Canara Bank and Ors. v. Shri Debasis Das and Ors.
submitted that the true import of Regulation 6(18) has not been considered
by the High Court. As no prejudice was caused to the employee by the action
taken by the Disciplinary Authority, and there was full compliance with the
C principles of audi alteram partem. Even if it is conceded for the sake of
argument that there was any deficiency in the order passed by the Disciplinary
Authority, same was abundantly made good by the Appellate Authority which
granted personal hearing to the employee. Post decisional hearing is permissible
and in fact personal hearing was granted though there was no such requirement.
No prejudice has been shown.
In response learned counsel for the employee submitted that the Inquiry
Officer had permitted filing of the written briefs by the employee after written
briefs was submitted by the Presenting Officer. As the employee had not
received the copy of written briefs, therefore, there was delay and the Inquiry
Officer was duty bound to consider the written briefs of the employee. Merely
because the Appellate Authority granted opportunity of personal hearing that
did not cure the incurable defect in the proceedings. Furthermore, the directions
of the Learned Single Judge for sending the disputed documents to the expert
stand and the Bank is not prejudiced in any manner. He in essence supported
the High Court's judgment.
Since Regulation 6(18) is the provision round which the controversy
centers, it would be appropriate to quote the same. So far relevant it reads as
follows:
"Regulation 6(18): The Inquiring Authority may, after the completion
of production of evidence hear the Presenting Officer, if any, appointed
and the Officer employee, or perm it them to file written briefs of the
respective cases within 15 days of the date of completion of the
production of evidence if they so desire."
It would be also relevant to extract Regulation 6(21) which reads as
H follows:
·~
-
CANARA BANK"· DEBASIS DAS [ARlnTPASAYAT,J] 979
"Regulation 6(2 /): (i) On the conclusion of the inquiry the inquiring A
authority shall prepare a report which shall contain the following:
(a) a gist of the article of charge and the statement of the imputations
of misconduct or misbehaviour;
(b) a gist of t~e defence of the officer employee in respect of each B
article of charge;
( c) an assessment of the evidence in respect of each article of charge; ·
( d) the findings on each article of charge and the reasons therefor.
Explanation:. If, in the opinion of the Inquiring authority, the C
proceedings of the inquiry establish any article of charge different
from the original article of charge, it may record its findings on such
article of charge:
Provided that the findings on such article of charge shall not be
recorded unless the officer employee has either admitted the facts on D
which such article of charge is based or has had a reasonable
opportunity of defending himself against such article of charge.
(ii) The inquiring authority, where it is not itself the Disciplinary
Authority, shall forward to the Disciplinary Authority, the records of
. inquiry which shall include.
(a) the report of the inquiry prepared by it under clause (i); ·
(b) the written statement of defence, if any, submitted by the
officer employee referred to in sub-regulation (I 5);
(c) the oral and documentary evidence produced in the course
of the inquiry;
(d) written briefs referred to in sub-regulation ( 18) if any; and
(e) the orders, if any, made by the Disciplinary Authority and
the inquiring authority in regard to the inquiry."
It is to be noted that the Disciplinary Authority can himself be the
!~quiring Authority. In that sense the Inquiry Officer is an agent of the
Disciplinary Authority. The regulations make this position crystal clear in
Regulation (7). It reads as follows:
"Regulation 7: Action on the fnquily Report:
(l) The Disciplinary Authority, if it is not itself the inquiring
authority may for reasons to be recorded by it in writing, rem it the
case to the inquiring au.thority for fresh or further inquiry and report
and the inquiring authority shall thereupon proceed to hold the further
inquiry according to the provisions of regulation 6 as far as may be.
(2) The Disciplinary Authority shall, if it disagrees with the
findings of the inquiring authority on any article of charge, record its
reasons for such disagreement and record its own findings on such
charge, if the evidence on record is sufficient for the purpose.
(3) If the Disciplinary Authority, having regard to its findings on
all or any of the articles of charge is of the opinion that any of the
penalties specified in regulatior , 3hould be imposed on the officer
employee it shall notwithstanding anything contained in regulation 8,
make an order imposing such penalty.
(4) If the Disciplinary Authority having regard to its findings on
all or any ofthe articles of charge is of the opinion that no penalty
is called for, it may pass an order exonerating the officer employee
concerned."
