Professional Documents
Culture Documents
Khare 2009 SSRN Electronic Journal
Khare 2009 SSRN Electronic Journal
Khare 2009 SSRN Electronic Journal
1
Justice Douglas in U.S. v Wunderlich, 342 US 98,101 (1951)
2
Sharp v Wakefield, 1891 AC 173
3
West’s Encyclopedia of American Law, available at,
http://www.enotes.com/wests-law-encyclopedia/administrative-discretion.
4
Sir Edward Coke (1 February 1552 – 3 September 1634), was a seventeenth-century English jurist
and Member of Parliament whose writings on the common law were the definitive legal texts for
nearly 150 years.
5
[1976] 3 All ER 665.
action upon which there is a room for reasonable people to hold differing opinion as
to what may be preferred.”
DISCRETION INEVITABLE
It has been already stated earlier that no modern day government can work without
the exercise of discretion by its administrative authorities. Therefore it can be
further inferred that the government cannot also function without the grant of
discretionary power to the administrative authorities. The reason for growth of
discretionary power can be attributed to the following reasons:-
• The welfare notion of the government and adoption of other development
policies.
• Environmental Control mechanisms.
• Lack for Technical Competence and requirement of expert advice on the part
of the legislation
• Unforeseen Situations.
• Complexity of Subject matters and variety of problems to be encountered by
the administrative authorities.
6
MASSEY I.P. ADMINISTRATIVE LAW, 65(2008)
• At the time of laying down a law the legislators leave certain gaps and
ambiguities in the law. These gaps and ambiguities are to be filled by the
exercise of administrative authorities on case to case basis.
• Determination of rights and interest of people that depends upon the exercise
of discretion of the authorities.
• The policy objectives are sought to be widened by the use of administrative
discretion.
• Discretion is used to deal with unforeseen situation
• It is used to handle matters which require technical expertise as the officers
of a technical department are more quipped to handle such matters as
compared to the legislatures.
• It provides flexibility to cater needs of different situations.
• It provides a time saving mechanism.
• Since it grants certain power to authorities it also fix up their responsibilities
as they are accountable for their action.
Expressions such as ‘if he is of the opinion’, or ‘if he is satisfied’, or ‘if he has
reasonable grounds to believe’, vest power in the authority to act on forming an
opinion or being satisfied that such action is necessary. It was such discretionary
power that became an object of Dicey’s Criticism in his monumental treatise on
constitutional law7. Dicey thought that Discretion was the source of inequality and
discrimination and of arbitrary action. It was therefore negation of rule of law. Rule
of Law according to Dicey, warranted absolute predictability of administrative
action8.
9
Liversidge v Anderson [1942] AC 206
10
Nakkuda Ali v Jayratne [1951] AC 66
11
Associated Provincial Pictures Ltd. v Wednesbury Corp. (1948) 1 KB 223
12
HCR WADE AND CF FORSYTH, ADMINISTRATIVE LAW, 181-218 (2000)
13
SATHE S.P., ADMINISTRATIVE LAW, 387 (2004)
LIMITATION AT THE STAGE OF CONFERMENT OF DISCRETIONARY
POWER
When the legislature lays down a law in such a manner that the chances of abuse of
that law is higher that is in other words if that particular law can be easily misused
or abused and the rights and interests of the people will be adversely affected than in
that case there is a need for checking or limiting such grant of discretionary power.
Here the power conferred is very wide and leads to the abuse of Article 14 and
Article 19 of the Indian Constitution. Therefore in such cases Article 14 and Article
19 of the constitution act as regulators to such grant of power.
The grant of Administrative Discretion can be challenged on the ground that it
violates the fundamental rights guaranteed by the constitution. For example, such
discretion may be so exercised as to treat different persons differently without
justification or may make the enjoyment of important freedoms of association, or
freedom of speech and expression, or freedom of assembly, or freedom to carry on
trade or business, dependent upon the sweet will of the administrative authorities. If
the discretion conferred is uncontrolled, there is a possibility of discrimination, the
law conferring such discretion may be held invalid on the grounds of its
inconsistency with the fundamental right to equality before the law and equal
protection of law guaranteed by the Art.14 of the Constitution. Similarly, if a law
grants absolute discretion to the executives to allow or not to allow an activity
involving the exercise of any of the freedoms guaranteed by Art 19, such a law is
held to be unreasonable restrictions on those rights.14
LIMITATION ON GRANT OF DISCRETIONARY POWER AND ARTICLE 14
Article 14 of the Indian Constitution provides certain limitation on the conferment
of discretionary powers. Article 14 of the Constitution says “The State shall not
deny to any person equality before the law or the equal protection of the laws within
the territory of India.” Article 14 provides a fundamental right of equality before
law and equal protection of law to the citizens of India. It lays down that laws
14
SATHE S.P., ADMINISTRATIVE LAW, 388 (2004)
should be applicable to every person in the same sense and should not discriminate
one person against another. Any law which discriminates between persons or classes
of persons would be invalid and void. A similar criterion has been adopted while
checking the validity of the discretionary power exercised by the administrative
authorities.
The above mentioned point has been highlighted by the Supreme Court in Ram
Krishna v Justice Tendulkar15, The Supreme court after laying down the rule that
what Article 14 forbade was class legislation but not classification, pointed out that
the legislature might itself indicate persons or things to whom or which its
provisions were intended to apply and the basis of such classifications of such
persons and thing might either appear on the face of the statute or be gathered from
the surrounding circumstances known to, or brought to the attention of, the court.
