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Supreme Court of India

BASANTI PRASADversusTHE CHAIRMAN,BIHAR SCHOOL EXAMINATION BOARD AND OTHERS

Citation
2009 INSC 813
Decided
14 May 2009
Disposal
Appeal(s) allowed

Holding

The termination order was set aside as it was based on a conviction later nullified, and the widow is entitled only to pension, not back wages.

Summary

The appellant, a widow, sought retirement benefits for her deceased husband who had been an Assistant with the Bihar School Examination Board. He was convicted in 1989 under several IPC sections for tampering with examination marks and was dismissed from service in 1992 on the basis of that conviction. While his criminal appeal was pending, he died; the Sessions Court later acquitted him, setting aside the conviction. The widow’s representations for pension and back wages were rejected, and the High Court dismissed her writ petition, citing delay and acquiescence. The Supreme Court held that the dismissal was invalid because it was predicated on a conviction later nullified, and that the widow is entitled only to a pension, not arrears of salary. Consequently, the appeal was allowed and the termination order set aside.

Issues considered

  • Whether a service termination order based on a criminal conviction can be challenged after the conviction is set aside, despite the passage of time.
  • Whether the doctrine of laches or acquiescence bars the widow’s claim for retirement benefits.
  • Whether the widow is entitled to pension only or also to back wages and other monetary benefits.
  • Whether the employer must set aside the dismissal order in view of the acquittal.

Legislation cited

Subjects

service lawtermination of servicecriminal convictionacquittalpensionback wageslachesdelaywidow's rightsIndian Penal Code

Judgment

                           [2009J 9 S.C.R. 367


                           BASANTI PRASAP                            A
                                    v.
      THE CHAIRMAN, BIHAR SCHOOL EXAMINATION BOARD
                         AND OTHERS
                (Civil appeal No. 3564 of 2009)
                                                                     B
                              MAY 14, 2009
:"-
             [TARUN CHAITERJEE AND H.L. DAITU, JJ.]

             Service law - Retiral benefits - Claim of - Conviction
        order against employee under the provisions of Penal Code c
       - Termination of service during pendency of appeal -
        Thereafter, death of employee - Subsequently order of
       acquittal passed - Representation by employee's wife
       seeking retiral benefits, rejection of - Writ petition seeking
       monetary and service benefits as also interim application D
       seeking quashing of termination order - Dismissal of - LPA
       also dismissed - On appeal, held: Order of High Court not
      justified - Employee was dismissed on basis of conviction
       order - No departmental enquiry was held against delinquent
       employee - There was no negligence or /aches or E
       acquiescence on part of petitioner- Employee could not have
       questioned the dismissal till he was acquitted - Conviction
       order has been set aside by s(.Jperior forum and has become
       final - Writ court should have exercised its extraordinary
      jurisdiction by directing the employer to redress the grievance F
       of petitioner - Thus, matter should be remanded back -
       However, litigation Is pending for last one decade and
      petitioner is a poor widow - Dismissal order is set aside without
      back wages - Petitioner is only entitled to pension.

            G.M. Tank v State of Gujarat (2006) 5 SCC 446, Relied    G
      on.

          Moon Mills Ltd. vs. M. R. Mehar, President, Industrial
      Court AIR 1967 SC 1450; Maharashtra State Road Transport
                                  367                                H
    368      SUPREME COURT REPORTS                  [2009] 9 S.C.R.


A   Corporation vs. Ba/want Regular Motor Service (1969) 1 SCR
                                                                                        ~
    808; State of Madhya Pradesh vs. Nandlal Jaiswal (1986) 4
    SCC 566 and Shri Vallabh Glass Works Ltd. vs. Union of



B
    India (1984) 3 SCC 362, referred to.

      Lindsay Petroleum Co. v. Prosper Armstrong Hurd
  Abram Farewall and John Kemp (1874) 5 PC 221, referred
                                                                                •   I




  to.                                                                 .\<:


                          Case Law Reference:

c         AIR 1967 SC 1450        Referred to.           Para 15

          (1969) 1 SCR 808         ~eferred to.          Para 15

          (1874) 5 PC 221         Referred to.           Para 15             ....
          (1986) 4 sec 566        Referred to.           Para 16
D
          (1984) 3 sec 362        Referred to.           Para 17

          (2006) 5 sec 446        Relied on.             Para 22

        CIVIL APPELLATE JURISDICTION : Civil Appeal No.
E   3564 of 2009.

