Holding

The Board’s order of premature retirement was valid as it was exercised under the Regulations in public interest, the Member, Finance & Accounts was a competent authority, and no malafide intent was proved.

Summary

Parbodh Sagar, a Senior Accounts Officer of the Punjab State Electricity Board, saw his service record decline from "good" to "poor" and repeatedly filed unsuccessful litigations against the Board. The Board retired him prematurely under Regulation 3(i)(e) of the Punjab State Electricity Board Services (Premature Retirement) Regulations, 1982, upon reaching the age of 50, invoking public interest. He challenged the order on the grounds that it was passed malafidely and that the Member, Finance & Accounts, who issued the order, lacked authority. The Supreme Court held that the Board is empowered by the Regulations to retire an employee in public interest, that the Member, Finance & Accounts was duly authorized under Rule 14 of the Chairman’s Powers Rules, and that no factual basis existed to prove malafide intent or tampering of confidential reports. Consequently, the order of premature retirement was upheld and the appeal dismissed.

Issues considered

Whether the Punjab State Electricity Board had authority under Regulation 3(i)(e) to retire an employee upon attaining age 50 in public interest.
Whether the order of retirement was passed with malafide intent.
Whether the Member, Finance & Accounts was a competent authority to pass the retirement order.
Whether there was sufficient evidence of tampering of Annual Confidential Reports to support a claim of malafides.

Subjects

service lawpremature retirementpublic interestmalafideauthorityannual confidential reportdisciplinary actionemployee litigation

Judgment

A PARBODH SAGAR
v.
PUNJAB STATE ELECTRICITY BOARD AND ORS.

MAY 1, 2000

B [S.B. MAJMUDAR AND UMESH C. BANERJEE, JJ.]

Service Law :

Compulsory Retirement-Employee-Unsatisfactory service records-
Tendency to reso11 to unsuccessful litigations-Premature retirement on attain-
c ing the age of 50 years in public interest-Validity of-Held, employee had
become a liability than an asset to the employer-Employer has power under
the Regulations to retire an employee in public interest-Order of premature
retirement upheld-Punjab State Electricity Board Services (Premature Retire-
ment) Regulations 1982-Regulation 3(i)(e).
D
'Malafide'-Allegations of-Held, there cannot be any set guidelines for
proof of malafides-It has to be appreciated from the facts and records of each
case-Mere averments not sufficient-Factual suppon penaining to allega-
tions must.

E Words & Phrases :

'Malafides'-Meaning of

Appellant was working as Senior Accounts Officer with Respondent-
Board. His service record though initially "good'' but subsequently started
F deteriorating to "average" "just average" and lastly "poor''. Appellant
umuccessfully filed several litigations against the Board challenging his
stoppage of increments, supersession etc. etc. Respondent-Board passed an
order prematurely retiring him on attaining the age of 50 years under
Regulation 3(i)(e) of the Punjab State Electricity Board Services (prema-
G ture retirement) Regulations, 1982. Appellant's Writ petition challenging
the said order was dismissed by High Court. Hence the present appeal.

On behalf of appellant, it was contended that the order of compul-
sory retirement was passed 'malfidely', and the member, Finance & Ac·
counts who passed the orders was not a competent authority to exercise
H the power.
866
PARBODH SAGAR v. PUNJAB STATE ELECTRICITY BOARD 867
._, ~ Dismissing the appeal, the Court A
HELD: 1.1. Respondent-Board has power under Regulation 3(i)(e)
of the Punjab State Electricity Board Services (Premature Retirement)
Rules, 1982 to retire an employee in public interest. Thus, Respondent-
Board was justified in prematurely retiring the appellant from senice on
attaining the age of 50 years in public interest. [878-E-F] B

