Summarize the following court judgment. vil Appeals Nos. 46 to 48 of 1956. Appeals from the judgment and order dated November 16	 1951	 of the former Nagpur High Court in Misc. Petitions Nos. 45	1568 and 1569 of 1951. H. J. Umrigar	 D. L. Jayawant and Naunit Lal	 for the appellants in C. A. Nos. 46 and 47 of 56. D. L. Jayawant and Naunit Lal	 for the appellant in C. A. No. 48 of 56. 1054 R. Ganapathi Iyer and R. H. Dhebar	 for the respon dent (In all the appeals). December 3. The following Judgment of the Court was delivered by VENKATARAMA AIYAR J. These appeals are directed against the orders of the High Court of Nagpur dismissing the writ petitions filed by the appellants herein	 and as they arise out of the same facts and raise the same points for determination	 they were heard together	 and will be disposed of by a common judgment. The facts in Civil Appeal No. 46 of 1956 the facts in the connected appeals are similar and do not require to be stated are that the appellant was employed in 1939 in the Bengal Nagpur Railway as a clerk in the workshop at Nagpur. In 1946 when the State took over the administration of the Railway	 it gave option to the employees to continue in service on the terms set out in a document dated July 5	 1946. The appellant accepted those terms and continued in service on the conditions mentioned in that document. Acting in exercise of the powers conferred by sections 241(2)	 247 and 266(3) of the Government of India Act	 1935	 the Governor General promulgated certain rules called the Railway Services (Safeguarding of National Security) Rules	 1949	 hereinafter referred to as the Security Rules	 and they came into force on May 14	 1949. It will be convenient at this stage to set out the Security Rules	 in so far as they are material for the purpose of these appeals	 as it is the validity of these rules that is the main point for determination by us. Rules 3	 4	 5 and 7 are as follows: 3. " A member of the Railway Service who	 in the opinion of the competent authority is engaged in or is reasonably suspected to be engaged in subversive activities	 or is associated with others in subversive activities in such manner as to raise doubts about his reliability	 may be compulsorily retired from service	 or have his service terminated by the competent authority after he has been given due notice or pay in 1055 lieu of such notice in accordance with the terms of his service agreement: Provided that a member of the Railway Service shall not be so retired or have his service so terminated unless the competent authority is satisfied that his retention in public service is prejudicial to national security	 and unless	 where the competent authority is the Head of a Department	 the prior approval of the Governor General has been obtained. Where in the opinion of the competent authority	 there are reasonable grounds for believing that a member of the Railway Service is liable to compulsory retirement from service or to have his service terminated under Rule 3	 it shall (a) by an order in writing	 require the said member of Railway service to proceed on such leave as may be admissible to him and from such date as may be specified in the order; (b) by a notice in writing inform him of the action proposed to be taken in regard to him under Rule 3; (c) give him a reasonable opportunity of showing cause against that action ; and (d) before passing a final order under Rule 3	 take into consideration any representation made by him in this behalf. Nothing contained in the Rules in Chapter XVII of the State Railway Establishment Code	 Volume 1	 shall apply to	 or in respect of	 any action taken or proposed to be taken under these rules. Any person compulsorily retired from service or whose service is terminated under Rule 3 shall be entitled to such compensation	 pension	 gratuity and/ or Provident Fund benefits as would have been admissible to him under the Rules applicable to his service or post on the date of such retirement or termination of service if he had been discharged from service due to the abolition of his post without any alternative suitable employment being provided. " On July 6	 1950	 the General Manager of the Bengal Nagpur Railway issued a notice to the appellant 1056 under R. 3 of the Security Rules stating that in view of the facts recited therein	 there was reason to believe that the appellant was engaged in subversive activities and calling upon him to show cause why his services should not be terminated. He was also placed under suspension from that date. On July 29	 1950	 the appellant sent his explanation denying the allegations contained in the notice dated July 6	 1950. The matter was then referred to the Committee of Advisers	 who held an enquiry on September 8	1950	 and after hearing the appellant found that the charges against him mentioned in the notice were true. Acting on this report	 the General Manager terminated the services of the appellant on April 3	 1951	 giving him one month 's salary instead of notice. Meantime	 on February 3	1951	 the appellant had filed the writ petition	 out of which Civil Appeal No. 46 of 1956 arises	 in the High Court of Nagpur challenging the