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2014 Supreme(MP) 1249

MADHYA PRADESH HIGH COURT AT GWALIOR BENCH
Sujoy Paul, J.
Crompton Greaves Ltd. - Appellant
Versus
Sharad Maheshwari - Respondent
Writ Petition No. 4184-2011
Decided On : 26-08-2014

Advocates Appeared:
For the Petitioner:Patwardhan and B.S. Bais, Advocates.
For the Respondents:Vivek Jain, Advocate.

The main legal point established in the judgment is the limited scope of judicial interference in a domestic enquiry, the principles of evidence applicable in domestic enquiries, and the implications of loss of confidence on reinstatement.

Headnote:

Labour Dispute - Domestic Enquiry - Industrial Dispute Act, 1947 - Section 11A, Industrial Disputes Act, 1947 - The court discussed the legal provisions related to domestic enquiry, the scope of judicial interference, and the principles of evidence applicable in domestic enquiries. The court also highlighted the principle of loss of confidence and its implications on reinstatement of an employee.

Fact of the Case:

The respondent workman was dismissed from service based on allegations of misconduct, which led to an industrial dispute. The Labour Court set aside the dismissal order and directed reinstatement with full back wages.

Finding of the Court:

The court found that the Labour Court erred in its interference with the dismissal order, as the domestic enquiry was legal and justified. The court also held that the Labour Court's findings were based on no evidence and were clearly perverse.

Issues: The issues included the legality and validity of the departmental enquiry, the interference by the Labour Court with the punishment of dismissal, and the employer's plea of loss of confidence.

Ratio Decidendi: The court emphasized that the scope of judicial interference in a domestic enquiry is limited and that the Labour Court should not reassess the evidence unless the findings are based on no evidence or are clearly perverse. The court also highlighted the principle of loss of confidence and its implications on reinstatement.

Final Decision: The court set aside the Labour Court's award and allowed the petition, concluding that the reinstatement of the workman with full back wages was not justified.

JUDGMENT

Sujoy Paul, J.

1. This petition filed under Article 227 of the Constitution challenges the impugned award of Labour Court dated 28.1.2011 passed in Case No. 6A/ID Act/09 (Ref) by Labour Court No. 2, Gwalior.

Brief facts necessary for adjudication of this matter are as under:

2. The respondent workman was working as a Technician in the petitioner Industry at Malanpur. A charge sheet dated 13/12/2005 was served on the workman alleging that on 15.10.2005, the workman was on duty in shift "B". On the said date, he misbehaved with Shri Sanjay Goyal, maintenance incharge and with Shri A.N.G. Rao, a superior officer. It is alleged that workman has used filthy language against him. Besides the said charge, it is further alleged that on 1.12.2005 the workman joined his duty in shift "B" which was scheduled to be started at 3-30 PM but he forcefully entered the factory before the scheduled time and misbehaved with security guards. He involved himself in an agitation organized by technicians of "A" shift. The said agitation created nuisance in the factory premises. The workman used filthy language against superior officer, Rajvinder Singh. Because of the said incident, work of factory was stopped for a considerable long time.

3. The respondent workman denied the allegations mentioned in the charge sheet by filing reply (Annexure P-3). In turn, the employer appointed an enquiry officer to conduct a domestic enquiry. The enquiry started on 6.1.2006 and ended on 3.8.2007.

4. Shri Patwardhan, learned counsel for the petitioner submits that in the departmental enquiry, full, reasonable and effective opportunity of hearing was given to the workman. Thereafter, the enquiry report was supplied to the workman and after obtaining his response, by order dated 31.1.2008 the workman was dismissed from service. It is admitted between the parties that the said dismissal dated 31.1.2008 became the foundation of instant industrial dispute, which was ultimately decided by the Labour Court by impugned award dated 28.1.2011.

5. Shri Patwardhan submits that the Labour Court had framed various issues including issue No. 1, which was regarding legality and validity of the departmental enquiry. It is submitted that the said issue was decided by Labour Court on 1.11.2010 (Annexure P-8). The Labour Court after examining the record opined that the departmental enquiry was legal and justified. Thereafter, the parties were heard on remaining issues and by impugned award, the Labour Court set aside the dismissal order and directed reinstatement of workman with full back wages.

6. Criticizing this order, Shri Patwardhan submits that once the legality, validity and correctness of domestic enquiry is upheld by the Labour Court, it was not open to the Labour Court to act as an appellate authority. He submits that the Labour Court has erred in interfering with the punishment of dismissal from service. It is contended that the Labour Court was not required to sit as an appellate authority to re-appreciate and re-weigh the evidence. If there was some evidence, it was sufficient to hold the workman as guilty. By taking this Court to the enquiry report, it is urged that there was enough evidence to punish the workman. It is further argued that the Labour Court has erred in applying the principles of criminal law/evidence Act in a matter of domestic enquiry. He further submits that in the enquiry even hearsay evidence is permissible.

7. Learned counsel for the employer further submits that once charges are established considering the gravity of allegations, no interference was warranted. He submits that if the findings of departmental enquiry was held to be perverse by the Labour Court, in that situation, the Labour Court should have permitted the employer to lead evidence. Heavy reliance is placed in this regard on : (1996) 4 SCC 374 (Bharat Forge Co. Ltd. Vs. A.B. Zodge and another) and on a judgment of Punjab and Haryana High Court reported in 2010 (3) LLJ 477 (Good Year In





































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