It is to be noted that both the expressions "may" and "shall" appear in
Regulation (7). The former expression is used when the Disciplinary Authority,
if it is not the Inquiring Authority can remit the case to the Inquiring Authority
for fresh or further inquiry and report and the latter expression is used vis
a-vis the Inquiring Authority who is required to proceed to conduct further
inquiry according to provision of Regulation (6) as far as may be applicable.
Regulation 6(2 l)(ii) deals with the documents which are to be forwarded
to the Disciplinary Authority _in case it is not the Inquiring Authority. The
documents to be forwarded include the written briefs referred to in sub
regulation ( 18).
A bare reading of sub-regulation ( 18) of Regulation 6 makes the position
clear that there is no requirement of the employee being granted an opportunity
to file written briefs after the Presenting Officer files written briefs. On the
contrary, as the provisions postulate, after completion of production of evidence
two options are open to the Inquiry Officer. It may hear the Presenting
H Officer appointed and the concerned employee or in the alternative permit
r
t
'
f •·
-'
CANARA BANK 1•. DEBASIS DAS [ARIJITPASAYAT,J.] 981
them to file written briefs within 15 days of the date of completion of the A
production of evidence if they so desire. The written briefs are relatable to
the cases of the party concerned; otherwise the expression 'respective case'
would be meaningless. In other words, the written briefs must contain what
his case is. There is no requirement of filing written briefs one after the other.
It is not required that one party has to wait till filing of written briefs by the B
other. The expression "respectively", means belonging or relating separately
to each of several people. It is a word of severance.
It is to be further noted that in the appeal before the Appellate Authority
findings of the Inquiry Officer were challenged and, therefore, the question
of any prejudice does not arise. Since employe·e had the opportunity to meet C
the stand of the Bank, it was to his advantage, and opportunity for personal
hearing was also granted, though Regulation 6( 18) does not even speak to
grant such an opportunity. Keeping in view what was observed in B.
Karunakara 's case (supra) there was no question of violation of principles of
natural justice.
On that score the conclusion arrived at by the Learned Single Judge
and the Division Bench that there was violation of principles of natural
justice cannot be maintained.
Residual and crucial question that remains to be adjudicated is whe.ther
principles of natural justice have been violated; and if so, what ex.tent any E
prejudice has been caused. It may be noted at this juncture that in soine cases
it has been observed that where grant of opportunity in terms of principles
of natural justice do not improve the situation, "useless formality theory" can
be pressed into service.
Natural justice is another name for commonsense justice. Rules of F
natural justice are not codified canons. But they are principles ingrained into
the conscience of man. Natural justice is the administration. of justice in a
commonsense liberal way. Justice is based substantially on natural ideals and
human values. The administration of justice is to be freed from the narrow
and restricted considerations which are usually associated with a formulated G
law involving linguistic technicalities and grammatical niceties. It is the
'substance of justice which has to determine its form.
The expressions "natural justice;, and "legal justice" do not present a
water-tight classification. It is the substance of justice which is to be secured
by both, and whenever legal justice fails to achieve this solemn purpose,· H
A natural justice is called in aid of legal justice. Natural justice relieves legal
justice from unnecessary technicality, grammatical pedantry or logical
prevarication. It supplies the omissions of a formulated law. As Lord
Buckmaster said, no form or procedure should ever be permitted to exclude
the presentation of a litigants' defence.
B . The adherence to principles of natural justice as recognized by all
civilized States is of supreme importance when a quasi-judicial body embarks
on determining disputes between the parties, or any administrative action
involving civil consequences is in issue. These principles are well settled.
The first and foremost principle is what is commonly known as audi alteram
C · partem rule. It says that no one should be condemned unheard. Notice is the
·first limb of this principle. It must be precise and unambiguous. It should
appraise the party determinatively the case he has to meet. Time given for the
purpose should be adequate so as to enable him to make his representation.
In the absence of a notice of the kind and such reasonable opportunity, the
order passed becomes wholly vitiated. Thus, it is but essential that a party
D should be put on notice of the case before any adverse order is passed against
him. This is one of the most important principles of natural justice. It is after
all an approved rule of fair play. The concept has gained significance and
shades with time. When the historic document was made at Runnymede in
1215, the first statutory recognition of this principle found its way into the
E "Magna Carta". The classic exposition of Sir Edward Coke of natural justice
requires to "vocate interrogate and adjudicate". In the celebrated case of
Cooper v. Wandsworth Board of Works, (1963) 143 ER 414, the principle
was thus stated:
"Even God did not pass a sentence upon Adam, before he was
p called upon to make his defence. "Adam" says God, "where art thou
has thou not eaten of the tree whereof 1 commanded thee that though
should not eat".
