Supreme Court on Maharashtra Water Supply Board Appointments: Tribunal’s Jurisdiction Upheld.

Headnote:

The Supreme Court upheld the jurisdiction of the Maharashtra Administrative Tribunal (MAT) to entertain service-related disputes involving employees of the Maharashtra Water Supply and Sewerage Board. The Court ruled that the Board, though a statutory corporation, discharges public functions and its employees’ service matters fall within the Tribunal’s domain under the Administrative Tribunals Act, 1985.

Background:

• The Maharashtra Water Supply and Sewerage Board (MWSSB) challenged an order of the MAT directing the regularisation of certain employees appointed on daily wages.

• The Bombay High Court had affirmed the MAT’s decision, holding that the Tribunal had jurisdiction over the service matters of Board employees.

• The Board contended before the Supreme Court that it was a statutory body independent of the State and thus not subject to the MAT’s jurisdiction.

Court’s Observations:

• The Supreme Court observed that the MWSSB, established under the Maharashtra Water Supply and Sewerage Board Act, 1976, performs functions of public importance under the control of the State Government.

• The State exercises significant control over the Board’s policies, finances, and appointments; hence, its employees are considered to be in service under the State for the purpose of the Administrative Tribunals Act.

• The Court rejected the argument that MWSSB employees fall outside the ambit of MAT, emphasizing that functional control and funding from the government bring such entities within its scope.

• The Court found no infirmity in the MAT’s or the High Court’s orders and dismissed the appeal filed by the Board.

Legal Provisions Discussed:

• Section 3(q), Administrative Tribunals Act, 1985 – Definition of “service matters” and jurisdictional scope.

• Maharashtra Water Supply and Sewerage Board Act, 1976 – Establishment, functions, and control of the Board.

• Article 323A, Constitution of India – Tribunals for adjudication of service matters.

Citation: 2025 INSC 1288

Case: Maharashtra Water Supply and Sewerage Board v. Shankar Sopan Shinde & Ors.

Court: Supreme Court of India

Coram: Justice B.R. Gavai, Justice Aravind Kumar & Justice Sandeep Mehta

Date of Decision: 07 November 2025

Civil Appeal No.: 36786 of 2016