validity of the notice dated July 6	 1950	 and the order of suspension following thereon. The order of dismissal dated April 3	 195 1	 having been passed during the pendency of this Petition	 the appellant had his petition amended by adding a prayer that that order also was bad. The grounds urged in support of the petition were that the Security Rules under which action was taken were in contravention of articles 14	 19 (1)(c) and 311 of the Constitution	 and that	 in consequence	 the orders passed in exercise of the powers conferred thereby were void. The respondents resisted the application on the ground that the rules in question were valid	 and that the orders passed thereunder were not open to attack. The petition was heard along with others	 in which the same questions were raised	 and by their judgment dated November 16	 1951	 the learned Judges held that it was unnecessary to decide whether the Security Rules were void as	 assuming that they were	 the orders terminating the services of the petitioners could be sustained under R. 148 of the Railway Establishment Code. Sub rules (3) and (4) of R. 148 which bear on this point	 are as follows: 1057 R. 148(3) Other (non pensionable) railway servants : "The service of other (non pensionable) railway servants shall be liable to termination on notice on. either side for the periods shown below. Such notice is not	 however	 required in cases of summary dismissal or discharge under the provisions of service agreements	 retirement on attaining the age of superannuation	 and termination of service due to mental or physical incapacity. (4) In lieu of the notice prescribed in this rule	 it shall be permissible on the part of the Railway Admi nistration to terminate the service of a Railway servant by paying him the pay for the period of notice." The learned Judges held that the appellants were non pensionable railway servants within sub r.(3)	 that they had been paid one month 's wages instead of notice under sub r.(4)	 and that	 accordingly	 the impugned orders were intra vires the powers of the respondents under R. 148	 sub r. In the result	 the petitions were dismissed	 and the present appeals have been preferred against these orders on a certificate under article 132 (1) and article 133(1)(c) of the Constitution. The appellants complain that the ground on which the judgment proceeds was not put forward by the respondents in their pleadings and should not have been allowed to be taken by them	 and that on the points actually in issue	 it should have been held that the Security Rules were repugnant to articles 14	 19(1) (c) and 311 of the Constitution	 and	 therefore	 void. They further contend that even if the Security Rules were valid	 the orders terminating the services were not justified by them	 and that further	 those orders were bad for the reason that they had not been made by the competent authorities. The appellants also sought to raise the contention that the enquiry conducted by the authorities was defective	 and that there was no proper hearing as provided by the rules	 but we declined to hear them on that point	 as that was not raised in their petitions. 1058 The points for decision in these appeals are: (I) Whether the orders terminating the services of the appellants can be upheld under R. 148 of the Railway Establishment Code; (II)Whether the Security Rules are bad as infringing (a) article 14	 (b) article 19(1)(c) and (c) article 311 of the Constitution; (III)Whether the impugned orders are not valid	 even according to the Security Rules; and (IV) Whether those orders were not passed by the competent authorities. On the first question	 it appears clearly from the record that the authorities purported to take action only under the Security Rules. The notice dated July 6	 1950	 was avowedly issued under R. 3 of those rules. It was in the scrupulous observance of the procedure prescribed therein that the explanations of the appellants in answer to the charges were taken	 and the matters were referred to the Committee of Advisers for enquiry. And above all	 the orders terminating the services of the appellants	 in terms	 recite that they were made under R. 3 of the rules	 as for example	 the notice dated April 3	 1951	 given to the appellant in Civil Appeal No. 46 of 1956	 which runs as follows: "I have considered your representation to me in reply to this office letter No. Con/T/2 I /MP/82 dated 6 7 1950 and am of the opinion that you are engaged and associated with others in subversive activities in such mariner as to raise doubts about your reliability and am satisfied that your retention in public service is prejudicial to national security. I have decided with the prior approval of the President that your services should be terminated under Rule 3 of the Railway Services (Safeguarding of National Security) Rules	 1949. " It should be added that while the appellants stated in their petitions that action had been taken against them under the Security Rules	 and that those rules were ultra vires	 the respondents did not plead that 1059 action was taken under R. 148 of the Railway Establishment Code. They only contended that the Security Rules were valid. In