Since then the principle has been chiselled, honed and refined, enriching
its content. Judicial treatment has added light and luminosity to the concept,
G like polishing of a diamond.
Principles of natural justice are those rules which have been laid down
by the Courts as being the minimum protection of the rights of the individual
against the arbitrary procedure that may be adopted by a judicial, quasi
judicial and administrative authority while making an order affecting those
H rights. These rules are intended to prevent such authority from doing injustice.
-
CANARA BANK 1•. DEBASIS DAS [ARIJITPASAYAT,J.] 983
What is meant by the term 'principles of natural justice' is not easy to A
determine. Lord Summer (then Hamilton, L.J.) in Ray v. Local Government
Board, (1914) 1 KB 160 at p.199:83 LJKB 86) described the phrase as sadly
lacking in precision. Jn General Council of Medical Education & Registration
of UK. v. Sanckman, (1943) AC 627: ( 1948) 2 All ER 337, Lord Wright
observed that it was not desirable to attempt 'to force it into any procusteam B
bed' and mentioned that one essential requirement was that the Tribunal
should be impartial and have no personal interest in the controversy, and
further that it should give 'a full and fair opportunity' to every party of being
heard.
Lord Wright referred to the leading cases on. the subject. The most C
important of them is the Board of Education v. Rice, (1911) AC 179:80
LJKB 796, where Lord Loreburn, L.C. observed as follows:
"Comparatively recent statutes have extended, if they have.
originated, the practice of imposing upon d~artments or offices of
State the duty of deciding or determining questions of various kinds. D
It will, I suppose usually be of an administrative kind, but sometimes,
it will involve matter of law as well as matter of fact, or even depend
upon matter of law alone. In such cases, the Board of Education will
have to ascertain the law and also to ascertain the facts. I need not
and that in doing either they must act in good faith and fairly listen E
to both sides for that is a duty lying upon everyone who decides
anything. But I do not think they are bound to treat such a question
as though it were a trial.. .. The Board is in the nature of the arbitral
tribunal, and a Court of law has no jurisdiction to hear appeals from
the determination either upon law or upon fact. But if the Court is F
satisfied either that the Board have not acted judicially in the way I
have described, or have not determined the question which they are
required by the Act to determine, then there is a remedy by mandamus
and certiorari".
Lord Wright also emphasized from the same decision the observation G
of the Lord Chancellor that the Board can obtain information in any way they
think best, always giving a fair opportunity to those who are parties to the
controversy for correcting or contradicting any relevant statement prejudicial
to their view". To the same effect are the observations of Earl of Selbourne,
LO in Spackman v. Plumsiead District Board of Works, (1985) 10 AC 229:54
A LJMC 81 ), where the learned and noble Lord Chancellor observed as follows:
"No doubt, in the absence of special provisions as to how the
person who is to decide is to proceed, law will imply no more than
that the substantial requirements of justice shall not be violated. He
is not a judge in the proper sense of the word; but he must give the
parties an opportunity of being heard before him and stating their
case and their view. He must give notice when he will proceed with
.the_ matter and he must act honestly and impartially and not under the
dictation of some other person or persons to whom the authority is
not given by law. There must be no malversaiion of any kind. There
C would be no decision within the meaning of the statute if there were
anything of that sort done contrary to the essence of justice".
Lord Selbour-ne also added that the essence of justice consisted in requiring
that all parties should have an opportunity of submitting to the person by
whose decision they are to be bound, such considerations as in their judgment
D ought to be brought before him. All these cases lay down the very important
rule of natural justice contained in the oft-quoted phrase 'justi.ce should not
only be done, but should be seen to be done'.
