BALIRAM YADAV v. THE JHARKHAND MINERAL AREA DEVELOPMENT AUTHORITY
WPC/2349/2022 · 2026-04-17
Deepak Roshan
body2026
DailyLaw.ai
[ 2026 DAILYLAW 14640 (JHR) · dailylaw.ai ]
DailyLaw.ai
[ 2026 DAILYLAW 14640 (JHR) · dailylaw.ai ]
Judgment text
Extracted from the PDF above. The PDF is authoritative.
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IN THE HIGH COURT OF JHARKHAND AT RANCHI
W.P.(S) No. 479 of 2020
1. Dinesh Prasad Singh, S/o Late Pashupati Nath Singh, aged about 65 years, superannuated as PA to Managing Director, MADA, R/o MADA Colony, Hirapur PO & PS Dhanbad, District Dhanbad (Jharkhand). 2. Dr. Satyendra Kumar Singh, S/o Late Buleshwar Singh, aged about 64 years, superannuated as Chief Medical Officer, MADA, R/o MADA Co-operative Colony Bhelatar, Barwarda PO & PS Barwarda, District: Dhanbad (Jharkhand)
3. Chandraodaya Prasad Singh, S/o Late Madar Singh, aged about 68 years, superannuated as Care Taker, R/o Village Baradi, P.O & PS Bhadbar, District Buxar (Bihar) at present MADA colony, Hirapur P.O & P.S Dhanbad, District:-Dhanbad, (Jharkhand). 4. Chandrakumud Tripathi, S/o Late Shrinath Tripathi, aged about 70 years, superannuated as Office Assistant, R/o MADA Co-Operative Colony, PO & P.S Bhelatar District: Dhanbad (Jharkhand). 5. Radhakrishna Prasad Singh, S/o. Late Raghunandan Singh, aged about 65 years, superannuated as Senior Office Assistant, R/o Qtr. No. B/39, MADA Colony, Hirapur, PO & P.S. Dhanbad, District: Dhanbad (Jharkhand). 6. Amrendra Kumar, S/o Late Shyamsundar Sahu, aged about 64 years, superannuated as Office Assistant, R/o Qtr. No A/6, MADA Colony, Hirapur, Harimandir, PO & PS Dhanbad, District: Dhanbad (Jharkhand). 7. Bipin Kumar Sinha, S/o. Late K.P. Lal, aged about 61 years, superannuated as Office Assistant, R/o Qtr. No. B/27 MADA Colony, PO & PS Dhanbad, District Dhanbad (Jharkhand)
8. Smt. Savitri Devi, W/o. Late Lalan Prasad, aged about 60 years, (deceased husband superannuated as meth), R/o Pathracolly, PO & P.S. Dhanbad, District: Dhanbad, State: Jharkhand. 9. Abdul Quyum Ansari, S/o Late Abdul Razak, aged about 61 years, superannuated as Filter Operator, R/o Topchanchi, PO & PS Topchanchi, District Dhanbad (Jharkhand)
10. Raisa Khanam, W/o. Late Riyazul Hassan Khan, aged about 72 years, (deceased husband superannuated as Head Assistant), R/o Basheria, P.O Konwai P.S Panki, District Palamu (Jharkhand)
11. Udai Kumar, S/o Shri R.N. Prasad, aged about 65 years, superannuated as Office Assistant, R/o Qtr No. D/10, MADA Colony, Hirapur, District Dhanbad (Jharkhand)
12. Satyanarayan Prasad, S/o. Late Kashi Nath Gupta, aged about 68 years, superannuated as Care Taker, resident of: Near Raj Academy,
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Dhahiya Khatal, Bhawardah, P.O. P. S. and Dist: Dhanbad, State: Jharkhand. 13. Pramod Kumar Sinha, S/o Late Saryug Prasad Sinha, aged about 68 years, superannuated as Personnel Officer, R/o Flat no.