The statute might, however not make any classification of persons or things for the
purpose of applying its provisions and leave it to the discretion of the government to
select and classify persons and things to whom its provisions should apply. In such
case the mere fact that no classification had been made or that the discretion had
been vested in the government did not lead to invalidation of the law. The Court
would inquire whether the statute contained any policy or principles for guiding the
exercise of discretion by the government in the matter of selection or classification
and if it did not, the statute would be struck down on the ground that it had
conferred arbitrary power and uncontrolled power on the government, which would
lead to the discrimination between persons or things similarly situated.
The control imposed by Article 14 can be well understood by analyzing a series of
cases decided on the same issue.
• West Bengal v. Anwar Ali Sarkar16
The West Bengal statute provided for special courts to try cases or classes of
cases or offences or classes of offences for ensuring speedier trial. The act
did not lay down any what types of offences or cases were to be tried by
15
AIR 1958 SC 538
16
AIR 1952 SC 75, [1952] SCR 284
special courts. The executive authorities could arbitrarily select a case for
trial by the special courts. It was held that in so far as the Act empowered the
government to have any case or class of case or offence or class of offences
tried by the special courts, it violated Article 14 of the Constitution.
20
(2000) 7 SCC 425
21
(1996) 5 SCC 359
22
AIR 1971 SC 1511
23
(1981) 4 SCC 93
Rules 1974. The CAG was held to be a high- ranking constitutional
authority, who could be expected to act according to the needs of the
service and without arbitrariness. There was moreover a presumption that
public officials would discharge their duties honestly and in accordance
with the rules of law.24
24
Chinta Lingam v India (19790) 3 SCC 768
• HIMMAT LAL K. SHAH V COMMR. OF POLICE25
Rule 7 under Section 44 of the Bombay Police Act, 1951 gave unguided
discretionary power to the police Commissioner to grant or refuse
permission for any public meeting to be held on a public street. The
Supreme Court struck down Rule 7 as being unreasonable restriction on
the exercise of a fundamental right.
The above mentioned case provides a contrary view to the fact that
although in some cases the apex court has laid down that if the discretion is
exercised by a higher official it would not be void.
POWER TO BE EXERCISED BY A QUASI- JUDICIAL AUTHORITY
• DIGAMBAR V PUNE MUNICIPAL CORPORATION26
Where the Government was given power to revoke or modify a
permission given under the Maharashtra Regional and Town Planning Act,
1966, it was held that the power was not unguided since it could be
exercised only after the person concerned was given an opportunity of
being heard. The impugned law could not be held void on the grounds that
were no grounds for appeal.
• INDIA V ANNAM RAMALINGAM27
It was held that the Gold Control Act 1968 did not confer arbitrary power
on the administrator in deciding whether or not to grant permission to a
dealer to carry on money- lending in some premises because the power
was required to be exercised after giving a hearing to the dealer.
25
(1973) 1 SCC 227: AIR 1973 SC 87
26
AIR 1987 Bom. 297
27
AIR 1985 SC 1013
• LIMITATION ON GRANT OF DISCRETIONARY POWER AND ARTICLE 19
Article 19 of the Constitution provides the right to freedom of speech and
expression along with several other rights. It is basically a privilege given to the
citizens of India that they have right to speech and expression and other rights under
this chapter. When a person exercises this right other persons are under a duty not to
infringe or curtail such rights. Therefore grant of any Discretionary power which
acts as a hindrance to the fundamental right of the citizens or curtails such
fundamental rights is declared void. Therefore Art 19 acts as a regulator on the
conferment of Discretionary power.
Art 19 says “Protection of certain rights regarding freedom of speech, etc.
(1) All citizens shall have the right-
28
Chintaman Rao v Madhya Pradesh AIR 1951 SC 118
29
Dwarka Prasad v Uttar Pradesh AIR 1954 SC 224.
1. FREEDOM OF SPEECH, ASSEMBLY AND EXPRESSION
In this case it was held that the freedom to speech and expression
includes the right to make and exhibit films. Although censorship of
films is generally valid, provided it is based on guidelines.
The Supreme Court in this case overruled the judgment of the High
Court and said that it cannot be exercised to ban a film that criticises
government policy on reservations of seats or jobs for the weaker
section of the society. Where government gave exhibition license to
such films but the High Court cancelled it in response to a public
interest petition.
30
AIR 1971 SC 481
31
(1989) 2 SCC 574
32
AIR 1966 SC 424
manuscripts of his book, which was purely of scientific interest, out
of jail to his wife for publication, the State government was held to
have acted contrary to law in refusing to send the manuscript.
• MADRAS V V G RAO33
• VIRENDRA V PUNJAB34
• JAGANNATH V ORISSA37
4. FREEDOM OF BUSINESS
36
AIR 1953 SC 373
37
AIR 1954 SC 400
38
AIR 1954 SC 224
The Supreme Court held that a rule requiring a person get a license to
stock, sell or store for sale of an essential commodity as Coal was not
objectionable. However, provisions that empowered the licensing
officer to exempt any person or class of persons from taking out a
license and gave absolute power to her to grant or refuse to grant,
renew or refuse to renew, suspend, revoke, cancel or modify any
license, without the presence of any rules, principles or directions to
guide the authority were held invalid as being violative of fundamental
rights.
43
1942 AC 206
CONCLUSION
Administrative Discretion forms an essential part of the rule making process of the
administrative authorities. It gives them the power to make rules and regulations that
the legislature fails to do for a number of reasons as discussed earlier in the paper.
Administrative Discretion in affect is the pillar on which the working of the
administrative authorities rests, without it the authorities would be like a bow
without an arrow or gun without any gunpowder. Administrative Discretion as a
concept is like double edged sword. On one hand the importance of administrative
power is well understood and in no situation the administrative discretion can be
done away with, provided it is not arbitrary and on the other hand this discretionary
power brings in a danger of the authorities exercising such power being
unreasonable and arbitrary and acting in a way detrimental to the interest of the
people. It even brings in the danger of negation of Rule of Law.