Concept. of natural justice has undergone a great deal of change in
E recent years. Rules of natural justice are not rules embodied always expressly
in a statute or in rules framed thereunder. They may be implied from the
nature of the duty to be performed under a statute. What particular rule of
natural justice should be implied and what its context should be in a given
case must depend to a great extent on the fact and circumstances of that case,
the frame-work of the statute under which the enquiry is held. The old
F distinction between a judicial act and an administrative act has withered
away. Even an administrative order which involves civil consequences must
be consistent with the rules of natural justice. Expression 'civil consequences'
encompasses infraction of not m'erely property or personal rights but of civil
liberties, material deprivations, and non-pecuniary damages. In its wide
G umbrella comes everything that affects a citizen in his civil life.
Natural justice has been variously defined by different Judges. A few
instances will suffice. In Drew v. Drew and Lebura, (1855) 2 Macg. 1.8,
Lord Cran worth defined it as 'universal justice'. In James Dunber Smith v.
Her Majesty the Queen, (1877-78) 3 App. Case 614, 623 JC Sir Robort P.
i'H Collier, speaking for the judicial committee of Privy council, used the phrase
----
.--
CANARA BANK, .. DEBASIS DAS [ARIJITPASAYAT,J.] 985
'the requirements of substantial justice', while in Arthur John Specman v. A
Plumstead District Board of Works, (1884-85(10) App.Case 229, 240), Earl
of Selbourne, S.C. preferred the phrase 'the substantial requirement of justice'.
In Vionet v. Barrett, (1885 (55) LJRD 39, 41 ), Lord Esh er, MR defined
natural justic.e as· 'the natural sense of what is right and wrong'. While,
however, deciding Hookings v. Smethwick Local Board of Health, (1890 (24) B
QBD 712), Lord Fasher, M.R. instead of using the definition given earlier by
him in Vionet's case (supra) chose to define natural justice as 'fundamental
justice'. In Ridge v. Baldwin (I 963 (I) WB 569, 578), Harman LJ, in the
Court of ·Appeal countered natural justice with 'fair-play in action' a phrase
favoured by Bhagawati, J. in Maneka Gandhi v. Union of India, (1978 (2)
SCR 621). In re R.N (An Jnfaot) (1967 (2) B617, 530), Lord Parker, CJ, C
preferred to describe natural justice as 'a duty to act fairly'. In fairmount
Investments Ltd. v. Secretary to State for Environment, (1976 WLR 1255)
Lord Russeil of Willowan somewhat picturesquely described natural justice
as 'a fair crack of the whip' while Geoffrey Lane, LJ. in Regina v. Secretary
of State for Home Affairs Ex Parle Hosenbal!, (1977 (l) WLR 766) preferred D
the homely phrase 'common fairness'.
How then have the principles of natural justice been interpreted in the
Courts and within what limits are they to be confined? Over the years by a
process of judicial interpretation two rules have been evolved as representing
the principles of natural justice .in judicial process, including therein quasi E
judicial and administrative process. They constitute the basic elements of a
fair hearing. having their roots in the innate sense of man for fair-play and
justice which is not the preserve of any particular race or country but is
shared in common by all men. The first rule is 'nemo judex in causa sua' or
'nemo debet esse judex in propria causa sua' as stated in (1605) 12 Co.Rep.114
that is, 'no man shall be a judge in his own cause'. Coke used the form F
'aliquis non debet esse judex in propria causa quia non potest esse judex at
pars' (Co.Litt. 1418), that is, 'no man ought to be a judge in his own case,
because he cannot act as Judge and at the same time be a party'. The fonn
'nemo potest esse simul actor et judex', that is, 'no one can be at once suitor
and judge' is also at times used. The second rule is 'audi alteram partem', G
that is, 'hear the other side'. At times and paiticularly in continental countries,
the form 'audietur at altera pars' is used, meaning very much the same thing.
A corollary has been deduced from the above two rules and particularly the
audi alteram partem rule, namely 'qui aliquid statuerit parte inaudita alteram
actquam licet dixerit, haud acquum facerit' that is, 'he who shall decide
anything without the other side having been heard, although he may have H
986 SUPREME COURT REPORTS (2003] 2 S.C.R.
A said what is right, will not have been what is right' (See Bosewell 's case
( 1605) 6 Co.Rep. 48-b, 52-a) or in other words, as it is now expressed,
'justice should not only be done but should manifestly be seen to be done'.
Whenever an order is struck down as invalid being in violation of principles
of natural justice, there is no final decision of the case and fresh proceedings
B are left. upon. All that is done is to vacate the ord~r assailed by virtue of its
inherent.defect, but the proceedings are not terminated.
