SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Article Pause Article
judgment-img

1987 MarsdenLR 944

INDUSTRIAL COURT, KUALA LUMPUR
BANK BUMIPUTRA MALAYSIA BERHAD AND NGA SUK HUA & WU SOO HWA
Award No. 3O4 Of 1987 [Case No. 1:3/4-164/86 (19 March 86)]



AWARD NO. 304 of 1987
(17.9.87)
Award

1 The Claimant joined the Bank on or about the 1 of May 1966 and held various positions until he was dismissed on the 13 of August 1985

At the time of dismissal he held the position of Senior Manager at the Head Office.He was in charge of Branch Administration Northern & Southern Regions of Peninsular Malaysia except Wilayah, Selangor and East Coast Regions.Sabah and Sarawah Regions also came under his charge.His salary at the time of dismissal was $5,481.00 per month.

2 The Claimant was the Manager of the Ipoh Branch of the Bank from 1 of July 1977 up to 30 of June 1980 and as Senior Manager from 1 of July 1980 to the 15 of February 1981

3 It was contended on behalf of the Bank that whilst serving as the Manager at Ipoh Branch the Claimant had granted and approved credit facilities in favour of Tuckhuan Trading Company for the sum of $96,203.00 without proper Application for Accommodation - (A/A) - and beyond the authority accorded to Managers of "A" Branch which is contrary to General Circular No. 32 currently enforced at the relevant time thereby resulting in losses incurred by the Bank

4 It was contended by the Bank that by the Claimant's abovesaid actions he had contravened the following Clauses of the Bank's Terms & Conditions of Service of Officers, namely:

"1. Section 27: Conduct and Discipline

(c) an officer shall not conduct himself in such a manner as can reasonably be construed as lacking in efficiency;

(g) an officer shall not conduct himself in an irresponsible manner;

2. Section 36: Liability of Officers

An officer shall be liable to the full extent for any banking facilities given or any other action taken by him without the approval of the Management Committee, Loans Committee or the Board of Directors or any other Committees set up by the Board of Directors

Any payment that has to be made, by the Bank as a result of the officer's negligence or careless action or as a result of action taken without approval, shall be recoverable from the officer by way of deduction from his salary without any notice given to him or the Bank may take any action against such officers at any time as it may think fit."

5 It was lastly contended by the Bank that:

"The acts alleged to have been committed by you amount to gross misconduct by virtue of Clause 38 of the Bank's Terms & Conditions for Officers, namely:-

(a) inefficiency;

(o) misconduct;

(e) negligence;

(l) carelessness;

(m) default against any of the Terms of the Service Agreement."

6 On the other hand denying the allegations against him it was contended by the Claimant that his dismissal was without just cause or excuse and contrary to the principles of natural justice

It was further contended by the Claimant that his dismissal amounted to an unfair labour practice.

7 First of all I would like to make the following observations as to the conduct of the Inquiry against the Claimant on the charge preferred against him:

(1) No witnesses were called to give evidence on behalf of the Bank nor were they made available to the Claimant at the Inquiry to be questioned

(2) It was only a question of the Claimant being questioned throughout the hearing

(3) The Claimant was charged under the wrong Circular and this was not brought to the Committee's attention

(4) The Committee of Inquiry should not have taken into consideration in its recommendation the alleged past misconduct of the Claimant in 1981 the decision of which was given more than 3 years afterwards on the 13 of December 1984

The undue delay in coming to a decision on the 13 of December 1984 that the Claimant had violated Clause 27 of the Terms and Conditions of Service for Officers dated 1 September 1974 by not properly exercising his powers and also by allowing several facilities to be irregularly utilised by customers in 1981 should not have operated against the Claimant.

8 I find the Inquiry defective

In the circumstances, it becomes my duty to examine the evidence before me and come to a proper conclusion

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
whatsapp-icon Back to top