IN THE HIGH COURT OF JUDICATURE AT PATNA
P.B. BAJANTHRI, J.
Manoj Kumar Thakur S/o Late Satya Narayan Singh – Petitioner
Versus
Chairman Cum Managing Director, Central Bank of India, Muzaffarpur – Respondent
Civil Writ Jurisdiction Case No. 12258 of 2009
Decided On : 15-02-2023
Dismissal from Service - Disciplinary Proceedings - Misappropriation of Funds
Fact of the Case:
The petitioner, a Head Cashier-II, was subjected to disciplinary proceedings for misappropriation of funds. The charges included temporary misappropriation of bank and customer funds, leading to the imposition of dismissal from service as a penalty.
Finding of the Court:
The court found that the petitioner's admission of temporary misappropriation and the serious nature of the charges justified the imposition of the penalty. The court concluded that the dismissal from service was not disproportionate given the nature of the misconduct and the petitioner's admission.
Issues: The issues revolved around the imposition of dismissal from service as a penalty for the temporary misappropriation of funds by the petitioner, and whether it was justified in the context of the charges and the nature of the financial institution involved.
Ratio Decidendi: The court's decision was influenced by the admission of temporary misappropriation by the petitioner, the serious nature of the charges, and the context of the financial institution being a bank dealing with customer funds.
Final Decision: The petition was dismissed, upholding the imposition of dismissal from service as a penalty for the temporary misappropriation of funds.
JUDGMENT :
P.B. BAJANTHRI, J.
1. The petitioner has unnecessarily impleaded respondents by name insofar as respondent Nos. 3 to 6 without alleging any allegation of mala-fide or bias against such of those persons who have been impleaded therefore, petitioner’s counsel is hereby directed to delete their names during the course of the day.
2. In the instant petition, petitioner has prayed for the following relief/reliefs:
(ii) For a direction to the respondents to reinstate the petitioner with full back wages.
(iii) For holding that the major punishment of dismissal from service without notice is against the doctrine of proportionality in administrative law.
(iv) For holding that the punishment of dismissal being disproportionate to the misconduct alleged against the petitioner is violative of Article 14 of the Constitution of India.
(v) For holding that the entire disciplinary proceeding is vitiated by non-observance of principle of Natural Justice and has proceeded in a pre-judicial manner without application of mind.
(vi) For any other relief or reliefs to which the petitioner may deemed entitled.”
3. The petitioner while working as Head Cashier-II alleged to have committed misdeeds for which he was subjected to disciplinary proceedings in framing two charges. The following are the two charges:
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“Sri. Manjoj Kumar Thakur was in-charge of Cash Department. On 18.10.2006 he tried to close cash safe by inflating the Cash Balance by an amount of Rs. 1,72,000/- Sri. Thakur written the cash memo and inflated the demomination of notes to the tune of Rs. 1,72,000/- and produced the cash memo before Sri. Bharat Bhushan, ABM, Pusa Farm, who was second signatory of the cash memo. During the course of counting the notes, Sri. Bhushan found that amount of Rs. 1,72,000/- was less in the packets of Rs. 500/- and 100/- denominations. After enquiry from Sri. Thakur, he told that he has given Rs. 1,72,000/- to one customer who has assured him to pay the amount by 4 P.M. Thus, Sri. Thakur misappropriated the Bank's fund and tried to conceal the fact.”
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“Sri. Thakur borrowed cash from Sri. Bharat Bhushan ABM. Pusafarm from his centconvenient a/c and deposited the amount and cash count be closed on 18.10.2006.”
4. Departmental inquiry was concluded in imposition of penalty of dismissal from service on 16.06.2007 and it was subject matter of appeal before the appellate authority in which also the petitioner had suffered an order on 29.12.2008. Hence the present writ petition.
5. Learned counsel for the petitioner submitted that having regard to the alleged charges, imposition of penalty would be too harsh. It is submitted that he has rendered 14 years of service. During his entire service, it is an isolated case, therefore, imposition of penalty of dismissal from service and its confirmation would be harsh.
6. Per contra, learned counsel for the respondents resisted the aforesaid contention and submitted that there is no infirmity in imposition of penalty and its confirmation by the appellate authority. The alleged charges are relating to temporary misappropriation of cash of Rs. 1,72,000/-. The charges are that petitioner had lent the amount to one customer Sudhir Kumar Singh on the assurance that he would return the alleged amount at 4:00 pm on 18.10.2006, the date on which the alleged transaction has taken place. Thereafter, petitioner has borrowed money from bank officials and remitted. In other words, it is temporary misappropriation. The petitioner was working with the Central Bank of India. The Bank is dealing with various money transactions with the customers. The petitioner has temporarily misappropriated customers’ money, who have trusted the respondent- Central Bank of India.
The court upheld the principle that the imposition of dismissal from service as a penalty for misconduct, particularly in the context of financial institutions dealing with customer funds, may be jus....
Bank officials accused of serious financial misconduct are expected to discharge their duties with utmost integrity and honesty, and the punishment imposed by the Disciplinary Authority cannot be sub....
Dismissal for misconduct in banking, despite no financial loss, is justified to maintain integrity and trust; procedural irregularities alone do not negate findings unless they cause specific prejudi....
Punishment in disciplinary proceedings must adhere to principles of natural justice and be proportionate to the misconduct; excessive punishment may warrant judicial intervention.
The seriousness of misappropriation of public money and the fiduciary duty of a Bank employee require a strict approach, and the refund of misappropriated amount after a considerable time does not ab....
The main legal point established is that in disciplinary proceedings, the court's jurisdiction is limited to enquiring whether there is any evidence in support of the impugned conclusion and ensuring....
Disciplinary actions against employees for financial misappropriation must follow due process and can only be interfered with if proven unreasonable, arbitrary, or disproportionate to the misconduct.
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