range Estate Employees Association and the Management, regarding the contention now urged by the Akhila Kerala Plantation Labour Union which was not a direct party to the settlement proceedings. That is a pure question of law. 12. The grounds on which the Tribunal has attempted to get over the effect of the settlement are: (1) the High Range Estate Employees Union had made the demand only subsequent to the demand made by the present Union. This reasoning does not at all appeal to me and it has absolutely no relevancy to the question to be considered. (2) in the conciliation conference that preceded the settlement the workers represented by the Akhila Kerala Plantation Labour Union were not present. (As a statement of fact this is correct. What is the effect in law has not been appreciated by the Tribunal and it will be considered by me presently); (3) the third reason given by the Tribunal is that the Akhila Kerala Plantation Labour Union was not a party to the aforesaid settlement. This is practically a subsidiary reason given under heading No. 2. That is, reasons (2) and (3) are to the effect that The Akhila Kerala Plantation Labour Union was not present before the Conciliation Officer and was not a party to the agreement entered into by the management with the High Range Estate Employees Union. Therefore, the legal effect of the Akhila Kerala Plantation Labour Union not appearing before the conciliation officer or the fact that it is not a party to the conciliation agreement will have to be considered by me. 13. Therefore, the legal effect of the Akhila Kerala Plantation Labour Union not appearing before the conciliation officer or the fact that it is not a party to the conciliation agreement will have to be considered by me. 13. No doubt, the Industrial Tribunal refers to a decision of Mr. Ramaswami Gounder as Industrial Tribunal in Madras whose award is reported in Tricky District Motor Workers' Union and Others v. T. S. T. Company (1960 1 L. L. J. 665). In view of the Supreme Court decision, to which I am going to make a reference, it is really unnecessary for me to refer to the decision of the Madras Industrial Tribunal. No doubt, the reasoning contained in the decision of Mr. Ramaswami Gounder does support the view adopted by the Tribunal in this case that the effect of the Akhila Kerala Plantation Labour Union not being a party to the conciliation proceedings is that the conciliation proceedings will not bind the association also. It is not really necessary for me to consider the reasons given by Mr. Ramaswami Gounder and I should say that those reasons should be stated to be incorrect in view of the principles laid down by the decision of the Supreme Court in Ramnagar Cane and Sugar Co. v. Jatin (AIR 1960 S. C. 1012). 14. I may immediately consider the decision of their Lordships of the Supreme Court in Ramnagar Cane and Sugar Co. v. Jatin (AIR 1960 S. C. 1012). No doubt, the question that arose before their Lordships was as to whether a particular set of workers who went on strike can be considered to have gone on stike when the conciliation proceedings were pending. If they had struck work when the conciliation proceedings were pending they will certainly be guilty of going on an illegal strike under the provisions of S.24 of the Industrial Disputes Act read with S.22 or S.23. In order to exactly appreciate the scope of the decision of their Lordships the circumstances under which the matter came before their Lordships will have to be stated. In the Ramnagar Cane and Sugar Co. In order to exactly appreciate the scope of the decision of their Lordships the circumstances under which the matter came before their Lordships will have to be stated. In the Ramnagar Cane and Sugar Co. which is the management in that case there were two unions functioning, namely the Ramnagar Cane and Sugar Company Employees' Union, which is described by the learned Judges as the Employees' Union and another set of workmen belonging to a rival union called the Ramnagar Sugar Mills Workers' Union called the Workers' Union and I will also use the same expressions when describing those Unions in this judgment. 15. The worker's Union appears to have presented a charter of demands to the management on 9th December 1953. The Employees' Union again made a charter of demands on January 20, 1954. On the same day, i. e., 20-1-1954 the Workers' Union served a notice on the management in that case, of strike. On the 1st February 1954 a meeting was held by the conciliation officer which was attended by the management and the Employees' Union alone though notice had been served also on the Workers' Union. Subsequently, the management appears to have suggested to the conciliation officer that it may be desirable to discuss the subject of the dispute separately with the representatives of the two Unions. But it is seen that the Workers' Union did not agree to the suggestion and as such they proceeded on the basis that the conciliation proceedings had failed. Consequently, on 3-2-1954, the conciliation officer sent a report under S.12, sub-s.