PUNJAB & HARYANA HIGH COURT
N.K.Sodhi, J.
Punjab State Electricity Board
Versus
Presiding Officer, Labour Court
Civil Writ Petition No. 5047 of 1993,
Decided On : FEBRUARY 6, 1995
INDUSTRIAL DISPUTES ACT, 1947 - SECTION 10(1)(C) - PUNJAB STATE ELECTRICITY BOARD EMPLOYEES (PUNISHMENT AND APPEAL) REGULATIONS, 1971 - REGULATION 14(1) - PROBATION OF OFFENDERS ACT, 1958 - SECTION 4, 12 - Termination of service - Conviction for theft - Release on probation - Effect on departmental proceedings.
Fact of the Case:
A workman was convicted of theft under Section 411 of the Indian Penal Code and was released on probation under the Probation of Offenders Act, 1958. The employer terminated his services based on his conviction. The Labour Court set aside the termination order, holding that the workman could not be dismissed solely based on his conviction.
Finding of the Court:
The High Court held that the Labour Court erred in setting aside the termination order. The conviction of the workman for theft was a valid ground for termination of his employment under Regulation 14(1) of the Punjab State Electricity Board Employees (Punishment and Appeal) Regulations, 1971. The release of the workman on probation under the Probation of Offenders Act, 1958 did not prevent the employer from taking departmental action against him for his misconduct.
Issues: Whether the termination of the workman's services was justified in light of his conviction for theft and subsequent release on probation.
Ratio Decidendi: The High Court relied on the Supreme Court decision in Union of India and others V/s. Bakshi Ram, (1990 -I - LLJ 498), which held that a conviction for an offence does not preclude a departmental authority from taking action against an employee for misconduct leading to the offence. The release of the employee on probation under the Probation of Offenders Act, 1958 does not exonerate him from departmental punishment.
Final Decision: The High Court allowed the writ petition, set aside the impugned award of the Labour Court, and upheld the order of termination passed by the competent authority.
N. K. Sodhi, J.
1. Jaswant Singh, the second respondent (hereinafter called the workman) was working as a T-inate on work charge basis with the Punjab State Electricity Board (for short, the Board) and was drawing Rs.500 per month as wages. A case of theft under Sec.411 of the Indian Penal Code was registered against him and he was convicted by the Court of Judicial Magistrate 1st Class, Rajoura on May 23, 1986. The learned Magistrate, however, released the workman on probation under the Probation of Offenders Act, 1958 (for brevity, the 1958 Act) directing him to keep peace and be of good behavior in future. The probationary period fixed was of two years. The Executive Engineer of the Board, who was the competent authority, after taking note of his conviction as also his conduct terminated the services of the workman as per his order dated December 15.1986 (Anncxurc P-1 with the writ petition.) The termination was made effective from September 24, 1983, the date on which the workman was suspended. This termination gave rise to an industrial dispute and the same was referred for adjudication to the Presiding Officer, Labour Court. Patiala, under Sec.10 (1) (c) of the Industrial Disputes Act, 1947, The Labour Court after recording evidence of the parties held that the order of termination could not be retrospective and directed that the same would be operative from the date on which it was passed. The workman was thus held entitled to the wages for the period from September 24, 1983 to December 12, 1986. The order of termination was also set aside as according to the Labour Court, in view of the bar contained in Sec.12 of the 1958 Act, the workman could not be dismissed from services merely because he stood convicted by the criminal Court. It is this award that has been impugned by the Board in the present petition filed under Article 226 of the Constitution.
2. The learned counsel for the petitioner has not seriously challenged that part of the award and in my opinion rightly whereby the Labour Court directed that the order of termination would operate with effect from December 15, 1986 i. e. the date on which it was passed and not retrospectively. It is by now well settled that the benefit for the period of service actually rendered by an employee cannot be denied to him and, therefore, the order of termination could not be made effective retrospectively. No fault can. therefore, be found with that part of the award.
3. The question that has been seriously debated before me is that the Labour Court was not justified in setting aside the order of termination because the workman stood convicted for an offence under Sec.411 of the IPC and instead of being asked to suffer the sentence he was released on probation under Sec.4 of the 1958 Act. According to the learned counsel for the petitioner, in view of his conviction, the services of the workman could be terminated in terms of Regulation 14 (1) of the Punjab Slate Electricity Board Employees (Punishment and Appeal) Regulations, 1971. Ms. Sabina, on the other hand, submitted on behalf of the workman that the services of the workman could not be automatically terminated merely because the workman stood convicted by a Criminal Court and that it was necessary for the Board to have conducted a departmental enquiry before terminating his services.
4. I have heard counsel for the parties and find merit in the contention advanced by counsel for the petitioner. It is not in dispute that the workman stood convicted under Sec.411 of the IPC and was released on probation under Sec.4 of the 1958 Act. When a person is convicted for an offence and is thereafter released on probation, his conviction stands but only the sentence is substituted by the order of release on probation. Sec.12 of the 1958 Act which deals with the removal of disqualifications attached to a conviction provides that notwithstanding anything contained in any other law, a person found guilty of an offence and deal
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