CP No.718 of 2020.

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CC-46475

JUDGEMENT SHEET
IN THE HIGH COURT OF BALOCHISTAN, QUETTA.
Constitutional Petition No.718 of 2020
(Biaizeed Khan Kharoti v The Chief Secretary & Others, (CC-46475)

JUDGMENT

Date of hearing: 14.09.2020 Announced on: 21st October, 2020

Petitioner by: Mr. Biaizeed Kha, petitioner present in person.
Respondents No.1, 9 to 13 & 15 by: Mr. Zahoor Ahmed Baloch, AAG along with Mr.
Noor-ul-Haq Baloch, Secretary Finance.

JAMAL KHAN MANDOKHAIL, CJ: The petitioner is aggrieved from orders

No.F.D.SO(B&A)III-47/2020/ dated 10th July, 2020 and 13th July, 2020

respectively, pursuant to which, the Government of Balochistan has granted

cash award of four months full pay along with admissible allowance

including (house requisition allowance) to the officers/officials of the

Finance Department, two months to the officers/officials working in the

Governor’s House, officers/officials of the Planning & Development

Department, officers/officials of the Balochistan Provincial Assembly

Secretariat and MPA hostel, officers/officials of the Chief Minister

Secretariat and officers/officials of the Chief Secretary’s office. The

petitioner has arrayed sixteen departments as respondents, out to whom, the

respondents No.2 to 8, 14 and 16 have been deleted vide order dated 30-7-

2020. On behalf of rest of the respondents, the learned AAG submitted para

wise comments along with relevant documents and copy of the Balochistan

Government Rules of Business and Balochistan Delegation of Financial

Powers and Re-appropriation Rules, 2019.

2. The petitioner argued the matter personally and stated that granting

cash award to the officers/officials is an excess of an authority by the

Government. He added that the Government has exercised power under the

Balochistan Delegation & Financial Powers and Re-appropriation Rules,

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2019 (the Rules, 2019), illegally by misinterpreting the word cash award.

He stated that as per these rules the cash award can be paid to employees for

discharge of duties beyond their normal call of duty and by performing

extraordinary special tasks, but there is no evidence on the record to believe

that the officers/officials were entitled for the cash award. He stated that

budget making is the normal duty of the officers/officials of the Finance

Department, therefore, the officers/officials of the Finance Department and

its attached departments were not entitled for the cash award, but they were

awarded the same illegally. He added that the officers/officials of rest of the

departments have otherwise no concern with the preparation of the budget,

therefore, they on this score were not entitled for the cash award, but it was

granted to them by the Government illegally.

3. The learned AAG and the Secretary Finance, Government of

Balochistan opposed the contention and stated that a Summary was

submitted before the Chief Minister Balochistan, who is the competent

authority under the Rules 2019 and the Balochistan Government Rules of

Business to grant the cash award. They stated that the competent authority

after considering the fact that activity of budget making is pain stacking,

warranting extra time and energies. According to them, the process of

budget making was continued beyond the official working hours and some

time it continued during the notified holidays, therefore, the

officers/officials of all the notified departments discharged their duties

beyond normal call of duty and completed special task of preparation of the

budget in time. The learned AAG and the Secretary Finance contended that

after approval of the Summary by the competent authority, it was endorsed

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by the Provincial Cabinet in its meeting held on 20-06-2020, where-after, as

cash award was approved. In the end, they added that budget making is a

process in which several departments are involved, therefore, all the officials

of the relevant departments were granted cash award according to their

contribution, therefore, no illegality, irregularity or misuse of authority has

been committed.

4. Arguments heard and record perused. Every citizen of the country is

deemed to be aggrieved, in case of misuse of public exchequer by a public

functionaries, hence the petitioner has a locus standi to file the petition. This

Court while exercising power under Article 199 (1)(a)(ii) of the

Constitution, on an application of an aggrieved person, can exercise power

of judicial review of any act done or proceedings taken within its territorial

jurisdiction by a person performing functions in connection with the affairs

of the Federation or Province or Local Authority

5. The Government of Balochistan with prior approval of the Governor

made the Rules, called the Balochistan Government Delegation of Financial

Powers and Re-Appropriation Rules, 2019 (the Rule 2019). Rule 2 (1) (c) of

the Rule 2019 defines cash award as under:

“Cash Award means the amount paid to an employee with the

approval of the Authority specified in Column-3 of the Second
Schedule, Part-I, at the rate determined by such Authority for
discharging duties beyond normal call of duty and on account
of accomplishment of the extra-ordinary, special tasks etc.”

