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SANJAY KAROL, MANOJ MISRA
Jai Prakash Saini – Appellant
Versus
Managing Director, U. P. Cooperative Federation Ltd. – Respondent
Key Points: - The appeal challenges the High Court's dismissal of a writ petition against the employee's dismissal and recovery of Rs.9,53,433 for alleged paddy shortages and embezzlement (!) (!) . - The employee denied charges in replies to charge-sheet and supplementary charge-sheet, but no witnesses were examined by the department during the enquiry (!) (!) . - Rule 84 of 1980 Service Rules (similar to Regulation 85 of 1975 Regulations) requires serving charge-sheet, opportunity for explanation, defence witnesses, cross-examination, and personal hearing if desired (!) (!) (!) . - A departmental charge-sheet is not a plaint; evasive replies do not amount to admission, and unless guilt is clearly admitted, the employer bears the burden to prove charges (!) (!) . - In enquiry, employer must first lead evidence (including witnesses to prove documents if not admitted) and offer cross-examination; only then delinquent leads defence (!) (!) . - No oral enquiry held with witness examination despite denial of charges, violating principles of natural justice and service rules, vitiating the enquiry (!) (!) . - Supreme Court set aside High Court judgment, employee's dismissal, and recovery; permitted de novo enquiry within 6 months (!) . - If de novo enquiry held, employee reinstated under suspension with allowance; outcomes determine back wages and continuity benefits (!) . - Appeal allowed, no costs ordered (!) (!) .
JUDGMENT :
MANOJ MISRA, J.
1. Leave granted.
2. This appeal impugns the judgment and order of the High Court1[The High Court of Judicature at Allahabad, Lucknow Bench] dated 12.04.2019 whereby the writ petition2[Service Bench No.12353 of 2016] of the appellant impugning the order dated 30.11.2015 dismissing him from service and directing recovery of Rs.9,53,433 has been dismissed.
3. The appellant was employed in U.P. Cooperative Federation Limited3[The Federation] and, at the relevant time, posted as the in-charge of paddy procurement centre. He was served a charge-sheet alleging, inter alia, that as the in-charge of the centre he had purchased 1946.60 quintals of paddy from farmers for delivery to M/s Pashupati Nath Food Agro (for short, M/s Pashupati Nath) for de-husking, but delivery was short by 1093.60 quintals. During pendency of the enquiry on the said charge-sheet, a supplementary charge-sheet was served upon the appellant alleging that he had embezzled Rs. 2,00,850 by showing purchases of 5000 sacks of de-husked paddy for storage. The charges were found proved in the enquiry. As a result, the appellant was dismissed from service and a direction to recover the amount was issue
(1) Dismissal – [Departmental charge-sheet is not a plaint that an evasive reply thereto may amount to admission – In a departmental enquiry, unless charge is admitted, burden to prove charge lies on....
The court reaffirmed that disciplinary proceedings must strictly adhere to procedural requirements, including proper approval of chargesheets and the necessity of oral enquiries, to ensure fairness a....
The failure to conduct a proper inquiry in disciplinary proceedings violates principles of natural justice, leading to invalidation of dismissal orders.
Rule 7(vii) provides that where charged government servant denies charges, enquiry officer shall proceed to call witnesses proposed in charge sheet.
The main legal point established in the judgment is the requirement to adhere to the prescribed procedure for disciplinary enquiries as per the U.P. Government Servants (Discipline and Appeal) Rules,....
Disciplinary inquiry under 1999 Rules vitiated without oral hearing opportunity to delinquent, even absent proposed witnesses by either side, as implicit in rules for natural justice compliance.
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