1981 PLP 873 (PLC(CS))

"(3) The registration of a Trade Union shall be cancelled by the Registrar if, after holding such inquiry as he deems fit, he finds that such Trade Union has dissolved itself or has ceased to exist."

3. Mr. Muhammad Ibrahim Soomro, the learned counsel for the appellants, submitted two‑fold arguments in support of his contention that the Registrar is riot competent to withdraw an order cancelling the registration of a Union made under section 10 (3), I. R. O. his first ground in support of this contention was that as an express provision has been made in the Statute for filing of an appeal against the cancellation of registration of a union by the Registrar, it is only the appellate authority which has the powers to set aside or cancel that order and it would result in an anomaly if on the one hand the appellate Court exercises its powers under section 12, I. R. O., and in so doing it may well upheld that order, and on the other hand the Registrar, in purported exercise of powers under section 21, General Clauses Act, or on the general principle an authority passing an order is competent to withdraw or vary the same, withdraws his orders cancelling the registration of the union. The learned counsel further submitted that even if it be assumed that the Registrar has powers under section 21, General Clauses Act, to withdraw an order made by him under section 10 (3), I. R. O., since the orders carurehing the registration of the Union were communicated to the appellants and had taken effect the same could not be withdrawn in exercise of the power under section

21. I am inclined to agree with the twin submis sions of the learned counsel.

4. Section 21 of the General Clauses Act, 1897, only embodies a rule of construction which should be applied if the construction cannot be arrived at or determined with reference to the context or the subject matter of the statute. In other words, if a contrary provision is conceded in the statute or can reasonably be inferred, the provisions of section 21, General Clauses Act, will not apply. Since a specific provision has been, made in section 11, I. R. O., for appeal against the orders of the Registrar concelling the registration of a Trade Union, the Legislative intent indicated is that it is only by way of appeal that the orders of the Registrar in this behalf can be challenged and not that the Registrar himself can withdraw those orders.

5. A mere fundamental objection to the withdrawal by the Registrar of the orders cancelling the registration of the Union is that section

21. General Clauses Act, is limited in its application to cases where the orders sought to be withdrawn, amended or varied have not taken effect or have not created any legal right or liability. The scope of section General Clauses Act, has been examined by the Federal Curt and the Supreme Court at some length in the following reported cases :‑ (i) Shahbaz Khan v. State P L D 1956 F C 46. (ii) G. L. Bhatta Charia v. State P L D 1964 S C 503. (iii) Pakistan v. Muhammad Himayarullah Khan P L D 1969 S C 407. (iv) Collector, Central Excise and Land Custom v. Azizuddin Ltd. P L D 1979 S C 403,

6. The ratio decidendi in all these cases is that if an order is given effect to or it has resulted in the carnation of or the vesting of any rights then there is no scope for locus poenitentiae.

7. In Himayatullah's case, Sajjad Ahmed, J., observed as follows:‑ "There pan hardly be any dispute with the gale that apart from the provisions of section 21 of the General Clauses Act, locus poeni tratiae, i. e. the power of receding till a decisive step is taken, is available to the Government or the relevant authorities. In fact, the existence of such a power is necessary in the case of all autho rities empowered to pass orders to retrace the wrong steps taken by them. The authority that has the power to make an order has also the power to undo it. But this is subject to the exception that where the order has taken legal effect and in pursuance thereof certain rights have been created in favour of any individual, such an order cannot be withdrawn or rescinded to the detriment of these rights."

8. In Bhatta Chariya's case. Cornelius, C. J., considered the ques tion when an order for the remission of a sentence becomes effective. He held that an order of the Provincial Government unconditionally remit ting the sentence of the prisoner by 4 years became effective upon the receipt of the order by the Jail Superintendent, as he was obliged to give effect to it.

9. In the instant case, all that the Registrar was required to do under subsection (3) of section 10, I. R. O., was to pass an order cancell ing the registration of the Union and communicate the same to the parties. This was admittedly done. Whether the order was right or wrong and whether it was passed after due enquiry or upon sufficient material are not relevant factors for the purposes of determining whether the order has taken legal effect. Once an order has been passed cancelling the registra tion of a Union and it is communicated to the parties, it creates rights and liabilities under the I. R. O. and other laws dealing with the rights and liabilities of Trade Union and the C. B. As. The office bearers of such union forthwith lose the protection of section 47 (2), I. R. O. 7 the instant case, the union whose registration was cancelled was the C. A., and hence it had a number of rights, functions and duties to perform under the I. R. O., which it could no longer enforce or perform after the cancella tion of its registration, In fact the cancellation of the registration of the Union means its legal demise for in law it will cease to exist. Such being the position, the order of cancellation of registration was not capable of being withdrawn under section 21, General Clauses Act, specially in view of the provisions in section 11 of I. R. O., for filing of appeal against the said order. As section 11 prescribes no period for filing of an appeal to the Labour Court against the order of the Registrar cancelling the regis tration of a union, it would appear to be still open to the‑ union to challenge the orders of cancellation by way of an appeal to the Labour Court.

10. The upshot of the above discussion is that the orders of the learned Labour Court upholding the orders of the Registrar withdrawing his earlier orders of cancellation of registration of the Union are set aside and the appeal is allowed. Appeal allowed.