4/C Kuco Apartment, Bharti Enclave, Namkom Road, PO & PS Doranda, District Ranchi (Jharkhand). 14. Thakur Das Mahto, S/o. Late Jyoti Mahto, aged about 69 years, resident of Bhawardaha, PO. Dumdumi, P.S Topchanchi, Dist: Dhanbad, State: Jharkhand. 15. Ghanshyam Mahto, S/o. Ganesh Mahto, aged about 63 years, superannuated as Khalasi, resident of: Village Narkuppi, P.O. Topchanchi, Dist: Dhanbad, State: Jharkhand
... … Petitioner(s)
Versus
1. State of Jharkhand through its Chief Secretary, Project Building, PO & P.S.: Dhurwa, District: Ranchi, State: Jharkhand. 2. Secretary, Urban Development & Housing Department, Government of Jharkhand, Project Building, PO & PS: Dhurwa, Dist. Ranchi, State: Jharkhand. 3. Jharkhand Mineral Area Development Authority (JMADA), Luby Circular Road, Hirapur, PO & PS Dhanbad, District: Dhanbad (Jharkhand). 4. Managing Director, Jharkhand Mineral Area Development Authority, Luby Circular Road, Hirapur, PO & PS Dhanbad District Dhanbad, (Jharkhand). 5. Secretary, Jharkhand Mineral Area Development Authority, Luby Circular Road, Hirapur, PO & PS Dhanbad, District Dhanbad. (Jharkhand). 6. Accounts Officer, Jharkhand Mineral Area Development Authority, Luby Circular Road, Hirapur, P.O & P.S. Dhanbad, District: Dhanbad (Jharkhand). ... … Respondent(s)
With
W.P.(S) No. 3852 of 2020
1. Pravin Kumar, aged about 67 years, S/o late Muneshwar Tiwari, R/o Putki New Colony Loyabad, Near Thana More Putki, PO Kusunda, PS Putki, District Dhanbad, Jharkhand, 828116. 2. Vijay Singh, aged about 68 years, S/o late Arjun Singh, R/o Village Nawadiha, PO Nawadiha, PS Patan, District Palamu, Jharkhand,
822123. 3. Nizamuddin, aged about 66 years, S/o late Abul Karim Khan, R/o Md. 2026:JHHC:11179
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Ali Road, Near City School, PO B Polytechnic, PS Bank More, District Dhanbad, Jharkhand, 828130. 4. Radha Raman Singh, aged about 59 years. S/o late Sumant Kumar Singh, R/o Chiragora, Samsan Road, Hirapura, Near B.D.O. Office, PO & PS Dhanbad, District Dhanbad, Jharkhand, 826001
5.
Sheo Jee Prasad, aged about 50 years, S/o late Baij Nath Prasad, R/o Ambedkar Nagar, Near Mangalkari Mandır, Binod Nagar, PO & PS Dhanbad, District Dhanbad, Jharkhand, 826001. ... … Petitioner(s)
Versus
1. The State of Jharkhand, through the Chief Secretary. Government of Jharkhand, 1st Floor, Project Building, Dhurwa, PO and PS Dhurwa, District Ranchi, Jharkhand, 834004. 2. The Principal Secretary, Dept. of Urban Development and Housing, 4th Floor, Project Building, Dhurwa, PO and PS Dhurwa, District Ranchi, Jharkhand, 834004
3. Jharkhand Mineral Area Development Authority through the Managing Director, Jharkhand Mineral Area Development Authority, LC Road, PO & PS Dhanbad, District Dhanbad, Jharkhand, 826001
4. The Managing Director, Jharkhand Mineral Area Development Authority, LC Road, PO & PS Dhanbad, District Dhanbad, Jharkhand,
826001. 5. The Secretary, Jharkhand Mineral Area Development Authority, LC Road, PO & PS Dhanbad, District Dhanbad Jharkhand, 826001
6. The Deputy Commissioner, Dhanbad officiating from Collectorate, Station Road, PO & PS Dhanbad, District Dhanbad, 826001. ... … Respondent(s)
With
W.P.(S) No. 1181 of 2022 Avadh Bihari Ram Son of Shiv Prasad aged about 69 years Resident of Made Colony, Near Pani Tanki, P.O., P.S. and District-Dhanbad (Jharkhand)-826001 ... … Petitioner(s)
Versus
1. The Jharkhand Mining Area Development Authority through its Chairman-cum-Managing Director, Office at Dhanbad PO and PS Dhanbad, District Dhanbad-826001
2. The Chairman-cum-Managing Director, Jharkhand Mining Area Development Authority, Office at Dhanbad PO and PS Dhanbad, District Dhanbad-826001
3. The Managing Director, Jharkhand Mining Area Development
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Authority, Office at Dhanbad PO and PS Dhanbad, District Dhanbad- 826001
4. The Secretary, Jharkhand Mining Area Development Authority, Office at Dhanbad PO and PS Dhanbad, District Dhanbad-826001
... … Respondent(s)
With
W.P.(S) No. 2349 of 2022 Baliram Yadav, Aged about-72 Years, Son of Late Shri Krishna Yadav, Resident of Sarbodaya Nagar Chiragora, Hirapur, P.O.- Dhanbad, P.S.- Dhanbad, District-Dhanbad, Jharkhand. ... … Petitioner(s)
Versus
1. The Jharkhand Mineral Area Development Authority, Dhanbad having its office at Lubi Circular Road, Dhanbad, P.O.-Dhanbad, P.S. Dhanbad, District-Dhanbad. 2.
