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Ram Mohan Mansaram Sharma vs The Mineral Exploration ...
2015 Latest Caselaw 415 Bom

Citation : 2015 Latest Caselaw 415 Bom
Judgement Date : 9 October, 2015

Bombay High Court
Ram Mohan Mansaram Sharma vs The Mineral Exploration ... on 9 October, 2015
Bench: B.P. Dharmadhikari
       wp2639.99                                                                         1

                 IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                               NAGPUR BENCH




                                                                                
                          WRIT PETITION NO.  2639  OF  1999

      Ram Mohan s/o Mansaram Sharma




                                                       
      aged about 53 years, occupation -
      Service as General Manager,
      Mineral Exploration Corporation
      Limited , r/o Byramji Town,




                                                      
      Civil Lines, Nagpur.                                ...   PETITIONER

                        Versus




                                          
      1. The Mineral Exploration Corporation
         Limited thr. its Chairman-cum-
                             
         Managing Director, Dr. Babasaheb
         Ambedkar Bhavan, Seminary Hills,
         Nagpur.
                            
      2. Shri S.D. Prasad,
         Chairman-cum-Managing Director,
         Mineral Exploration Corporation
         Limited, Seminary Hills, Nagpur.
      
   



      3. Government of India,
         thr. its Secretary,
         Ministry of Mines, New Delhi.                    ...   RESPONDENTS





      Shri A.A. Naik, Advocate for the petitioner.
                         .....

                                    CORAM :      B.P. DHARMADHIKARI &
                                                 P.N. DESHMUKH, JJ.

OCTOBER 09, 2015.

ORAL JUDGMENT : (PER B.P. DHARMADHIKARI, J.)

The petitioner - an ex-General Manager with

Respondent No. 1 has questioned the order of transfer dated

10.02.1997 by which he has been asked to work on equivalent post

as Officer on Special Duty at Balda. Later order passed on

30.06.1999 ordering his premature retirement with effect from very

same date has also been assailed.

2. Heard Shri Naik, learned counsel for the petitioner.

The counsel for respondent Nos. 1 & 2 is not present. Respondent

Nos. 1 & 2 have filed their submissions in response to rule on stay

on 21.07.1999. The petitioner has thereafter filed an affidavit on

02.09.2014. In that affidavit, the petitioner has pointed out that

Special Case No. 39 of 2003 instituted against him on the basis of

CBI inquiry has been dismissed and he has been acquitted of the

offences punishable under Sections 420, 477A and 120-B of Indian

Penal Code and Section 13(2) read with Section 13(1)(d) of the

Prevention of Corruption Act, 1988. Respondent Nos. 1 & 2 have

not filed any reply to this affidavit.

3. The learned counsel who used to represent

Respondent No. 3 - Union of India has expired about three years

back and Respondent No. 3 is not represented by anybody.

However, we find that no relief has been claimed against it.

4. Shri Naik, learned counsel submits that service Rules

permit premature retirement of the Executives like the petitioner

only in three contingencies. The first one is Inefficiency, second

one is Doubtful Integrity and third one is Medical unfitness. The

impugned order does not refer to any specific ground as such.

However, from history and submissions filed on record by

Respondent No. 1, the effort is to justify the impugned order dated

30.06.1999 as issued on the ground of medical unfitness. He

submits that clause (iii) which deals with medical unfitness

mandates certain procedural compliance and a finding of Medical

Board that the General Manager like the present petitioner is unfit

to work or resume duties. Here, there is no such finding. On the

contrary, last finding of Medical Board declares the petitioner fit for

joining duties. He adds that if respondent Nos. 1 & 2 felt that in

the face of such fit certificate, the petitioner was avoiding to join

the duties, it could have taken appropriate action for misconduct.

He further submits that the order of transfer dated 10.02.1997 is

rendered infructuous in these facts as the petitioner crossed the age

of superannuation in the year 2006. However, the order was

issued with oblique motive as the petitioner did not accept the

directions of Chairman-cum-Managing Director to deal with

purchase transactions. Shri Naik, learned counsel submits that the

petitioner has then pointed out that the complaint as filed and

inquiry conducted by the CBI was for the alleged wrong practices

on his part during such purchases. He has also taken us through

the submissions filed by Respondent Nos. 1 & 2 while opposing

Rule on stay. These submissions filed by the respondents while

passing order of Rule on stay are looked into by this Court on

22.10.1999. This Court had issued Rule on 21.07.1999 and

submissions have been filed thereafter. Hence, the submissions can

also be looked into as return to oppose the petition.

