1988 Supreme(Gau) 172
GAUHATI HIGH COURT
B.L.Hansaria, S.N.Phukan, JJ.
Lalit Chandra Baruah -Appellant
Versus
Assam State Warehousing Corporation -Respondent
Civil Rule No. 566 of 1984
Decided On : 12-09-1988
Important Points
Subject
Service Law - DEPARTMENTAL ENQUIRY
Act Referred
CONSTITUTION OF INDIA : Art.226
Headnote
DEPARTMENTAL ENQUIRY - Violation of Principle of Natural Justice - Enhancement of Punishment by Appellate Authority - Perversity of Enquiry Report - Proportionality of Punishment.
Fact of the Case:
Petitioner, a Warehouse Manager, was demoted, debarred from future promotion, and ordered to recover a sum of money due to alleged misconduct. He challenged the punishments, claiming violations of natural justice, lack of jurisdiction for enhancement of punishment, and perversity in the enquiry report.
Finding of the Court:
1. The enquiry officer did not allow the petitioner to examine two witnesses, but one of them was later examined, and the other two were not necessary as they had already testified for the Corporation. 2. The petitioner was given a chance to examine records at Guwahati and Tezpur, so there was no denial of opportunity to examine records. 3. The appellate authority exceeded its jurisdiction by enhancing the punishment as the relevant regulation did not specifically grant such power. 4. The appellate order was not a speaking order and was liable to be quashed. 5. The enquiry report was not perverse as the petitioner was responsible for the financial loss to the Corporation due to his negligence in handling damaged rice bags.
Issues: 1. Whether the departmental enquiry violated the principle of natural justice? 2. Whether the appellate authority had the jurisdiction to enhance the punishment? 3. Whether the enquiry report was perverse? 4. Whether the punishment was proportionate to the charge proved?
Ratio Decidendi: 1. The principle of natural justice requires that a delinquent officer be given adequate opportunity to peruse documents and examine witnesses in a departmental proceeding. However, in this case, the petitioner was given a chance to examine records and one of the requested witnesses, and the other two were not necessary. 2. The appellate authority's power to alter, modify, or rescind the order passed by the disciplinary authority does not include the power to enhance the punishment unless specifically provided in the rules. In this case, the relevant regulation did not grant such power, so the enhancement of punishment was unlawful. 3. The enquiry report was not perverse as the petitioner was responsible for the financial loss to the Corporation due to his negligence in handling damaged rice bags. 4. The punishment of reduction in rank was disproportionate to the charge proved, considering the petitioner's negligence and the lapse of time since the occurrence.
Final Decision: 1. The appellate order enhancing the punishment was quashed. 2. The punishment awarded by the disciplinary authority was set aside. 3. The Corporation was directed to recover the financial loss of Rs. 26,670.50 from the petitioner's salary in equitable monthly installments.
P.C.Deka, Y.K.Phukan, B.K.Sharma, A.C.Sharma
By this petition under Article 226 of the Constitution petitioner who was a Warehouse Manager Gr. I under respondent No. 1, namely, Assam State Warehousing Corporation, has challenged the following punishments awarded to him in the departmental proceeding in question. The said punishments were demotion to the rank of Warehouse Manager Gr. 11 fixing his pay at the initial stage of the pay-scale of the said post, debarring him from getting future promotion and recovery of an amount of Rs. 26,670.50. The petitioner was charged under five heads. The departmental enquiry was held and the enquiry officer found him guilty of the charges and the disciplinary authority accepted the report and demoted the petitioner to junior most position of Gr. II Warehouse Manager. Being aggrieved, the petitioner preferred an appeal before the appellate authority, namely, the Board of Directors of respondent No. 1 Corporation. The appellate authority not only rejected the appeal but issued a notice on the petitioner to show cause why the punishment should not be enhanced vide letter dated 18th July, 1983 at Annexure-X to the petition. There after by order dated 14.8.84 vide Annexure-XII imposed the enhanced punishment. The main charge against the petitioner is that between 6.9.77. and 10.9.77 he as a Warehouse Manager of the Corporation at Tezpur received rice in good condition from the Food Corporation of India, Tezpur and issued proper receipt but in respect of 898 bags of rice he did not issue any receipt though he kept the said bags of rice unaccounted in the warehouse in contravention of the rules and instructions. Subsequently after rebaging of said unaccounted bags of rice, 197 quintals 18 K. Gs and 500 grams, being the contents of 221 bags valued at Rs. 26,670.50 were found short.
2. The first contention of Mr. Phukan, learned counsel for the petitioner, is that the enquiry was vitiated being violative of the principle of natural justice, inasmuch as, the petitioner was not given chance to examine records and the enquiry officer did not allow the petitioner to examine two witnesses. In support, Mr. Phukan has drawn our attention to a decision of this Court in Dr. Tarini Chandra Deka vs. The Gauhati University and Ors., ILR 1981 Gauhati 72. The above decision was rendered by one of us (Hansaria J) and this Court found that there was violation of principle of natural justice in the departmental enquiry, inasmuch as, the delinquent lecturer was denied the opportunity of referring to important documents favourable to him and defence witnesses as requested were not examined. There cannot be any dispute if in the departmental proceeding the delinquent officer was not given adequate opportunity to peruse the documents or his witnesses were not examined there is violation of principle of natural justice.
3. Coming to the case in hand, we find from record that petitioner requested the enquiry officer to examine three witnesses in support of his case, viz., (1) Upen Barman, Salesman-cum-Peon, (2) Jita Mahtoo, Night-Watchman and (3) Khageswar Das, L. D. Assistant. Mr. Deka, learned counsel for the respondents has rightly drawn our attention that the enquiry officer examined @ Jita Mahtoo a defence witness but examination of Upen Barman and Khageswar Das was not necessary as they had been examined as witnesses for the Corporation. We have perused the record and we find that Khageswar Das was examined as witness No. 3 and Upen Barman was examined as witness No. 4. Situated thus, we are of the opinion, re-examination of these two witnesses was not necessary and the enquiry officer rightly refused to examine these two witnesses.
4. Mr. Phukan has submitted that the prayer for adjournment by the petitioner on health ground was rejected without recording any reason and as a result some witnesses could not be cross-examined. We find from record and also from the report of the enquiry officer that the petitioner was afforded an opportunity to cross