SUPREME COURT OF INDIA
14th August, 1963
P.B. GAJENDRAGADKAR, K.N. WANCHOO AND K.C. DAS GUPTA, JJ.
State Bank, Bikaner, Appellant
Versus
Balai Chander Sen, Respondent.
Civil Appeal No. 516 of 1963.
Advocates appeared
Mr. B. Sen Senior Advocate (M/s. J. B. Dadachanji, O. C. Mathur and Ravinder Narain, Advocates of M/s. J. B. Dadachanji and Co. with him), for Appellant, Mr. Janardan Sharma, Advocate, for Respondent.
INDUSTRIAL DISPUTES ACT, 1947 - SECTION 33(2)(B) - APPROVAL OF DISCHARGE - APPLICATION FOR APPROVAL BEFORE ACTUAL DISCHARGE - MAINTAINABILITY - ENQUIRY - FAIRNESS AND BONA FIDES.
Fact of the Case:
The respondent, an assistant cashier at the appellant bank's branch in Calcutta, was accused of retaining an extra Rs. 100 note given to him by a customer for a telegraphic transfer. The bank conducted an enquiry and found the respondent guilty, recommending his discharge. The bank applied to the labour court for approval of the proposed discharge under Section 33(2)(b) of the Industrial Disputes Act, 1947. The labour court dismissed the application on the ground that it was not maintainable as it was made before the actual discharge of the respondent.
Finding of the Court:
The Supreme Court held that the application for approval under Section 33(2)(b) was maintainable even if it was made before the actual discharge of the respondent. The court found that the enquiry conducted by the bank was fair and proper and that there was no evidence of victimisation or unfair labour practice. Therefore, the court granted the approval sought by the bank.
Issues: 1. Whether an application for approval under Section 33(2)(b) of the Industrial Disputes Act, 1947, is maintainable if it is made before the actual discharge of the employee? 2. Whether the enquiry conducted by the bank was fair and proper?
Ratio Decidendi: 1. Section 33(2)(b) of the Industrial Disputes Act, 1947, does not require that an application for approval of discharge must be made after the actual discharge of the employee. An employer can make an application for approval before taking the action of discharge, as long as the three conditions in the proviso to Section 33(2)(b) are met. 2. The enquiry conducted by the bank was fair and proper as the respondent had full opportunity to defend himself and there was no evidence of victimisation or unfair labour practice.
Final Decision: The Supreme Court allowed the appeal, set aside the order of the labour court, and granted the application of the appellant-bank dated December 27, 1961, approving the proposed discharge of the respondent.
Judgment
WANCHOO, J. : This is an appeal by special leave against the order of the Central Government Labour Court at Dhanbad. The respondent was in the service of the appellant bank s branch at Calcutta and worked as an assistant cashier. On June 17, 1961, one Shankerlal applied for telegraphic transfer of Rs. 4,000/- from Calcutta to Sujangarh and handed over currency notes of Rs. 100/- each of the respondent. As the respondent was counting the notes, Shankerlal remembered that he had given 41 notes instead of 40 to the respondent and requested him to return the bundle of notes for verification. The respondent however refused to return the note saying that the amount given to him was Rs. 4,000/- and not Rs. 4,100/- Shankerlal went back to his shop and verified that he had taken 41 notes instead of 40 and had thus handed over one note of Rs. 100/- extra to the respondent in connection with the telegraphic transfer. He then came back to the bank and complained to the manager about this. The manager ordered the chief cashier to close the cash in the hands of the respondents and to check the amount in his hand with the books. The Chief cashier found on checking that there was one note of Rs. 100/- extra with the respondent. The manager asked the respondent to hand over the extra note but the respondent refused to do so saying that it belonged to him. In explanation he said that it had been given to him by his mother. The manager immediately took steps to verify this statement and deputed the chief cashier along with another person to the respondent s house to make necessary inquiries. But at the house of the respondent both his mother and father said that they had not given a hundred rupee note to the respondent. Thereafter the respondent was told what his parents had said and asked what he had to say further. The respondent then came out with another story that the note was given to him by a tenant of the building in which he lived. He gave out the name of the tenant as Mondal. The manager again sent the same persons to make enquiries from Mondal but it was found that there was no person of the name of Mondal in that building. The bank therefore decided to take disciplinary proceedings against the respondent and handed over a charge sheet to him. The respondent was also suspended from the bank s service. Thereafter an enquiry was conducted against the respondent. The enquiry officer came to the conclusion that the two charges framed against the respondent had been proved and recommended after taking into consideration the past service and conduct of the respondent that he should be discharged from the service of the bank. Thereafter according to the rules prevalent in the bank the respondent was given notice to show cause why he should not be discharged. His explanation was taken into account and thereafter the bank decided to discharge him. So on December 27, 1961, the bank applied under S. 33(2)(b) of the Industrial Dispute Act. No. 14 of 1947, for approval of the action proposed to be taken against the respondent. It may be added that after this application was made, the bank s case is that it actually discharged the respondent on January 15, 1962.
2. The application under S. 33(2) (b) finally came up for disposal before the labour court. That court held relying on a decision of this Court in Strawbord Manufacturing Co. v. Govind, (1962) Supp (3) SCR 618 that as the application had been made for approval of the proposed discharge and before the actual discharge of the respondent, it was not maintainable. Consequently it dismissed the bank s prayer for approval of the proposed action. The present appeal by special leave is against this order of labour court.
3. The main contention of the appellant is that that labour court was not right in holding that the application was not, maintainable on the ground that it had been made for approval of the proposed action and not after the action had been taken. It is urged that the decisi
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