The Chief Minister in exercise of power under the Rules 2019,

granted cash award to the officers/officials of the selected departments as

award for budget making, after approving a summary submitted to him by

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the Secretary Finance, in the month of June 2020, which is reproduced

herein below,

“ FINANCE DEPARTMENT
GOVERNMENT OF BALOCHISTAN
SUMMARY FOR THE HON’BLE CHIEF MINISTER BALOCHISTAN
Subject:- GRANT OF “CASH AWARD” AS REWARD TO THE
OFFICERS/OFFICIALS OF FINANCE DEPARTMENT AND OTHERS
ENGAGED IN BUDGET MAKING PROCESS DIRECTLY OR
INDIRECTLY ON ACCOUNT OF PREPARATION OFBUDGET 2020-21.
As per Balochistan Budget Manual-1987, Budget Cycle
consists of seven phases, which keep engage all staff of the Finance
Department in official duties throughout the year in general and
beyond normal working hours during last six months of the financial
year in particular, for preparation of (Development/Non-
Development) budget of the province. All the staff of Finance
Department mad utmost efforts by working double shifts in addition
to their routine work in order to prepare Annual Budget-2020-21
well in time for presentation before the Provincial Cabinet and
Provincial Assembly.
2. Furthermore, staff of Finance Department remained in
touch with the concerned officials of all Administrative Departments
for seeking Reconciled Expenditure, Budget Estimates 2020-21 and
Revised Estimates 2019-20, and New Expenditure (Recurring &
non-Recurring). Besides, this Finance Department has also
carefully prepared Indicative Budget Ceiling figures and the same
has been conveyed to all Administrative Departments which further
helped and ensured the financial discipline and accuracy in
finalization of Annual Budget 2020-21 well in time
3. It is also worth to mention here that since the outbreak of
Covid-19 the staff of Finance Department continuously carried out
their official responsibly even at the risk of suffering from fatal
contagious viral disease. During the emergency period, staff of
Finance Department played the role of front line workers and
remained present all the time at their place of duty. A part from the
preparation of Annual Budget 2020-21 the staff of Finance
Department remained vigilant to release the funds to the concerned
departments on time to combat (Covid-19).
4. It is pertinent to mention here that the survey reports of
international fiscal institutions have categorically reported that
organizations where better financial incentive are provided to its
employees, there will be better performance and low corruption
ration in comparison with other low paid organizations. More so,
annual cash award as a reward to employees for their hectic work
during preparation of annual budget has been in practice, not only
in Balochistan but also in Finance Division Federal Government
and sister Provinces
5. In view of efforts made by staff of Finance Department
working in double shifts in addition to their routine work enabled
the Government to present Annual Budget 2020-21 before
Provincial Assembly. So, they deserve to be rewarded in terms of
cash money on part of Government to encourage them
6. It is, therefore, proposed that the Competent Authority may
grant (i) reward of Four salaries in the form of “Cash Award” equal
to pay of the July 2020 with all admissible allowances (including
House Requisition) in pursuance of Rule 45(1)(b) Schedule-V-III,
Part-A(15) of Rules of Business-2012 and in relaxation of financial
powers and re-appropriation rules 2019 FR-34(ii) to the
Officers/Officials of Finance Department, P&D Department, Chief
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Minister’s Secretariat, Chief Secretary Office, Office of Finance

Minister and attached employees working in Finance Department.
Furthermore, (ii) Two month’s gross pay with all admissible
allowances may be approved in favor of Officers/Officials of
Provincial Assembly Secretariat, Governor’s Secretariat, Printing
Press, Bureau of Statistics, Cabinet Section S&GAD and attached
employee of Chief Minister’s Secretariat, Governor’s Secretariat,
Chief Secretary Office, P&D Department and fixed sum to other
selected officials who contributed significantly in budget
preparation 2020-21 (F/A)
7. Approval of the Hon’ble Chief Minister Balochistan is
solicited to the proposal contained at Paras 6/n of the Summary,
please.”

