Swamy Prakasananda
& ANR. Vs. State of Kerala & Ors. [2008] INSC 1314 (5 August 2008)
Judgment
Non-Reportable IN THE
SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL NO.486 OF 2003
Swamy Prakasananda & Anr. ... Appellants State of Kerala & Ors. ...
Respondents
ORDER R.
V.RAVEENDRAN, J.
The above appeal
relating to the affairs of Sree Narayana Dharma Sanghom Trust was disposed of
by judgment dated 2.5.2006.
By subsequent order
dated 26.2.2007 this Court had constituted a Monitoring Committee with eleven
members, to function as a Board of Visitors advising the Trust Board on matters
of policy and functioning, in particular :
(i) to act as a
vigilance organization to ensure that the affairs of the Sanghom are conducted
in a proper, efficient and fair manner;
(ii) to inspect
(either itself or by persons authorized) the educational or other institutions
run by the Sanghom and examine 2 their records and activities and cause any
inquiry to be made in regard to the administration and finances of the Sanghom
and its institutions;
(iii) to address the
Trust Board with reference to the result of such inspection or inquiry or seek
clarifications;
(iv) to tender advice
on matters of policy to the Trust Board (which shall give due weight and consideration
to such advice and communicate the particulars of action taken on such advice
to the Committee and to the General Body of the Sanghom);
This Court had also
clarified that (i) none of the members of the Monitoring Committee will be
entitled to any honorarium or fee other than reasonable expenses incurred for
lodging and conveyance from the Sanghom; (ii) the constitution of the
Monitoring Committee or its functioning shall not be construed as modification
of the scheme of management of the Sanghom; and (iii) the Monitoring Committee
will have no say in the day to day administration of the Sanghom by its elected
Trust Board.
2. The Monitoring
Committee has submitted the first Annual Report dated 18.4.2008, wherein it has
sought directions on its following suggestions :
(a) The Convenor
should be provided with an imprest amount of Rs.50,000 to meet the expenses for
arranging secretarial assistance.
3 (b) The Monitoring
Committee be given express authority to appoint experts to enquire into the
affairs connected with the administration of the Sanghom and its institutions.
(c) When any
irregularities or malpractices are found, or any enquiries held into the
affairs of the Sanghom or its institutions, the Monitoring Committee shall have
the authority to issue positive directions to be carried out by the Trust
Board, and in case of non- compliance with those directions, take appropriate
action to enforce such directions, in the best interest of the Trust.
3. Dr.
K.Balachandran, Member, Monitoring Committee has submitted a separate report
dated nil (received on 12.7.2008).
4. We have heard
learned counsel on both sides on 13.5.2008. We have also taken note of the fact
that the elections were held on 5.10.2006 and the newly elected Committee has
now been in office for nearly one year and ten months and has attained
sufficient experience in matters of governance; and that the Monitoring
Committee appointed on 26.2.2007 has been in office for nearly one year and six
months.
5. The intention of
appointing the Monitoring Committee was not to make it a superior authority to
which the elected Trust Board will report nor to entrust it with power to
reverse the decisions of the 4 elected Trust Board. The Monitoring Committee is
intended to act as a group of elders/visitors/mentors interested in the Sanghom
who will advise the Trust Board on matters of policy, conduct and vigilance. If
any irregularities in the functioning of any of the institutions or organs of
the Sanghom come to its notice, it will place the matter on record so that the
Trust Board could give due weight to it while taking decisions. The ultimate
decision-making will always be that of the elected Trust Board and not the
nominated Monitoring Committee. In the circumstances, we clarify that while the
Monitoring Committee may issue positive suggestions, it cannot enforce its
suggestions as directions. The very existence of a Monitoring Committee with
power to enquire, publish and expose any irregularities (to the Trust Board,
General Body and the public) is intended to be a deterrent against any wrong
doing. We cannot however authorize a non-elected advisory body like the
Monitoring Committee to reverse or control the decisions of the elected Trust
Board.
6. Having regard to
the fact that the elected Trust Board has now been functioning for a
considerable time with the guidance from the Monitoring Committee, it may no
longer be necessary to have such a 5 broad-based Monitoring Committee. We
accordingly reconstitute the Monitoring Committee into a more compact one with
the following seven members from the original eleven :
1. Mr. T N
Jayachandran, IAS (Retd.), Convenor
2. Mr. M N Prasad,
Former Chairman, Indian Railways
3. Prof. M K Sanoo,
Educationist
4. Mr. A M Gopalan,
Educationist
5. Mr. A.R.Shankar
Narayanan, G. M., Arya Vaidyasala
6. Mr. M N
Suganabalan, Senior Advocate 7. Mr. N Dharmadan, Senior Advocate.
Appreciation for
services rendered by the other members till now is placed on record. Their
services and/or the services of others may be indented in future, if and when
necessary.
7. We also issue the
following further directions/clarifications in regard to the functioning of the
Monitoring Committee :
(i) The Trust Board
shall make available an imprest amount of Rs.50,000/- to the Convenor of the
Monitoring Committee to meet the travel/lodging/miscellaneous/secretarial
expenses. The Trust Board shall replenish the same, as and when required.
(ii) The Monitoring
Committee can take the assistance of any Chartered Accountant or other expert
to assist it in any enquiry and expenses thereof shall be borne by the Trust
Board.
6 (iii) The
Monitoring Committee may continue its functions. But it will not be necessary
for the Monitoring Committee to file any further reports to this Court. If any
clarifications are required, the Trust Board or the Monitoring Committee or
individual members may approach the High Court of Kerala, by way of an
appropriate application in Appeal Suit No.14/1956 disposed of on 26.3.1959.
Copies of this order
be sent to the Trust Board and the Monitoring Committee.
.........................J.
(A K Mathur)
New
Delhi;
.........................J.
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