Administrative order cannot be made applicable with retrospective effect: HC

Excelsior Correspondent

JAMMU, Dec 1: High Court has held that law could be made applicable retrospectively if it was provided by the legislature in the statute, but at the same time, administrative/executive order or circular in absence of any legislative competence cannot be made applicable with retrospective effect.
This was stated by Justice Wasim Sadiq Nargal while hearing a petition filed by M/s Shree Guru Kripa Alloys Pvt Ltd seeking quashment of recommendations issued by the respondent vide its communication No. DC/PD/To-II/42/1138-41 dated 28.12.2015, whereby the earlier recommendations of the then Designate Committee for Power have been unilaterally withdrawn.
Besides, the petitioner has prayed a writ, order or direction commanding respondent not to cancel the order/permission granted vide order dated 22.03.2022 to the petitioner for change of arc furnace to induction furnace after the Designate Committee for Power allowed the permission.
The brief case of the petitioner was that the petitioner has never applied for fresh power connection as the power connection was already sanctioned in his favour way back in 1995 itself. Rather the case of the petitioner was for seeking permission for change of arc furnace to induction furnace.
The Government through Power Development Department issued Order No. 72-PDD of 2010 dated 03.03.2010, by virtue of which, it was ordered that henceforth no power connection be provided to industrial units engaged in iron and steel manufacturing through the use of electric induction and arc furnaces. By virtue of this order, a complete ban was imposed on power connections for electric induction and arc furnace by the industrial units.
After hearing both the sides, Justice Wasim Sadiq Nargal observed, “once, the ban imposed in 2010 is in supersession of all previous circulars/orders, then in that eventuality, the connection which was already granted to the petitioner for running arc furnace also loses its validity and significance”.
“In that eventuality, the petitioner has to apply afresh for new power connection which was banned by the Government from the intervening period commencing from 03.03.2010 to 20.05.2022 and during that intervening period even shifting of the connection from arc furnace to electric induction furnace would also fall within the ambit of granting new power connection which was strictly banned”, High Court said.
Justice Nargal further observed, “since the ban has now been lifted by virtue of subsequent order, the Government is not precluded from taking a decision afresh in light of the Government order No. 57-PDD of 2022 dated 20.05.2022 for according consideration to the case of the petitioner”, adding “the interpretation drawn by the counsel for the petitioner cannot sustain the test of law and is liable to be rejected on the ground that if the interpretation as projected by the petitioner is taken to be true then, it will tantamount to draw a different interpretation then what was the import of the Government order and in a way, it would tantamount to interpret a Government order imposing ban retrospectively for 12 years in a different way”.
“The retrospective operation of a Government order cannot be permitted particularly where it is merely an executive order, and not a legislation. Even if this interpretation has to be taken as a true interpretation, even then, the petitioner cannot improve his case as it can in no way be applied retrospectively as every Government/executive order by virtue of a policy has prospective operation and it can in no way be applied retrospective by infusing life in a Government order and interpreting differently, when the explicit language leads to an irresistible conclusion that the ban covers all”, High Court said.
High Court further said that even otherwise also the present writ petition is not maintainable and liable to be dismissed in absence of any specific challenge to the Government Order No. 72 PDD of 2010 dated 03.03.2010 imposing ban, which was gladly and voluntarily accepted by the petitioner for all along these 12 years.
“It is settled preposition of law that only law could be made applicable retrospectively if it was provided by the legislature in the statute, but at the same time, administrative/executive order or circular in absence of any legislative competence cannot be made applicable with retrospective effect”, Justice Nargal said.
“The interpretation drawn by the petitioner cannot be accepted at this stage and the same is not sustainable in the eyes of law and is liable to be rejected and consequently, the present writ petition fails and the same is dismissed along with all connected applications”, read the order.