"Unknown Source" No More: Bombay HC Slaps Down ICC's Evasive Wording in POSH False Complaint Case

In a sharp rebuke to workplace harassment panels, the High Court of Bombay at Goa has ruled that Internal Complaints Committees (ICCs) under the POSH Act cannot dodge naming a known instigator of a false sexual harassment allegation by labeling them an "unknown source." Justice Dr. Neela Gokhale quashed a tribunal's dismissal of an appeal by accused employee Shinde, a Lower Division Clerk (LDC), and directly corrected the ICC's report to pinpoint the institute principal as the culprit behind the fabricated claim.

From Harassment Claim to Retraction Bombshell

The saga unfolded at a government industrial training institute under the Directorate of Skills Development and Entrepreneurship. On November 29, 2024, Respondent No. 4, an intellectually disabled staffer, filed a POSH complaint against Shinde, accusing him of disability-based harassment, aggressive stares, abusive remarks like "go to hell," and uncooperated assistance.

Shinde, a permanent government servant, denied the charges in his January 2, 2025 reply, suspecting third-party instigation. Just days later, during the ICC's preliminary inquiry on January 3, the complainant flipped her script. She admitted the complaint wasn't hers—she hadn't even read it—and was coerced into signing it by the principal (Respondent No. 3) in his cabin. Threatened with future harassment, she was shown old footage of Shinde from another institute to fuel the false narrative.

By January 6 , she formally retracted everything in a detailed letter, explicitly naming the principal as the architect of the "pre-prepared false sexual harassment complaint." She apologized to Shinde, affirmed his politeness and helpfulness, and accused the principal of exploiting her disability for revenge. The ICC closed the case on January 10 , deeming it malicious but cryptically attributing instigation to an "unknown source"—despite the retraction's clarity.

Shinde's Fight: Appeal Dismissed, Justice Denied?

Aggrieved by the ICC's omission, Shinde appealed to the Industrial Tribunal and Labour Court under Section 18 of the POSH Act, arguing the panel flouted Section 14 duties by shielding the principal. He sought the report's quashing, action against the instigator, and disciplinary proceedings.

The tribunal dismissed the appeal as "not maintainable," ruling Shinde suffered no "direct injury," the retraction's veracity unproven without inquiry, and the POSH Act no vendetta tool against superiors. It deemed the complainant—now untrustworthy post-retraction—insufficient to nail the principal.

Shinde escalated to the High Court via Writ Petition No. 15 of 2026, targeting the tribunal's order and demanding appeal restoration or disciplinary nods against the principal.

Respondents Push Back: No Standing, No Proof

The Directorate (Respondents 1-2) and principal defended the tribunal. They argued no substantive inquiry verified the retraction, the complainant was "grown-up" and employed, and Shinde couldn't prove malicious intent. The POSH framework, they stressed, protects women from harassment, not employee score-settling.

Court's Razor-Sharp Dissection: Statutory Rights Trump Evasions

Justice Gokhale meticulously unpacked the POSH Act. Section 18 grants any "person aggrieved" by ICC recommendations a 90-day appeal right—no "direct injury" proof needed. The ICC's preliminary closure on the retraction was fine, but selectively ignoring the named instigator was a "clear error" and jurisdictional lapse.

The court rejected remanding the appeal as futile, wielding Article 227 powers to fix the record itself: replace "unknown source" with "Respondent No. 3 instigated Respondent No. 4." However, it nixed direct action against the principal under Section 14 , clarifying penalties target only the complaint-maker (aggrieved woman or proxy), not backstage puppeteers—requiring separate proceedings.

As noted in legal reports, the bench observed: “Having noted the contents of the retraction letter, the ICC clearly failed in its discharge of its duties to specify that the complaint was being closed on account of false allegations made against Shinde, at the behest of the instigator."

Key Observations from the Bench

"The error on the part of the ICC in recording the instigator to be an ‘unknown source’ instead of naming the Respondent No. 3 is a cause of action to the Petitioner to prefer an Appeal before the Industrial Tribunal under Section 18 of the POSH Act ."

"The ICC cannot selectively omit to name the Respondent No. 3 while relying on the retraction statement."

" Section 14 ... is limited to the woman or person making the complaint... The statute does not provide for action/punishment... against a person who may have instigated a woman."

"The Petitioner is clearly a person aggrieved by the recommendations made by the ICC and has a statutory right to prefer an appeal."

Victory with Caveats: Open Door for Further Action

The writ petition succeeded partly: the tribunal's November 26, 2025 order quashed, ICC report amended. Shinde's broader prayers for principal's discipline under POSH were dismissed, but the court greenlit "appropriate proceedings against Respondent No. 3 before an appropriate forum," ensuring his hearing rights.

This ruling fortifies accused employees' appeal access in POSH cases, mandates transparent ICC reporting, and signals that false claims' enablers aren't off-limits—just via proper channels. Employers and panels must now document instigators faithfully, potentially curbing misuse while safeguarding due process.