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2007 Supreme(Guj) 561

Gujarat High Court
Judgename :H.K.RATHOD
SURENDRANAGAR DISTRICT MILK PRODUCTS UNION LIMITED - Appellant
Versus
KIRTIBHAI KASTURBHAI PUNJARA - Respondent
Special Civil Application 22607 Of 2006
Decided On : 09/17/2007

Advocates Appeared: Keyur Gandhi, T.R.MISHRA, U.T.MISHRA

Headnote:Point in Issue :

       In absence of any Service Rules whether workman employee entitled to full pay during the period of suspension?

       Head Note :

       Industrial Disputes Act, 1947 (Central Act 14 of 1947) - Section 33-C(2) - Recovery application - Amount of - Subsistence allowance - Sustainability - Finding as to - The respondent was suspended without pay on ground of misconduct that after his transfer at C center he did not work and remained absent - He was ordered to be paid subsistence allowance and was directed to report once a day in office and on failure would not be entitle to subsistence allowance - On facts it is not disputed that there is no standing order or service rules with regard suspension - Even considering the implied power of employer to suspend the employee the petitioner was required to pay full wages or salary to him - Petitioner did not even paid suspension allowance as ordered - The contention that he did not reported for work and not signed the muster roll - But no notice was sent by petitioner to respondent in that regard - It is not also disputed that after the order of suspension no departmental inquiry was initiated and no charge-sheet was served on him - From the entire record intention of petitioner is very clear that conduct, attitude, lending intention of petitioner it is clear that what even order is issued by petitioner in absence of service rules is bad in law - Accordingly the Labour Court has rightly came to the conclusion that respondent workman was entitled to the full wages as subsistence allowance from petitioner - Hence, there is no substance in the present petition.

       Held :

       In absence of service rules, it is a pre-existing right of the respondent workman to claim the salary from the petitioner as a subsistence allowance. Looking to the conduct, attitude, tendency, intention of the petitioner, it is clear that whatever order is issued by petitioner in absence of service rules is with a view to keep away the respondent from the duty. Otherwise there is no other purpose which justified such suspension because from date of suspension, no charge-sheet, no departmental inquiry though more than 7 years have passed. That suggests the bad intention on the part of the petitioner. Therefore, according to Court opinion, the Labour Court has rightly examined the claim and decided it and come to the conclusion that respondent workman is entitled the full wages as subsistence allowance from the petitioner.

       The Labour Court has rightly considered the oral evidence appreciated the same and come to right conclusion that whenever service rules are not there and the workman in suspended then workman is entitled the full wages as a suspension allowance and in absence of service rules, question of putting the condition to report to sign muster is also not permissible because on one hand, the employer is suspending the employee on the apprehension that he will tamper with the evidence and record and on the other hand, the employer is calling the workman to report to sign the muster. These two things are completely contradictory to each other. Therefore, according to my opinion, the Labour Court after appreciating the oral as well as documentary evidence and in absence of service rules, considering that condition is not necessary to be observed by the respondent workman and another aspect not to pay suspension allowance to the respondent workman upto the period from 2000, naturally the workman may not report further in absence of subsistence allowance with the petitioner. Not to pay the subsistence allowance amounts to denying the opportunity to the respondent workman which caused great prejudice to the respondent workman who is maintaining the family in absence of the salary for more than 7 years, even though petitioner has not paid a single pie to the respondent workman except as ordered by this Court paid six months amount and Rs. 15,000/- additionally and reinstated him in November, 2006. Therefore, these are the steps taken by petitioner in pursuance to the order passed by this Court. [Para 8]

       It is necessary to note that in absence of preliminary inquiry and charge-sheet, the question of suspension does not arise. In Model Standing Orders 1946, Section 10-A where no provision is made to report daily for marking presence before establishment. So the suspension order was issued without charge-sheet. The suspension must be in or during pending enquiry. But, in this case, in absence of charge-sheet, there is no pending enquiry against respondent even though he was suspended. That suspension without any enquiry is bad or without jurisdiction or power. The power to suspend the employee is pending enquiry but when charge-sheet not served at all then there was no pending enquiry, therefore, suspension order itself is illegal and without any power in absence of rules. The provision of Model Standing Orders 1946 must be applicable and under Section 10-A, no such condition incorporated which required to mark presence daily. Therefore, the order of suspension with such condition itself is illegal.

        [Para 9]

       In view of Court observations and conclusion of the Labour Court is within jurisdiction which is not beyond the scope of Section 33-C(2) of the I.D. Act, 1947. The Labour Court has certainly power to examine the legal claim and decide it on the basis of evidence, merely raising the objection by employer against the recovery application which cannot ousted the jurisdiction of the Labour Court. Therefore, the view taken by Labour Court is correct, just, proper, legal and valid. [Para 16]

       Law Laid Down :

       In absence of preliminary inquiry and charge-sheet the question of suspension does not arise.

       Case Law Analysis :

       Commercial Co-operative Bank Ltd. vs. Pravin S. Mehta, 2007 (1) LLJ 513 [Para 10];; Kamta Parsad & Anr. vs. Presiding Officer, Labour Court, Guragaon & Anr., 2002 Lab I.C. 1934 (P & H) [Para 11];; Union of India & Ors. vs. Gulam Mohamed Ghanchi, 2006 (1) LLJ 33 [Para 12];; Mahalaxmi Co-operative Hsg. Soc. Ltd. vs. Dilip Singh Parocha & Ors., 2007 (1) CLR 475 [Para 13];; K.S. Periyaswamy vs. Bharath Earth Movers Ltd., Bangalore, 2006 (1) CLR 490 [Para 14];; Management of SS-7 Inam Byroji Primary Agricultural Co-operative Bank Ltd., Inam Byroji Post, Verrapandi vs. R. Natesan & Ors., 2007 (2) LLN 698 [Para 15].-Relied on

       Conclusion :

       In absence of Service Rules employee is entitled to full pay during the period of suspension and recovery application for the amount maintainable under the Act.