view of the above	the criticism of Mr. Umrigar for the appellants that the judgment under appeal proceeds on a ground which was	 not merely	 not in the contemplation of the authorities When they passed the orders in question	 but was not even raised in the pleadings in Court	 is not without substance. It is argued that when an authority passes an order which is within its competence	 it cannot fail merely because it purports to be made under a wrong pro. vision if it can be shown to be within its powers under any other rule	 and that the validity of an order should be judged on a consideration of its substance and not its form. No exception can be taken to	 this proposition	 but it has not been the contention of the respondents at any stage that the orders in question were really made under R. 148(3) of the Railway Establishment Code	 and that the reference to R. 3 of the Security Rules in the proceedings might be disregarded as due to mistake. In the Court below	 the learned Judges rested their conclusion on the ground that cl. (10) of the service agreement dated July 5	 1946	 provided that in respect of matters other than those specifically dealt with therein discharge is one of such other matters the Railway rules applicable to persons appointed on or after October 1	 1946 were applicable	 that R. 148(3) was one of such rules	 and that the appellants who were non pensionable railway servants were governed by that rule	 and were liable to be discharged in accordance therewith. But this reasoning ignores that under cl. (10) of the service agreement	 the Security Rules stand on the same footing as the rules in the Railway Establishment Code and constitute equally with R. 148 the conditions of service on which the appellants held the employment	 and there must be convincing reasons why orders passed statedly under R. 3 should be held not to have been passed under that rule. Before us	 a different stand was taken by the respondents. They did not 1135 1060 dispute that the action was really taken under R. 3 of the Security Rules	 but they argued that the power to terminate the service under r. 3 was not something ;different from and independent of the power to discharge	 conferred by R. 148	 and that an order passed under R. 3 was	 on its own terms	 one made under R. 148(3). The basis for this contention is the provision in R. 3 that the service may be terminated in accordance with the service agreement	 after giving due notice or. pay in lieu of such notice. The appellants controvert this position. They contend that the power to terminate the service under the Security Rules is altogether different from the power to discharge under R. 148	 that the reference in R. 3 to the service agreement is only in respect of the notice to be given	 there being different periods fixed under the rules in relation to different classes of employees	 and that	 in other respects	 the Security Rules run on their own lines	 and that action taken thereunder cannot be shunted on to R. 148. We find 'considerable difficulty in acceding to the argument of the respondents. The Security Rules apply to a special class of employees	 those who are engaged or are likely to engage in subversive activities	 and in conjunction with the instructions which were issued when they were promulgated	 they form a self contained code prescribing a special and elaborate procedure to be followed	 when action is to : be taken thereunder. We see considerable force in the contention of the appellants that the of the service agreement in R. 3 has reference only to the nature of the notice to be given. If the interpretation which the respondents seek to put on the Security Rules is correct	 then it is difficult to see what purpose at all they serve. Mr. Ganapathy Iyer for the respondents argues that they are intended to afford protection to persons who might be charged with being engaged in subversive activities. If that is their purpose	 then if action is taken thereunder but the procedure prescribed therein is not followed	 the Order must be held to be bad	 as the protection intended to be given has been denied to the employee	 1061 and R. 148 cannot be invoked to give validity to such order. Indeed	 that has been held in Sambandam vs General Manager	 section I. Ry. (1) and Prasadi vs Works Manager	 Lillooah (2) ; and that is also conceded by .Mr. Ganapathy Iyer. If then the power to terminate the service under the Security Rules is different from the power to discharge under R. 148 when the procedure prescribed therein is not followed	 it must be equally so when	 as here	 it has been followed	 for the complexion of the rules cannot change according as they are complied with or not. That means that the Security Rules have an independent operation of their own	 quite apart from R. 148. We do not	 however	 desire to express any final opinion on this question	 as Mr. Ganapathy Iyer is willing that the validity of the orders in question might be determined on the footing that they were passed under R. 3 of the Security Rules	 without reference to R. 148. That renders it necessary to decide whether the Security Rules are unconstitutional	 as contended by the