The Managing Director, Jharkhand Mineral Area Development Authority, Dhanbad having its office at Lubi Circular Road, Dhanbad, P.O.-Dhanbad, P.S. Dhanbad, District-Dhanbad. 3. The Secretary, Jharkhand Mineral Area Development Authority, Dhanbad having its office at Lubi Circular Road, Dhanbad, P.O.- Dhanbad, P.S. Dhanbad, District-Dhanbad. 4. The secretary, department of personal Administrative reforms and Rajbhasha, Government of Jharkhand project Bhawan H.EC town ship PO & PS-Dhurwa, District Ranchi
5. The State of Jharkhand ... … Respondent(s)
With
W.P.(S) No. 6005 of 2022 Mantosh Kumar Mandal, aged about 68 years, son of Late Kashi Nath Mandal, resident of Vidya Sagar Colony, Nirsa, P.O. and P.S. Nirsa, District Dhanbad. ... … Petitioner(s)
Versus
1. The Jharkhand Mineral Area Development Authority, Dhanbad, having its office at Lubi Circular Road, Dhanbad, P.O. and P.S. Dhanbad, District Dhanbad, Jharkhand. 2. The Managing Director, Jharkhand Mineral Area Development Authority, Dhanbad, having its office at Lubi Circular Road, Dhanbad, P.O. and P.S. Dhanbad, District Dhanbad, Jharkhand. 3. The Secretary, Jharkhand Mineral Area Development Authority, Dhanbad, having its office at Lubi Circular Road, Dhanbad, P.O. and P.S. Dhanbad, District Dhanbad, Jharkhand. 4. The State of Jharkhand through Secretary, Urban Development Deptt. 2026:JHHC:11179
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Govt. of Jharkhand, Ranchi ... … Respondent(s)
With
W.P.(S) No. 6655 of 2022
1. Satrughan Giri, So- Late Jagdeo Giri, Aged about 67 years, R/O- MADA Colony, P.O & P.S- Dhanbad, District- Dhanbad. 2. Ram Lakhan Vishwakarma, S/O- Late Ram Das Vishwakarma, Aged about 66 years, R/O- Baramuri, P.O- B' Polytechnic, P.S- Dahnbad, District-Dahnbad. 3. Kalipado Mandal, S/O- Lae Hari Mandal, Aged about 68 years, R/O- Nara Pichri, Koriya Tand, P.o- Kalyanpur, P.S- Barwadda, District- Dhanbad. 4. Baijnath Thakur, S/O- Late Surendra Prasad Thakur, Aged about 65 years, R/O-Bangra Hardas, P.O & P.S- Kurhani, District- muzaffarpur. (Bihar). 5. Durga Hasda, S/O- Late Badka Hansda, Aged about 64 years, R/O. Village-Telepara, P.O & P.S- Dhanbad, District- Dhanbad. 6.
