State Bank of India Act, 1955

The State Bank of India (SBI) initiated disciplinary proceedings against its employee, Snigdha Kanti Bagchi, for misappropriating customers' money. While the proceedings were pending, the employee’s service was extended for three months under Rules 20‑A and 20‑B of the SBI (Supervising Staff) Service Rules, 1975, to al…

The Supreme Court examined two appeals by the State Bank of India against Delhi High Court orders directing payment of pension and provident fund to former assistants A.N. Gupta and Gulati, who had retired on superannuation. The Bank argued that under Rule 11 of the Imperial Bank of India Pension Rules, pension could b…

P.O. Agrawal, a junior manager of State Bank of India, was repeatedly accused of misbehaving with senior officers and customers, leading to suspension and a series of disciplinary proceedings. After being acquitted in criminal trials, the bank’s disciplinary authority dismissed him, despite one charge being disproved. …

The Supreme Court examined the constitutionality of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978, which imposes a total ban on prize chit schemes. Petitioners argued that the ban violated the fundamental right to trade under Art.19(1)(g), was discriminatory under Art.14, and exceeded Parliament's l…

The Supreme Court considered a series of civil appeals arising from dismissals of bank employees who sought relief under various State Shops and Establishments Acts. The banks argued that the Acts did not apply to them because they were "establishments under the Central Government" and thus fell within the exemption in…

Shyamal Sengupta, a bank employee, died intestate leaving his widow Shipra Sengupta, his mother Niharbala Sengupta and his brothers as survivors. He had earlier nominated his mother as the nominee for his provident fund accounts. The widow claimed a share of the provident fund, arguing that the nomination was void afte…

The respondent, a clerk‑typist of State Bank of India, was due to superannuate on 26‑Dec‑2003 after 30 years of service but was granted an extension until 1‑Oct‑2010. Allegations of loan irregularities led to a suspension in August 2009, but the charge memo initiating disciplinary proceedings was issued only on 18‑Mar‑…

Several former army sepoys who joined the State Bank of India (SBI) as security guards sought admission to the SBI Employees' Pension Fund. Their applications were rejected on the grounds that they were over 35 years of age on the cut‑off date of 1 January 1965 (later raised to 38) and, for some, that their total servi…

The Supreme Court examined three disciplinary dismissals of State Bank of India employees—Vijaya Kumar, T. Dayakar Rao and A.K. Soundararajan—who were appointed by the Executive Committee of the Central Board but dismissed by the Chief General Manager (CGM). The High Court had set aside the dismissals, holding that the…

The Supreme Court examined the validity of Voluntary Retirement Schemes (VRS) introduced by State Bank of India and other nationalised banks, focusing on whether an employee’s application for retirement could be withdrawn before the bank’s acceptance despite a clause stating the request was irrevocable. The Court held …

The State Bank of India (SBI) was challenged by its Canteen Employees' Union, which claimed that canteen staff employed by Local Implementation Committees (LIC) under SBI's welfare scheme were de facto SBI employees and should be absorbed. The Industrial Tribunal held there was no employer‑employee relationship because…

The Supreme Court examined the claim of four specialist officers of the State Bank of India (SBI) that they were entitled to the higher starting salary (advance increments) granted to Probationary Officers, Trainee Officers and Rural Development Officers (RDOs) under the 1979 SBI Officers Order. The respondents argued …

The Central Government Industrial Tribunal awarded a customary bonus to State Bank of India employees, which the bank’s management challenged. While the award was pending, Parliament enacted the Banking Laws (Amendment) Act, 1984, inserting provisions in the State Bank Act and related statutes that prohibited any bonus…

The State Bank of India dismissed Deputy Manager Narendra Kumar Pandey after a departmental inquiry under its Officers Service Rules for twelve charges of misconduct, including fraud and misuse of bank facilities. Pandey did not attend any of the inquiry sessions, nor did he file a written defence, prompting the Inquir…

The All India State Bank Officers Federation filed writ petitions under Article 32 challenging the State Bank of India's 7 March 1989 promotion policy for moving officers from Senior Management Grade Scale V to Top Executive Grade Scale VI. The petitioners argued that the policy was arbitrary for raising the minimum se…

The respondent, Anjan Sanyal, a probationary officer of the State Bank of India (SBI), was transferred several times, including to the bank's Central Office in Mumbai, but repeatedly refused to join the postings and filed representations seeking cancellation. The Calcutta High Court, both a Single Judge and a Division …

The case concerned C.B. Dhall, a former Imperial Bank of India employee who, after being promoted to Head Cashier in the State Bank of India (SBI), was extended in service beyond his normal retirement date and later faced disciplinary charges. While the enquiry was pending, the SBI’s Central Board withheld sanction for…

Hindustan Construction Co. Ltd. (HCCL) entered into a dam construction contract with the State of Bihar and furnished two bank guarantees – a Performance Guarantee to the Chief Engineer and a Mobilisation Advance Guarantee to the Executive Engineer. The State invoked both guarantees, prompting HCCL to seek an injunctio…

The Supreme Court examined whether the State Bank of India's policy of promoting Middle Management Grade Scale II officers who had not completed the statutory two‑year line assignment and three‑year rural/semi‑urban service, by placing them in a provisional List B and later promoting them after they fulfilled the condi…

The cooperative society Mula Sahakari Sakhar Karkhana Ltd. entered into a turnkey contract for a paper plant with Pentagon Engineering, which required a 10% retention amount to be secured by a bank guarantee. State Bank of India issued a document on 4 September 1985 that purported to indemnify the society against losse…

The Supreme Court examined the State Bank of India's 1979 Conditions of Service Order, which placed Grade I officers confirmed before 31‑12‑1972 in Middle Management Grade Scale II and those confirmed after that date in Junior Management Grade Scale I. Petitioners argued that this bifurcation was arbitrary, amounted to…

Ajay Kumar Srivastava, a clerk of State Bank of India, was charged with seven counts of misappropriating bank funds. The enquiry officer found charges 2‑7 proved and charge 1 not proved. The disciplinary authority disagreed on charge 1, held it proved, but upheld the findings on charges 2‑7 and dismissed the employee. …

The case involved S.N. Goyal, a Branch Manager of State Bank of India, who was found guilty of temporarily misappropriating customers' funds. The disciplinary authority first recommended a reduction in pay, which the appointing authority tentatively approved but did not communicate. After consulting the bank’s Chief Vi…

The Supreme Court examined whether employees who retired under the State Bank of India Voluntary Retirement Scheme (VRS) of 2000 and had completed fifteen years of service were entitled to a proportionate pension under the SBI Employees' Pension Fund Rules. The Court held that the Central Board of Directors' approval o…

The Andhra Pradesh amendment of Section 73 of the Indian Stamp Act gave the Collector power to inspect, seize and impound any registers, books or documents, including those in banks, without any procedural safeguards. The High Court struck down this provision as unconstitutional, and the State appealed. The Supreme Cou…

The State Bank of India merged its Grade‑I and Grade‑II officers into a new Junior Management Grade effective 1 October 1979 under an order made under s.43 of the State Bank of India Act. Probationary and trainee officers appointed on 30‑31 October 1979 claimed seniority over the erstwhile Grade‑II officers, arguing th…