What is known as 'useless formality theory' has received consideration
of this Court in M.C. Mehta v. Union of India, [1999] 6 SCC 237. It was
observed as under:
"Before we go into the final aspect of this contention, we would
like to state that case relating to breach of natural justice do also
occur where all facts are no{ admitted or are not all beyond dispute.
In the context of those cases there is a considerable case-law and
literature as to whether relief can be refused even if the court thinks
that the case of the applicant is not one of 'real substance' or that
there is no substantial possibility of his success or that the result will
not be different, even if natural justice is followed (See Malloch v.
Aberdeen Corpn: (1971) 2 All ER 1278, I-IL) (per Lord Reid and
Lord Wilberforce), Glynn v. Keele University: (1971) 2 A.II ER 89;
Cinnamond v. British Airports Authority: (I 980) 2 All ER 368, CA)
and other cases where such a view has been held. The latest addition
to this view is R v. Ealing Magistrates' Court, ex p. Fannaran (I 996
(8) Admn. LR 35 I, 358) (See de Smith, Suppl. P.89 (! 998) where
Straughton, L.J. held that there must be 'demonstrable beyond doubt'
that the result would have been different. Lord Woolf in Lloyd v.
McMohan, (1987) (I) All ER I I 18: CA) has also not disfavoured
refusal of discretion in certain cases of breach of natural justice. The
New Zealand Court in McCarthy v. Grant (1959 NZLR 1014) however
goes halfway when it says that (as in the case of bias), it is sufficient
for the appiicant to shO\v that there is 'real likelihood-not certainty
of prejudice'. On the other hand, Garner Administrative Law (8th
Edn. 1996. pp.271-72) says that slight proof that the result would
have been different is sufficient. On the other side of the argument,
we have apart from Ridge v. Baldwin ( 1964 AC 40: ( 1963) 2 All ER
66, I-IL), Mcgarry, J. in John v. Rees (1969) (2) All ER 274) stating
that there are always 'open and shut cases' and no absolute rule of
proof of prejudice can be laid down. Merits are not for the court but
CANARA BANK"· DEBASIS DAS [ARIJ!TPASAYAT,J.] 987
for the authority to consider. Ackner, J has said that the. 'useless .A
formality theory' is a dangerous one and, however inconvenient,
natural justice must be followed. His Lordship observed that
'convenience and justice are often not on speaking terms'. More
recently, Lord Bingham has deprecated the 'useless formality theory'
in R. v. Chief Constable of the Thames Valley Police Forces, ex p.
Cotton ( 1990 IRLR 344) by giving six reasons (see also his article B
'Should Public Law Remedies be Discretionary?" I 991 PL. p.64). A
detailed and emphatic criticism of the 'useless formality theory' has
been made much earlier in 'Natural Justice, Substance or Shadow' by
Prof. D.H. Clark of Canada (see 1975 PL.pp.27-63) contending that
Malloch (supra) and Glynn (supra) were wrongly decided. Foulkes C
(Administrative Law, 8th Edn. 1996, p.323), Craig (Administrative
Law, 3rd Edn. P.596) and others say that the court cannot prejudge
what is to be decided by the decision-making authority. De Smith
(5th Edn. 1994, paras 10.031 to 10.036) says courts have not yet
committed themselves to any one view though discretion is always
with the court. Wade (Administrative Law, 5th Edn. 1994, pp.526- D
530) says that while futile writs may not be issued, a distinction has
to be made according to the nature of the decision. Thus, in relation
to cases other than those relating to admitted or indisputable facts,
there is a considerable divergence of opinion whether the applicant
can be compelled to prove that the outcome will be in his favour or E
he has to prove a case of substance or if he can prove a 'real likelihood'
of success or if he is entitled to relief even if there is some remote
chance of success. We may, however, point out that even in cases
where the facts are not all admitted or beyond dispute, there is a
considerable unanimity that the courts can, in exercise of their
'discretion', refuse certiorari, prohibition, mandamus or injunction F
even though natural justice is not followed. We may also state that
there is yet another line of cases as in State Bank of Patia/a v. S.K.
Sharma, [1996] 3 SCC 364, Rajendra Singh v. Siate of MP., [1996]
5 sec 460 that even in relation to statutory provisions requiring
notice, a distinction is to be made between cases where the provision G
is intended for individual benefit and where a provision is intended
to protect public interest. In the former case, it can be waived while
in the case of the latter, it cannot. be waived ..