appellants. (Ila). The first ground that is urged against the validity of the Security Rules is that they are repugnant to article 14. It is said that these rules prescribe a special procedure where action is proposed to be taken against persons suspected of subversive activities	 and that when the services of an employee are terminated under these rules	 the consequence is to stamp him as unreliable and infamous	 and there is thus discrimination	 such as is hit by article 14. It is admitted that if the persons dealt with under these rules form a distinct class having an intelligible differentia which bears a reasonable relation to the purposes of the rules	 then there would be no infringement of Art.14. But it is argued that the expression " subversive activities" which forms the basis of the classification is vague and undefined in that even lawful activities could be roped therein	 and that such a classification cannot be said to be reasonable. Reference was made to the charges which were served on the appellant in Civil Appeal No. 46 of 1956 as showing how even lawful activities (1) I.L.R. (2) A.I.R. 1957 Cal. 4. 1062 could be brought under the impugned rules. The notice	 so far as it is material	 runs as follows: " Whereas in the opinion of the. . General 	Manager	 you are reasonably suspected to be a member and office secretary of the B. N. Rly. Workers ' Union (Communist sponsored) and were thickly associated with communists such as Om Prakash Mehta	 B.N. Mukherjee	 R. L. Reddy	 etc.	 in subversive activities in such manner as to raise doubts about your reliability and loyalty to the State in that	 though a Government employee	 you attended private meetings of the Communists	 carried on agitation amongst the Railway workers for a general strike from November 1948 to January 1949 evidently to paralyse communication and movement of essential supplies and thereby create disorder and confusion in the country and that	 consequently	 you are liable to have your services terminated under rule 3 of the said Rules. " It is argued that it is not unlawful to be a member of the Communist Party or to engage in trade union activities	 and if this could form the basis of action under the rules	 the classification must be held to be unreasonable. Reliance was placed on the decision of this Court in The State of West Bengal vs Anwar Ali Sarkar (1)	 wherein it was held that a power conferred on the executive to select cases for trial by special courts under a procedure different from that of the ordinary courts with the object of ensuring " speedy trial " could not be upheld under article 14 as a valid classification	 and on the decision of the Madras High Court in Ananthanarayanan vs Southern Railway(2)	 wherein it was hold that the words " subversive activities " in R. 3 lacked definiteness. Now	 the principles applicable for a determination whether there has been a proper and valid classification for purposes of article 14 have been the subject of consideration by this Court in a number of cases	 and they were stated again quite recently in Budhan Choudhry and others vs The State of Bihar(3)	 and there is no need to repeat them. The only point that (1) ; (2) A.I.R. 1956 Mad. 220. (3) [1955]1 S.C.R. 1045	 1049. 1063 calls for decision in these appeals is whether the classi fication of persons on the basis of subversive activities is too vague to be the foundation of a valid classification. Mr. Umrigar insists that it is	 but his elaborate argument amounts to no more than this that the expression " subversive activities " may take in quite a variety of activities	 and that its contents are therefore wide. It may be that the connotation of that expression is wide	 but that is not to say that it is vague or indefinite. But whatever the position if the words "subversive activities " had stood by them selves	 they are sufficiently qualified in the Security Rules to be definite. Those rules have	 for their object	 the safeguarding of national security as recited in the short title. That is again emphasised in R. 3	 which provides that a member of the Railway service is not to be retired or his services terminated unless the authorities are satisfied " that his retention in public service is prejudicial to national security ". In our judgment	 the words " subversive activities " in the context of national security are sufficiently precise in their import to sustain a valid classification. We are unable to agree with the opinion expressed in Ananthanarayanan vs Southern Railway (supra) at p. 223 that the language of R. 3 is indefinite	 even when read with the words " national security". We are also unable to agree with the argument of the appellants based on the charges made against the appellant in Civil Appeal No. 46 of 1956 in the notice dated July 6	 1950	 that the expression "subversive activities " is wide enough to take in lawful activities as well	 and must therefore be held to be unreasonable for purposes of classification under article 14. The notice	 it is true	 refers to the appellant being a member of the Communist Party and to his activities in the trade union. It is also true that it is not unlawful to be either a Communist