6. The reason contained in the summary for the grant of cash award is

that all staff of the Finance Department made utmost efforts by working

double shifts in addition to their routine work, and contribution of the other

departments was also highlighted. Besides, it is contended that during the

emergency period of lockdown because of Covid-19, the staff of Finance

Department continuously carried out their official responsibility. The Chief

Minister accepting the summary by exercising power under the Rule 3 sub

Rule 2 of the Rule 2019, which is reproduced herein below,

“(2) Under the respective heading in Second and Third

Schedule, the powers specified in column-2 of these
Schedules of the rules shall to the extent mentioned in
column-4 thereof be exercised by the competent authority
specified against such power in column-3 of the said
schedules subject to the conditions attached to such
powers as laid down and mentioned in the respective
schedule.”
As per sub Rule 2, power of the Chief Minister has been specified at

serial No.34 of the second schedule which is as under,

“ SECOND SCHEDULE

POWERS COMMON TO ALL DEPARTMENTS

34 Cash Awards 1 Administrative Departments Full Powers

(i) Cash Awards or 2 Officers in Category-I Up to

Rewards other than those Rs.100,000/- in

sanctioned by the competent each case during

Authority for Finance, P&D and the financial year

other Administrative 3 Officers in Category-II Up to Rs.50,000/-

Departments’ employees for in each case

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budget-preparation and other during the

extra-ordinary tasks performed financial year

beyond normal call of duty

(subject to admissibility under the

rules and subject to availability of

budget)

(ii) To sanction cash award in 1 Administrative Department with Full Powers, but

Finance and P&D Departments the approval of the Government not exceeding

(Budget & Development) for three month’s

budget-making gross salary

(i) To sanction cash award Administrative Department with Full Powers, but

in the Secretariat the approval of the Chief Minister not exceeding one

month gross

salary

7. Pursuant to the above rule, the competent authority can grant cash

award, but the amount shall not exceed three months gross salary. The cash

award is being granted to those officer/officials, who are performing their

duties beyond their normal call of duty and on account of accomplishment

of extra ordinary special task as defined in Rule 2(1)(c) of the Rules 2019.

As per the Balochistan Government Rules of Business 2012, every

department has assigned job description for its officer/officials, which is

considered as a normal call of duty. Any extraordinary means unusual task,

in addition to his normal activity done by any officer/official can be

considered as a task performed beyond is normal call of duty. It is an

admitted fact that budget making is a routine work of the Finance

Department, which continues round the year, which includes preparation,

approval, disbursement and utilization of the provincial development and

non-development budget. The summary submitted to the Chief Minister

does not describe any duty beyond the normal call of duty or any extra

ordinary special task under taken by any officer/officials of the Finance

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Department. In the Summary it is stated that some time, the officials

performed their duties in double shifts. Be that as it may, a question arises,

as to what was the cause of not completing the budget within the stipulated

office working hours. Even if it is believed that the officer/officials of the

Finance Department performed their duties beyond the official office

timing, at the best, they could have demanded an honorarium, which is

permitted by Rule 2(1)(0) of the Rules 2019, which is reproduced herein

below,

“Honorarium means a recurring or non-recurring

payment equal to one month’s basic pay granted to a
Government servant with the approval of the Authority
specified in Column-3 of the Second Schedule, from
general revenue as remuneration for a work which is
occasional in character and either so laborious or of such
special merit as to justify a special reward”

The grounds mentioned in the Summary for the approval of cash

award do not fulfill the criteria laid down in the definition of cash award

mentioned in the Rules 2019.

8. without prejudice to the above, it is surprisingly, noted that the

summary submitted before the Chief Minister was in respect of the work

done by the officer/officials of the Finance Department during preparation

of the budget of the year 2020-2021, but a question arises, as what was the

contribution of the other selected departments in budget making. The

competent authority did not consider the theme and purpose of granting cash

award, defined in Rules 2019, hence has misinterpreted the relevant

provision of the same by allowing the cash award to the selected departments

as well. The purpose of cash award as per the Rules is to compensate the

officer/officials of any governmental department who performs a special

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task in addition to their job description, which is extraordinary in nature.

Budget making is a normal routine work of the Finance Department, which

is in vogue for centuries. Under such circumstances, the competent authority

has erred in law by granting cash award to the officer/officials of the selected

departments. Government is the custodian of the public exchequer and the

competent authority is supposed to exercise its discretion in accordance with

law, which is not in the case in hand, as such, the orders granting cash award

to the officer/officials of all the selected departments is without jurisdiction,

hence is illegal.

Thus, in view of above, the petition is allowed. The orders impugned

passed by the respondents, granting cash award to the officer/officials of the

selected departments are set aside. If the cash amount is drawn by any of the

officer/officials, the same be recovered and to be deposited in the

Government’s Accounts.

Announced in open Court CHIEF JUSTICE

Dated, Quetta 21st October, 2020

JUDGE