' SALEEM AKHTAR, J.---This appeal with the leave of the Court challenges the order of the Federal Service Tribunal whereby his appeal was dismissed solely on the ground that the appellant is not a civil servant.
2. The appellant was appointed as Assistant on. 16-5-1975 in the Leather Industry Development Organization. At present he is on deputation with the National Housing Authority. The appellant submitted an application for selection grade which was rejected by the Director-General on the ground that the Leather Industry Development Organization being an autonomous body, its employees are not eligible for selection grade. The appellant made representation and filed appeal before the Federal Service Tribunal which was dismissed with the following observation:-- "It appears from the documents placed on the record that both the Leather Industry Development Organization and the National Housing Authority are autonomous bodies although under the administrative control of the Ministry of Industries and the Ministry of Housing and Works respectively."
Leave was granted to consider whether in the facts and circumstances of the case the appellant is a civil servant and the Federal Service Tribunal has the jurisdiction to adjudicate the dispute. We have heard the appellant in person A and Mr. Mumtaz Ali Mirza, Deputy Attorney-General for the respondents. The appellant has repeated his contention that he is a civil servant. The learned Deputy Attorney-General very fairly placed before us the relevant provisions of the Constitution, the Rules of Business and the Minutes of Standing. Organization Committee to substantiate that the Leather Industry Development Organization was established under the administrative control of the Ministry of Industries and the appellant is a civil servant.
3. First reference has to be made to the provisions of the Constitution to show that LIDO is covered by the Federal Legislative List. In this regard reference has been made to item No,16 of Part I of the 4th Schedule to the Constitution which reads as follows:--- "No,16. Federal agencies and institutes for the following purposes, that is to say, for research, for professional or technical training or for the promotion of special studies."
' The learned Deputy Attorney-General also referred to the Rules of Business to show that Leather Industry Development Organization (LIDO) is under the control and management of the Ministry of Industries. Under rule 3(3) of the Rules of Business, the business of the Government shall be distributed amongst the Divisions in the manner indicated in Schedule II which can be modified from time to time by the Prime Minister. Schedule II describes the divisions with details of subjects which fall under that division and the distribution of business among the divisions. The Industries Division is listed at Serial No, 17, item No,5 of which reads as follows:--- "5. Federal agencies and institutions for--
(i) promoting industrial productivity;
(ii) promotion of special studies in the industrial fields; and
(iii) Testing industrial products."
' Considering the functions performed by the Leather Industry Development Organization it seems that its activity, responsibility and working fall within the ambit of Industries Division. Mr. Mirza has produced memo. Dated 18-1-1979 issued by the Cabinet Secretariat (Cabinet Division) bearing No, 13/CF/79 by which the President was pleased to constitute a Standing Organization Committee consisting of the Minister for Finance and Coordination, as Chairman, Cabinet Secretary, Secretary Establishment Division, Secretary Finance Division and Secretary, 0 & M Division. The terms of reference inter alia were to examine all proposals for reorganization of Federal Ministries, Departments and other Organizations. The Committee was also authorized to consider transfer of subjects from one Ministry to another where so warranted. This Committee in its 22nd Meeting held on 24-8-1987 under item No,3 decided conversion of LIDO to semi-autonomous body on regular basis to be financed from non-development budget. Staffing strength of 91 posts, four for LIDO Headquarters as already sanctioned by Financial Advisor and 48 posts for LPDC (S) at Karachi and Sialkot were also provided. These posts included Director-General in BPS-20, Deputy Director- General in BPS 19, Director in BPS-18, Assistant Directors in BPS-17 and other officers and employees ranging from Grade 17 to 1. From these documents and material reproduced above it is clear that LIDO is directly controlled, managed and financed by the Government of Pakistan under the authority derived from the Constitution and is placed under the administrative control of the Ministry of Industries. LIDO seems to have been created by a resolution passed by the Standing Committee of the Government of Pakistan and not under any statute or by incorporation under the Companies Act. It is just like a department of the Government of Pakistan. It is the duty and responsibility of the Federal Government to organize, constitute and develop federal agencies and institutions for research, professional or technical training or for promotion of special studies.
Leather Industry Development Organization is engaged in performing such duties. As this institution is promoting industrial activity and special studies in industrial fields, it falls under item No,5 of the Industries Division as provided by the Rules of Business. Therefore, as the appellant is employed with LIDO, he holds a civil post in connection with the affairs of the Federation and he is thus covered by section 2(b) of the Civil Servants Act, 1973.
4. It seems that the impugned judgment is based on the principle that an employee of statutory corporation or company incorporated under the Companies Ordinance, though controlled by the Government, is not civil servant. LIDO does not fall under any one of such categories because neither it is incorporated under the Companies Ordinance nor is a creation of any statute. Similar question came up for consideration in Mrs. M.N. Arshad v. Miss Naeema Khan PLD 1990 SC 612, namely, whether the employees of Islamabad College were civil servants. After referring to a host of authorities, it was observed as follows:--- "In Pakistan Corporations are not created by a Royal Charter but they are incorporated either by a statute like the Karachi Port Trust, incorporated under the Karcahi Port Trust Act, 1886, or by registration under a statute like companies under the Companies Act or associations under the Societies Act or cooperative societies under the Cooperative Societies Act or a trust under the Trust Act, etc. However, Corporations can also be created by an executive order under the authority delegated by an Act of the Parliament. In Pakistan we find such a delegation inter alia in section 3 of the Evacuee Trust Properties (Management and Disposal) Act, 1975 (Act XIII of 1975), which provides that the Federal Government shall constitute a body to be known as the Evacuee Trust Property Board, for the management and disposal of evacuee trust property and that the Board shall be a body corporate by the name aforesaid having perpetual succession and common seal, with power to acquire, hold and dispose of property, both movable and immovable, and to contract and sue and be sued in its name. It is an admitted position that the Resolution has not been passed in pursuance of any such delegated statutory power. In this view of the matter, the Board is neither a corporate body nor a juristic person competent to employ teachers. Mr. Bashir Ahmad Ansari has invited our attention to the factum that the employees of the Pakistan Broadcasting Corporation, the Pakistan Television Corporation, the WAPDA and the PIA have been held to be employees of corporate bodies and not civil servants though they are controlled by the Federal Government. This is so, for the reason that the corporate status of the above Organizations has been created by virtue of a statute or by virtue of registration as a corporate body under the Companies Act."
' We are therefore, of the view that appellant is a civil servant and the Federal Service Tribunal has the jurisdiction to hear and decide the appeal filed by him. We allow the appeal and remand the case to Federal Service Tribunal for decision on merits.