..... 1.2. Not only there has been a steady decline in appellant's progress
as would be appearing from the annual Confidential Report but he was
indulging in litigation against the Company one after the other. Instead of
improving his capability as an employee of the Board so that the Board
could obtain maximum benefit from out of his services, his litigations spirit c
prevailed upon him. Thus, appellant become a liability to the Board than
an asset. In such a situation an employer is at liberty to take appropriate
steps including cessation of employer-employee relationship.
[874-G-H; 877-E-F; H; 878•A]
D
2. The expression 'malafide) is not a meaningless Jargon and it has its
proper connotation. Malice or malafides can only be appreciated from the
records of the case in the facts of each case. There cannot possibly be any
set guidelines in r,egard to the proof of malafides. Malafides, where it is
~ alleged, depends upon its own facts and circumstances. There must be
E
factual support pertaining to the allegation of malafides. Mere user of the
word 'malafide' would not by itself make it established. The Court must
scan the factual aspect and come to its own conclusion. In the instant case,
tampering of Annual Confidential Reports have been alleged but there is
no evidence in that regard to come to the conclusion of malafides. Thus on
facts, the allegation of malafides is unsustainable. [877-G-H; 878-B-C] F
3. Chairman of the Board in exercise of his powers is terms of Rule 14
of the Punjab State Electricity Board (Chairman's Powers) Rules, 1959 had
prescribed the functions and duties of the members of the Board including
the member, Finance & Accounts. Item 6 of the said allocation provides that
all disciplinary cases of Dy. Chief Auditors, Dy. Finance Advisors, Sr. ACs. G
& A Os. ought to be considered by the Member, Finance & Accounts. Fur-
ther, only on the recommendation of the High Power Committee, appellant
was prematurely retired from service. Thus, the contention of the appellant
that the order of retirement was passed in unauthorized exercise of power
cannot be accepted. [870-F-H; 871-A-G; 872-F-G] H
868 SUPREME COURT REPORTS [2000] 3 S.C.R.
A CIVIL APPELLATE JURISDICTION : Civil Appeal No. 3059 of 2000.

From the Judgment and Order dated 29.4.98 of the Punjab & Haryana
High Court in C.W.P. No. 5914 of 1998.

G.S. Bajwa and Ashok Mathur for the Appellant.
B
(Nidhesh Gupta), for Ms Minakshi Vij, Harinder Mohan Singh for the
Respondents. ...(_

The Judgment of the Court was delivered by

C BANERJEE, J. Leave granted.

The challenge in this appeal is a judgment of the Punjab & Haryana
High Court rejecting a writ petition against an order of pre mature retirement
on the attainment of the age of 50 years. .)-.

D The challenge, however, is based on two principle counts - on the first
it is the issue of malafides and on the second it i~ the uncommunicated adverse
reports: undoubtedly both these counts are rather serious in nature and success
in regard ·to any one of the counts would entitle the appellant herein to
appropriate relief. Before, however, embarking on to a detail discussion
pertaining to the above-noted twin issues the factual backdrop ought to be
E
adverted at this juncture.

The petitioner being a Chartered Accountant joined the Respondent
Electricity Board as an Accounts Officer on 15th April, 1988 and was pro-
moted to the post of Senior Accounts Officer retrospectively with effect from
F 29th January, 1989 in pursuance of an order passed on 21st August, 1990. The
Respondent No. 3 happens to be the Member, Finance and Accounts while
the Respondent No. 4 the Chief Auditor of the Board. It is, however, on record
that both the above named two respondents have retired from the services of
the Board. Whereas it is the grievance of the a~lant that the appellant
petitioner has been discriminated against Shri V.K. Verma under the
G machination of Shri T.S. Gujral being the Respondent No. 3 herein, the
respondents contended that by reason of systematic failure to discharge his
)-
duties in a manner as was expected of the petitioner and there being no sign
of any improvement at any stage later, question of any machination on the
part of either of the Respondents named above, does not arise. A specific
H case as made out by the Appellant is that the petitioner has been regularly
PARBODH SAGAR v. PUNJAB STATE ELECTRICITY BOARD [BANERJEE, J.] 869

