Supreme Court Awards ₹10 Lakh Costs for Illegal Denial of Teacher Appointment

Published: 15 June 2024 Updated: 5 September 2026 2024 INSC 378

In Smita Shrivastava v. State of Madhya Pradesh & Others, the Supreme Court directed the State to appoint a candidate who had passed the 2008 selection examination for Samvida Shala Shikshak Grade-III, granted continuity of service, awarded ₹10 lakh exemplary costs and ordered the State to recover that amount from officials responsible for deliberate, illegal and mala fide denial of relief.

CaseSmita Shrivastava v. State of Madhya Pradesh & Ors.
Neutral citation2024 INSC 378
BenchJustice B.R. Gavai and Justice Sandeep Mehta
Decision date3 May 2024

Background of the recruitment dispute

Smita Shrivastava had worked as an Instructor in a State-run Non-Formal Education Centre from 1990 until the post was abolished in 1993. The Madhya Pradesh Government later framed the Madhya Pradesh Panchayat Samvida Shala Shikshak (Employment and Conditions of Contract) Rules, 2005.

She participated in the selection examination for Samvida Shala Shikshak Grade-III held on 31 August 2008 and was declared successful. Despite that success, no appointment order was issued to her.

A 2009 amendment to Rule 7-A was subsequently relied upon to deny appointment on the ground that only persons continuing to work as Instructors were eligible. That amendment operated adversely against the appellant even though she had already participated in and passed the 2008 selection process.

Repeated litigation and retrospective rule changes

The appellant was forced into prolonged litigation. Earlier proceedings had resulted in orders in her favour, but the State continued to resist appointment. A later notification dated 21 March 2018 purported to make the amended Rule 7-A effective retrospectively from 1 January 2008.

The Supreme Court found that the State's conduct had effectively deprived the appellant of the benefit of judicial orders already passed in her favour and characterised the approach of the State authorities as arbitrary, mala fide and high-handed.

Key service-law point: Once an authority's action is found to be illegal or arbitrary, merely declaring the illegality may not be sufficient. A constitutional court may mould relief to restore the person, as far as reasonably possible, to the position lost because of unlawful State action.

Supreme Court's doctrine of restitutive relief

The Court relied on Manoj Kumar v. Union of India, (2024) 3 SCC 563, concerning restitutive relief in public law. The principle recognises that constitutional courts have a primary duty to control unlawful exercise of power and, where necessary, a secondary duty to address the actual injury caused by such unlawful action.

The Supreme Court applied that principle because the appellant had spent years litigating despite having passed the relevant selection examination and despite repeated judicial findings supporting her claim.

The remedy was therefore not confined to a declaration that the State had acted illegally; the Court granted actual appointment, continuity of service and monetary compensation.

Final directions issued by the Supreme Court

Appointment The appellant was directed to be appointed to the post of Samvida Shala Shikshak Grade-III or an equivalent post within 60 days.
Effective date The appointment was directed to take effect from the date on which the first appointment pursuant to the 31 August 2008 selection process was issued.
Continuity The appellant was granted continuity in service.
Back wages No back wages were granted.
Exemplary costs ₹10,00,000 was awarded to the appellant, payable by the State of Madhya Pradesh within 60 days.
Recovery from officials The State was directed to conduct an enquiry and recover the ₹10 lakh amount from the officer or officers responsible for deliberate, illegal and mala fide denial of relief.

Constitutional and service-law principles

  • Article 14: State action in public employment must not be arbitrary, unreasonable or discriminatory.
  • Article 16: equality of opportunity in matters relating to public employment forms part of the constitutional framework governing recruitment.
  • Judicial review: courts may set aside unlawful administrative action and fashion effective relief where mere invalidation would leave the injury unremedied.
  • Restitutive relief: courts may grant appointment, continuity or compensation where unlawful State action has caused a concrete loss that requires restoration.
  • Personal accountability: in an appropriate case, the State may be directed to identify responsible officials and recover exemplary costs from them.

Why the ₹10 lakh recovery direction matters

The judgment is significant because the financial consequence was not left solely with the public exchequer. The Supreme Court required an enquiry to determine which officers were responsible for the deliberate, illegal and mala fide action and directed recovery of the exemplary costs from those officers.

This reinforces the principle that public administration must act within the law and that deliberate resistance to binding judicial orders may attract personal consequences in an appropriate case.

Subsequent relevance in Madhya Pradesh High Court cases

The judgment has continued to be relied upon by similarly situated candidates. In several 2025 orders, the Madhya Pradesh High Court directed the State to examine claims of candidates who had participated in the 2008 recruitment process in light of Smita Shrivastava.

For example, in March 2025 and September 2025 orders, the Madhya Pradesh High Court required the authorities to consider whether petitioners were at par with Smita Shrivastava and, where parity existed, to extend corresponding benefits in accordance with law.

Practical takeaway: The ruling does not automatically confer appointment on every candidate from the 2008 process. Later claimants must establish factual and legal parity with the appellant. Courts have therefore directed the authorities to examine individual claims rather than treating the Supreme Court judgment as an unconditional blanket appointment order.

Case information

Case title Smita Shrivastava v. State of Madhya Pradesh & Others
Civil Appeals Civil Appeal Nos. 5938-5940 of 2024, arising out of SLP(C) Nos. 23966-23968 of 2022
Neutral citation 2024 INSC 378
Decision Appeals allowed on 3 May 2024

Advocate L.C. Patne and AOR Rekha Pandey appeared for the appellant. The respondents were represented by the advocates and State law officers recorded in the judgment.

This page summarises the Supreme Court judgment dated 3 May 2024 and adds subsequent judicial treatment located in Madhya Pradesh High Court orders through 2025. It was updated on 5 September 2026 for current legal context.