Jadunandan Ram, S/O- Late Ram Balak Ram, Aged about 66 years, R/O-MADA Colony, Hirapur, P.O & P.S- Dahnbad, District- Dhanbad
... … Petitioner(s)
Versus
1. The State of Jharkhand, through the Chief Secretary, Government of Jharkhand, 1st Floor, Project Bhawan, Dhurwa, P.O- Dhurwa, P.S- Jagrnathpur, District- Ranchi. 2. The Principal Secretary, Department of Urban Development and Housing, 4th Floor, Project Bhawan, Dhurwa, P.O- Dhurwa, P.S- Jagrnathpur, District-Ranchi. 3. Jharkhand Mineral Area Development Authority through the Managing Director, having office at Luby Circular Road, P.O & P.S- Dhanbad, District- Dhanbad. 4. The Managing Director, Jharkhand Mineral Area Development Authority, having office at Luby Circular Road, P.O & P.S- Dhanbad, District-Dhanbad. 5. The Secretary, Jharkhand Mineral Area Development Authority, having office at Luby Circular Road, P.O & P.S- Dhanbad, District- Dhanbad. 6. The Deputy Commissioner, Dhanbad officiating from Collectorate, Satiation Road, P.O & P.S- Dhanbad, District- Dhanbad
... … Respondent(s)
CORAM: HON’BLE MR. JUSTICE DEEPAK ROSHAN
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For the Petitioner(s) :Mr. Ravi Prakash Mishra, Advocate
[in WPS No. 479 of 2020]
Mr. A. K. Rashidi, Advocate
Md. Afaque Rashidi, Advocate
Md. Azam, Advocate
Ms. Aulia Begum, Advocate
[in WPS No. 1181 of 2022]
Mr. P. K. Mukhopadhyay, Advocate
[in WPS Nos. 2349 and 6005 of 2022] For the J.M.A.D.A. :Mr. Mahavir Pd. Sinha, Advocate
Mr. Santosh Kr. Jha, Advocate
[in all cases] For the State : Mr. Piyush Anand, AC to SC-VI
Ms. Deepika Jojowar, AC to SC-VI
[WPS No 6655 of 2022]
--------
Order No. 24 /Dated: 17th April 2026
In W.P.(S) No. 479 of 2020 the petitioners have made following prayers:
“1.a In the nature of writ of certiorari to quash and cancel the memo no. 01/MADA-04/2017/N.vi. Aa- 4012 Ranchi, dated 27-09-2019 (Annexure-8) whereby and whereunder the decision has been taken to extend the benefit of sixth pay revision to the employees of JMADA w.e.f. 01.04.2016. b. For a Writ of Mandamus commanding the respondents particularly respondent no.3 (Jharkhand Mineral Area Development Authority) to implement the office order as contained in memo no.334 dated 22.12.2018 (Annexure-6) and extend the benefit of sixth pay revision to the employees of JMADA w.e.f. 01.01.2006 and extend all consequential benefits to the petitioners as per Government Circular No.600/Vee, Ranchi dated 28-02-2009 issued by Department of Finance, Government of Jharkhand;
AND For issuance of any other appropriate writ/writs, order/orders, direction/directions as your Lordships may deem fit and proper in view of the facts and circumstances of this case for doing consignable justice to the petitioners.”
2. In W.P.(S) No. 3852 of 2020 the petitioners have made following prayers:
“1.(A) For quashing of the Resolution (no. 01/Mada-04/2017/N. Vi.Aa-4012) dated 27.09.2019 (Annexure 14) notified in the Jharkhand gazette (no. 779) on 11.10.2019, wherein the benefits of the 6th pay scale has been extended to the employees of the Jharkhand Mineral Area Development Authority, Dhanbad from 01.04.2016. (B) For issuance of an appropriate writ, order, direction upon the Respondents to grant the benefit of 6th Pay scale (on the central pattern) from 01.01.2006 as per the memo (no. Pra. Vi./03/2018/334)
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dated 22.12.2018 (Annexure 11) issued under the signature of the Managing Director, Jharkhand Mineral Area Development Authority, Dhanbad, and consequently, pay arrears of salary, and other consequential benefits accruing thereof. (C) Pass such other order or orders as Your Lordships may deem fit and proper for doing conscionable justice to the Petitioners.”
3. In W.P.(S) No. 1181 of 2022 the petitioner has made following prayers:
“1.(i) For issuance of an appropriate writ order/direction/ directing and commanding upon the Respondent No. 3 to take final decision upon the representation dated 06.01.2021. AND (ii) For issuance of an appropriate writ / order/direction /directing and commanding upon the Respondent No. 4 to take final decision upon the representation dated 26.02.2022 and to pay outstanding post retiral dues with interest from date of superannuation.
(iii) For issuance of an appropriate writ / order/direction upon the Respondent Authority to pay outstanding dues of provident fund revised group insurance, benefit of ACP, earn leave allowance and regional allowance with accrued interest from date of superannuation, difference amount of pay scale 580-860 in terms of order of Labour Court, Dhanbad dated 24.12.2004, benefit of 6th pay commission from 01.01.2008 and interest on delayed payment of post retrial dues. And (iv) For issuance of writ of certiorari for quashing of memo no. 145 dated 25.11.2023 issued under signature of the Respondent Secretary, The Jharkhand Mining Area Development Authority, Dhanbad. AND (v) Any other writ/s be issued, order/s be passed direction/s be made as your Lordships may deem fit and proper in facts and circumstances of the case.”
