Salinder Kumar v. Cygnus Super Specialty Hospital, Kaithal and Others

Punjab & Haryana HC6 Apr 2026CWP/4729/2026

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THE HIGH COURT OF PUNJAB AND HARYANA AT…

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Salinder Kumar Vs Cygnus Super Specialty Hospital, Kaithal and Others — Punjab & Haryana HC (2026) — LawSathi Research

¶16

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¶25

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¶67

by statute, it is autonomous in its working, subject only to a provision, often times made, that it shall be bound by any directions that may be issued from time to time by Government in respect of policy matters.' So also a corporation incorporated under law is managed by a board of directors or committee of management in accordance with the provisions of the statute under which it is incorporated. When does such a corporation become an instrumentality or agency of Government ? Is the holding of the entire share capital of the Corporation by Government enough or is it necessary that in addition there should be a certain amount of direct control exercised by Government and, if so, what should be the nature of such control ? Should the functions which the corporation is charged to carry out possess any particular characteristic or feature, or is the nature of the functions immaterial ? Now, one thing is clear that if the entire share Capital of the corporation is held by Government, it would go a long way towards indicating that the corporation is an instrumentality or agency of Government. But, as is quite often the case, a corporation established by statute may have no shares or shareholders, in which case it would be a relevant factor to consider whether the administration is in the hands of a board of directors appointed by Government though this consideration also may not be determinative, because even where the directors are appointed by Government, they may be completely free from governmental control in the discharge of their functions. What then are the tests to determine whether a corporation established by statute or incorporated under law is an instrumentality or agency of Government. It is not possible to formulate an inclusive or exhaustive which would adequately answer this question. There is no cut and dried #formula, which would provide the correct division of corporations into those which are instrumentalities or agencies of Government and those which are not."

¶136

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Salinder Kumar v. Cygnus Super Specialty Hospital, Kaithal and Others

Case brief

What is this about?

A compact analysis

Salinder Kumar v. Cygnus Super Specialty Hospital, Kaithal and Others

Case brief

What is this about?

A compact analysis

Case details

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