Ajay Hasia v. Khalid Mujib
AIR 1981 SC 487.
Quick Summary
This case explains when a body is treated as “State” under Article 12. The Court looked at how much control and money the Government had over the college. Since control was deep and funds were heavy, the college counted as an instrumentality of the State. The admissions challenge on facts did not succeed, but the Court set clear tests for future cases.
- Court: Supreme Court of India (1981)
- Main provisions: Article 12 and Article 14
- Outcome: Petition dismissed; Article 12 tests clarified
Issues
- Is the society running Regional Engineering College, Srinagar, a “State” under Article 12?
- Did the admission process, especially the brief viva, violate equality under Article 14?
Rules
- Article 12: Defines “State” for Part III rights.
- Article 14: Guarantees equality; decision-making must be fair, non-arbitrary.
Courts may treat bodies as “State” if they are under strong government control, depend heavily on public funds, or perform public functions.
Facts (Timeline)
Arguments
Appellant (Petitioner)
- Society is under government control → falls within Article 12.
- Viva was arbitrary and irrelevant → violates Article 14.
Respondent (College/Society)
- Society is an independent body, not “State”.
- Viva process was applied to all; no unequal treatment.
Judgment
Holding on Article 12
The college was treated as an instrumentality of the State because the Government’s financial support and control were dominant and continuous.
Relief on Admissions
The specific challenge to the admissions failed on facts. The petition was dismissed.
Ratio: When is a Body “State” under Article 12?
The Court listed helpful indicators. Think of them as a checklist, not a rigid formula:
| Indicator | What it means (easy) | |
|---|---|---|
| 1 | Government owns full (or near full) stake | If the State funds and owns the body, it likely acts as its arm. |
| 2 | Almost entire expenses met by State funds | Heavy public funding points to public character. |
| 3 | State-given monopoly | Exclusive powers or protection suggest a public role. |
| 4 | Deep and pervasive State control | Government directs key decisions and policy. |
| 5 | Public functions close to government work | Activities serve public interest like a government service. |
| 6 | Government department replaced by corporation | If a department’s job is shifted to a body, treat it like State. |
Use multiple indicators together. The overall picture matters.
Why It Matters
Many services today are delivered by societies, trusts, or corporations. This judgment brings such bodies within the reach of fundamental rights when they act like public authorities. It keeps equality and fairness at the center of public-facing actions.
Key Takeaways
- REC Srinagar’s society = “State” due to funding and control.
- Article 12 tests are practical indicators, not a strict formula.
- Article 14 prohibits arbitrary selection methods.
Mnemonic + 3-Step Hook
Mnemonic: F-M-C-C-P-D → Funds, Monopoly, Control, Close public function, Public money, Department shifted.
- Find Funds: Who pays the bills?
- Check Control: Who calls the shots?
- Public Purpose: Is it doing a government-like job?
IRAC Outline
Issue
Is the college’s society “State” under Article 12, and was the viva-based selection arbitrary under Article 14?
Rule
Article 12 and 14; public funding + pervasive control + public function can make a body “State”.
Application
REC Srinagar had strong government control and funding; therefore, fundamental rights apply to its actions.
Conclusion
Society is an instrumentality of the State. Petition on admissions was dismissed on the facts.
Glossary
- Instrumentality of State
- A body so connected with the Government that it must respect fundamental rights.
- Pervasive Control
- Government controls key decisions, policies, and finances.
- Arbitrariness
- Decision without fair reason or proper standards; hits Article 14.
FAQs (Student-Friendly)
Related Cases
R.D. Shetty v. International Airport Authority
Early foundation on State instrumentality and Article 14 in public contracts.
Article 14Pradeep Kumar Biswas v. Indian Institute of Chemical Biology
Later clarification on Article 12 tests with a focus on control and structure.
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