or a trade unionist. But it is not the necessary attribute either of a Communist or a trade unionist that he should indulge in subversive activities	 and when action was taken against the appellant under the rules	 it was not because he was a 1064 Communist or a trade unionist	 but because he was engaged in subversive activities. We hold that the Security Rules are not illegal as being repugnant to 	a article 14. (IIb). It is next contended that the impugned orders are in contravention of article 19(1)(c)	 and are therefore void. The argument is that action has been taken against the appellants under the rules	 because they are Communists and trade unionists	 and the orders terminating their services under R. 3 amount	 in substance	 to a denial to them of the freedom to form associations	 which is guaranted under article 19(1)(c). We have already observed that that is not the true scope of the charges. But apart from that	 we do not see how any right of the appellants under article 19(1)(c) has been infringed. The orders do not prevent them from continuing to be Communists or trade unionists. Their rights in that behalf remain after the impugned orders precisely what they were before. The real complaint of the appellants is that their services have been terminated; but that involves	 apart from article 31 1	 no infringement of any of their Constitutional rights. The appellants have no doubt a fundamental right to form associations under article 19(1)(c)	 but they have no fundamental right to be continued in employment by the State	 and when their services are terminated by the State they cannot complain of the infringement of any of their Constitutional rights	 when no question of violation of article 311 arises. This contention of the appellants must also be rejected. (IIc). 'it is then contended that the procedure pres cribed by the Security Rules for the hearing of the charges does not satisfy the requirements of article 311	 and that they are	 in consequence	 void. But article 311 has application only when there is an order of dismissal or removal	 and the question is whether an order terminating the services of the employees under R. 3 can be said to be an order dismissing or removing them. Now	 this Court has held in a series of decisions that it is not every termination of the services of an employee that falls within the operation of article 311	 1065 and that it is only when the order is by way of punishment that it is one of dismissal or removal under that Article. Vide Satish Chandra Anand vs Union of India (1)	 Shyam Lal vs The State of Uttar Pradesh and the Union of India (2)	 State of Bombay vs Saubhagchand M. Doshi (3)	 and Parshotam Lal Dhingra vs Union of India (4). The question as to what would amount to punishment for purposes of article 311 was also fully considered in Parshotam Lal Dhingra 's case (supra). It was therein held that if a person had a right to continue in office either under the service rules or under a special agreement	 a permature termination of his services would be a punishment. And	 likewise	 if the order would result in loss of benefits already earned and accrued	 that would also be punishment. In the present case	 the terms of employment provide for the services being terminated on a proper notice	 and so	 no question of permature termination arises. Rule 7 of the Security Rules preserves the rights of the employee to all the benefits of pension	 gratuities and the like	 to which they would be entitled under the rules. Thus	 there is no forfeiture of benefits already acquired. It was stated for the appellants that a person who was discharged under the rules was not eligible for re employment	 and that that was punishment. But the appellants are unable to point to any rule imposing that disability. The order terminating the services under R. 3 of the Security Rules stands on the same footing as an order of discharge under R. 148	 and it is neither one of dismissal nor of removal within the meaning of article 311. This contention also must be overruled. (111) It is next contended by Mr. Umrigar that the charges which were made against the appellant in Civil Appeal No. 46 of 1956 in the notice dated July 6	 1950	 have reference to events which took place prior to the coming into force of the Security Rules	 which was on May 14	 1949	 and that the order terminating the services of the appellant based thereon is bad as giving retrospective operation to the rules	 (I) ; (2) ; 	 (3) Civil Appeal No. 182 Of 1955. (4) Civil Appeal No. 65 of 1957. 