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2025 Supreme(Kar) 1767

IN THE HIGH COURT OF KARNATAKA AT BENGALURU
ANU SIVARAMAN, VIJAYKUMAR A.PATIL, JJ.
The Indian Bank, Represented by its Deputy General Manager, Bengaluru – Appellant
Versus
Ranganath S/o Late Ramdas – Respondent
Writ Appeal No. 1901 of 2024
Decided On : 17-12-2025

Advocates Appeared:
For the Appellants : Vighneshwar S. Shastri, Udaya Shankar Rai P.
For the Respondents: P.S. Rajagopal, Anand S.G.

The court emphasized that judgments on penalties in disciplinary proceedings should respect the discretion of the disciplinary authority unless they are shockingly disproportionate.

Headnote:(A) Indian Bank Officer Employees' (Discipline and Appeal) Regulations, 1976 - Writ of Certiorari - The court ruled that the disciplinary proceedings against the employee were conducted properly; the learned Single Judge erred in substituting the sanction of compulsory retirement without justification, although misconduct was found. (Paras 4, 10, 15)

(B) Disciplinary Proceedings - Standards of Procedural Fairness - The learned Single Judge's ruling on the disproportionate punishment does not align with established precedent, emphasizing that the court does not intercede unless the punishment shocks the conscience. (Paras 11, 14)

Facts of the case:
The employee was charged with misconduct pertaining to the security of the bank's transactions. Although the charges were upheld, the penalty of compulsory retirement was set aside by the learned Single Judge as disproportionate.

Findings of Court:
The lack of justification for reducing the penalty and the appropriate authority's discretion affirm the sanction of compulsory retirement was lawful.

Issues: Whether the imposition of compulsory retirement as a punishment was justified based on the employee's misconduct; whether the learned Single Judge erred in analysis and conclusion.

Ratio Decidendi: The court found that without a compelling basis to deem the disciplinary authority's decision irrational, the interference with the penalty imposed was unjustified. The discretion of the Disciplinary Authority in imposing penalties is upheld by precedent.

Result: Writ Appeal allowed.

Table of Content
1. writ appeal filed against single judge order. (Para 1 , 3)
2. court analyzed disciplinary proceedings conduct. (Para 4 , 10)
3. both parties presented arguments on the judgement. (Para 5 , 8 , 9)
4. proportionality of punishment is questioned. (Para 11 , 12 , 15)
5. writ appeal allowed; single judge's order set aside. (Para 16)

JUDGMENT :

ANU SIVARAMAN, J.

1. The Writ Appeal No.1901 of 2024 is preferred against the order dated 25.09.2024 of the learned Single Judge in Writ Petition No.28289/2013 (S-RES).

2. We have heard Shri. Vighneshwar S. Shastri, learned senior counsel as instructed by Shri. Udaya Shankar Rai.P, learned Advocate appearing for the Indian Bank and Shri P.S. Rajagopal, learned senior counsel as instructed by Shri. Anand S.G., learned Advocate appearing for the respondent.

3. The Writ Petition had been filed seeking the following reliefs:-

"a) ISSUE a Writ in the nature of certiorari to Quash the order bearing No.BGZO;VIG;528:2010-11 as per ANNEXURE-K dated 02.04.2011 and the order dated 14.07.2011 bearing No.1575 VG; SR No.18864: APP: 2011-12 as per ANNEXURE-M passed by Respondent, and order dated 26.05.2012 bearing No. VG:FC 1988:801:REV;SRI 8664-2012-13 as per ANNEXURE-P.

b) To reinstate the Petitioner to the original post and to grant all consequential benefits including arrears of Salary, pay fixation with 12% interest from the date of the order of punishment."

4. By the judgment under appeal, the learned Single Judge considered the contentions advanced on either side and held that the conduct of the disciplinary proceedings was proper. However, on the ground that "A birds eye view of the facts extracted in the enquiry does show that the petitioner is guilty of some misconduct in the matter of ensuring transparency in transactions brought about by him and also in not ensuring the safety and security of the business interest of the Bank. This however, does not justify the imposition of major punishment of compulsory retirement."

5. The learned senior counsel appearing for the appellant submits that the learned Single Judge has erred in substituting his own reasoning for the reasoning of the Disciplinary Authority which is completely impermissible in law. It submitted that after specifically finding that the charges alleged against the Writ Petitioner stood proved in a properly conducted enquiry, it was not open to the learned Single Judge to have substituted the penalty with absolutely no justification at all.

6. The learned senior counsel appearing for the appellant has placed reliance on the following decisions:-

Chennai Metropolitan Water Supply and Sewerage Board and Others v. T.T. Murali Babu , (2014) 4 SCC 108

General Manager (Operations) State Bank of India and another v. R. Periyasamy, (2015) 3 SCC 101

Western Coal Fields Ltd. v. Manohar Govinda Fulzele disposed of on 17.02.2025 in Civil Appeal No. 2608/2025

7. The learned senior counsel has also placed the Indian Bank Officer Employees' (Discipline and Appeal) Regulations, 1976 for our perusal.

8. It is contended by the learned Senior Counsel appearing for the respondent that the enquiry was not conducted in accordance with the principles of natural justice. It is submitted that the entire enquiry report is based on statements in the preliminary enquiry report without any supporting material to substantiate the charges. The Head Office Circular referred to in the memo of charges was not produced in the enquiry. No proper procedure was followed in the enquiry and no oral evidence was adduced. It is submitted that only the punishment of bar of 2 increments was imposed on the respondent's predecessor in office which was also later restored. It is therefore contended that the respondent was subjected to hostile discrimination in the matter of imposition of punishment.

9. The learned senior counsel appearing for the employee/respondent relies on the following decisions:-

Moni Shankar v. Union of India and another, (2008) 3 SCC 484

Govt. of A.P

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