Y.P. SARABHAIversusUNION BANK OF INDIA AND ANR.
- Citation
- 2006 INSC 350
- Decided
- 22 May 2006
- Disposal
- Dismissed
- Bench
- AR LAKSHMANAN
Holding
The Supreme Court upheld the dismissal, finding no breach of natural justice and affirming the concurrent factual findings of the disciplinary, appellate, and High Court authorities.
Summary
Y.P. Sarabhai, a Manager (Security) of Union Bank of India, remained absent from duty from June to November 1997 without sanctioned leave, allegedly to evade a transfer to Chennai. The disciplinary authority, after a detailed enquiry, found him guilty of contravening Regulation 13 of the Bank's Conduct Regulations and dismissed him. Both the Appellate Authority and the Bombay High Court upheld the dismissal, finding his illness claim a ruse to avoid transfer. The appellant challenged the dismissal before the Supreme Court, arguing procedural irregularities and seeking reinstatement or compensation. The Supreme Court held that the factual findings of three authorities, including the High Court, were consistent and not liable to be disturbed absent a breach of natural justice, and therefore dismissed the appeal. However, to meet the ends of justice, the Court directed the Bank to pay the appellant a lump‑sum settlement of Rs.1,50,000, adjusting his provident fund against outstanding loans.
Issues considered
- Whether the dismissal of a bank officer for unauthorised absence to evade a transfer constitutes valid misconduct under Regulation 13 of the Union Bank of India Officer Employees (Conduct) Regulations, 1976.
- Whether the factual findings of the disciplinary, appellate, and High Court authorities can be disturbed by the Supreme Court under Articles 136 and 226 of the Constitution.
- Whether the appellant is entitled to any relief, including reinstatement or monetary compensation, despite the dismissal.
Legislation cited
- Constitution of Indias. Article 136, s. Article 226
Subjects
Judgment
Y.P. SARABHAI A
v.
UNION BANK OF INDIA AND ANR.
MAY 22, 2006
[DR. AR. LAKSHMANAN AND LOKESHWAR SINGH PANTA, JJ.]
B
Service Law-Dismissal from service-Bank Officer remained absent
from duty on ground of illness and evaded transfer orders-Order of
dismissal from service on ground of misconduct-Correctness of-Held:
Bank Officer remained absent from his duty for a long time without any c
reasonable cause and justification-He tried to avoid transfer through all
possible means-Concurrent findings by three different Authorities, thus
order of dismissal calls for no interference-Union Bank of India Officer
Employees (Conduct) Regulations, 1976-Constitution of India, I950-
Articles 136 and 226.
D
Appellant was working as Manager (security) in the respondent
Bank. He remained absent from duty for a long time without sanction
of leave. He evaded his transfer orders and remained absent on the
ground of his illness. Disciplinary authority holding him guilty of
misconduct passed an order of dismissal from services of the Bank. Both E
Appellate Authority and High Court upheld the order. Hence, the
present appeal.
Dismissing the appeal, the Court
F
HELD: 1.1. Appellant-Bank Officer is not entitled to any relief in
these proceedings. Appellant remained absent from his duty for a very
long time without any reasonable cause and justification inspite of the
respondent's requests to join the duty and inspite of the respondent's
granting him further time to join the duty. The conduct of the appellant
in remaining absent for such a long time shows that he was bent upon G
to evade the transfer order in any possible manner. The reason for
deferment of transfer given by him before the High Court and this
Court in the writ petition and the appeal filed by him against the
transfer order was a simple ruse to avoid the transfer. It has been
affirmed by the Court in that proceeding that the transfer was done as H
853
854 SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.
A per exigencies of the Bank. [856-B-D, 856-F-G)
1.2. The factual finding of the Disciplinary Authority after holding
a detailed enquiry and after going through elaborate evidence are not
assailable in the Courts unless the breach of principles of natural justice
or the violation of any rules or any material irregularity on the face of
B record is alleged and shown. However, in the instant case, High Court
in the jurisdiction under Article 226 of the Constitution has again gone
into all aspects of the enquiry in detail and has come to the same factual
finding as the Disciplinary Authority and the Appellate Authority. Such
concurrent findings by three different Authorities including the High
c Court should not be disturbed by this Court under Article 136 of the
Constitution. However, to meet the ends of justice, Respondent Bank is
directed to pay a sum of Rs. 1,50,000 inclusive of the balance provident
fund of Rs. 75,930 after adjusting the loan amount due to the Bank.