(4) of the Act about the failure of conciliation with the Workers' Union only. Notwithstanding this report, the proceedings by way of conciliation with the Employees Union and the management continued and on 25-2-54 the management and the Employees' Union in that case arrived at a settlement which was recorded in due form by way of an agreement. In the meanwhile, that is, on 13-2-1954, the Workers' Union commenced a strike. It was this strike which, according to the management was illegal. Naturally action was sought to be taken under S.11 of the provisions of the West Bengal Security Act. Therefore, the question that had to be considered was as to whether when the members of the Workers' Union commenced a strike on 13-2-1954, the strike was pending conciliation proceedings. It was this strike which, according to the management was illegal. Naturally action was sought to be taken under S.11 of the provisions of the West Bengal Security Act. Therefore, the question that had to be considered was as to whether when the members of the Workers' Union commenced a strike on 13-2-1954, the strike was pending conciliation proceedings. The contention on behalf of the Workers' Union was that inasmuch as they had already withdrawn from the conciliation proceedings from 3-2-1954 they were not parties to any further conciliation proceedings and therefore when they went on strike there were no conciliation proceedings pending and in consequence the strike itself is not illegal. This contention found favour both with the Magistrate as well as the High Court at Calcutta. But by special leave the matter was taken to the Supreme Court by the management. It is in considering this question that their Lordships had to advert to the scheme of the Industrial Disputes Act and in particular to the provisions of S.18 of the Act. In this case, the contention of Mr. K. P. Abraham is that a conciliation settlement, no doubt, entered into by the High Range Estate Employees' Union with the management will, nevertheless be binding on the Union which has taken up the cause by virtue of clause (d) of sub-section 3 of S.18 of the Industrial Disputes Act. The matter, if I may say so with great respect, has been put pointedly by Mr. Justice Gajendragadkar delivering judgment on behalf of the Court. Regarding the scope of S.18, at page 1015, the learned Judge observes : "It is now well settled that an industrial dispute can be raised in regard to any matter only when it is sponsored by a body of workmen acting through a Union or otherwise. When an indstrial dispute is thus raised and is decided either by settlement or by an award the scope and effect of its operation is prescribed by S. 18 of the Act. S.18(1) provides that a settlement arrived at by agreement between the employer and the workman otherwise than in the course of conciliation proceeding shall be binding on the parties to the agreement; whereas S.18(3) provides that a settlement arrived at in the course of conciliation proceedings which has become enforceable shall be binding on all the parties specified in cls. S.18(1) provides that a settlement arrived at by agreement between the employer and the workman otherwise than in the course of conciliation proceeding shall be binding on the parties to the agreement; whereas S.18(3) provides that a settlement arrived at in the course of conciliation proceedings which has become enforceable shall be binding on all the parties specified in cls. (a), (b), (c) and (d) of sub-s.3. S.18(3)(d) makes it clear that where a party referred to in cl. (a) or (b) is composed of workmen, all persons who wore employed in the establishment or part of the establishment as the case may be, to which the dispute relates on the date of the dispute and all persons who subsequently became employed in that establishment or part, would be bound by the settlement. In other words, there can be no doubt that the settlement arrived at between the appeal ant and the Employees' Union during the course of conciliation proceedings on 25-2-1954, would bind not only the members of the said Union but all workmen employed in the establishments of the appellant at that date. That inevitably means that the respondents would be bound by the said settlement even though they may belong to the rival Union. In order to bind the workmen it is not necessary to show that the said workmen belong to the Union which was a party to the dispute before the conciliation. The whole policy of S.18 appears to be to give an extended operation to the settlement arrived at in the course of conciliation proceedings, and that is the object with which the four categories of persons bound by such settlement are specified in S. 18, sub-sec. (3). In this connection we may refer to two recent decisions of this Court