4. In W.P.(S) No. 2349 of 2022 the petitioner has made following prayers:
“1. That the petitioner through the instant petition prays for issuance of an appropriate writ(s) /order(s) direction (s) in the nature of mandamus commanding upon the respondent to pay the petitioner the monetary benefit of 6th pay revision commission w.e.f. 01.01.2006 till the date of retirement of the petitioner as on 28.02.2009 since the same has been adopted and sanctioned by the Managing Director, J.MADA vide Memo No.-334, dated-22.12.2018 and accordingly pay the differences of all the amounts of the retiral dues payable to the petitioner on each on every heads including the retiral dues such as gratuity, group insurance, leave encashment, provident fund and etc. with 12% interest and cost of litigation.”
5. In W.P.(S) No. 6005 of 2022 the petitioner has made following prayers:
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“1.
....for issuance of an appropriate writ/ writs, order / orders, direction /directions or a writ in the nature of mandamus, directing them to pay the following rest retiral dues, which have not been paid by the respondents despite direction given by this Hon'ble Court, in W.P. (S) No. 1540 of 2015 as well as Contempt Case (Civil) No. 82 of 2016:- (a) Dues of dearness allowance for the period between April 2012 to October, 2013 (b) Deducted provident fund amount from dearness allowance. (C) Un-deposited dues of provident fund amount from January, 2012 to September, 2014 (d) Amount of interest upon the un-deposited provident fund amount. (e) Differences of the amount of interim relief of regional allowance. (f) Difference amount of dearness allowance. (g) Amount of leave encashment of un-utilized leave. (h) Differences amount of A.C.P. (i) Difference amount of Gratuity taking into consideration the benefit of 6th pay revision, which has been adopted and sanctioned by the authority of JMADA, vide memo no. 334 dated 22.12.2018. (j) Differences amount on other counts. (k) Amount of interest over the above counts. AND For such other or further relief to which the petitioner may be found entitled to in the facts and circumstances of the case.”
6. In W.P.(S) No. 6655 of 2022 the petitioner has made following prayers:
“1.(A) For issuance of an appropriate writ in the nature of Certiorari quashing of the Resolution (no.01/Mada-04/2017/N.Vi.Aa-4012) dated 27/09/2019 (Annexure-14) notified in the Jharkhand Gazette no. 779 dated 11/10/2019, wherein the benefits of the 6th pay scale has been extended to the employees of the Jharkhand Mineral Area Development Authority, Dhanbad from 01/04/2016. (B) For issuance of an appropriate writ in the nature of Mandamus,
order, direction upon the Respondents to grant the benefits of 6th pays scale (on the central pattern) from 01/01/2006 as per the memo (no. Pra. Vi/03/2018/334) dated 22/12/2018 (Annexure-11) issued under the signature of the Managing Director, Jharkhand Mineral Area Development Authority, Dhanbad, and after extend the A.C.P. and M.A.C.P benefits to the petitioners make payment of consequently, pay arrears of salary, and other consequential benefits accruing thereof. (C) Pass such other order or orders as Your Lordships may deem fit and proper for doing conscionable justice to the Petitioners.”
7.
The issue involved in all these writ applications is as to
“whether the respondent-State of Jharkhand has any jurisdiction with respect to implementation of 6th pay revision for the employees of JMADA”.
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8.
Since all these writ applications involve same issues, as such the facts relevant to decide the main lis is taken from W.P.(S) No. 3582 of 2020.
9.
The brief facts of the case, as per the leading case being WP(S) No. 3852 of 2020, are that the petitioners are either retired or serving employees of Jharkhand Minerals Area Development Authority1. Vide order dated 22.12.2018 (Annexure-11), the Respondent-JMADA had granted the benefit of 6th Pay Revision to the employees of JMADA w.e.f. 01.01.2006. However, the Respondent State of Jharkhand issued a Resolution dated 27.09.2019 (Annexure-14), and changed the date of grant, from which the benefits of 6th Pay Revision are to be given, i.e., now it has been made w.e.f. 01.04.2016, instead of 01.01.2006. Being aggrieved by the said Resolution dated 27.09.2019, the petitioners are before this Court.
10.
Learned counsel for the petitioners submits that the JMADA was established under Section 5 of The Jharkhand Minerals Development Authority Act, 2000 2, and it is a body corporate with perpetual succession. Since, it is a body corporate and Section 129 of the Act provides power to the JMADA to regulate the salaries, allowances and conditions of service of its officers and employees, the general superintendence, direction and management of the affairs of the JMADA vests in the authority, including the right of payment of salary to its employees.
11.