and successively victimised by Respondent-Board at the behest of Shri T.S. A
Gujral-Respondent No.3 and sh.ii V.K. Verma-Respondent No. 4 herein. The
petitioner contended that he has been ignored for promotion first as a Deputy
Chief Accounts Officer and thereafter as Chief Accounts Officer dispite ~
categorical directions issued by courts while proceeding to allow the writ
petition instituted by the petitioner and it is this state of affairs which cannot
B
but, as contended b~ the learned Advocate for the petitioner, be ascribed to
be malafide on the part of the respondents which culminated in an order of
premature retirement in April, 1988. The respondent, however, disputed any
. victimisat~on or discrimination and in this perspective placed strong reliance
on the Annual Confidential Roll of the appellant herein. For convenience
sake, however, the Confidential Roll in a tabular form is set out herein below: c
Year Remarks Integrity
01.04.87 to 31.12.87 Good Honest
01.01.88 to 31.03.88 Average Honest
D
01.04.88 to 19.08.88 Average Honest
22.08.88 to 27.12.88 Average Honest
28.12.88 to 05.05.89 on earned leave
08.05.89 to 06.10.89 Average Good
E
-~.
12.10.89 to 31.03.90 Good Honest
30.04.90 to 31.03.91 Average Honest
01.04.91 to 31.03.92 Average Honest
01.04.91 to 31.03.92 Average Honest F
01.04.92 to 31.03.93 Average Honest
Two increments ordered to be stopped with Future effect
vide 0/0 No.61/DSl/D-664 dt. 21.1.94
01.04.93 to 07.07.93 Average Honest G
13.07.93 to 31.03.94 Period of Reporting Officers less
than three months/on earned leave.
01.04.94 to 02.10.94 Average Honest
03.10.94 to 31.03.95 Just Average Honest H
870 SUPREME COURT REPORTS [2000] 3 S.C.R.
A 26.06.95 to 31.12.95 Poor with adverse As he is not
remarks (copy of talcing interest in ~..,..
memo No. 3653 dt. the office work,
20.3.96 Enclosed). he cannot be Said
to be honest to
His work/duty
B
01.01.96 to 31.03.96 Period of Reporting Officer is less
than three months.
The Officer was 'Censured' vide 0/0
No. 85/DS. In./D-31 dt. 27.11.96.
c 01.04.96 to 31.03.97 Average Honest.
01.04.97 to 31.03.98 ACR not yet received.
The performance of the petitioner as would appear from Annual
Confidential Reports as above, though originally 'Good' from the year 1987
to 1990 but it subsequently deteriorated to only 'Average' and 'Just Average'
D
and lastly in 1995 the petitioner was given the rank of 'Poor': the Petitioner's
counterpart, however, by reason of the factum of securing better percentages
and by reason of their sincere devotiotl to duty have been able to obtain the
rating as 'Good' and 'Very good' and resultantly thus, persons having 'Good'
and 'Very good' remarks were promoted at the time of placement: Question
E of there being any discrimination, the respondents contended, thus does not
and cannot arise.
Be it place on record that during the course of hearing strenuous
submissions have been made as regards the authority of the person passing
the order of compulsory retirement. It is useful to note that the Punjab State
F Electricity Board Services (Pre-mature Retirement) Regulations, 1982 has
been taken recourse by the Board in support of the order impugned before
the High Court since the order itself records that the competent authority has
decided in public interest to order pre-mature retirement in pursuance of
Regulation 3 (i) of the Regulations of 1982. It is on this count, however, the
learned Advocate appearing in support of the Appeal contended that the
G
Member/Finance & Accounts had no authority whatsoever to act as the
competent authority and to pass the order on the date of the issuance of
the order. Strong reliance was placed on the Office Order dated 19th August, }-
1997, wherein the Chairman of the State Electricity Board in exercise of
power in terms of Rule 14 of the Punjab State Electricity Board (Chairman's
H Powers) Rules 1959 prescribed the functions and duties amongst the whole
PARBODH SAGAR v. PUNJAB STATE ELECTRICITY BOARD [BANERJEE, J.] 871
time members of the Board including Shri T.S. Gujral. For convenience sake, A
the allocation of business of Shri T.S. Gujral, being the Member/Finance &
Accounts be noted hereinbelow:

"Shri T.S. Gujral, Member/Finance & Accounts.

(1) Finance & Budget B
(2) Revenue & Expenditure

(3) Accounts & Audit

(4) Banking arrangements.
c
(5) Loans/borrowings, investments and reserves

(6) Disciplinary Cases of Dy. CAs, Dy. FAs, Senior AOs and AOs.

(7) Appeals of Non-gazetted Estt. i.e. ARAs/IAs/Divisional Ac-
countants/Revenue Superintendent/SAS Accountants etc. whose D
appointing & punishing authority is CAO/CA.

(8) Matters relating to Chief EngineerffA& 01.