1066 and that the same is not warranted by the terms there of. Now	 the rules provide that action can be taken under them	 if the employee is engaged or is reason;ably suspected to be engaged in subversive activities. Where an authority has to form an opinion that an employee is likely to be engaged in subversive activities	 it can only be as a matter of inference from the course of conduct of the employee	 and his antecedents must furnish the best materials for the same. The rules are clearly prospective in that action thereunder is to be taken in respect of subversive activities which either now exist or are likely to be indulged in	 in future	 that is to say	 which are in esse or in posse. That the materials for taking action in the latter case are drawn from the conduct of the employees prior to the enactment of the rules does not render their operation retrospective. Vide the observations of Lord Denman C. J. in The Queen vs St. Mary	 Whitechapel (1) and The Queen vs Christchurch (2). This contention must also be rejected. (IV) Lastly	 it was contended that the impugned orders were not passed by the competent authorities under the Security Rules	 and that they were	 therefore	 void. This contention is based on the fact that the authority competent to pass the orders under R. 3 is	 as regards the present appellants	 the General Manager	 and that the impugned orders were actually communicated to them by the Deputy Manager. But it has been found as a fact that the orders had been actually passed by the General Manager	 and that finding must be accepted. In the result	 the appeals fail	 and are dismissed with costs. The appellants who were permitted to file the appeals in forma pauperis will also pay the court fees payable to the Government. Appeals dismissed. (1) ; ; 116 E.R.811. (2) ; ; 	 825.

The Services of the appellants who were Railway servants	 were terminated for reasons of national security under section 3 of the Railway Services (Safeguarding of National Security) Rules	 1949. Notices served on them under that section to show cause charged them as follows: "Whereas in the opinion of the. General Manager	 you are reasonably suspected to be a member and office secretary of the B. N. Rly.	 Workers ' Union (Communist sponsored) and were thickly associated with communists such as Om Prakash Mehta	 B. N. Mukherjee	 R. L. Reddi	 etc.	 in subversive activities in such manner as to raise doubts about your reliability and loyalty to the State in that	 though a Government employee	 you attended private meetings of the Communists	 carried on agitation amongst the Railway workers for a general strike from November 1948 to January 1949 evidently to paralyse communication and movement of essential supplies and thereby create disorder and confusion in the country and that	 consequently	 you are liable to have your services terminated under rule 3 Of the said Rules". Orders of suspension were passed on them. They made their representations. The committee of Advisers on enquiry and after examining them found that the charges were true and the General Manager acting on its report terminated the services of the appellants	 giving them a month 's salary in lieu of notice. The appellants moved the High Court under article 226 of the Constitution and contended that the Security Rules contravened articles 14	 19(1)(c) and 311 of the Constitution and as such the orders terminating their services were void. The High Court did not decide the Constitutional validity of the Security Rules and dismissed the petitions on other grounds. Held	 that the words 'subversive activities 'occurring in Rule 3 Of the Railway Services (Safeguarding of National Security) Rules	 1949	 in the context of the objective of national security which they have in view	 are sufficiently precise in import to 1053 sustain a valid classification and the Rules are not	 therefore	invalid as being repugnant to article 14 of the Constitution. Ananthanarayanan vs Southern Railway	 A. I. R. 1956 Mad. 220	 disapproved. The charge shows that action was taken against the appellants not because they were Communists or trade unionists but because they were engaged in subversive activities. The orders terminating their services could not	. therefore	 contravene article 19(1)(c) of the Constitution since they did not infringe any of the rights of the appellants guaranteed by that Article which remained precisely what they were before. Article 311 of the Constitution can apply only when there is an order of dismissal or removal by way of punishment. As the terms of employment of the appellants provided that their services could be terminated on a proper notice and R. 7 Of the Security Rules preserved such rights as benefits of pension	 gratuities and the like to which an employee might be entitled under the service rules	 there was neither premature termination nor forfeiture of benefits already acquired so as to amount to punishment. The order ' terminating the services under R. 3 Of the Security Rules stood on the same footing as an order of discharge under R. 148 of the Railway Establishment Code and was neither one of dismissal nor removal within the meaning of article 311 of the Constitution. Article 311 had	 therefore	 no application. Parshotam Lal Dhingra vs Union of India	 Civil Appeal No. 65 Of 1957	 relied on. Satish Chandra Anand vs Union of India	 [1953] section C. R. 655	 Shyam Lal vs The State of Uttar Pradesh and the Union of India	 ; and State of Bombay vs Saubhagchand M. Doshi	 Civil Appeal No. 182 Of 1955	 referred to. Although the Rules are clearly prospective in character	 materials for taking action against an employee thereunder may be drawn from his conduct prior to the enactment of the Rules. The Queen vs St. Mary	 Whitechapel	 ; and The Queen vs Christchurch	 ; 	 referred to.