Learned counsel further submits that though by virtue of Section 124 of the Act some control over the JMADA have been given to the State Government, but Section 96 of the Act deals with the funds of the JMADA, which provides for ‘Financial Autonomy’ of JMADA, thus, pursuant to the decision by the JMADA to grant benefits of 6th pay revision w.e.f. 01.01.2006, the entire burden will be upon JMADA and
1 hereinafter referred to as JMADA 2 hereinafter referred to as the Act
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the State cannot concur on that decision.
12. Further, learned counsel opposes the contention raised by the Respondents that the JMADA is not financially sound and currently facing financial crunch as he submits that on information sought through RTI, it shows that the JMADA is already having a huge corpus of Rs. 3,05,99,79,500/- up till recorded in the Financial Year 2020-21.
13. Per contra, learned counsel for the Respondent-State submits that the JMADA has been facing acute financial constraints, as a consequence of which it has not been able to discharge its financial obligations towards its employees, including payment of salary and post-retiral dues.
14. It has further been submitted that in order to improve the financial condition of JMADA, the Urban Development and Housing Department, Government of Jharkhand, has from time to time taken remedial measures, by revision of water supply charges within the JMADA area; and further by declaring certain areas within the jurisdiction of JMADA as “Market Area” for the purpose of levy and collection of market fee on specified commodities.
15.
Learned counsel for the Respondents had also submitted that although JMADA, vide Office Order dated 22.12.2018, resolved to grant the benefit of the 6th Pay Revision to its employees with effect from 01.01.2006, the said decision was taken without due regard to its weak financial condition and it was forwarded to the Urban Development and Housing Department for approval, which is a necessary precondition. 16. However, he submits, upon consideration of the matter, the Department found that JMADA was not in a financially strong position to implement the 6th Pay Revision from 01.01.2006, particularly in view of its inability to clear existing salary arrears and retiral dues. Accordingly, the Department declined to accord approval to the said
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proposal vide communication dated 19.08.2019; and as such, the impugned action of the State Government is a policy decision taken in the larger interest of financial discipline and it does not bring any illegality. 17. Having heard learned counsel for the parties and upon perusal of the materials available on record, it transpires that the petitioners, who are either retired or serving employees of the JMADA, are aggrieved by the action of the Respondent-State in issuing Resolution dated 27.09.2019; whereby the benefit of the 6th Pay Revision, which had earlier been granted by JMADA vide Office Order dated 22.12.2018 with effect from 01.01.2006, has been changed and made effective from 01.04.2016. The core grievance of the petitioners is that such change has been caused by the State without authority of law and in derogation of the statutory mandate contained under Section 129 of the JMADA Act, 2000 which vests the power to determine salary, allowances and conditions of service of its employees exclusively with JMADA. 18. In view of the submissions made by the rival parties, the moot issue that arises for consideration in these writ applications with regard to the appropriate authority is:
“Whether the Respondent State of Jharkhand has any jurisdiction with respect to the implementation of 6th Pay Revision for the employees of JMADA ?”
19. Admittedly, the JMADA is a body corporate having perpetual succession and was established under Section 5 of Jharkhand Mineral Area Authority Act, 2000, which reads as follows:
“5. Constitution of Mineral Area Development Authority for [Mineral Development Area.
(1) As soon as may be after declaration of the [Mineral Development Area as notified under section 3(1), the Government shall by notification in the Official Gazette with effect from such date as the Government may appoint in this behalf establish (Mineral Area Development Authority (hereinafter referred to as the Authority) for (Mineral Development Area. (2) The Authority shall be body corporate with perpetual succession and a common
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seal and subject to such restrictions or qualifications as may be imposed by or under this Act or any other laws use or be used in its corporate name or acquire or dispose of property, moveable or Immovable or enter into contracts and do all things necessary proper or expedient for the efficient performance of the functions assigned to it under this Act...”
20. Further, Section 12 of the Act provides for appointment of staff(s) of the JMADA which reads as under:
“12. Staff of the Authority. (1) Subject to such control and restrictions as may be prescribed by the rule, the Authority may appoint such members or other officers and employees (including experts for technical works) as may be necessary for the efficient performance of its functions and may determine their designations and grades. (2) The Secretary and the other officers and employees of the Authority shall be entitled to receive from the funds of the Authority such salaries and such allowances, if any, and shall be governed by such conditions of service as may be determined by regulations made in this behalf.”
21. Furthermore, Section 129 of the Act provides power to JMADA to regulate the Salaries, Allowances, and Conditions of Service of its Officers and Employees. Section 129 of the Act is quoted herein- below:
“129. Power to make regulations.