5. In written submissions in para 6, Respondent Nos. 1 &

2 have stated that the petitioner was absolutely fit to resume his

duties as certified by Medical Board and still he remained absent on

the ground of ill-health as communicated by him in his letter dated

23.06.1999. The respondents urged that this contention of the

petitioner reveals that his case was examined under the category of

"Medical unfitness" as defined in the amended Scheme of

Premature Retirement of executives vide Annexure 'W'. They state

that this rule squarely lays down that if a person is not fit to resume

his duties within a period of 12 months, his case is fit for premature

retirement. Accordingly, the Bord of Directors in its 134th meeting

held on 20.02.1998 considered the absentism of the petitioner and

directed Respondent No. 2 to take appropriate action as per Rules.

The Committee consisting of three Directors was then constituted

and total eight cases were placed before that Committee. After

considering the cases of eight officers including the case of the

petitioner, the Committee recommended premature retirement of

the petitioner as he was not attending his duties since 10.02.1997

on medical grounds. Thereafter the impugned order came to be

issued.

6. The said document at Annexure 'W' is produced by the

petitioner. It is a Scheme for premature retirement of the

Excutives. It allows Respondent Nos. 1 & 2 to order premature

retirement if it notices medical unfitness, inefficiency or doubtful

integrity of executives. The orders are to be passed by the

Competent Authority viz., the Chairman-cum-Managing Director.

7. The inefficiency is required to be evaluated on the

basis of Appraisal reports and if an employee is assessed poor

consecutively for three years therein, his case may be deemed fit for

premature retirement on the ground of inefficiency. The

respondents nowhere pointed out that the petitioner was graded

poor consecutively for three years prior to 30.06.1999. Similarly,

an employee who gets an adverse notice consecutively for three

years in his Confidential Reports, is recommended for retirement

under head doubtful integrity. Again it is not the case of the

respondents. As already stated supra, the respondents have

specifically urged that the petitioner has been prematurely retired

by the Competent Authority on the ground of medical unfitness.

The provision dealing with medical unfitness reads as under :

"Medical unfitness :

(a) If an employee has been continuously on leave on medical grounds for a period of 12 weeks (including

Sundays and holidays) or he has been on leave for reasons of sickness for a total period of 120 days

(including Sundays and holidays) or more during a continuous period of six months or if a person though attending duties but is found to be mentally deranged, his

departmental head may forward the case to GM (P&A)

who may refer him to a Medical Board for his thorough medical check-up and report after getting the approval of

CMD. In respect of Heads of Divisions and General Managers, the CMD will be the competent authority to refer the cases to Medical Board for the thorough medical

check-up and report -

               -       the disease he is suffering from;
   



               -       whether it is curable or incurable;
               -       whether the disease is infectious/ contagious;





               -       in   case  of   curable   disease  whether   the   person   is  

likely to be fit to resume his normal duties within a period of 12 months;

(Emphasis added)

(b) If the person is not fit to resume his duties within a period of 12 months and in cases of employees suffering from incurable and infectious/ contagious disease or suffering from lunacy or mental derangement and whose services cannot be utilized by the Company or whose attendance is likely to pose health hazard to others as may be certified by the Medical Board, will be deemed as

fit case for premature retirement."

This sub-clause (b) has been amended on 01.04.1999

and after amendment, it reads as under :

"(b) If the person is not fit to resume his duties within a period of 12 months;

or

In cases of employees suffering from incurable and infectious / contagious disease;

or suffering from lunacy;

or mental derangement and whose services cannot be

utilized by the Company; or whose attendance is likely to pose health hazard to

others as may be certified by the Medical Board;

will be deemed as fit case for premature retirement."

