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Supreme Court holds the National Book Trust is State under Article 12

The Supreme Court has held that the National Book Trust is an authority within the meaning of Article 12 of the Constitution, so fundamental rights can be enforced against it. The Court said the Government takes part in creating the Trust, appoints its Chairman, names members to its governing bodies and keeps a hold on its accounts, audit and rules. It noted that the Trust is audited by the CAG, and read that together with the Government's role in its finances as control that is deep and pervasive. The Trust had argued that it is registered as a society and earns part of its income from selling its own publications. The Court answered that financial freedom in one area cannot be read in isolation from the framework that governs the body. It dismissed the Trust's appeal and upheld a Delhi High Court judgment that had already treated it as State. The Court added that this status does not turn the Trust into a Government department, nor does it by itself give its staff the protection that Articles 309, 310 and 311 give Government servants.

Body: National Book Trust Provision: Article 12 Auditor: CAG Judgment upheld: Delhi High Court
Why it matters for exams: Article 12 defines State for the fundamental rights chapter, and the Supreme Court has now placed the National Book Trust inside it using the tests of Government control, appointment of the Chairman and audit by the CAG.
Kerala PSCUPSCSSC
6 November 2026 Source: LiveLaw

In plain words

NBT National Book Trust — A publishing body set up by Government resolutions and audited by the CAG.

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