The Authority may with previous approval of the Government, make regulations consistent with this Act and the rules made thereunder within three months to carry out the purpose of this Act and, without prejudice to the generality of this power such regulations, may provide for- (a) the time and place of holding and procedure to be followed in, meetings of the Authority, Consultative and Co-ordination Committee, the number of members necessary to form a quorum therein b) the powers and duties of the officers and employees of the Authority; (c) the salaries, allowances and conditions of service of its officers and employees (d) the terms and conditions for the continuance of use of any land used otherwise than in conformity with a Development Plan, (e) Preventing the waste, undue consumption, misuse or contamination of water and prescribing water meters, and (f) any other matter which has to be or may be prescribed by rules.”
22. Thus, from the aforesaid provisions of the Act, it is evident that the general superintendence, direction and management of the affairs of the JMADA vest in the Authority. Further, from the same provision, it is also clear that JMADA can not only regulate the service condition but can also fix, control and regulate the remuneration payable to its employees. Thus, the right of appointment and control over its employees including payment of salary is vested with the Authority. 2026:JHHC:11179
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23. Section 124 of the Act provides for some control that the State Government may have over the JMADA, which reads as under:
“124. Control by the Government. (1) The Authority shall carry out such directions as may be issued from time to time by the Government for the efficient administration of this Act. (2) If in, or in connection with the exercise of its powers and discharge of the functions by the Authority under this Act; any dispute arises between the Authority, the local authority or/and the Government, the decision of the Government in such disputes shall be final.”
24. Now, another provision of the Act which is important for
consideration in deciding this case is Section 96 of the Act, which deals with the funds of the JMADA, and provides for “Financial Autonomy” of JMADA, as they have to generate funds and have to make all payments from the funds so generated. It reads as under:
“96. Fund of the Authority. (1) The Authority shall have and maintain Its own funds to which shall be credited- (a) all money received by the Authority from the Government by way of grants, loans, advances, or otherwise; (b) all Development charges or other charges or Costs, Fees received by the Authority under this Act or rules or regulations thereunder; (c) the proceeds of the tax on the annual dispatches of Coal and Coke from mines; (d) the proceeds, of the sale-of-water to consumers: (e) all sums borrowed by the Authority under section 123; (f) all receipts in respect of any school or institution or work vested in or under the control and administration of the Authority. (g) contribution from such Local Authority/Authorities of the area included in the [Mineral Development Area of the Authority h) contribution from Panchayat funds, agriculture market yards and other: sources such as irrigation tax, water tax, etc.; as approved by the State Government from time to time. (2) The Authority shall receive duty on transfers of Immovable property in accordance with the provisions hereinafter contained in this section-- (i) The duty Imposed by the Indian Stamp Act, 1899 (Act II of 1,899) as modified from time to time in its application to the State of Bihar on instruments of sale, gifts and usufructuary mortgage of immovable property situated in [Mineral Development Area as declared under section 3 of this Act and executed on or after the date on which the provisions of this Act comes into force in such area, be Increased by 5 per cent on the value of the property transferred by the instrument or (In the case of the usufructuary mortgage) on the amount secured by the instrument, set forth in the Instrument; (ii) All collections resulting from the aforesaid increase in Stamp Duty shall, after deducting incidental expenses (if any), be paid to the Authority by such time as may be directed by the State Government. (3) All amounts received by the Authority from any other source.
(4) The funds shall be applied towards meeting: (a) the expenditure incurred in the performance of all functions under this Act: (b) the expenditure for such other purposes as the Government may direct. 5) The Authority may keep in current account of the State Bank of India or may be prescribed by the rules and any money in excess of the said sum shall be invested in such manner as may be approved by the Government. 2026:JHHC:11179
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(6) The Government may, make such grants; advances and loans to the Authority as it may deem necessary for the performance of the functions under this Act, and all grants, loans and advances shall be on such terms and conditions as the Government may determine.”
25. As noted above, Section 129 of the Act provides that the JMADA can determine and regulate the condition of appointment of the employees and also the remuneration payable to them. It is a settled principle of law that where a specific provision exists in a statute dealing with a particular subject, the same shall prevail over any general provision, and the field stands occupied by such specific provision. Thus, as per the said provision, the power to decide what would be the remuneration of the employees is vested with the JMADA, under Section 129 of the Act. Consequently, to decide what will be the remuneration, will not come within the purview of Section 124 of the Act. 26. Admittedly, JMADA is incorporated by virtue of the Act and it had taken a conscious decision by way of Office Order dated 22.12.2018 (Annexure 11), to grant benefit of 6th pay revision to the employees of JMADA w.e.f. 01.01.2006 considering the recommendation of the 6th PRC. Further, the entire financial burden will be upon JMADA and it will pay the same from its own fund. It is the State which has opposed the decision and did not concur, taking a plea that they are the ultimate authority to take a decision. 27. In a similar situation related to implementation of 6th Pay Revision of the employees of Bihar State Financial Corporation, this Court vide order dated 23.02.2023 in W.P.(S). No. 2402 of 2021 held as follows:
"17.