We do not propose to express any opinion on the correctness or
otherwise of the 'useless formality theory' and leave the matter for H
988
decision in an appropriate case, inasmuch as the case before us,
'admitted and indisputable' facts show that grant of a writ will be in
vain as pointed by Chinnappa Reddy, J."
As was observed by this Court we need not go into 'useless formality
theory' in detail; in view of the fact that no prejudice has been shown. As is
B rightly pointed out by learned counsel for the appellants unless failure of
justice is occasioned or that it would not be in public interest to dismiss a
petition on the fact situation of a case, this Court may refuse to exercise said
jurisdiction (see Gadde Venkateswara Rao v. Govt. of A.P. and Ors., AIR
(1966) SC 828. It is to be noted that i~gal formulations cannot be divorced
C from the fact situation of the case. Personal hearing was granted by the
Appellate Authority, though not statutorily prescribed. In a given case post
decisional hearing can obliterate the procedural deficiency of a pre-decisional
hearing. (See Charan Lal Sahu v. Union of India etc., AIR (1990) SC 1480.
Additionally there was no material placed by the employee to show as
D to how he has been prejudiced. Though in all cases the post-decisional hearing
cannot be a substitute for pre-decisional hearing, iri the case at hand the
position is different. The position was illuminatingly stated by this Court in
Managing Director, ECIL, Hyderabad and Ors. v. B. Karunakara and Ors.,
[1993] 4 sec 727 at para 31 which reads as follows:
"Hence, in all cases where the enquiry officer's report is not furnished
to the delinquent employee in the disciplinary proceedings, the Courts
and Tribunals should cause the copy of the report to be furnished to
the aggrieved employee if he has not already secured it before coming
to the Court/Tribunal and give the employee an opportunity to show
how his or her case was prejudiced because of the non-supply of the
report. If after hearing the pa1iies, the Court/Tribunal comes to the
conclusion that the non-supply of the report would have made no
difference to the ultimate findings and the punishment given, the
Court/Tribunal should not interfere with the order of punishment.
The Court/Tribunal should not mechanically set aside the order of
punishment on the ground that the report was not furnished as is
regrettably being done at present. The courts should avoid resorting
to sho1i cuts. Since it is the Courts/Tribunals which will apply their
judicial mind to the question and give their reasons for setting aside
or not setting aside the order of punishment, (and not any internal
appellate or revisional authority), there would be neither a breach of
CANARA BANK 1·. DEBASIS DAS [ARIJITPASAYAT,l.] 989
the principles of natural justice nor a denial of the reasonable A
opportunity. It is only if the Court/Tribunal finds Iha: the furnishing
of the report would have made a difference to the resu It in the case
that it should set aside the order of punishment. Where after following
the above procedure, the Court/Tribunal sets aside the order of
punishment, the proper relief that should be granted is to direct B
reinstatement of the employee with liberty to the authority/management
to proceed with the inquiry, by placing the employee under suspension
and continuing the inquiry from the state of furnishing him with the
report. The question whether the employee would be entitled to the
back-wages and other benefits from the date of his dismissal to the
date of his reinstatement if ultimately ordered, should invariably be C
left to be decided by the authority concerned according to law, after
the culmination of the proceedings and depending on the final outcome.
If the employee succeeds in the fresh inquiry and is directed to be
reinstated, the authority should be at liberty to decide according to
law how it will treat the period from the date of dismissal till the D
reinstatement and to what benefits, if any and the extent of the benefits,
he will be entitled. The reinstatement made as a result of the setting
aside of the inquiry for failure to furnish the report, should be treated
as a reinstatement for the purpose of holding the fresh inquiry from
the stage of furnishing the report and no more, where such fresh
inquiry is held. That will also be the correct position in law." E
The position was again reiterated in Union Bank of India v. Vishwa
Mohan, [ 1998] 4 SCC 310 at page 314 ). The relevant para 9 reads as follows:
"We are totally in disagreement with the above-quoted reasoning of
the High Comt. The distinction sought to be drawn by the High Court F
that the first charge-sheet served on the respondent related to the
period when he was a clerk whereas the other three charge-sheets
related to the period when he was promoted as a bank officer. In the
present case, we are required to see the findings of the enquiry
authority, the order of the Disciplinary Authority as well as the order G
of the Appellate Authority since the High Court felt that the charges
levelled against the respondent after he was promoted as an officer
were not of a serious nature. A bare look at these charges wou Id
unmistakably indicate that they relate to misconduct of a serious
nature. The High Court also committed an error when it assumed that
when the respondent was promoted as a bank officer, he must be H
990
SUPREME COURT REPORTS [2003] 2 S. C.R.
having a good repo1i otherwise he would not have been promoted.
