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Patna High Court

Devnandan PaswanversusThe State of Bihar

Decided
Disposal
DISMISSED

Holding

Section 6 of the Bihar Agriculture Produce Market Repeal Act, 2006 does not apply to daily‑wage workers, so they are not entitled to absorption; only one month’s wages may be awarded.

Summary

The petitioners, who were daily‑wage workers in various abolished Agriculture Produce Market Committees (Bazar Samitis) after the repeal of the Bihar Agriculture Produce Market Act, 1960 by the Bihar Agriculture Market (Repeal) Act, 2006, sought quashing of an order denying them absorption and claimed arrears of salary and benefits under Section 6 of the Repeal Act and a Finance Department resolution dated 02‑02‑2018. The State argued that the Supreme Court’s decision in Nand Kumar v. State of Bihar held that Section 6 does not extend to daily‑wage employees and that no entitlement to regularisation exists. The High Court examined the language of Section 6, the Supreme Court precedent, and the status of the petitioners as daily wagers, concluding that the provision does not apply to them. Consequently, the Court dismissed the writ petitions, granting only a direction to pay each petitioner one month’s wages within three months.

Issues considered

  • Whether Section 6 of the Bihar Agriculture Produce Market Repeal Act, 2006 applies to daily‑wage workers of abolished Bazar Samitis for absorption/regularisation.
  • Whether the Finance Department’s resolution (Letter No. 796 dated 02‑02‑2018) creates a right to benefits for the petitioners.
  • Whether the petitioners are entitled to arrears of salary beyond one month’s wages.

Legislation cited

  • Bihar Agriculture Produce Market (Repeal) Act, 2006 — s. 6

Subjects

  • daily wage
  • absorption
  • repeal act
  • agriculture market
  • employment regularisation
  • Bihar
  • Supreme Court precedent

Judgment

         IN THE HIGH COURT OF JUDICATURE AT PATNA
                      Civil Writ Jurisdiction Case No.8704 of 2023
     ======================================================
1.    Nandu Ram Son of Shivnandan Ram Resident of Village- Chainpur, P.S.-
      Orai, District- Muzaffarpur.
2.   Ram Ekbal Ram, Son of Late Shivnandan Ram Resident of Village-
     Chainpur, P.S.- Orai, District- Muzaffarpur.
3.   Nunu Ram, Son of Late Kunkun Ram Resident of Village- Masalehpur
     Bazar Samity, P.S.- Bahadurpur, District- Patna.
4.   Suresh Ram, Son of Late Kunkun Ram Resident of Village- Masalehpur
     Bazar Samity, P.S.- Bahadurpur, District- Patna.
5.   Uday Sah, Son of Late Manikchandra Ram Resident of Village- Nurdiganj
     Soda Bazar Patna city, P.S.- Malsalami, District- Patna.
6.   Ram Eshwar Singh, Son of Late Manikchandra Ram Resident of Village-
     Nurdiganj Soda Bazar Patna city, P.S.- Malsalami, District- Patna.
7.   Prem Kumar Tiwary, Son of Late Ram Lakhan Tiwary Resident of Village-
     Koiri Bigha, P.S.- Sitamarhi, District- Sitamarhi.
8.   Kishori Prasad, Son of Late Ram Sogarath Prasadh Resident of Village-
     Girmishani, P.S.- Sitamarhi, District- Sitamarhi.
9.   Prem Shankar Prasad, Son of Late Babulal Prasad Resident of Village and
     P.S.- Harnathpur, District- East Champaran.
10. Upendra Prasad Yadav, Son of Late Jitu Yadav Resident of Village-
    Sundarpur, P.S.- Katrisarai, District- Nalanda.
11. Ashok Kumar Sharma, Son of Late Yadunandan Sharma Resident of
    Village- Vishunpur, P.S.- Bajirganj, District- Gaya.
12. Ram Pravesh Singh, Son of Late Chamri Singh Resident of Village-
    Vishunpur, P.S.- Bajirganj, District- Gaya.
13. Raj Narayan Singh, Son of Late Nandlal Thakur Resident of Village-
    Jagdishpur, P.S.- Rajapakar (Haripur), District- Vaishali.
14. Ashok Kumar Sahi, Son of Sita Saran Sahi Resident of Village- Prataptand,
    P.S.- Bhagwanpur, District- Vaishali.
15. Mumfar Ali Idreshi, Son of Late Md. Rafique Gdreshi Resident of Village-
    Dindyal Nagar Bagha Kashi Compound, P.S.- Bagha, District- Batiya.
16. Om Prakash, Son of Late Anandi Prasad Resident of Village- Jehanabad, P.S.
    and District- Jehanabad.
17. Matiur Rahman, Son of Late Md. Idrish Resident of Village and P.S.-
    Majhauliya, District- Champaran (Bettiah).