        From the Judgment & Order dated 12.07.2007 of the High
    Court of Judicature at Patna in LP.A. No. 521 of 2007.            ~


          Ranjan Mukherjee for the Appellants.                               J-1'

F
        Gopal Singh, Manish Kumar and Rohan Cama for the
    Respondents.

          The order of the Court was delivered by

G                                ORDER

          1. Leave granted.

         2. This is a petition for special leave to appeal under
    Article 136 of the Constitution from the judgment and order
H
                  BASANTI PRASAD v. CHAIRMAN, BIHAR SCHOOL 369
                         EXAMINATION BOARD AND ORS.
~<
                dated 12.7.2007 of the High Court of Judicature at Patna in         A
='-.            LP.A No. 521 of 2007. By the impugned judgment, the High
                Court has dismissed the appeal.

                    3. The relevant facts are, the appellant is the wife of
                deceased Bhrigu Ashram Prasad. While he was alive, he was
                                                                                    8
                working as an Assistant in Bihar School Examination Board.
           "'       4. Sometime in the year 1976, the appellant's husband was
                kept under suspension on account of initiation of criminal
                proceedings against the appellant's husband and other
  .t'           employees of the Board for tempering with the Marks Sheets          c
---f            of several candidates who had appeared in the Annual
   >._.
                Secondary School Examination.

                     5. On the complaint filed by the Board, the jurisdictional
           >(   police authorities had filed charge sheet against the appellant's   D
                husband and other employees of the Board under Section 420,
                467, 471, 458 and 120-B of the l.P .C. before Judicial
                Magistrate, Patna. After the trial, the Judicial Magistrate had
="I
                convicted the appellant's husband and other employees of the
                Board for the offences alleged in the charge sheet and
                                                                                    E
                sentenced them to undergo rigorous imprisonment for two
                years for each of the offences under Section 467, 468, 471 and
                120-B of the 1.P.C. by his order dated 7.2.1989.

       "             6. The appellant's husband and other charge sheeted
                employees had filed Criminal Appeals before the Additional          F
                Sessions Judge, Patna, being aggrieved by the order passed
                by the Judicial Magistrate, Patna.

                     7. While the appeals were pending for consideration, the
                Bihar School Examination Committee, Patna, by its order G
                dated 4th August, 1992, terminated the services of the
                appellant's husband, since he had been convicted by the
  <.4/
                learned Chief Judicial Magistrate, Patna; tor offences under
                l.P.C. in Crime Case No. 18/7/TR No. 121/1998 of Police
   ",...        Station Kotwali, Patna.
                                                                              H
    370      SUPREME COURT REPORTS                     (2009] 9 S.C.R.

                                                                            'f           ,_
                                                                                         ....
A        8. The appellant's husband expired during the pendency
    gf the appeal pefore the S?ssion$ Court, Patna. With the                             >-
    permission of the CQl,lrt, th~ appellant herein had contin1.,1ed to
    ~rC?s.~9ute the criminal appeal. The learneci Sessions J1.,1dge,
    Patna, has allowed th~ 13p,pe13.I§ i:md thereby has acquitted the
    appellant's husbanq and gthers.                                                    'I'
8
          9. After disposal of the criminal appeal, the appellant had       y

    approached the Bihar School Examination Committee by filing
    representations, inter alia representing, that, since her husband
    has been honourably acquitted by the Sessions Court in the
c   criminal appeal filed by him against the order of conviction
    passed by the Judicial Magistrate, the appellant's husband is
    deemed to have remained in service till the date of retirement                           1
                                                                                      ~
    from service and, therefore, she is entitled for all the retiral
    benefits of her late husband. Since her representations were
D   rejected by the Board (Committee}, the appellant was                         'f


    constrained to file the writ Petition before High Court of
    Judicature at Patna in C.W ...J.C. No. 14536 of 2005, inter alia
    seeking a writ in the nature of mandamus to the Bihar School
    Examination Board to settle all the monetary and service
E   benefits payable to her late husband. During the pendency of
    the writ petition, appellant had filed I.A. No. 1256 of 2007, inter
    alia requesting the court to issue a writ in the nature of certiorari
    to quash the order passed by the Board (Committee) dated 4th
    August, 1992, terminating the services of the appellant on the                    _,,.
F   ground that he has been convicted in a criminal case.

