Supreme Court: NDMC Not Responsible For Staff Absorption After DSGMC School Closure Without Approval

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Supreme Court: NDMC Not Responsible For Staff Absorption After DSGMC School Closure Without Approval

NDMC Not Responsible For Staff Absorption:

On Wednesday, August 28, the Supreme Court delivered a significant ruling concerning the New Delhi Municipal Corporation (NDMC) and the Delhi Sikh Gurudwara Management Committee (DSGMC). 

The Supreme Court ruled that the Delhi Sikh Gurudwara Management Committee (DSGMC) must not close the school without obtaining prior approval from the New Delhi Municipal Corporation (NDMC), and therefore, the NDMC is not required to absorb or provide benefits to the excess staff.

The bench, comprising Justices Hima Kohli and Sandeep Mehta, clarified that under Rule 46 of the Delhi Education Rules, DSGMC was required to seek approval from the NDMC before shutting down the school. The NDMC had been providing 95% of the funds for the school’s management, making it mandatory for DSGMC to obtain this approval.

Background to why nDMC not responsible for staff absorption

The DSGMC had closed the school, citing the dilapidated condition of the building. It also cited the challenges posed by a large number of devotees at Bangla Sahib Gurudwara, Delhi. The closure led to the relocation of the school outside the NDMC’s jurisdiction. Thereby, classifying it as closed. Despite receiving a 95% grant from the NDMC, DSGMC failed to get the required approval under Rule 46. 

In defence, DSGMC argued under Rule 47 of the Delhi Education Rules. The NDMC was responsible for absorbing the surplus staff resulting from the school’s closure. However, the Court rejected this argument. It stated that the DSGMC’s failure to comply with Rule 46 disqualified it from invoking Rule 47. Justice Sandeep Mehta, authored the judgment. He emphasized that the DSGMC could not claim that NDMC should bear the burden of re-employment. This also included salary payments for the surplus staff since the closure was not legally sanctioned.

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The Court further ruled that, although NDMC must temporarily handle the payment of salaries and benefits to the affected staff. It has the right to seek reimbursement from DSGMC. If DSGMC fails to voluntarily reimburse these payments, NDMC is entitled to pursue legal remedies. This helps to to recover the amount.

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