Relying on the aforesaid allocation it has been contendeq in support
of the Appeal that item No. 7 provides for Appeal of Non-Gazetted officers
whose appointing and functioning authority is CAO/CA and since the Ap-
E
pellant ·is a Deputy Chief Auditor,_ question of the Member/Finance &
Accounts, passing an order of premature retirement does not arise. It is
needless to note, however, that the petitioner being at the relevant time, the
Deputy Chief Auditors and since in terms of paragraph 6 of the allocation
(as above), all disciplinary cases of Dy. Chief Auditors, Dy. Finance Advisors, F
Senior AOs and AOs ought to be considered by the Member/Finance &
Accounts and Shri T.S. Gujral being the Member/Finance & Accounts,
question of any unauthorised exercise of power does not and cannot arise.
It is pertinent to note that the order itself records.the consideration of the
petitioner's case by the High Empowered Integrity Committee and the
G
observations of the Committee are somewhat significant, as such the same
are set out herein below :
....
"It is observed that during the last 10 years, his ACRs for a short
period of little more than a year viz. 1.4.87 to 31.12.87 (9 months)
and 12.10.89 to 31.3.90 (five and half months) are Good and rest H
872 SUPREME COURT REPORTS [2000] 3 S.C.R.
A are average, or poor. During the period 26.6.95 to 31.12.95 when his
over all rating is poor with adverse remarks there is another remark
in the honesty column "that he is not taking interest in the office
work and as such he cannot be said to be honest to his work/duty.
The officer has not shown any improvement and instead his
confidential record is on the decline.
B
In addition to above for the serious omissions and commissions
made by the officer in the performance of his duties, he was issued
charge-sheet and orl its finalisation, he was given a punishment of
stoppage of two annual increments with cumulative effect vide office
c order No. 61/DSS-I/D-664 dated 21.1.94. This punishment has been
upheld even by the Punjab & Haryana High Cowt. In another case
of misconduct of using derogatory remarks against his controlling
officer, he was issued a letter of advice on 2.1.96. Still in another case
of absence from duty without sanction of leave, he was issued a show
cause notice and was censured vide 0/0 No. 85/DS-1/D-31, dated
D 27.11.96.

Keeping in view the over all service record/ACR record of the
officer which does not show any improvement during the last 10
years, the HEIC concludes that it is not in public interest to keep such
type of officers in the service of the Board. The Committee, therefore
E
recommends to prematurely retire the officer as per PSEB Service
(Premature Retirement) Regulations, 1982 as amended from time to
time by paying him salary for 3 months in lieu of the notice period
required."

F Be it noted that it is on the recommendations of the HCIC that the
appellant was retired pre-maturely in te1ms of the Regulations of the Prema-
ture Retirement.

On the wake of the aforesaid, question of acting beyond the jurisdiction
or without jurisdiction in so far as the issuance of the order by Shri T.S. Gujral
G does not and cannot arise. Paragraph 6 of the allocation amply authorises Shri
Gujral to exercise his powers thereunder and to pass appropriate orders in
regard thereto on the basis of the recommendations of the High Power
Committee. We do not see any infraction of law neither there is any exercise
of power in contravention of rules or regulation or authorisation and in that
H view of the matter we are unable to record our concurrence with the submis-
I

t

PARBODH SAGAR v. PUNJAB STAIB ELECTRICITY BOARD [BANERJEE, J.] 873
sions of the Appellant. A
Having dealt with the issue of authority as above, it would be conven-
ient to advert to the two specific counts of challenge as noticed above. The
basis of this charge is ~alice which in common acceptation, means and
implies spite or ill will and the same is a question of fact.
B
On the score malafides, the High Comt has the following to observe:

"Overall record of t11e petitioner has been considered where it
has been found that almost t11e entire record of the petitioner for the
last ten yeas was average and there was adverse remarks contained
in the confidential report for the year 1995. Not only that the peti- c
tioner was issued a charge sheet and was given a punishment of
stoppage of two increments with cumulative effect, the said order
was contested by the petitioner in the High Court but without any
success. In another case of misconduct of using derogatory remarks
against the controlling officer, the petitioner was issued letter of
advice and yet in another case of absence from duty without sanction D
of leave, the petitioner after issuing a show cause notice was cen-
sured. The impugned order has been passed on 6.4.1998 as even as
per the showing of the petitioner only three reports from 1987 to
1996 are good. Thereafter it is a steady decline in the work and
conduct of the petitioner. Right from 1991 upto 1996-97, he has been E
shown just average or below average. In so far as adverse remarks
recorded in tlle confidential report of the year 1995 are concerned,
we would like to mention here tllat the petitioner challenged t11e said
remarks by way of writ petition which earlier came up for disposal
before this Court and the same was witlldrawn so as to approach tlle
F
department. It is clear tllat t11e Court had not found any substance in
the contentions raised by the petitioner in tlle writ petition and,
tllerefore, the writ petition was witlldrawn. The order passed in tlle
aforesaid writ petition runs thus :-

"Learned counsel for the petitioner states that this writ petition G
may be dismissed as withdrawn with liberty to the petitioner to
approach the authority on administrative side. Permitted to do so.
Writ Petition is dismissed as withdrawn."