         10. The court has rejected the writ petition, primarily on the
    ground that, since the appellant's husband had not questioned
    the order of termination dated 4.8.1992, while he was alive and
    at this belated stage the appellant cannot be permitted to
G
    question the order of termination of services passed by the
    Board (Committee.), According to the learned Judge, the delay
    and !aches on the part of the appellant in questioning the said
    order by filing application on 26.2.2007 is fatal and the same                       '"
    cannot be condoned. It is also observed in the order, since the                      ...
                                                                                       ....,
H
-
                BASANTI PRASAD v. CHAIRMAN, BIHAR SCHOOL 371
                       EXAMINATION BOARD AND ORS.
               appellant's husband was terminated from service, in view of the      A
               order of conviction passedfby a criminal court and since that
               order is neither modified nor annulled by any superior forum,
               the appellant is not entitled to the relief sought for in the writ
               petition. The Letters Patent Appeal filed by the appellant is
               rejected by the High Court on the ground, that, the appellant's      B
         .,.   husband had not questioned the order of termination passed
               by the Board (Committee), while he was alive and, therefore,
    t'
               the appellant is not entitled for any relief, since according to
               them, it appears to be a case of acquiescence. The court has
               also obse1ved, that, nothing prevented the appellant's husband       c
               while he was alive to challenge the order of dismissal passed
               by the Board before the competent forum. The appellant is
.....,         before us in this appeal, being aggrieved by the aforesaid
               finding and the conclusion reached by the court in L.P.A. No.
               521 of 2007 dated 12.7.2007.
         ""                                                                         D
                     11. The learned counsel for the appellant would contend,
               that, the deceased employee while he was in service, did not
               challenge the order of dismissal passed by th,e Board
               (Committee), since the dismissal order was the direct result of
               his conviction by the learned Magistrate for the offences E
               punishable under the orovisions of Indian Penal Code.
               Assuming even he had questioned it before any superior forum,
               it would not have yielded any better result, since Bihar Service
               Code authorizes the employer to terminate the services of
               government employee, if he is convicted for offences punishable F
               under Indian Penal Code by a competent criminal court, and
               since the result of the appeal was 'obvious, the appellant's
               husband had not questioned the order, terminating his services
               by the Board. Further, the learned counsel would submit, even
               if he had filed Writ Petition under Article 226 and 227 of the G
               Constitution, he would not have been successful, since the Bihar
               Service Code authorizes the employer to severe the
               relationship of employer and employee, if for any reason, an
               employee is convicted for offences under the Indian Penal
               Code. It is also submitted, that the delinquent employee could H
    372      SUPREME COURT REPORTS                   [2009] 9 S.C.R.
                                                                          ~
                                                                                       ..
A   not have kept the petition alive before the High Court, on the
    ground, that, his criminal appeal is pending before the Sessions
    Court against the order of conviction passed by Judicial
    Magistrate. Therefore, it is pointed out by the learned counsel,
    that, the High Court has committed an error in rejecting the relief
B   sought by the appellant only on the ground, that, in the petition
    filed in the year 2005, the appellant could not have called in
    question the order of dismissal passed by the Board
    (Committee) against her husband in the year 1992. It is further
    argued by the learned counsel for the appellant that during the
c   pendency of the criminal appeal filed before the Sessions Court
    against the order of conviction passed by the learned
    Magistrate, the appellant's husband could not have sought for
    any relief from any other forum, since the order of dismissal was
    staring at the appellant and the cause of action for the appellant
    did arise only after disposal of the criminal appeal, wherein the
D                                                                         'f
    Sessio.ns Court has acquitted the appellant's husband and
    other employees of the Board.