(Emphasis added)

8. Under clause (a) an employee who has been

continuously on leave on medical grounds for a period of 12 weeks

or on leave for reasons of sickness for a total period of 120 days or

more during a continuous period of six months, his case is required

to be referred to a Medical Board for his thorough medical check-

up and report after getting the approval of CMD. In case of

General Managers, the CMD is specified to be a Competent

Authority to refer the case to Medical Board for that purpose.

Thus, clause (a) is only about procedure and case of an individual

is required to be placed before a Medical Board for thorough check-

up and report. Medical Board has to certify whether officer

suffering from curable disease will be available or will not be

available in 12 months next. Under clause (b), if a person is not fit

to resume his duties within a period of 12 months, as certified by

Medical Board, his case is deemed to be a fit case for premature

retirement. The other cases specified to be fit for premature

retirement cover employees suffering from incurable and

infectious/ contagious disease or suffering from lunacy or mental

derangement and whose services cannot be utilized by the

company or whose attendance is likely to pose health hazard to

others. Thus, we are not concerned with other situations looked

into in clause (b). If it is shown that the petitioner was not fit to

resume duties within a period of 12 months, as per last contingency

in clause (a), respondent Nos. 1 & 2 could have taken the action.

9. The facts disclose that vide Office Order dated

10.02.1997, Chairman-cum-Managing Director transferred the

petitioner to Balda and he was relieved immediately. He was

designated as Officer on Special Duty at Balda and was entrusted

the assignment of disposal of materials from Balda Stores Depot

and close it at the earliest as per recommendations of the CMD. It

appears that the petitioner was on leave on 10.02.1997. On

10.04.1997, the petitioner has submitted an application pointing

out that he was on Medical leave from 11.02.1997 as advised by

the Doctor and he requested for release of his salary. On

22.04.1997, General Manager (P & A) informed the petitioner that

his Medical leave shall be considered for sanction by the Competent

Authority, after the petitioner reported at Balda and produce fitness

certificate before it. It appears that the petitioner was served a

communication dated 19.11.1997 as he was continously extending

his leave on medical grounds. His employer, in order to confirm

his sickness had decided to refer him to Medical Board and

accordingly the petitioner was asked to appear before the

President, Medical Board, Government Medical College, Nagpur, on

27.11.1997. The petitioner accordingly appeared before that

Board.

10. The outcome of Medical examination or report of that

Board is not on record. The petitioner has in para 20 of the

petition has specifically pointed out this fact. In reply filed before

this Court, the respondents have not dealt with this aspect.

However, it appears that on 11.08.1998, respondent Nos. 1 & 2

passed an order and sanctioned one day Earned Leave to the

petitioner for 10.02.1997. 120 days sick leave came to be granted

from 11.02.1997 to 10.06.1997. Half pay sick leave was

sanctioned from 11.06.1997 to 07.12.1997. 239 days EL was

sanctioned from 08.12.1997 to 03.08.1998 and Extra Ordinary

leave (without pay) was sanctioned for three days from 04.08.1998

to 06.08.1998.. This was as per approval given by the Competent

Authority. The petitioner has given these details in para 22 of his

petition and same are not in dispute. Thereafter the petitioner has

made some attempts to obtain salary but was not paid the same.

The respondents have referred to 134th Meeting of Board of

Directors held on 20.02.1998 in para 6 of its submissions.

However, the proceedings of 134th Meeting are not produced. In

any case, this is prior to order dated 11.08.1998 mentioned supra

by which the petitioner was sanctioned leave up to 06.08.1998 and

his absence was regularized. The respondents mention decision

taken in Board meeting held on 20.02.1998. The Committee

consisting of three Directors was constituted. That Committee

looked into the case of the petitioner and recommended premature

retirement of the petitioner as he was not attending duty since

10.02.1997 on medical grounds. The impugned order has been

passed on 30.06.1999. On 22.06.1999, the Company Secretary of

respondents has sent a communication to the petitioner pointing

out to him that he was declared fit for duty by the Medical Board

and as he had not resumed duties till then, he was advised to

report for duty at Balda immediately. He was informed that in

default, appropriate action would be initiated against him by the

management. On 26.06.1999, he was informed to join at Balda

and his salary would be released thereafter. All this is after a

Medical Board examination of the petitioner at Nagpur on

22.04.1999. It is also after the meeting of Board of Directors dated

20.02.1998. The certificate of said Medical Board is dated

28.05.1999 and it is forwarded to the petitioner with

communication dated 05.06.1999. The Medical Board which

examined the petitioner on 22.04.1999 diagnosed that he was a

patient of moderate hypertension and anixty nerosis. It declared him

fit for duty. Thus, order dated 30.06.1999 declaring the petitioner

to be medically unfit and, therefore, ordering his premature

retirement needs appreciation in this background.