                                                               ... ... Petitioner/s
                                       Versus

1.   The State of Bihar through the Chief Secretary, Government of Bihar.
2.   The Additional Chief Secretary, Personnal and Administrative Reforms
     Department, Old Secretariat, Bihar, Patna.
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  3.    The Agriculture Production Commissioner, Department of Agriculture, New
        Secretariat, Bihar, Patna.
  4.    The Joint Secretary, Department of Agriculture, New Secretariat, Bihar,
        Patna.
  5.    The Administrator Bihar State Agriculture Marketing Board (Abolished),
        Pant Bhawan, Bailey Road, Patna.
  6.    The Sub- Divisional Officer, Patna City Cum Special Officer, Agriculture
        Produce Market Committee (Abolished) Masalahpur Bazar Samiti, District-
        Patna.
  7.    The Sub- Divisional Officer Patna City Cum Special Officer, Agriculture
        Produce Market Committee (Abolished) Patna City Bazar Samiti, District-
        Patna.
  8.    The Sub- Divisional Officer Patna City Cum Special Officer, Agriculture
        Produce Market Committee (Abolished) Sitamarhi Bazar Samiti, District-
        Sitamarhi.
  9.    The Sub- Divisional Officer Patna City Cum Special Officer, Agriculture
        Produce Market Committee (Abolished) Darbhanga Bazar Samiti, District-
        Darbhanga.
  10. The Sub-Divisional Officer Patna City Cum Special Officer, Agriculture
      Produce Market Committee (Abolished) Siwan Bazar Samiti, District-
      Siwan.
  11. The Sub Divisional Officer, Patna City Cum Special Officer, Agriculture
      Produce Market Committee (Abolished) Chhapra Bazar Samiti, District-
      Chhapra.
  12. The Sub-Divisional Officer, Patna City Cum Special Officer, Agriculture
      Produce Market Committee (Abolished) Sahebganj Bazar Samiti, District-
      Muzaffarpur.
  13. The Sub-Divisional Officer, Patna City Cum Special Officer, Agriculture
      Produce Market Committee (Abolished) Biharsharif Bazar Samiti, District-
      Nalanda.
  14. The Sub-Divisional Officer, Patna city Cum Special Officer, Agriculture
      Produce Market Committee (Abolished) Bagaha Bazar Samiti, District-
      West Champaran.

                                                              ... ... Respondent/s
       ======================================================
                                            with
                     Civil Writ Jurisdiction Case No. 4074 of 2023
       ======================================================
  1.    Devnandan Paswan Son of Maran Paswan, Resident of Village-Bankipur,
        Gorakh (Fatuha), P.S.-Fatuha, District-Patna.
  2.    Laxaman Ram son of Late Shivnandan Ram, Resident of Village-Chainpur,
        P.S.-Orai, District-Muzaffarpur.