          12. The learned counsel for the respondent in the course
    of his argument would submit; that, since the deceased                      •
E   employee did not challenge his order of dismissal from service             '
    during his life time, the High Court was justified in rejecting the
    appeal on the ground of acquiescence, estoppel and delay. It
    is further contended, that, since the appellant's husband has
    expired, the Board (Committee) cannot initiate any disciplinary            .,
                                                                                   I

F   proceedings in which charges alleged against the appellant's
    husband could have been proved and established. It is further
    submitted by the learned counsel for the respondent, that, the
    High Court was justified in rejecting the application filed by the
    appellant for amendment of the prayers made in the Writ
G   Petition, by making an application seeking additional relief in
    the year 2007. Lastly, it is submitted merely because, the                 .
    appellant's husband was acquitted of all the criminal charges·
    by the Sessions Court, it does not ipso facto would entitle the
    appellant for all the reliefs claimed in the writ petition and, at
    any rate, the appellant is not entitled to arrears of salary from
H
•                 BASANTI PRASAD v. CHAIRMAN, BIHAR SCHOOL                      373

-          ~·
                         EXAMINATION BOARD AND ORS.
                the date of termination till the employee is deemed to have            A
 '-:
                retired from service on attaining the age of superannuation. In
                aid of submission, the learned counsel brings to our notice the
                observations made by this Court in the case of G.M. Tank vs.


..
                State of Gujarat, (2006) 5 SCC 446.
                                                                                       8
                      13. Before the High Court, the principal question for
                consideration was whether the appellant should be non-suited
                only on the ground that she had belatedly questioned the order
-               of dismissal passed against her late husband in the year 1992
                in a petition filed in the year 2005 and the other incidental issue
                                                                                       c
                was, whether the appellant is entitled for monetary and service

 -              benefits in view of the order passed by the Sessions Court
                acquitting .the appellant's husband from the offences alleged
                against him under Indian Penal Code by setting aside the order
                passed by the Judicial Magistrate who had convicted him for
                those offences after a full fledge trial.                              D

                      14. In the normal course, we would not have taken
                exception to the order passed by the High Court. They are
                justified in saying that a delinquent employee should not be
                permitted to revive the stale claim and the High Court in              E
                exercise of its discretion would not ordinarily assist the tardy
       t        and indolent person. This is the traditional view and is well
                supported by plethora of decisions of this Court. This Court
 .._
                also has taken the view, that, there is no inviolable rule, that,
                whenever there is delay the. court must refuse to entertain. a         F
                petition. This Court has stated that the writ court in exercise of
                its extraordinary jurisdiction under Article 226 of the Constitution
                may condone the delay in filing the petition, if the delay is
                satisfactorily explained

       ~             15. Reference may be made at this stage to the decisions          G
                of this court in the case of Moon Mills Ltd. vs. M.R. Mehar,
                President, Industrial Court, AIR 1967 SC 1450 and
                Maharashtra State Road Transport Corporation vs. Ba/want
                Regular Motor Service, (1969) 1 SCR 808, wherein this court
                has approved the view expressed by the Privy Council in the            H
                                                                                       •
                                                                                       I
                                    -·
    374       SUPREME COURT REPORTS                     [2009] 9 S.C.R.
                                                                             ·+

A case of Lindsay Petroleum Co. vs. Prosper Armstrong Hurd
    Abram Farewa// and John Kemp (1874) 5 PC 221. The court
    had observed :-

          "Now the doctrine of laches in Courts of Equity is not an
          arbitrary or a technical doctrine. Where it would be
B
          practically unjust to give a remedy, either because the party       ,,
          has, by his conduct, done that which might fairly be
          ·regarded as equivalent to a waiver of it, or where by his
          conduct and neglect he has, though perhaps not waiving
          that remedy, yet put the other party in a situation in which
c         it would not be reasonable to place him if the remedy were
          af.terwards to be asserted, in either of these cases, lapse
          of time and delay are most material. But in every case, if
          an argument against relief, which otherwise would be just,
                                                                                       -
          is founded upon mere delay, that delay of course not                    '!
D         amounting to a bar by any statute of limitations, the validity
          of that defence must be tried upon principles substantially
          equitable. Two circumstances, always important in such
          cases, are, the length of the delay and the nature of the
          acts done during the interval, which might affect either party
E         and cause a balance of justice or injustice in taking the one
          course or the other, so far as relates to the remedy."
                                                                                  ~

