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Supreme Court of India

DELHI TRANSPORT CORPORATIONversusSHYAM LAL

Citation
2004 INSC 444
Decided
12 August 2004
Disposal
Case Partly allowed

Holding

The Tribunal’s refusal to approve the removal was erroneous because the workman’s admission of guilt is admissible evidence and the passenger’s statement is not hearsay, and the Division Bench erred by relying on unrelated cases; therefore the order of the Division Bench is set aside and the matter remitted for fresh consideration.

Summary

The respondent, Shyam Lal, a conductor for Delhi Transport Corporation, was found to have collected fare without issuing tickets and, after departmental proceedings, admitted his guilt and was removed from service. The employer sought approval of the removal under Section 33(2)(b) of the Industrial Disputes Act, but the Tribunal rejected the approval, deeming the admission irrelevant, the officer’s evidence indirect, and the passenger’s statement hearsay. The Delhi High Court overturned the Tribunal, granting approval, but the Division Bench of the High Court later set aside that order, restoring the Tribunal’s decision. On appeal, the Supreme Court held that the passenger’s statement is not hearsay and the workman’s admission is admissible and decisive evidence, and that the Division Bench erred by relying on unrelated cases. Consequently, the Supreme Court set aside the Division Bench order and remitted the matter to the High Court for fresh consideration, without expressing a view on the merits.

Issues considered

  • Whether the workman's admission of guilt is admissible and sufficient for removal under Section 33(2)(b) of the Industrial Disputes Act, 1947.
  • Whether the statement of the passenger who paid excess money constitutes hearsay and can be relied upon.
  • Whether the Industrial Tribunal was correct in refusing approval of the removal order.
  • Whether the High Court erred by considering precedents involving unauthorized absence, which are factually dissimilar.
  • Whether the Division Bench's order should be set aside on the ground of misapplying case law.

Legislation cited

Subjects

Industrial Disputes ActSection 33(2)(b)Removal from serviceAdmission as evidenceHearsayTribunal approvalLetters Patent AppealMisconduct

Judgment

A                  DELHI TRANSPORT CORPORATION
                                v.
                            SHYAM LAL

                             AUGUST, 12, 2004
B               [S.N.VARIAVA AND ARIJIT PASAYAT, JJ.]

       Industrial Disputes Act, 1947-Section 33(J)(b)-Approval of order
  of removal from services-Grant of-Workman committing misconduct-
  Removal from services-Tribunal rejecting approval of removal order
C sought, however High Court granting the same-Division Bench upholding
  order of Tribunal-On appeal, held: Evidence considered was not in the
  nature of hearsay evidence and there is admission ofguilt by the workman
  which is the best piece of evidence-Also Division Bench based its
  conclusions on cases on entirely different footings-Hence, order of
D Division Bench set aside and matter remitted back.

        Respondent-workman was working as a conductor. It was found
  during checking done by officer concerned that respondent collected
  money but did not issue tickets. Departmental proceedings were
E initiated and on finding him guilty charge sheet was issued against him.
  Thereafter respondent admitted his guilt and on basis of the same, he
  was removed from service. Appellant-Corporation made reference to
  the Tribunal for approval of the order of removal. Tribunal did not
  grant approval holding that the admission was really ofno consequence;
  that the officer who had conducted enquiry had no direct evidence; and
  that the statement made by the person who had paid the amount in
  question before the officer conducting the checking was in the nature
  of hearsay evidence. Appellant-employer challenged the order. High
  Court allowed the writ petition and granted approval for dismissal of
  the respondent-workman. Aggrieved respondent filed Letters Patent
G Appeal and the order of the Tribunal was upheld and that of the Single
  Judge was set aside. Hence the present appeal.

         Appellant-employer contended that the High Court erred in
    considering the instant case along with other cases which related to
H   unauthorized absence and the consequence thereof.
                                     508
                 D.T.C. v. SHY AM LAL [PASAYAT, J.]                509

     Respondent-workman contended that the Tribunal has analysed A
the factual and the legal position in its proper perspective and its
refusal to accord approval cannot be termed to be arbitrary.