The petitioner thereafter filed representation/appeal but the same
were rejected by the Board on 12.8.~997 (Annexure P-8). A reading H
874 SUPREME COURT REPORTS [2000] 3 S.C.R.
A of order of rejection of the representation would make it out that the "\~
petitioner had even earlier filed representation on 12.4.1996 against
,4&
' the adverse remarks contained in the annual confidential report for
.• ' 1the year 1995 and the same was considered and rejected vide orders
. '·
dated 19.11.1996. It appears that the petitioner had concealed this
fact while withdrawing the earlier writ petition seeking permission
B
to file a representation. Had he disclosed this fact to the Court, in
all probability his writ petition would have been decided and not
permitted to be withdrawn. Be that as it may, the fact remains that
the representation of the petitioner against adverse remarks con-
tained in his confidential report for the year 1995 stood rejected on
c 19.11.1996. After he sought permission to move on the administra-
tive side and file yet another representation, the same was also
rejected vide Annexure P-8 dated 12.8.1997. The petitioner has also
alleged malafides but considering the fact that his reports for the last
ten years as per the impugned order Annexu1¥! P-18 are all average
but for one year and as per his own showing at page 4 his record
D
is only good for three years and the1r!ajier there is decline in his wo1*
and conduct tlnvug/wut upto the date when the impugned order was
passed, this Court cannot even primafacie come to a conclusion that
average reports given to the petitioner rightfmm 1990-91 uptill date
wern actuated on account of malafides." (Emphasis supplied)
E
The narration above, though longish in nature, has been reproduced for
the sake of brevity, as otherwise, this Comt would have to deal with rather
longish submission appropriately. The factum of initiation of the Writ Peti-
tions is well pronounced in the narration above, but one other factor which
F the High Comt has thought it fit to omit, but in our view ought to be noted
with certain amount of detail by reason of the specific conduct of the Writ
Petitioner-Appellant. Not only there has been a steady decline in progress as
would be appearing from the Annual Confidential Report but the Petitioner
has indulged in litigation against the Company one after the other, as detailed
hereinbelow, without any hesitation whatsoever though, however, without any
G succe;;s in order to bring home the charge of malafides against the Respond-
ent-Corporation.

(a) The Civil Writ Petition No. 12733 of 1989 was filed immediately
after issuance of the charges as regards the making of forge entry relating to
H misappropriation of a sum of Rs. 58,500 on 15th September, 1989. The
PARBODH SAGAR v. PUNJAB STATE ELECTRICITY BOARD [BANERJEE, J.] 875
statement of allegation was challenged by the Petitioner (during the pendency A
of the Civil Writ Petition under discussion). A preliminary inquiry was
completed and upon consideration of the reply, the competent authority
ordered a regular inquiry and accordingly an Enquiry Officer was appointed
and a regular Enquiry was conducted. Enquiry Officer, as appears from the
records, duly submitted his report on 1st March. 1993 and a copy of which
B
was given to the Petitioner-appellant herein. The Petitioner, however, did not
take any further step against the enquiry Report, by reason wherefor the
competent authority upon consideration of all the aspects of the case ordered
stoppage of two annual increments of the Petitioner-appellant with future
effect. The order as passed by the competent authority was subject to the final
decision of the pending writ petition and during the course of hearing of the c
writ petition, however, before the Court, the petitioner-appellant withdrew the
petition with liberty to file a fresh writ petition.

(b) The Writ Petition being Writ Petition No. 9940 of 1995 was filed
by the petitioner-appellant challenging the Enquiry Report, as above, how-
D
ever, was dismissed by the High Court vide its order dated 3 lst March, 1997.