        16. In State of Madhya Pradesh Vs. Nandlal Jaiswal                             .;.
    (1986) 4 sec 566, it was held as under:-
F         'There can be doubt that the petitioners were guilty of gross
          delay in filing the writ petitions with the result that by the
          time tne writ petitions came to be filed. If there is inordinate
          delay on the part of the petitioner in filing a writ petition
          and such delay js not satisfactorily explained, the High
G         Court may decline to intervene and qrant relief in the                  t

          exercise of its writ jurisdiction. The evolution of this rule of
          laches or delay is premised upon a number of factors. Of
          Course, this ·rule of laches or delay is not a rigid rule which
          can be cast in a strait jacket formula, for there may be
H         cases where despite delay and creation of third party rights
                                                                                             ~
        BASANTI PRASAD v. CHAIRMAN, BIHAR SCHOOL                       375
               EXAMINATION BOARD AND ORS.
           the High Court may still in the exercise of its discretion          A

-
r,.,
1
  l



  '
           interfere and grant relief to the petitioner. But, such cases
           where the demand of justice is so compelling that the High
           Court would be inclined to interfere in spite of delay or
           creation of third party rights would by their very nature be
"
           few and far between. Ultimately it would be a matter within         B
           the discretion of the court; ex hypothesi every discretion
           must be exercised fairly and justly so as to promote justice
           and not to defeat it. n

           17. In Shri Vallabh GlassWorks Ltd. Vs. Union of India              C
       (1984) 3 sec 362, it was observed:

           "While there are different periods of limitation prescribed
           for the institution of different kinds of suits by the Limitation
          Act, 1963, there is no such period prescribed by law in
           respect of petitions filed under Article 226 of the                 D
           Constitution. Whether relief should be granted to a
           petitioner under Article 226 of the Constitution where the
          cause of action had arisen in the remote past is a matter
          of sound judicial discretion governed by the doctrine of
          !aches. Where a petitioner who could have availed of the             E
           alternative remedy by way of suit approaches the High
           Court under Article 226 of the Constitution, it is appropriate
           ordinarily to construe any unexplained delay in the filing of
          the writ petition after the expiry of the period of limitation
          prescribed for filing a suit as unreasonable. This rule,             F
          however, cannot be a rigid formula. There may be cases
          where even a delay of a shorter period may be considered
          to be sufficient to refuse relief in a petition under Article
          226 of the Constitution. There may also be cases where
          there may be circumstances which may persuade the court              G
          to grant relief even though the petition may have been filed
          beyond the period of limitation prescribed for a suit. Each
          case has to be judged on its own facts and circumstances
          touching the conduct of the parties, the change in situation,
          the prejudice which is likely to be caused to the opposite
                                                                               H
    376      SUPREME COURT REPORTS                 [2009) 9 S.C.R.
                                                                                 )--



A         party or to the general public etc."

        18. We do not think it necessary to burden this judgment
                                                                                 fi'
  with reference to various decisions of this Court, where it has                ~
  been emphasized time and again, that, where there is
                                                                                 ~
  inordinate and unexplained delay and third party rights are                    t:::::-
B                                                                                ~
  created in the intervening period, the High Court would decline
  to interfere. However, if the delay is properly explained, and if    ,,.
  the third party rights is not going to be effected, the High Court
  may entertain the petition and consider the case of the
  ag.grieved person on merits.
c
         19. Now reverting back to the facts of this case, The               \.-
    services of the appellant's husband was terminated only on the
    ground, that he was convicted by a Judicial Magistrate for
    certain offences under the provisions of Indian Penal Code. It
D   is not a case where the delinquent employee was dismissed          •
    from service on the ground that he was charge sheeted by the
  , police for certain offences under Indian Penal Code after
    holding a departmental enquiry. In the later circumstances, the          ,._I
    delinquent employee could not have been heard to say that he
                                                                             ~
E did not question the order within a reasonable time, since the
    order of conviction passed by the Judicial Magistrate has
    nothing to do with the order passed by disciplinary authority.
    As we have already noticed, the dismissal was in view of the       +
    order of conviction passed by the Magistrate, till that order is
F set aside by a superior forum, the appellant's husband or the              \
    appellant could not have questioned the same till he was
    acquitted by the Sessions Court. In view of these peculiar               \
   circumstances, in our view, the High Court was not justified in
   rejecting the prayer of the appellant primarily on the ground of
                                                                             I-
   delay and laches on the part of the appellant in questioning the          '
G
   order of termination passed on 4.8.1992 in a petition filed in
   the year 2005. In the present case, we are of the opinion that
   there is no such negligence or laches or acquiescence on the
   part of the appellant as may disentitle her for grant of a writ.
   Having said so, the matter requires to be remanded back to
H
         BASANTI PRASAD v. CHAIRMAN, BIHAR SCHOOL 377
                EXAMINATION BOARD AND ORS.