where similar questions under S.19(6) and S.33(1) (a) of the Act have been considered. (3). In this connection we may refer to two recent decisions of this Court where similar questions under S.19(6) and S.33(1) (a) of the Act have been considered. Vide Associated Cement Companies Ltd., Porbander v. Their Workmen, Civil Appeal No. 404 of 1958 dated 3-3-1960 ( AIR 1960 SC 777 ) and M/s. New India Motors (P) Ltd. v. K. T. Morries, Civil Appeal No. 124 of 1950/D- 22-3-1960 ( AIR 1960 SC 875 )." Therefore it will be seen from the extract quoted above that according to their Lordships, in order that a conciliation agreement may bind the workmen it is not really necessary to say that the said workmen belonged to a union which was actually a party to the dispute before the conciliator and it is the further view of their Lordships that the whole policy of S.18 is to give an extended operation to the settlement arrived at in the case of conciliation proceedings and that is the object with which the four categories bound by the settlement are specified in sub-s.3 of S.18. Again, the learned Judges at page 1015 observe: "In our opinion, this construction would be consistent with the specific provisions as to the effect of conciliation settlements prescribed by S. 18(3)(d) and is harmonious with the general policy, of the Act; otherwise, it will unnecessarily disturb industrial peace, if one union employed in a public utility service is allowed to go on strike even though demands common to the members of the said union as well as the rest of the workmen are being considered in conciliation proceedings between the said employer and his other employees represented by another Union." Therefore, it will follow that the fact that the Akhila Kerala Plantation Labour Union was not a party to the conciliation agreement entered into between the management and the High Range Estate Employees' Association will not in any way make the conciliation agreement not binding on this Labour Union as such. It will also follow that according to the principles laid down by the Supreme Court that a conciliation agreement in respect of common matters pertaining to the employees of the establishment though settled between one Union and the management will be binding on all other Unions in which the class of employees are more or less the same. It will also follow that according to the principles laid down by the Supreme Court that a conciliation agreement in respect of common matters pertaining to the employees of the establishment though settled between one Union and the management will be binding on all other Unions in which the class of employees are more or less the same. Therefore, the various reasons given by the Industrial Tribunal in this case for coming to the conclusion that the conciliation agreement is not binding on the Akhila Kerala Plantation Labour Union fall to the ground and hence I have to hold that the award of the Industrial Tribunal regarding issue No. 1 cannot be sustained. Therefore Mr. K. P. Abraham's contention in this regard will have to be accepted. 16. The further attack that is made by Mr. K. P. Abraham, as I mentioned earlier, is on the findings recorded by the Tribunal on issues 6 and 7. Issue No. 6 related to payment of gratuity to the dependents of deceased workmen and issue No. 7 related to payment of gratuity to the aged and disabled workmen. It is really unnecessary for me to reiterate what exactly is the principle underlying the provision being made for gratuity and framing of schemes of gratuity because those matters have been already considered by their Lordships of the Supreme Court in earlier cases. After referring to all these decisions I have also considered this matter in O. P. No. 245 of 1958. It has to be borne in mind that the true character of gratuity, though it was treated as a payment gratuitously made by an employer at his pleasure, is now at any rate as a result of a long series of decisions that term has now come to be regarded as an allotment claim which the workmen can make and in proper cases can even give rise to an industrial dispute. It must also be remembered that gratuity is paid to a workman after retirement whether the retirement is due to superannuation or physical disability. Having due regard to the various principles referred to above, the question is when the Industrial Tribunal framed the scheme for gratuity under these two different heads it has acted in any way illegally or without jurisdiction. 17. Mr. Having due regard to the various principles referred to above, the question is when the Industrial Tribunal framed the scheme for gratuity under these two different heads it has acted in any way illegally or without jurisdiction. 