(c) The petitioner-appellant also filed the Writ Petition being No. 16227
of 1989 challenging the selection and appointment of Shri T.S. Gujral being
the Respondent No. 3 herein, as the Financial Advisor by the Board through
direct recruitment. The High Court, however, was pleased to dismiss the same E
vide its order dated 9th January, 1991.

(d) By the other writ petition being Writ Petition No.8215 of 1993 the
Petitioner-appellant herein prayed for a direction that the Respondent-Board
ought to consider him for promotion as Financial Advisor, which post had
fallen vacant on appointment of Shri T.S. Gujral as Member/F & A on F
22.6.1993. The aforesaid Writ Petition was also dismissed by the High Court
vide its order dated 8.9.93.

(e) By another writ petition being No. 528 of 1994, the Petitioner
challenged the action of the Board for re-advertising the post of Financial G
Advisor, be it noted that the petitioner had applied for the post of Financial
Advisor, the High Court, however, was pleased to dismiss the writ petition
vide its order dated. 31.3.1997.

(f) The other writ petition filed by petitioner being No. 3367 of 1989
contained a chatlenge in regard to the promotion.of Shri K.S. Bahri and Shri H
876 SUPREME COURT REPORTS [2000) 3 S.C.R.

A Gajender Singh. The High Court, however, by an order dated 31.3.1997
allowed the writ petition with a direction that the petitioner's claim for
promotion to the post of Deputy Chief Accounts Officer, be considered with
effect from the date Respondent Nos. 4 and 5 therein were promoted i.e.
December 27, 1988 and in the event, the petitioner being found suitable for
promotion, consequential relief shall follow.
B
Incidentally, be it noted that the Board vide its order dated 23.5.1997
and 7.10.1997 granted a deemed date of promotion to the post of Deputy
Chief Accounts Officer with eJJect from 27th December, 1988 - obviously this A:
grant of promotion runs counter to the petitioner's submission pertaining to ..,,
C malafides or a deliberate attempt to whittle down the capacity of the petitioner
to work.

(g) The petitioner moved yet another w1it petition being Writ Petition
No. 8638 of 1995 wherein the petitioner-appellant challenged the promotion
of Shri K.R. Rabra as Chief Accounts Officer (Revenue) on the ground ).~-
D that Shri Rabra was junior to the petitioner-appellant herein both as an
Accounts Officer or as the Deputy Chief Accounts Officer. Upon hearing the
matter, the High Comt, however, allowed the petition and directed the re-
spondents to consider the petitioner's claim for promotion with effect
from the date the persons junior to him were promoteii. The Board, however,
E considered the matter in terms of the direction of th0 High Court and it was
observed :

"that the post of Chief Accounts Officer/EA. & C.A.O. are selection
posts and as such these are filled up only on merit. The service and
ACR records of Shri Prabodh Sagar who is senior to Shri K.R. Rabra
F and Shri S.C. Seth as Deputy C.A.O. was considered and it was found
that even if the effect of punishment to stoppage two increments with
cumulative effect ordered vide Office Order No. 61/DSI-D-664 dated
21.1.94 is not taken cognizance of as per High Court judgment, he
can still not be promoted as his ACR record for the last many years
in only Average and is not upto the required standard for a selection
G
post. On the other hand, the ACR record of other officers is Good/
Very Good and is distinctly better than that of Shri Prabodh Sagar.
Even subsequently Slrri Prabodh Sagar has not shown any improve-
ment as his next year ACR of 1995-96 is of 'Poor' rating. Accord-
ingly, Shri Prabodh Sagar is not found fit for promotion to the
H selection post of Chief Accounts Officer (Revenue)/FA & CAO."
PARBODH SAGAR v. PUNJAB STATE ELECTRICITY BOARD [BANERJEE. J.] 877
-,,l (h) The petitioner thereafter moved another writ petition (No. 8638 A
of 1995) but since the same are pending, we do not wish to record any
observations pertaining thereto and the issues therein are left open.

(i) Subsequently, the petitioner moved another Writ Petition being No.
1280 of 1997 wherein the challenge was in regard to adverse remarks in the
Annual Confidential Roll for the periods From June, 1985 to December, 1985. B
The Writ Petition, however, met the same fate and was dismissed by the High
~ Coint on 20th January, 1997.