                                                                 ... ... Petitioner/s
                                             Versus
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  1.    The State of Bihar through the Chief Secretary Government of Bihar, Patna.
  2.    The Additional Chief Secretary personal and Administrative Reforms
        Department Old Secretariat, Bihar, Patna.
  3.    The Agriculture Production Commissioner Department of Agriculture, New
        Secretariat, Bihar, Patna.
  4.    The Joint Secretary Department of Agriculture, New Secretariat, Bihar,
        Patna.
  5.    The Administrator, Bihar State Agriculture Marketing Board (ABOISHED)
        Pant Bhawan, Bailey Road, Patna.
  6.    The Sub Divisional Officer cum Special Officer Agriculture Produce Market
        Committee (ABOLISHED), Fatuha Bazar Samittee, District-Patna.
  7.    The Sub-Divisional Officer Patna City cum Special Officer, Agriculture
        Produce Market Committee (ABOLISHED), Masalahpur Bazar Samittee,
        District-Patna.
                                                           ... ... Respondent/s
       ======================================================
       Appearance :
       (In Civil Writ Jurisdiction Case No. 8704 of 2023)
       For the Petitioner/s      :       Ms. Kumari Sujata Sinha, Advocate
       For the Respondent/s      :       Mr. Anant Prasad Singh, SC- 15
                                         Mrs. Deepika Sharma, AC to SC-15
       (In Civil Writ Jurisdiction Case No. 4074 of 2023)
       For the Petitioner/s      :       Ms. Kumari Sujata Sinha, Advocate
       For the Respondent/s      :       Mr. Anant Prasad Singh, SC- 15
                                         Mrs. Deepika Sharma, AC to SC-15
       ======================================================
       CORAM: HONOURABLE MR. JUSTICE DR. ANSHUMAN
                       ORAL JUDGMENT
         Date : 24-04-2026

                     Learned counsel for the petitioners and learned

         counsel for the State in both these cases are present.

                     2. In both the writ petitions, petitioners prayed to

         quash the order No. 53/107 dated 07.09.2020/31.01.2023, issued

         by the respondent no. 5. by which the petitioners’ claim towards

         arrears of salary and further directing the respondent to grant the

         benefits to the petitioners considering their cases in the light of

         the resolution of the Finance Department, Government of Bihar

         as contained in Letter No. 796 dated 02.02.2018 has been made.
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                       3. Learned counsel for petitioners submits that

         petitioners were engaged on daily wages on different dates in

         their respective Bazar Samiti on different posts, whose

         particulars      they have annexed in the respective petitions.

         Learned counsel for petitioners further submits that in the year

         2006, the Bihar Agriculture Produce Market Act, 1960 has been

         repealed by virtue of Bihar Agriculture Market (Repeal) Act,

         2006. After enactment of Repealing Act, the services of the

         petitioners were terminated by the Bazar Samiti on different

         dates under the different directions of the Administration of the

         Agriculture Market Board issued vide letter no. 295 dated

         12.02.2007.

                       4. Learned counsel for the petitioners further submits

         that the petitioners were           given remuneration towards their

         employment per month for their work on the principle of equal

         pay for equal work. Learned counsel for the petitioners further

         submits that Section 6 of the said Repealing Act grants

         protection and talks about absorption of officials and employees

         of      the     Bihar      Agriculture         Marketing     Board/Market

         Committee/Bazar Samiti. But absorption of the petitioners were

         not made. Series of persons have moved before this Hon’ble

         Court     on     different     dates.        The   petitioners   had   filed
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         representations before respondent no. 5 for consideration of

         their grievances in the light of the resolution of the Finance

         Department as contained in letter no. 796 dated 02.02.2018, but

         order has not been passed on their representation. Thereafter, the

         petitioners moved before this Hon’ble Court in CWJC No. 6938

         of 2020, which was disposed of vide order dated 22.12.2021, in

         which this Hon’ble Court directed to pass speaking order on the

         representation filed by the petitioners within a period of four

         months from the date of receipt of copy of the said order.

         Learned counsel for the petitioners further submits that the

         respondent authorities have passed the order, which is impugned

         in the present writ petition, and rejected the claim of absorption

         instead thereof, they talk about payment of one month salary

         only, but even the said one month salary has not been paid.