       Cases Referred :

       Sachidanand Lal vs. State of Bihar & Ors., 2007 (2) LLN 932;; Central Bank of India vs. P.S. Rajagopalan, AIR 1964 SC 743;; Peter D Jada & Anr. vs. Superintendent of Post Offices Udupi & Ors., 1989 ATC 225;; Fakirbhai Fulabhai Solanki vs. The Presiding Officer & Anr., 1986 LLJ 124;; Ram Lakhan etc. vs. Presiding Officer & Ors., 2000 (2) Scale 9;; State of Maharashtra vs. Chanderbhan, AIR 1983 SC 803;; Cpt. M. Paul Anthony vs. Bharat Gold Mines Limited & Anr., AIR 1999 SC 1416;; O.P. Gupta vs. Union of India, 1987 (4) SCC 328;; Indra Bhanu Gaur vs. Committee, Management of M.M. Degree College & Ors., 2003 Lab IC 3844;; Chief Post Master General vs. Rameshbhai L. Parmar, SCA No. 5080/04;; State of Punjab & Ors. vs. K.K. Sharma, 2003 AIR SCW 2792;; O.P. Gupta vs. Union of India, AIR 1987 SC 2257 = 1987 (4) SCC 328;; Khem Chand vs. Union of India, AIR 1958 SC 300;; Zonal Manager, Food Corporation of India vs. Khallel Ahmed Siddiqui, 1982 LIC 1140 (AP);; Balvantrai Ratilal Patel vs. State of Maharashtra, AIR 1968 SC 800;; V.P. Gidroniya vs. State of Madhya Pradesh & Anr., 1970 (1) SCC 362.

       Decided in Favour of :

       Respondent

       Petition Dismissed

H. K. RATHOD, J.

( 1 ) HEARD learned advocate Mr. Keyur gandhi for Nanavaty Associates for the petitioner and learned advocate i Mr. T. R. Mishra for respondent.

( 2 ) IN the present petition, the petitioner has challenged the order passed by Labour court, Surendranagar in Recovery application No. 130 of 2005 dated 22. 9. 2006. The Labour Court has allowed the said Recovery Application with a direction to the petitioner to pay rs. 4,80,703/- from date of application with 6% simple interest, within a period of 30 days from the date of receiving the copy of said order.

( 3 ) THE respondent - workman, Shri K. K. Pujara, was suspended by the petitioner on 28. 5. 1998. He was transferred at chotila Selling Centre on 20. 10. 1996. The misconduct as alleged by the petitioner is that after his transfer at Chotila Selling centre, he was not performing any duty and remained absent in the place of working and also remained absent without pay. Thereafter, he signed the muster after having collusion with other employees. Therefore, it was decided by the petitioner to hold departmental inquiry against the respondent. Therefore, petitioner is having apprehension that if during the pendency of inquiry, respondent is continued in service, he may tamper with the evidence or record and, therefore, he was suspended. The headquarter was fixed at Surendranagar and as per the order, he is entitled six months 50% subsistence allowance and beyond six months, 75% subsistence allowance and he has to report once in a day in the office of petitioner and if he tailed to do so, for that period he is not entitled for the subsistence allowance from the petitioner. The respondent workman is not permitted to work either in private or in government job during suspension period.

( 4 ) ONE fact which is not disputed by petitioner is that there is no standing order or service rules which provides for suspension in the petitioner establishment. The question is that in absence of standing orders or services rules, whether the petitioner is entitled to suspend the respondent workman or not ? Even considering the implied power of the employer to suspend the employee, the petitioner shall have to pay the full wages or salary to the concerned respondent. The suspension allowance as decided in suspension order dated 28. 5. 1998 was not paid by petitioner. Therefore, recovery application was filed by the respondent under Section 33 (c) (2) of the I. D. Act, 1947. That was objected by the petitioner by filing detailed reply and various contentions have been raised by the petitioner before the Labour Court. After passing the suspension order, according to petitioner, in fact the respondent has not reported for work in any occasion and not signed the muster. Therefore, he is not entitled the amount of suspension allowance. One fact is very clear that after suspending the employee, he had not reported to sign the muster. Even though no notice was sent by the petitioner to the respondent. According to petitioner, a notice vide Exh. 31 and exh. 32 sent to the respondent and RPAD acknowledgment with the petitioner but. the petitioner is not having RPAD slip with him and has not produced before the labour Court means no notice served to respondent. Therefore, after passing the suspension order, considering the misconduct as alleged against the respondent in suspension order, the intention was very clear though there was no specific power to continue the respondent in suspension, no departmental inquiry was initiated and charge-sheet was served to him for a pretty long time till the recovery application is decided by the labour Court. Such kind of suspension apparently is a pre-determined issued by the petitioner. A letter dated 27. 1. 1998 addressed to the Assistant PF commissioner by Manager stating that employee of the petitioner establishment shri K. K. Pujara working as a Clerk at chotila Selling Centre has not been paid any salary because of the direction issued by the Chairm

















































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