(j) Thde is yet another writ petition filed being Writ Petition No. 3935
of 1998 wherein the petitioner again challenged the promotion of Shri K.R.
Rabra as Chief Accounts Officer/Revenue and the promotion of Shri S.C.
c
Seth as Financial Advisor and Chief Accounts Officer, the same is still now,
however, is pending.
-:..>\ As noted above, the High Court has not highlighted this aspect of the
matter, though the same were brought to the notice of the High Court, we D
do not know for that reasons, neither we intend to delve into it but the fact
remains that the comment of the learned Advocate appearing for the Board
during the course of hearing before his Court that the litigatious spirit of the
petitioner has, in fact. brought into effect the exercise of jurisdiction of the
-~ writ court to a ludicrous extent. We do find some justification in the criticism
of the learned Advocate for the Board vis-a-vis the conduct of the Petitioner/ E
Appellant herein. The Petitioner has been, as noted above, from 1989 onwards
engaged himself in the law courts rather than exerting himself in an effort
to improve his capability as the employee of the Board so that the Board and
the State obtain maximum benefit from out of the services of the petitioner-
appellant but unfortunately his litigatious spirit prevailed l;IPOn him and as F
noticed above we do find some justification as regards the comment made
by the learned Advocate appearing for the Board. Malafides have been
alleged against the statutory Board (Punjab State Electricity Board) but the
contextual facts negates such an allegation. Incidentally, be it noted that the
expression 'malafide' is not a meaningless Jargon and it has its proper
connotation. Malice or malafides can only be appreciated from the records
G
- -~ of the case in the facts of each case. There cannot possibly be any set
guidelines in regard to the proof of malafides. Malafides, where it is alleged,
depends upon its own focts and circumstances. We ourselves feel it expe-
dient to record that the petitioner has become more a liability than an asset
and in the event of there being such a situation vis-a-vis an employee, the H
878 . SUPREME COURT REPORTS (2000] 3 S.C.R.
A employer will be within its liberty to take appropriate steps including the
cessation of relationship between the employer and the employee. The service
conditions of the Board's employees also provides for Voluntary Retirement,
a person of the nature of the petitioner, as more fully detailed herein before,
cannot possibly be given any redress against the order of the Board for
Voluntary Retirement. There must be factual support pertaining to the alle-
B
gations of malafides, unfortunately there is none. Mere user of the word
'm~de' by the petitioner would not by itself make the petition entertain<!hle.
The Court must scan the factual aspect and come to its own conclusion i.e.
exactly what the High Court has done and that is the reason why the narration
have been noted in this judgment in extenso. Tampering of the Annual
c Confidential Rolls have been alleged but there is no evidence in regard thereto
or even to link up the two private respondents therewith. While it is true that
the earlier relationship between an employer and employee or between the
employees was that of mutual trust, confidence or welfare, presently the
situation in general stands polluted and may be even one degree higher than
the pollution of the environment, but that does not, however, clothe the court
D
to come to a conclusion of malafide without there being any basic evidence
being made available to the court.

Punjab State Electricity Board Services (Premature Retirement) Regu-
lations, 1982, has been taken recourse to by the Board and in particular,
E regulation 3(i)(e) which, in fact, provides an authority to the Board with an
absolute right to retire an employee on the date on which he completes 25
years of service or attains 50 years of age upon, however, proper notice to
that effect. The Board has, thus, an absolute power to retire an employee
pre-maturely though, however, upon following the procedure set out in the
F rules and the same having been done, can it be said that the legal right of
the petitioner stands violated - the answer cannot but be in the negative.
The next question that automatically crops up is as to whether the fonnation
of opinion has been, in accordance with public interest or not - tbe facts
noted above depict evidence galore as regards the justification of fonnation
of such an opinion.
G
On the facts narrated above, no reasonable man can come to a
conclusion, which may even be remotely different from that of the appro-
pnate authority of the Board. A right has been conferred on to the Board
to take steps in public interest and in the event the Court comes to a
H conclusion that a right has not been properly exercised, there would not have
PARBODH SAGAR v. PUNJAB STATE ELECTRICITY BOARD (BANERJEE, J.] 879

' -,J been any hesitation to strike down the action of the State Electricity Board, A
but in the contextual facts, we do not find any. There is available on record
reasonings to the issue or the formation of opinion and the same cannot but
in the contextual facts is in accordance with the need of the situation.

In that view of the matter, we are unable to accept the contentions
in support of the Appeal. The Appeal, therefore, fails and is dismissed. No B
order as to costs.

S.V.K. Appeal dismissed.

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