11. As per amended clause (b), the petitioner could have

been retired as medically unfit if he was found not fit to resume his

duties within a period of 12 months. Clause (iii) of Scheme for

Premature Retirement of Executives points out the circumstances in

which an employee can be sent to Medical Board. The petitioner

was accordingly sent to Medical Board initially on 27.11.1997.

That Board declared him unfit and, therefore, only his leave up to

06.08.1998 came to be sanctioned and regularized. It was

obviously then not opined that the petitioner was unfit to resume

duties within a period of next 12 months. After 27.11.1997, the

petitioner has been examined by Medical Board on 22.04.1999.

This may be due to direction of Board of Directors in their meeting

dated 20.02.1998. That Board also does not find that the

petitioner was unfit to resume duties within a period of 12 months.

On the contrary, the said Medical Board finds the petitioner fit to

join duties. Thus, on 30.06.1999 when the petitioner was

prematurely retired, there was a certificate of competent medical

board with Respondent Nos. 1 & 2 declaring the petitioner fit for

duty.

12. Action under clause (iii)(b) is possible if the petitioner

is found not fit to resume his duties within a period of 12 months.

The tense used in the said sentence is present tense and, therefore,

the date on which the Medical Board and the respondents applied

their mind is relevant. If on said date, Respondent Nos. 1 & 2 find

that the employee like the petitioner "is" not fit to resume his duties

within a period of 12 months, action under said clause (iii)(b) is

possible. The fact that the employee had not reported for duties in

the past 12 months, is not a relevant factor in the Scheme of said

clause (iii). Here, there is no finding by any Medical Board that in

the Medical examination dated 27.11.1997 or 24.02.1999, the

petitioner was not fit to resume his duties within 12 months. As

such, it is apparent that the very foundation for action taken by the

respondents against the petitioner is missing. If the respondents

found that the petitioner was fit and was deliberately avoiding to

join his duties, under Mineral Exploration Corporation Limited

Discipline and Appeal Rules, disciplinary action against him could

have been taken for misconduct. They have not taken any such

action. Even otherwise, for a proved misconduct of said nature

there is no provision in the Scheme to order premature retirement.

We, therefore, find order dated 30.06.1999 unsustainable. It is

accordingly quashed and set aside.

13. As the petitioner has already crossed the age of

superannuation, it is apparent that the validity or otherwise of

action of the respondents in transferring him to Balda on

10.02.1997 or various grounds, raised by the petitioner to assail

that transfer, are rendered irrelevant and need not be discussed in

present writ petition. His leave till 06.08.1998 is already sanctioned

and as per interim orders of this Court, he is also paid salary.

14. This Court had issued Rule on stay on 21.07.1997 and

after receipt of reply affidavit on 22.10.1999 this Court had

directed the respondents to pay to the petitioner the salary dues for

a period from 11.02.1997 till 03.08.1998 and to proceed to pay the

amount for one month notice period. As the impugned order is set

aside, it is apparent that the petitioner is entitled to reinstatement

till he reached the age of superannuation. The petitioner has not

pointed out that he was without any source of employment in the

meanwhile. He was working on responsible post of General

Manager and was declared fit to resume his duties by Medical

Board in the month of April 1999 itself. In this situation, we direct

that he shall be entitled to 50% of his wages for the period from

11.02.1997 till is superannuation after subtracting therefrom the

amounts already paid to him. Needless to mention that benefits

payable to him on his superannuation shall be recalculated

accordingly and released to him within a period of next six months.

15. Thus, we partly allow the petition. The impugned

order dated 30.06.1999 is quashed and set aside. Rule is made

absolute accordingly. However, in the facts and circumstances of

the case, there shall be no order as to costs.

               JUDGE                                                        JUDGE

                                                    ******

      *GS.





 

 
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