Thus as per statute i.e the said Act, especially Section 23 and the regulations framed thereunder, it is the board, who has to take a decision as to what would be the scale of pay of the employees of the Bihar State Financial Corporation. Admittedly board has taken a conscious decision considering the financial position of the Corporation that the employees will be given the benefit of the recommendation of the 6th PRC. The Board has not sought for any financial assistance from the State for
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making such payment. As per the Board, the coffers of the Corporation is full, as such they want to pay the employees from the said reserves. The decision of the Financial Corporation to extend the benefit of 6th PRC to their employees is well within their jurisdiction and the decision cannot be said to be illegal or without jurisdiction nor it can said to be dependent upon the State. Further when the financial burden is being absorbed by the corporation itself and is not being shifted upon the State, the State cannot interfere with this decision of the Board. 18. Thus, I hold the action of State of Bihar in not according concurrence, is bad as the instant case does not come within the purview of any policy decision in terms of Section 39 of the Act, rather it is cover under Section 23 of the Act, and the Regulations which gives excusive power to the corporation to decide the scale of the State, is thus, quashed. The corporation will be at liberty to implement their own resolution in relation to implementation of the recommendation of 6th PRC for their employees at the earliest. 19. Accordingly, the instant application stands allowed.” (Emphasis Supplied)
28. Further, the appeal against the aforesaid order dated 23.02.2023 has been dismissed by the Division Bench of this Court in L.P.A. No. 709 of 2023 with L.P.A. No. 18 of 2024, the relevant paragraphs of which reads as under:
“39.
Thus, we are of the view that the Government of Bihar had no jurisdiction with regard to implementation of the 6th PRC for the employees of the Corporation, rather the Corporation itself was competent to take its decision on the said subject in exercise of the power conferred under Section 23 of the Act, 1951”
29. Hence, as per the Act, especially Section 129 of the Act, it is the JMADA, which has to take a decision as to what would be the scale of pay of the employees of the JMADA. Admittedly, the JMADA, by way of Office Order dated 22.12.2018 (Annexure 11), has taken a conscious decision that the employees of JMADA will be given the benefit of the recommendation of the 6th PRC w.e.f. 01.01.2006. The decision of the JMADA to extend the benefit of 6th PRC to its employees is well within their jurisdiction and the decision cannot be said to be illegal or without jurisdiction; nor it can be said to be dependent upon the State. 30. Thus, the act of the Respondent-State of Jharkhand in overriding the decision of JMADA with respect to grant of benefit of 6th Pay Revision with effect from 01.01.2006, is bad as the case does not come within the purview of power vested in the Respondent-State of Jharkhand under Section 124 of the Act; rather it is covered under
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Section 129 of the Act, which gives exclusive power to the JMADA to decide the pay-scale of its employee. 31.
In view of the discussions made hereinabove and for the reasons recorded, this Court is of the considered opinion that the impugned Resolution bearing No. 01/Mada-04/2017/N.Vi.Aa-4012 dated 27.09.2019, published in the Jharkhand Gazette (No. 779) on 11.10.2019, whereby the benefit of the 6th Pay Revision has been extended to the employees of the Jharkhand Mineral Area Development Authority, Dhanbad with effect from 01.04.2016, cannot be sustained in the eyes of law and is, accordingly, quashed and set aside. 32. Consequently, the petitioners shall be entitled to the benefit of the 6th Pay Revision on the central pattern with effect from 01.01.2006, in terms of Office Order/Memo No. Pra. Vi./03/2018/334 dated 22.12.2018 issued under the signature of the Managing Director, Jharkhand Mineral Area Development Authority, Dhanbad. The respondents are directed to ensure payment of all consequential benefits to the petitioners, including arrears of salary and retiral dues, as per the prayer made in the respective writ petitions within a period of twelve (12) weeks from the date of receipt/production of a copy of this order. 33. Accordingly, the writ petitions stand allowed. Pending I.A(s), if any, stand disposed of. (Deepak Roshan, J.) 17th April 2026 Amit A.F.R. Uploaded on 13/05/2026