         Learned counsel for the petitioners further submits that in the

         light of Section 6 of the Repealing Act as well as in the light of

         letter no. 796 dated 02.02.2018 issued by the Finance

         Department, Government of Bihar, they are entitled for the

         relief of absorption. Therefore, by virtue of these writ petitions

         the petitioners prayed that the order impugned be set aside and

         direction be issued to the State Government for their absorption

         and adjustment in different departments in the light of Section 6
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         of the Repealing Act.

                     5. Learned counsel appearing on behalf of the State,

         on the other hand, submits that petitioners are not entitled for

         any relief due to the reason that the issue involved in the present

         case, i.e. applicability of Section 6 to the petitioners being the

         daily wager and the applicability of the resolution of the Finance

         Department, Government of Bihar vide letter no. 796 dated

         02.02.2018 has already been tested by the Hon’ble Supreme

         Court of India in Civil Appeal No. 2835 of 2014 arising out of

         SLP (Civil Appeal No. 7555 of 2010) in case of Nand Kumar

         Vs. State of Bihar and Ors. and, therefore, learned counsel for

         the State submits that the petitioners have no case at all and

         there is no need of interference in the order impugned. She

         further submits that the writ petition be dismissed.

                     6. In this regard, the learned counsel for the State has

         also shown resolution No.1108 dated 15.03.2007 (Annexure-A

         of the counter affidavit filed in the first writ petition) whose

         clause 3.5 reproduced as under:

                                   “3-5 ftu dfeZ;ksa ds fy, leqfpr fjfDr;k¡ miyC/k

                       ugha gksxk ;k tks dehZ lek;kstu laca/kh vkns”k dk vuqikyu ugha

                       djsaxs] mUgsa rqjar lsok eqDr dj fn;k tk;sxkA bu dfeZ;ksa dks

                       dsoy oSls lsoksijkUr ykHk vuqekU; gksaxs ftuds fy, cktkj

                       ik’kZn@ lfefr ds inkf/kdkjh@ deZpkjh ds :i esa lsok lekIr
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                       djus dh frfFk dks gdnkj gksaxsA”

                     7. After hearing the parties and upon perusal of the

         documents as well as the relevant law, it transpires to this Court

         that the issue involved in the present case is that whether

         petitioners being daily wager working in the respective Bazar

         Samiti are entitled to get the benefits in the light of Section 6 of

         the Bihar Agriculture Produce Market Repeal Act, 2006 read

         with the resolution of the Finance Department, Government of

         Bihar as contained in letter No. 796 dated 02.02.2018.

                     8. From the pleading of both the writ petitions, it

         becomes crystal clear that admittedly the petitioners were

         appointed on daily wages. It is also not in dispute that some of

         the petitioners had worked for a long period and the services of

         the said daily wagers varied from period to period. From perusal

         of the relevant provisions and with a view to decide the present

         case, it is necessary to reproduce Section 6 of the Bihar

         Agriculture Produce Market Repeal Act, 2006, which is as

         follows:

