SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

1989 Supreme(SC) 91

SUPREME COURT OF INDIA
SABYASACHI MUKHARJI AND S. RANGANATHAN, JJ.
Punjab National Bank, Appellant
Versus
P.K. Mittal, Respondent.
Civil Appeal No. 2014 of 1986
Decided on 13-2-1989.

Advocates:
ANAND PARKASH, Atul Nanda, Dhruv Mehta, S.K.Bisaria, S.K.MEHTA

Headnote:

Resignation - Termination of services - Respondent, a permanent officer in bank, sent a communication to bank - By this letter he purported to resign from service of the bank due to personal reasons - He added that date of receipt of letter should be treated as date of commencement of notice period so that, inclusive of same, his resignation would become effective - According to the respondent, Deputy General Manager, who was competent authority under Service Regulations, had agreed that resignation may be accepted with effect - However, what actually transpired was that respondent received a letter from the bank informing him that his resignation letter had been accepted by competent authority with immediate effect by waiving condition of notice and that, consequently, he was being relieved from the service of bank with effect from afternoon of the same date - Respondent thereupon filed a writ petition in High Court challenging-the validity of the purported acceptance of his resignation with effect from 7th February, 1986 and for a direction to the bank to treat him as in service of the bank up and as entitled to all benefits while being in such service – Held, Learned Counsel for appellant relied on certain observations in Delhi Electric Supply Undertaking v. Tara Chand, (1978) 2 Serv LR 425 (Delhi) - Certain other decisions were also cited but court do not think that they have any bearing on issue before us - Regulation permitted termination of the services of a servant of undertaking on notice of three months from either side without any cause to be assigned in case of permanent servants - Employee in that case sent a letter to the employer stating that "he was compelled to resign for various reasons and this resignation was accepted by undertaking - Employer would-then certainly have been entitled to accept resignation, as requested by employee, waiving the notice period - Distinction between that case and present one is that employee has chosen a future date on which his resignation would be effective but he is being forced to "resign" before such date - For the reasons discussed above, court affirm the decision of High Court and dismiss this appeal - As the employee has got a relief much larger than the one for which he initially came to Court and which has been made possible by his subsequent conduct - Appeal dismissed.

JUDGMENT

RANGANATHAN, J. :— A very short question as to the interpretation of the Service regulations of the appellant bank comes up for consideration in this appeal. The relevant service regulation is Regulation No. 20 which reads as under :-

"20.(1) Subject to sub-regulation (3) of regulation 16, the bank may terminate the services of any officer by giving him months notice in writing or by paying him three months emoluments in lieu thereof.

(2) No officer shall resign from the service of the bank otherwise than on the expiry of three months from the service on the bank of a notice in writing of such resignation. Provided further that the competent authority may reduce the period of three months, or remit the requirement of notice."

2. The respondent, a permanent officer in the bank, sent a communication to the bank on 21st January, 1986. By this letter he purported to resign from the service of the bank due to personal reasons. He added that the date of receipt of the letter should be treated as the date of the commencement of the notice period so that, inclusive of the same, his resignation would become effective on 30th June, 1986. According to the respondent, the Deputy General Manager, who was the competent authority under the Service Regulations, had agreed that the resignation may be accepted with effect from 30th of June, 1986. However, what actually transpired was that the respondent received a letter from the bank on 7th February, 1986 informing him that his resignation letter dated 21st January, 1986 had been accepted by the competent authority with immediate effect by waiving the condition of notice and that, consequently, he was being relieved from the service of the bank with effect from the afternoon of the same date, namely, 7th February, 1986. The respondent thereupon filed a writ petition in the High Court challenging-the validity of the purported acceptance of his resignation with effect from 7th February, 1986 and for a direction to the bank to treat him as in service of the bank up to 30th June, 1986 and as entitled to all benefits while being in such service.

3. A further development took place after the filing of the writ petition, and before it came up for hearing .On 15th April, 986 the respondent wrote a letter to the bank by which be purported to withdraw the resignation letter dated 21st January, 1986. The High Court therefore, dealt with the situation resulting from this subsequent development. The High Court held that the petitioners resignation letter would have become effective on1y on the 30th June, 1986. Under the regulations there was no jurisdiction whatever in the competent authority to determine his services earlier. Until the resignation became effective on 30th June, 1986, the petitioner had a right to withdraw the same and in fact had also exercised that right. The High Court concluded.

 

"We may notice that this writ petition was filed at a stage when the petitioner had not sent his letter dated 15th April, 1986 whereby he withdrew his resignation letter dated 21th January, 1986. This is a subsequent development during the pendency of the writ petition. Therefore, we are not called upon to decide the earlier grievance that the resignation could not have been accepted at an earlier date. Even to that submission we would have said that there is no provision of acceptance but that question does not, arise so we will not deal with it further. Result is that the impugned order dated, 7th of February, 1986 is hereby quashed and it is declared that the petitioner continues to be in service with the respondent-bank. However, in view of the facts of the present case, parties are directed to bear their own costs of the present proceedings."

4. The bank has preferred this appeal. Dr. Anand Prakash, learned counsel for the appellant-bank, submitted that regulation 20(2) provided for a notice to the employer only in order to protect the employers interests and to enable the employer, in case it decided








Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top