     Partly allowing the appeal, the Court

     HELD =--Tribunal's conclusions are prima facie not correct. The B
statement made by the passenger, who had paid excess money, to the
checking officer is not in the nature of hearsay evidence. Also the effect
of the admission regarding guilt by respondent have not been consid-
ered in the proper perspective. It is a fairly settled position in law that
admission is the best piece of evidence against the person making the C
admission. It is, however, open to the person making the admission to
show why the admission is not to be acted upon. Furthermore, Division
Bench while dealing with Letters Patent Appeal filed by the workman
based its conclusions on other cases where the factual background was
not similar to those invo_Ived in the instant .case. Therefore, order of D
Division Bench of High Court is set aside and the matter is remitted
back to it for consideration of the case on its own merits in accordance
with law. [511-B-D)

     CIVIL APPELLATE JURISDICTION : Civil Appeal No. 9610 of
~                                                                        E
     From the Judgment and Order dated 25.9.2002 of the Delhi High
Court in L.P.A. No. 298 of 2002.

     T.L.V. Iyer and Ms. A. Subhashini for the Appellant.
                                                                         F
     H.K. Chaturvedi and Rishi Kesh for the Respondent.

     The Judgment of the Court was delivered by

      ARIJIT PASAYAT. J. : Delhi Transport Corportion (hereinafter
referred to as the 'employer') calls in question legality of the judgment G
rendered by a Division Bench of the Delhi Court in Letters Patent Appeal
No. 298/2002 filed by the respondent (hereinafter referred to as the
'workman')

     Background facts in a nutshell are as follows :                     H
    510                SUPREME COURT REPORTS [2004] SUPP. 3 S.C.R.

A       The respondent-workman was found to have committed misconduct
  while working as a conductor. He had collected money but had not issued
  tickets as was found during a checking done by the concerned officials.
  Departmental proceedings were initiated against him and he was found
  guilty. A charge sheet in this regard was issued to the workman on
B 22.12.1988 and he submitted his reply on 30.12.1988. Subsequently on
   13.1.1989 and 24.2.1989, the workman admitted his guilt and pleaded for
  leniency. Basing on his admission, he was found guilty in the departmental
  proceedings and removed from service.

          A reference was made to the Industrial Tribunal under Section
C 32(2)(f) of the Industrial Disputes Act, 1947 (in short the 'Act') for
    approval of the order of removal. The Tribunal did not accord approval
    being of the view that the admi3sion was really of no consequence and the
    officer who had conducted enquiry had no direct evidence and the
    statement made by the person who had paid the amount in question before
D   the officer conducting the checking was in the nature of hearsay evidence
    and was not of any consequence. Accordingly, the approval sought for was
    rejected. The employer challenged the order of the Tribunal before the
    Delhi High Court and a learned Single Judge by judgment dated 21.12.2001
    in CWP No. 6934/2000 and connected CMs, held tht the Tribunal's view
E   was not defensible. Accordingly, the writ petition was allowed and it was
    directed that approval in terms of Section 33(2)(b) of the Act was to be
    granted to the employer to dismiss the respondent-workman.

          The workman assailed the judgment of the learned Single Judge by
    filing Letters Patent Appeal. By the impugned judgment by which several
F   L.P.As and writ petitions were disposed of, the view of the Tribunal was
    restored and that of learned Single Judge was set aside.

          Learned counsel for the employer submitted that the High Court has
    fallen in grave errors by considering the present case along with other cases
G   which stood on different footings. They related to unauthorized absence
    and the consequence thereof. The present case stood on entirely different
    factual background and therefore, the High Court's judgment is not in
    order.

          Per contra, learned counsel for the respondent-workman submitted
H that the Tribunal has analysed the factual and the legal position in its proper
                      D.T.C. v. SHY AM LAL [PASAYAT, J.]                   511

    perspective and its refusal to accord approval cannot be termed to be A
    arbitrary.

          We find that the Tribunal's conclusions are prima facie not correct.
    The statement made by the passenger who had paid excess money to the
    checking officer is not in the nature of hearsay evidence. Additionally, the B
    effect of the admission regarding guilt as contained in the letters dated
    13.1.1989 and 24.2.1989 have not been considered in the proper perspec-
    tive. It is a fairly settled position in law that admission is the best piece
    of evidence against the person making the admission. It is, however, open
    to the person making the admission to show why the admission is not to
    be acted upon.                                                                C
r
           Be that as it may, we find that the Division Bench while dealing with
    Letters Patents Appeal filed by the workman based its conclusions on other
    cases which related to unauthorized absence and where the factual
    background was not similar to those involved in the present case. On that D
    short score alone, the order of the Division Bench is to be quashed. We
    set aside impugned judgment of the High Court and remit the matter back
    to it for consideration of the case on its own merits in accordance with law.
    We make it clear that we have not expressed any opinion on the merits
    of the case. The appeal is allowed to the extent indicated above with no E
    order as to costs.

    N.J.                                               Appeal partly allowed.


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