                                             “6.       Absorption     of   officers    and
                                 employees        of   Bihar    Agriculture    Marketing
                                 Board/Market Committee/Bazar Samiti (1) On and
                                 from the date of repeal of the Act, all officers and
                                 employees     of      the   Board,   shall   remain    in
                                 employment, as if the Act has not been repealed and
                                 they shall continue to be paid same salary and
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                                 allowances as was payable on the date of repeal of
                                 the Act till such time State Government has taken
                                 such final decision as is provided hereafter.
                                               (1)    The   State      Government     shall
                                 constitute a committee of Secretaries consisting of
                                 three Secretaries who shall prepare detailed scheme
                                 of absorption, retirement, compulsory retirement or
                                 voluntary retirement. other service conditions of
                                 officers and employees of the Board and the
                                 Committee Scheme prepared by group of Secretaries
                                 shall be placed before the State Government within
                                 two months from the date of enforcement of the
                                 present Act. The State Government shall thereafter
                                 approve the scheme:
                                               Provided that it shall be open to the
                                 State Government to modify, amend or suggest
                                 modification or amendment and the scheme
                                 thereafter shall be made operational in such form
                                 and intent as finally approved by the State
                                 Government. Scheme approved by the State
                                 Government shall be considered as statutory scheme
                                 framed under this Act.
                                               (iii) After the scheme approved by the
                                 State Government is enforced it shall be fully
                                 implemented in its form and intent within three
                                 months from the date of its enforcement.
                                               (iv) Group of Secretaries constituted
                                 under sub-section (ii) above shall be competent to
                                 decide utility and de-ployment of offices and
                                 employees of the Board or the Committee during
                                 transition period and it shall not be open to any
                                 officer of employee to question decision of group of
                                 Secretaries
                                               (v) Scheme framed under this Act shall
                                 have    effect,     notwithstanding    any   other   Act,
Patna High Court CWJC No.8704 of 2023 dt.24-04-2026
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                                 Ordinance, Rule, regulation, direction, order or
                                 instruction and condition of service of officers and
                                 employees of the Board or the Committee, shall be
                                 governed and regulated under the scheme to the
                                 extent provision has been made in the scheme.
                                             Provided    further   that   it shall   be
                                 competent for the State Government to amend,
                                 modify, alter or substitute the scheme so framed for
                                 removal of difficulties in implementation of the
                                 scheme”
                     9. From perusal of Section 6 of the said Repeal Act,

         which talks about the absorption of officials and employees of

         the Bihar Agriculture Marketing Board/ Market Committee/

         Bazar Samiti, the Hon’ble Supreme Court of India in case of

         Nand Kumar Vs. State of Bihar (supra) has decided in

         paragraph Nos. 20, 21, 22, 23 and 24 which state as follows:

                                                      “20. We have heard learned
                                         counsel for the parties. We have also perused
                                         the records placed before us. We find that the
                                         status of the appellants was continuing to be
                                         as daily wagers. They cannot be treated as
                                         permanent Government employees. They all
                                         worked as employees of the Board. We have
                                         also found that no steps were followed by the
                                         Board to safeguard the service of these
                                         appellants. We have not been able to find out
                                         whether any advertisement was issued by the
                                         Government to regularise them. In these
                                         circumstances, in view of the submission
                                         which has been advanced on behalf of the
                                         appellants, we do not find that there is any
Patna High Court CWJC No.8704 of 2023 dt.24-04-2026
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                                         substance in the matter/arguments put
                                         forwarded before us on behalf of the
                                         appellants as we have been able to find out
                                         that the appellants have served as daily
                                         wagers and we do find that Section 6(i)
                                         makes it clear that after the repeal of the
                                         Agriculture Produce Act, 1960, all officers
                                         and employees of the Board are to continue
                                         in employment and they shall continue to be
                                         paid what they were getting earlier as salary
                                         and allowance till such time the State
                                         Government takes an official decision as per
                                         the further provisions of Section 6. Such
                                         provision certainly allows continuance of the
                                         officers and employees of the Board to
                                         continue in employment in the same status.
                                         The status of the daily wage employees and
                                         regular employees of the Board is eminent
                                         from the said provision. It cannot be said
                                         that the status of the daily wage employees
                                         can enjoy or acquire the same status as that
                                         of   the      regular   employees.   In     these
                                         circumstances, we do not find that there was
                                         any discrimination between the daily wage
                                         employees and the regular employees as is
                                         tried to be contended before us. Therefore,
                                         such submission has no substance, in our
                                         opinion, for the reason that the difference
                                         continues and is recognised under the said
                                         provision of the Repeal Act. So far as the
                                         power of the Committee of Secretaries
                                         constituted in terms of section 6(ii) of the
                                         Repeal Act is concerned, it is to prepare a
                                         scheme of absorption as well as of
                                         retirement,      compulsory    retirement     or
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                                         voluntary retirement and other service
                                         conditions of officers and employees of the
                                         Board. In our opinion, the scheme which was
                                         prepared by the Committee of Secretaries is
                                         only in the nature of recommendation and
                                         the State has the power either to accept,
                                         modify or amend the same before granting
                                         its official approval. Therefore, after the
                                         sanction is granted by the Government in
                                         respect of the said scheme, it would gain the
                                         status of statutory scheme framed under the
                                         said Act and would be enforced within the
                                         time to be indicated in section 6(iii) of the
                                         Repeal Act, 2006.Nand Kumar vs State of
                                         Bihar - 2014 Supreme(SC) 151