17. Mr. K. P. Abraham urged that the jurisdiction of the Industrial Tribunal is very much limited and that should be found in the terms of reference made to the Tribunal by the order of the Government. In this case, Mr. K. P. Abraham stated that the issue that is referred is regarding gratuity to the dependents of deceased workmen. That expression "dependents of deceased workmen", according to Mr. K. P. Abraham, must really have relation to the definition of the "dependents" found in the Workmen's Compensation Act. Although that was the specific issue raised, Mr. K. P. Abraham urged that the scheme that is framed by the Tribunal goes far beyond the terms of reference and directs payment of gratuity to the heirs, executors or nominees. It is not possible for me to accept this contention of Mr. K. P. Abraham. Whatever may be the definition of the expression "dependent" in the Workmens Compensation Act, 1923, that in my opinion, has no relevancy when considering the terms of reference under issue No. 6. In my opinion, what is intended is a general provision of gratuity for the heirs of the deceased workmen and that is what exactly has been provided for in clause (1) of the scheme framed by the Industrial Tribunal as such. 18. The further contention of Mr. K. P. Abraham is that issue No. 7 again limits the jurisdiction of the Tribunal to consider the question of payment of gratuity to the aged and disabled workmen whereas according to Mr. K. P. Abraham, here the Tribunal has committed an illegality in framing a general scheme for gratuity not to aged and disabled workmen alone but really to all the workmen concerned. Even here I am not inclined to accept the contention of Mr. K. P. Abraham. Both issues 6 and 7, in my view, raise the general question of gratuity payable to workmen of this concern though, no doubt, the expression "aged and disabled workmen" or the expression "dependents of deceased workmen" is used in Issue No. 7 and Issue No. 6 respectively. K. P. Abraham. Both issues 6 and 7, in my view, raise the general question of gratuity payable to workmen of this concern though, no doubt, the expression "aged and disabled workmen" or the expression "dependents of deceased workmen" is used in Issue No. 7 and Issue No. 6 respectively. But that, in my view, does not really take away the jurisdiction of the Industrial Tribunal especially when it has to deal with a provision being made for gratuity as such. No doubt, Mr. K. P. Abraham, placed before me certain decisions to show that the jurisdiction will not extend to such matters under S.10(4) of the Industrial Disputes Act, I am not inclined to accept this contention either. In fact, when a similar contention was urged before me, in O. P. No. 245 of 1958 I was not there also inclined to accept that contention and in my view in the circumstances of this case been referred, the Tribunal has certainly got jurisdiction to frame a proper scheme having due regard to the financial condition of the employer. In this case, it has adverted to the financial capacity of the employer and it is only after a consideration of the relevant materials placed before it that it has ultimately framed a scheme which, in my view, is not only necessary but highly desirable also to prevent any possible friction between an employer and the employees. 19. No doubt, Mr. K. P. Abraham made some attack against the particular clauses in the scheme also. The only clause which I thought requires some modification is clause 6 which related to gratuity being payable to any workman who is dismissed for misconduct involving financial loss to the Estate. But the Supreme Court in its decision rendered in Garment Cleaning Works v. Its Workers (1961 (1) L. L. J. 513) had to consider the scope of a clause where in it was provided that if the workman is dismissed or discharged for misconduct causing financial loss gratuity to the extent of the loss should not be paid to the workman concerned. In considering that clause the learned Judges observe : "If gratuity is earned by an employee for long and meritorious service, it is difficult to understand why the benefit thus earned by long and meritorious service should not be available to the employee and even though at the end of such service he may have been found guilty of misconduct which enables his dismissal". Their Lorships further reiterate the position that gratuity is not paid to the employee gratuitously and it is paid to him for the service rendered by him to the empolyer, and when it is once earned it is difficult for their Lordships to understand why it should necessarily be denied to him, whatever may be the nature of misconduct for his dismissal. In view of this decision referred to above, any interference with clause 6 in this case as it stands does not also become necessary. 20. In the result, the writ petition is allowed to this extent, namely, the award of the Industrial Tribunal Ext. P. 1 in so for as it relates to the findings recorded or directions given in respect of issue No. 1 will stand quashed and cancelled. In all other respects the writ petition fails and parties will bear their own costs.