Judgment

VENKATARAMIAH, J. :- The appellant joined the service of the Narang Bank of India Ltd., New Delhi on July 12, 1974 as a Clerk-cum-Typist and was confirmed in his service on Oct. 1, 1974. The Narang Bank of India Ltd., however, terminated his services on Feb. 10, 1975 without assigning any reason. On an industrial dispute being raised the Central Government by its order dt. July 9, 1975 referred the following dispute to the Central Government Industrial Tribunal for adjudication :

"Whether the action of the management of the Narang Bank of India, New Delhi in terminating the services of Shri Bhagwan Dass Chopra w.e.f. 10-2-1975 is justified? If not what relief is the said workman entitled?"

2. The claim made by the appellant was disputed by the management. On the basis of the pleadings filed by the parties the Industrial Tribunal framed issues and directed the parties to lead evidence. In the course of the trial the appellant examined himself and he was cross-examined by the representative of the Narang Bank of India Ltd. Thereafter the evidence of the appellant was closed on 21-5-1976. On July 25, 1976 the Narang Bank of India Ltd. entered into an agreement with the United Bank of India, respondent 1 herein, whereunder all the assets and liabilities of the Narang Bank of India Ltd. were taken over by the United Bank of India, respondent 1. The employees of the erstwhile Narang Bank of India Ltd. became the employees of the United Bank of India, respondent 1 by virtue of cl. 20 of the said agreement. The relevant part of cl. 20 read thus :

"20. (a) The Transferee shall be under an obligation to take over and absorb and retain with effect from 1st Aug. 1976 in its employment such staff, employees and assistants (hereinafter called "the said employees") of the Transferor or employed by the Transferor in relation to or in connection with the said banking business intended to be taken over or acquired by the Transferee as aforesaid who were permanent employees of the Transferor on the said date and on the same terms and conditions including the remuneration and wages and/or other lawful claims as were or are applicable or payable to them on the said date subject to the terms and conditions as contained in the Third Schedule hereto provided always that such taking over or absorption of the staff and employees of the Transferor by the Transferee on the same terms and conditions as hereinbefore mentioned and / or also referred to or otherwise mentioned in the Third Schedule hereto shall not however be so construed as to include or extend to their or each of their rank and status.

(b) The Transferee shall not, however, be bound to take over or absorb in their employment - (i) all such staff, assistants and employees against whom any show cause notice or any action (penal or otherwise) or any enquiry or any actions and / or proceedings whatsoever are pending on the said date by the Management or by any Tribunal, Court or otherwise and / or who are on the said date involved or figuring in any such enquiries, actions and / or proceedings and against whom any adverse or suspension order finding or decision has been passed or is likely to be passed prior or subsequent to the said date. (ii) Any such staff employees and assistants of the Transferor whose services have been terminated by the Transferor on or before the said date and / or against whom any adverse or suspension order finding or decision has been passed by any person holding any enquiry and / or Management of the Transferor and / or by any court, Tribunal or otherwise subsequent to the said date but prior to the formal taking over of the said business or assets or properties of the Transferor by the Transferee on the basis of this Agreement.

Provided nevertheless the Transferee shall take over suspended employee, if any, of the Transferor relating to the said business with effect from the said date and / or condition as hereinbefore mentioned in cl. 20(a) above in so far as t