(857-A-B, 858-B-C)
D
CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2672 of
2003.
From the Judgment and Order dated 8.3.2002 of the High Court of
Judicature at Bombay in W.P. No. 602/1999.
E
Sudeer, M.B.R.S. Raju, S. Balaji, Ms. S. Sunita, S. Sachin and
S. Srinivasan for the Appellant.
L. Nageswar Rao and O.P. Gagar for the Respondents.
F
The Judgment of the Court was delivered by
DR. AR. LAKSHMANAN, J. : We have heard Mr. V. Sudeer, learned
Counsel for the appellant and Mr. L. Nageswar Rao, learned Senior Counsel
assisted by Mr. O.P. Gaggar, Advocate for the respondents.
G
The appellant was appointed as a security officer of the respondent
Bank in 1980 and was working in middle Management Cadre (Grade-III)
as Manager Security in 1998 when he was dismissed from the services of
the respondent Bank for alleged violation of Regulation I 3 of the Union
H Bank of India Officer Employee (Conduct) Regulations, I 976. In the charge
Y.P. SARABHAI v. UNION BANK OF INDIA [LAKSHMANAN, J.] 855
- sheet, it was alleged that he was not reporting for his duties since 3.6.1997.
It was further stated that the appellant's services were transferred to Chennai
but the appellant did not carry out his transfer orders to Chennai and was
A
remaining absent without sanction of leave. Regulation 13(1) requires that
"no officer/employee should absent himself in case of sickness or accident
without submitting a proper medical certificate". The Bank's Staff Circular
dated 2.6.1981 also provides that "the Management is not bound by the
B
certificate produced by the employee and may require him to appear before
the Medical Practitioner of Bank's choice for medical examination."
The In.quiring Authority came to the conclusion that though the
appellant was remaining absent on grounds of illness, the real reason was C
that he was reluctant to carry out his transfer to Chennai.
The Disciplinary Authority awarded the punishment of dismissal from
the services of the Bank concurring with the above observation of the
Inquiring Authority. The Disciplinary Authority further held the appellant D
guilty of the following misconducts:
a) Contravention of Regulation 13 of the Union Bank of India
Officer Employees" (Conduct) Regulations, 1976
E
b) Failure to discharge his duties with devotion and diligence
c) Acting in a manner unbecoming of a Bank officer.
The Appellate Authority in dismissing the appellant's appeal held:
F
a) that it is the conduct of the petitioner "taking undue advantage
of his normal sickness to avoid transfer to the extent possible",
which was "not genuine".
b) that "his sickness" was not such where he could "not attend his G
normal office duties".
The High Court held that the appellant was adamant in not carrying out
the transfer order and tried his best to avoid transfer until he finally failed
upto this Court in challenging his transfer from Mumbai to Chennai". The H
856 SUPREME COURT REPORTS (2006] SUPP. 2 S.C.R.
A finding of the High Court was challenged before us in this appeal on the
ground that the same is not based on evidence and is contrary to the opinion/
recommendations of the medical experts as regards to the petitioner's illness.
We have perused the pleadings and the orders impugned in this appeal
and also the annexures filed along with the appeal and heared the lengthy
B
arguments advanced by the learned counsel appearing on either side.
We are of the opinion that the appellant is not entitled to any relief in
these proceedings. The appellant remained absent from his duty for a very
long time i.e. from 3.6.1997 to 23.11.1997 without any reasonable cause and
c justification inspite of the respondent's requests to join the duty and inspite
of the respondent's granting him further time to join the duty. The conduct
of the appellant in remaining absent for such a long time shows that he was
bent upon to evade the transfer order in any possible manner. The grounds
of ailment were taken as a ruse to avoid transfer which is amply proved by
D the conduct of the appellant, when he had unauthorisedly remained absent
on the ground that he was unable to attend the duty due to illness for such
a long but he was quite capable of attending the court proceedings on the
various days and was also capable of coming to Delhi to file a petition before
this Court. The concurrent finding of the enquiry is that he has been shifting
E stands because initially on the very day of the service of the transfer order
he gave a representation mentioning illness of his wife and the studies of
his son for the purpose of deferment of the transfer to Chennai from Mumbai.
But in the other representation to other Officer of the Bank, which he has
produced to the Bank, he has stated the reason of his illness as an excuse.