 '"'   the High Court for taking a decision on the merits of the case.       A
       But taking into consideration the pendency of the litigation
       between the parties from last one decade and taking also into
       consideration the plight of the poor widow who is fighting the
       litigation before various forums with limited resources, we
       desist from remanding the matter and we intend to decide the          B
       matter on merits here itself in order to give quietus to this
'!'    litigation.

            20. What relief the appellant is entitled to is the main issue
       that falls for consideration.
                                                                             c
            21. The facts are not in dispute. The services of the
       appellant's husband was terminated only on the ground that he
       was convicted by a Judicial Magistrate for the offences under
       Indian Penal Code. That only means, no independent
       departmental enquiry was held against the delinquent                  D
.;,
       employee. In the appeal filed before the Sessions Court against
       the order of conviction, the appellant has succeeded. Since, the
       punishment imposed was based on an order of conviction and
       since the same is set aside by an order passed by a superior
       forum and that order having become final for various reasons,         E
       including the death of the appellant's husband, as natural
       corollary, the request of the appellant requires to be redressed
 +     by the employer and since that was not done, a writ court ought
       to have exercised its extraordinary jurisdiction by commanding
       the respondents to redress the grievance of the appellant
                                                                             F
       without resorting to a hypertechnical approach. In view of the
       above, the order passed by the respondents terminating the
       services of the appellant requires to be set aside and we do
       so.

            22. It is argued by the learned counse: for the respondent       G
       that if the delay is condoned and relief is granted to the
       appellant, the respondent had to bear the brunt of paying huge
       arrears of salarY and other monetary benefits and, secondly,
       direction to pay arrears of wages is not automatic and it
       depends on several factors. The learned counsel has drawn our         H
    378        SUPREME COURT REPORTS                [2009] 9 S.C.R:


A   attention to the observation made by this court in the case of
    G.M. Tan,k vs. State of Gujarat, wherein this court has stated :-

           "32. In the instant case, the appellant joined the
           respondent in the year 1953. He was suspended from
           service on 8-2-1979 and got subsistenc~ allowance of
B          Rs 700 p.m. i.e. 50% of the salary. On 15-10-1982
           dismissal order was passed. The appellant had put in 26
           years of service with the respondent i.e. from 1953-1979.
                                                                         ,,
           The appellant would now superannuate in February 1986.
           On the basis of the same charges and the evidence, the
c          department passed an order of dismissal on 21-10-1982
           whereas the criminal court acquitted him on 30-1-2002.
           However, as the criminal court acquitted the appellant on
           30-1-2002 and until such acquittal, there was no reason
           or ground to hold the dismissal to be erroneous, any relief
D          monetarily can be only w.e.f. 30-1-2002. But by then, the      ....
           appellant had retired; therefore, we deem it proper to set·
           aside the order of dismissal without back wages. The
           appellant would be entitled to pension."

E        23. The facts in the aforesaid decision is more or less akin
    to the facts and circumstances of this case. Therefore, the issue
    that we have raised for our consideration need not detain us
    for a long. Therefore, we are of the view that the appellant is
    not entitled to back wages. The appellant would be entitled to
    pension only.
F
       24. In the result, we allow this appeal. We set aside the
  order passed by the learned Single Judge in CWJC No.14536
  of 2005 dated 02.05.2007 as affirmed in LP.A. No. 521 of
  2007 dated 12.07.007. However, there shall be no order as to
G costs.
                                                                          ·~
    N.J.                                            Appeal allowed.


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