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        2021 (11) TMI 1078 - SC - Indian Laws

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        Domestic enquiry representation and delay principles sustained the dismissal where no real prejudice was shown. A domestic enquiry under a service code did not confer an unrestricted right to be defended by a representative of the employee's choice; representation ...
                      Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                        Provisions expressly mentioned in the judgment/order text.

                            Domestic enquiry representation and delay principles sustained the dismissal where no real prejudice was shown.

                            A domestic enquiry under a service code did not confer an unrestricted right to be defended by a representative of the employee's choice; representation was limited to a registered union or association of the relevant bank's employees, and a lawyer only with permission. Denial of an outsider representative therefore did not vitiate the enquiry. The challenge to dismissal also failed because the employee allowed the order to remain unchallenged for years, had already participated in the enquiry with knowledge of the refusal, and showed no real prejudice from the asserted breach of natural justice. On the principles of delay, acquiescence and absence of prejudice, the dismissal was sustained and the employee's challenge rejected.




                            Issues: (i) whether the employee had a substantive right under the Service Code to be defended by a representative of a bank employees' union or association of his choice in the disciplinary enquiry; (ii) whether the challenge to the dismissal was barred by delay, laches and acquiescence, and whether any prejudice justified interference with the dismissal order.

                            Issue (i): whether the employee had a substantive right under the Service Code to be defended by a representative of a bank employees' union or association of his choice in the disciplinary enquiry.

                            Analysis: Clause 2(e) defined "bank" as the Bank of Cochin Ltd., and that definition governed Clause 22(ix)(a). The absence of the article "the" before "bank" did not create any repugnancy or justify reading the clause to include employees' unions or associations of other banks. The right of representation in a domestic enquiry is not an absolute component of natural justice; it is controlled by the governing rules. On the proper construction of the Service Code, the employee could seek representation only by a registered union or association of the Bank of Cochin employees, and a lawyer only with permission. No legal right arose to insist on an outsider of choice.

                            Conclusion: the employee had no such enforceable right under the Service Code, and the denial of representation by an outsider did not vitiate the enquiry.

                            Issue (ii): whether the challenge to the dismissal was barred by delay, laches and acquiescence, and whether any prejudice justified interference with the dismissal order.

                            Analysis: The dismissal order remained unchallenged for more than four years before the appeal was filed, and the respondent thereafter allowed the matter to lie unattended for years. The Court applied the settled principles that breach of natural justice does not automatically invalidate proceedings unless prejudice is shown, and that acquiescence and unreasonable delay can defeat relief. The respondent had participated in the enquiry with knowledge of the rejection of his request, did not seek timely redress, declined to lead evidence, and walked out of the proceedings. The charges and findings of misconduct remained uncontroverted, and the alleged prejudice was insufficient to upset the dismissal. The equities also favoured the appellants because the belated challenge and consequent relief caused prejudice and disturbed finality.

                            Conclusion: the challenge was barred by delay and acquiescence, no sufficient prejudice was shown, and the dismissal was validly sustained.

                            Final Conclusion: the appellate challenge succeeded, the impugned High Court judgment was set aside, and the order dismissing the employee from service was restored.

                            Ratio Decidendi: a domestic enquiry is not vitiated merely because the employee is denied representation by a person not permitted under the governing service rules, and relief for breach of natural justice will be refused where no real prejudice is shown and the claim is defeated by delay and acquiescence.


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                            ActsIncome Tax
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