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2005 Supreme(All) 2038

ALLAHABAD HIGH COURT
D.P.Singh
REGIONAL MANAGER STATE BANK OF INDIA
Versus
PRESIDING OFFICER CENTRAL
Decided On : 25 October 2005
C. M. W. P. No. 37482 of 1997

Advocates:
A.K.Goyal, Navin Sinha, S.N.Verma, Sharad Kumar Srivastava, Sharad Verma, U.N.Sharma, VinodKumar Singh, Y.K.Shukla, Y.K.Sinha, Yashwant Verma,

The judgment establishes the principle that bank employees are expected to uphold higher standards of honesty and integrity, and actions breaching trust can warrant dismissal.

Headnote:

Industrial Disputes Act - Termination of Workman - Section 10 - Section 4 - Section 25F - Section 25G - Section 25H - Section 25J

Fact of the Case:

The respondent workman, a Cashier in a bank, was terminated due to allegations of financial misappropriation. The Central Government Industrial Tribunal reinstated the workman with 3/4 back wages, based on a vitiated enquiry.

Finding of the Court:

The Court found that the Tribunal erred in discarding key documents and that the workman's actions warranted dismissal, especially considering the trust and integrity expected in a public sector bank.

Issues: Fairness of the enquiry, validity of the termination, admissibility of confession, and the role of the Court in factual controversies.

Ratio Decidendi: The Court held that the workman's actions, including fraudulent withdrawals and tampering with bank records, warranted dismissal, emphasizing the higher standards of honesty and integrity expected from bank employees.

Final Decision: The petition was allowed, quashing the Tribunal's award, but with an observation regarding the payments already made to the workman.

D. P. SINGH, J.

Pleadings are complete and the Counsel for the-parties agree that the petition may be finally disposed off under the Rules of the Court.

Heard learned Counsel for the parties.

2. This petition is directed against an order of the Central Government Industrial Tribunal dated 21-7- 1997 accepting the reference of the workman and directing his reinstatement together with 3/4 back wages.

3. The respondent workman was a Cashier in the Ballia Branch of the petitioner Bank when allegations of financial misappropriation were leveled against him and a charge sheet dated 20-6-1977 was issued. After holding an enquiry the services of the respondent workman were dispensed with which gave rise to a reference under Section 10 of the Industrial Disputes Act. The reference was registered as industrial dispute No. 21 of 1996 by the Central Government Industrial Tribunal, Kanpur. After exchange of pleadings the Tribunal framed a preliminary issue with regard to fairness of the enquiry and by order dated 21-1- 1997 it held that the enquiry was vitiated and as such it allowed the parties to lead evidence and by the impugned award the workman has been reinstated with 3/4 back wages.

4. Learned Counsel for the petitioner has urged that the Tribunal had erred in law by discarding the two documents Ex. M-1 and M-2 on untenable grounds. She has further urged that charge No. 4 which was found to be proved by the Tribunal was sufficient to justify the termination of the workman.

5. The case of the petitioner before the Tribunal was that while he was working as Cashier in the aforesaid Branch of the petitioner Bank he had fraudulently withdrawn Rs. 8100 on different dates from

the savings Bank account of a customer and destroyed the withdrawal vouchers and further he made entries in the ledger account without being authorized and also interpolated the entries in the pass book of a customer. The following charges were framed against him vide charge sheet dated 21-6-1977:

"you are hereby required to show-cause as to why disciplinary action should not be taken against you on any one or more of the following charges:

(I) That you have fraudulently withdrawn an aggregate sum of Rs. 8100/- detailed as under:

9-6-75. . Rs. 600. 00 20-6-75. . Rs. 3000. 00 28-7-75. . Rs. 4500. 00 (II) That, you made the entry for Rs. 4500/-dated 28- 7-75 in the ledger account in your own handwriting although you were not authorized to do so, as you were not working on the savings Bank stat on the material date.

(III) That to cover up your aforesaid fraudulent acts you surreptitiously recovered the packets containing the Savings Bank Vouchers of the material dates, which included the above three withdrawals from the Branch.

(IV) That certain amount given to you by Mrs. Meena Verma on various occasion, for depositing it in her savings being account No. 1169 were not deposited by you on the concerned dates. To cover up your aforesaid lapses you made fictitious and incorrect entries in the Savings Bank pass-book. You also authenticated entries in the pass-book although you were not authorized to do so, as you were not even officiating as Amad Clerk/officer grade II, at the material time. A few such instance are as follows:

(a) On the 3rd September, 1973 you have authenticated the balance in the pass book when a sum of Rs. 10/- was posted in it, but no such amount was deposited in the account holders account.

(b) An undated fictitious entry of Rs. 20/-was made by you on the account holders pass book prior to an entry dated the 8th November, 1973 and the resultant balance authenticated by you.

(c) An entry of Rs. 400/- was made by you on 8-11-1973 in the pass book although a sum of Rs. 420/- was deposited in the account by you.

(d) An entry of Rs. 207/- was said by you on 22-11- 1974 in the account holders pass book although the depositor had deposited only a sum of Rs. 187/ -.

(e) Two fictitious entries of Rs. 362/- Rs. 1045/- were made by you on 14-4-1975 although no such de





































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