                                                      21. Therefore, in the light of the
                                         said provision, we do not find that the
                                         Committee of Secretaries can be faulted in
                                         treating the daily wage employees on a
                                         different footing and deciding for removal of
                                         their services.
                                                      22. We have consciously noted
                                         the aforesaid decisions of this Court. The
                                         principle as has been laid down in Umadevi
                                         (supra) has also been applied in relation to
                                         the persons who were working on daily
                                         wages. According to us, the daily wagers are
                                         not appointees in the strict sense of the term
                                         ‘appointment’. They do not hold a post. The
                                         scheme of alternative appointment framed
                                         for   regular     employees    of    abolished
                                         organisation cannot, therefore, confer a
                                         similar entitlement on the daily wagers of
                                         abolished organisation to such alternative
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                                         employment. [See Avas Vikas Sansthan v.
                                         Avas Vikas Sansthan Engineers Association
                                         (2006 (4) SCC 132)]. Their relevance in the
                                         context of appointment arose by reason of
                                         the concept of regularisation as a source of
                                         appointment. After Umadevi (supra), their
                                         position continued to be that of daily wagers.
                                         Appointment on daily wage basis is not an
                                         appointment to a post according to the rules.
                                         Usually, the projects in which the daily
                                         wagers were engaged, having come to an
                                         end,     their     appointment     is    necessarily
                                         terminated for want of work. Therefore, the
                                         status and rights of daily wagers of a
                                         Government concern are not equivalent to
                                         that of a Government servant and his claim
                                         to     permanency       has   to    be      adjudged
                                         differently.
                                                          23. In these circumstances, in
                                         our          considered          opinion,        the
                                         regularisation/absorption is not a matter of
                                         course. It would depend upon the facts of the
                                         case following the rules and regulations and
                                         cannot be de hors the rules for such
                                         regularisation/absorption.
                                                          24. Accordingly, we do not find
                                         any substance with regard to the arguments
                                         advanced before us on behalf of the
                                         appellants. We do not find any merit in the
                                         appeals. Accordingly, we uphold the decision
                                         of the High Court and affirm the same,
                                         dismissing these appeals.”
                     10. Upon perusal of Section 6 and the analysis made

         by the Hon’ble Supreme Court of India in Nand Kumar (supra),
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                      it transpires that even those daily wagers who were receiving

                      wages on a monthly basis have been duly considered by the

                      Hon’ble Supreme Court.

                                   11. After a detailed discussion, it becomes crystal

                      clear that Section 6 is not applicable to daily wagers. Therefore,

                      in light of the discussion and analysis made by the Hon’ble

                      Supreme Court, as well as the provisions of the Repeal Act, this

                      Court is of the firm view that the petitioners are not entitled to

                      any relief, except to the extent that each petitioner shall be

                      entitled to one month’s wages.

                                   12. Accordingly, the writ petition stands dismissed,

                      with a direction to the respondent authorities to make payment

                      of one month’s wages to all the petitioners (daily wagers),

                      equivalent to the amount they were receiving during their

                      tenure, within a period of three months from the date of

                      receipt/production of a copy of this order before the concerned

                      authority.


                                                                   (Dr. Anshuman, J)


khushbu/-
AFR/NAFR                N.A.F.R.
CAV DATE                N/A
Uploading Date          01.05.2026
Transmission Date


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