Thus, the conduct of the appellant in trotting up all these defenses show that
F he was trying to avoid transfer to Chennai through all possible means. The
reason for deferment of transfer given by him before the High Court and this
Court in the writ petition and the appeal filed by him against the transfer
order was a simple ruse to avoid the transfer. It has been affirmed by the
Court in that proceeding that the transfer was done as per exigencies of the
G Bank. The transfer of the appellant was effected to a large city namely
Chennai, which as per his own admission has very good medical facilities
which are comparable to those in Mumbai. The service of specialist officers
and for that matter all officers in the Bank are transferable on all lndia basis
and they are liable to be posted anywhere in India subject to the personnel
H and manpower requirement and exigencies of the Bank.
Y.P. SARABHAI v. UNION BANK OF INDIA [LAKSHMANAN, J.] 857
This Court has repeatedly held that the factual finding of the Disciplinary . A
Authority after holding a detailed enquiry and after going through elaborate
evidence are not assailable in the courts unless the breach of principles of
natural justice or the violation of any rules or any material irregularity on
the face ofrecord is alleged and shown. However, in this case the High Court
in the jurisdiction under Article 226 of the Constitution of India has again
gone into all aspects of the enquiry in detail and has come to the same factual
B
finding as the Disciplinary Authority and the Appellate Authority. Such
concurrent findings by three different Authorities including the High Court
should not be disturbed by this Court under Article 136 of the Constitution
of India. We, therefore, have no other option except to dismiss this appeal.
Accordingly, the appeal stands dismissed. c
At the time of argument, Mr. V. Sudeer, the learned counsel for the
appellant invited our attention to the affidavit ofundertaking dated 27th July,
2002 filed by the appellant herein. Inspite of the order of dismissal, the
learned counsel has requested this Court to take a lenient view considering
D
peculiar facts and circumstances of the case. The learned counsel submitted
that the appellant is ready to forgo the entire back wages and shall join duty
at the place where he is posted and that he be reinstated in service. He also
made an alternative plea that if for any reason the Bank is not willing to
consider his request for his reinstatement on sympathetic grounds, the Bank
may be advised to pay some lumpsum payment to the appellant. The matter E
was heard on 19th May, 2006 for this purpose and adjourned to ascertain ·
the views of the Bank and is listed today the 22nd May, 2006. Mr. L.N. Rao,
learned Senior Counsel for the Bank reported that the Bank is not willing
to reinstate the appellant in service in view of deriliction of duty and
seriousness of the proved charges, but however is ready and willing to abide F
by any further direction that may be issued in regard to the above proposal.
We have considered the submissions made by both sides. Irrespective
of order of dismissal of the appeal filed by the appellant, we feel that the
request fervently made by the Counsel for the appellant should be
sympathetically considered to meet the ends of justice. The appellant was G
dismissed from service on 4.9.1998. He is without pay for all these years
in view of the order of dismissal. According to the appellant, his wife also
died of cancer. It is settled law that a person who is dismissed from service
is entitled to get only the provident fund but no gratuity. In the instant case,
the total amount of provident fund payable to the appellant comes to H
858 SUPREME COURT REPORTS [2006] SUPP. 2 S.C.R.
A Rs.3,36, 158 and gratuity comes to Rs. l,49,215. The appellant is liable to pay
a sum of Rs.2,60,228 towards outstanding dues to the Bank for the various
loans availed by him from the Bank. Therefore, after deducting sum of
Rs.2,60,228 from and out of the total amount of provident fund ofRs.3,36, 158,
the balance comes to Rs.75,930. The appellant has now crossed 58 years of
age and getting a new job at this juncture is also not possible for him.
B Considering the totality of all the peculiar facts and circumstances of this
case, we feel that if we direct the Bank to pay a sum of Rs.1,50,000, which
includes the balance provident fund of Rs.75,930 after adjusting the loan
amount due to the Bank, that would meet the ends of justice. We also make
it clear that the appellant will have no other claims against the Bank hereafter.
c In order to give quietus to this long standing litigation, we direct the Bank
to pay to the appellant by Demand Draft a sum of Rs. l,50,000 towards full
and final settlement of all claims between both the parties. If there is any
discrepancy with regard to the amount payable to the appellant by way of
provident fund and the loan amount, the appellant is at liberty to approach
the Bank for any clarification and if such a letter is received from the
D
appellant, the Bank shall consider the same and do the needful at the earliest.
The appeal shall accordingly stand dismissed. There shall be no orders
as to costs.
E N.J. Appeal dismissed.
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