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1997 Supreme(MP) 246

D.M. Dharmadhikari, J.
Mukul Shrivastava
vs
Chairman, Punjab And Sindh Bank
Decided On : 30 April, 1997

Voluntary abandonment of service by an employee terminates the contract of employment, and the employee has no right to withdraw the resignation.

Headnote:

RESIGNATION - WITHDRAWAL - ABANDONMENT OF SERVICE - BANK EMPLOYEE - VOLUNTARY RESIGNATION - WITHDRAWAL BEFORE ACCEPTANCE - ABANDONMENT OF SERVICE - NO RIGHT TO WITHDRAW RESIGNATION - REINSTATEMENT DENIED.

Fact of the Case:

The petitioner, a Clerk-cum-Cashier in Punjab and Sindh Bank, submitted a resignation letter expressing his desire to join the State Government as a Mining Inspector. He later sent letters seeking to withdraw his resignation, but the bank refused to accept it and considered his resignation effective from the date specified in the resignation letter.

Finding of the Court:

The court held that the petitioner had voluntarily abandoned his service by giving a notice of resignation, joining the State services, and demanding his security amount from the bank. The court found that the petitioner had severed his relationship with the bank and had no right to withdraw his resignation.

Issues: 1. Whether the petitioner's resignation was effective from the date specified in the resignation letter, even though it was withdrawn before acceptance by the bank. 2. Whether the petitioner had abandoned his service by voluntarily resigning, joining another service, and demanding his security amount from the bank.

Ratio Decidendi: 1. A resignation becomes effective only upon acceptance by the competent authority. 2. Voluntary abandonment of service by an employee terminates the contract of employment, and the employee has no right to withdraw the resignation.

Final Decision: The petition was dismissed, and the petitioner's request for reinstatement was denied.

ORDER

D.M. Dharmadhikari, J.

1. The petitioner was employed as Clerk-cum-Cashier at the Satna branch of the respondent Punjab and Sindh Bank. By this petition under Article 226 of the Constitution of India, the petitioner claims that he had withdrawn the resignation tendered by him before it was accepted by the bank and, therefore, he should be granted relief of reinstatement with back wages in service.

2. It is necessary to examine the terms and conditions under which the petitioner was appointed, the circumstances leading to his resignation and the action of the bank in response to the notice of resignation.

3. The petitioner was employed in the year 1983 as Clerk-cum-Cashier in Punjab and Sindh Bank. While in service, he applied for the post of Mining Inspector under the State Government. He was selected for the post and thereafter on 8-6-1988 he gave a notice of abandonment of service. (Annexure-R/1) and the contents of the said notice are as follows :

"Reg. - ABANDONMENT OF SERVICE.

Venerated Sir,

Sat Siri Akal.

I wish to bring to your kind notice that I have been selected for the post of MINING INSPECTOR by M.P. JUNIOR SERVICE SELECTION BOARD, BHOPAL (M.P.). Selection confirmation letter is attached along with this letter. Sir, further I have made up my mind to join the post of MINING INSPECTOR. I shall tender my resignation as soon as I get my appointment letter. I am awaiting my posting which may take place after one to two months. Sir, please arrange to refund my dues i.e. P. F. Contribution and Security deposit, etc.

With thanks,

Very sincerely yours,

Sd/-

Encl.: 1. (MUKUL SHRIVASTAVA)

C.C.C. R/o SATNA (MP)

4. On 14-7-1988, again under the subject "Reg. Abandonment of Service", a letter with following contents was addressed to the Regional Manager of the bank :

"I beg to State that I have been selected for the post of MINING INSPECTOR by M.P. Junior Public Service Commission, Bhopal. Sir, I shall tender my resignation on receiving appointment letter from M.P.J.P.S.C. Bhopal. Sir, you might have received one letter of mine prior to this one, but unfortunately the same remained unreplied.

With thanks,

Very sincerely yours,

Sd/-

(MUKUL SHRIVASTAVA)"

5. On 8-9-1988, the petitioner sent his resignation letter (Anexuure-R/3) stating thus :

"Reg. Resignation from Bank Service.

Respected Sir,

I wish to bring to your kind notice that I have been selected for the post of MINING INSPECTOR by M.P.J.S.S.B. Bhopal (M.P.).

Sir, further, I have to join my duties as a MINING INSPECTOR CHHINDWARA DISTRICT by 21-9-1988 which is the closing date of my joining.

Sir, you have already issued a NO OBJECTION CERTIFICATE in this respect, which is in my safe custody.

Sir, now I am finally tendering my resignation from Bank Service.

Sir, I shall perform my duties up to 10-9-1988, Sir, there is no Bank dues towards me and I shall deposit one month's salary as per rules.

Sir, you are requested to accept my resignation. Kindly do the needful and enable me to join my duties at CHHINDWARA.

With thanks.

Very sincerely yours,

Sd/-

C.C.C.S/O SATNA (MP)

(MUKUL SHRIVASTAVA)

B/o PUNJAB AND SINDH BANK, SATNA

(M.P.) Pin. 485001."

(Italics by the Court for emphasis)

6. From the contents of the above letter of resignation, it may be noted that the petitioner desired to resign w.e.f. 11-9-1988 stating that he would perform his duties only upto 11-9-1988. He also agreed to deposit one month's salary as a precondition of resigning.

7. The first question raised by Shri Masood Ali, learned counsel appearing for the petitioner is that the above letter of resignation did not become effective until it was accepted by the competent authority of the Bank.

8. The above letter of resignation was forwarded by the Manager of the Bank at Satna to Regional Manager, Bhopal with a request to communicate his decision well before 21-9-1988 which was the last date for joining by the petitioner on the new post. Similar letter was again sent by the Branch Manager to the Zonal Manager of the bank on 17-9-1988 (Annexure-R



























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