This finding is totally unsustainable because the various acts of
misconduct came to the knowledge of the Bank in the year 1989 and
thereafter the first charge-sheet was issued on 17 .2 .1989. The
respondent was promoted as a bank officer sometime in the year
1988. At that time, no such adverse material relating to the misconduct
of the respondent was noticed by the Bank on which his promotion
could have been withheld. We are again unable to accept the reasoning
of the High Court that in the facts and circumstances of the case "it
is difficult to apply the principle of severability as the charges are so
inextricably mixed up". If one reads the four charge-sheets, they all
C relate to the serious misconduct which includes taking bribe, failure
to protect the interests of Bank, failure to perform duties with utmost
devotion, diligence, integrity and honesty, acting in a manner
unbecoming of a bank officer etc. In our considered view, on the
facts of this case, this principle has no application but assuming that
D it applies yet the High Court has erred in holding that the principle
of severability cannot be applied in the present case. The finding in
this behalf is unsustainable. As stated earlier, the appellant had in his
possession the enquiry report/findings when he filed the statutory
appeal as well as the writ petition in the High Court. The High Court
was required to apply its judicial mind to all the circumstances and
E then form its opinion whether non-furnishing of the report would
have made any difference to the result in the case and thereupon pass
an appropriate order. In para 31, this Court in Managing Director,
ECIL has very rightly cautioned: (SCC p. 758)
"The Court/Tribunal should not mechanically set aside the order
of punishment on the ground that the report was not furnished as
is regrettably being done at present. The courts should avoid
resorting to short cuts".
Strong reliance was placed by learned counsel for the employee on a
three-Judge Bench of this Court in Punjab National Bank and Ors. v. Kun)
G Behari Misra, (1998] 7 sec 84. The said decision has no application and is
factually distinguishable. That was a case where the Disciplinary Authority
differed from the views of the inquiry officer. In that context it was held that
denial of opportunity of hearing was per se violative of the principles of
natural justice. The case at hand is founded on totally different factual
H backdrop.
-
"
CANARA BANK 1•. DEBASIS DAS [ARIJITPASAYAT,J.] 991
It is to be noted that at no stage the employee pleaded prejudice. Both A
Learned Single Judge and the Division Bench proceeded on the basis that
there was no complianr.e of the requirement of Regulation 6(18) and, therefore,
prejudice was caused. In view of the finding recorded supra that Regulation
6(18) has not been correctly interpreted, the conclus_ions regarding prejudice
are indefensible.
It is further to be noted that case of the parties on merits was not
considered by Learned Single Judge or the Division Bench. Notwithstanding
the fact that there was no consideration of the respective cases, Learned
Single Judge directed examination of the documents by the expert.
The inevitable result is that the judgment of the Division Bench
confirming that of the Learned Single Judge has to be quashed so far as it
relates to the ,question of violation of principles of natural justice. But that is
not the end of the matter. There was no consideration of the merits of the
case as noted above. It would be in the fitness of things to direct examination
of the documents by the expert in terms of Learned Single Judge's order. The D
employee shall file originals of the documents on which he relies upon, of
which copies were placed before the High Court. The appellant-Bank shall
file originals of the documents on which reliance was placed, if not already
done. If the government expert is of the view that documents produced by the
employee are forged/fabricated or not authentic the order of dismissal shall
stand. If, however, the report of the expert is that the documents produced by E
the employee are genuine, the order of dismissal has to be vacated. In case
the originals, as directed above, are not filed by the employee or the Bank,
then the High Court shall pass necessary orders, upholding the order of
dismissal or setting aside the order of dismissal, as the case may be. No other
point shall be considered ·by the High Court. The matter shall be heard by the p
Division Bench by restoration of the writ appeal.
The appeal is allowed to the extent indicated.
K.K.T. Appeal allowed.