Citation : 2026 Latest Caselaw 2582 Gua
Judgement Date : 23 March, 2026
Page No.# 1/7
GAHC010095302025
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THE GAUHATI HIGH COURT
(HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH)
Case No. : WA/195/2025
FOOD CORPORATION OF INDIA AND 8 ORS.
REP. BY THE GENERAL MANAGER FOOD CORPORATION OF INDIA
REGIONAL OFFICE, ASSAM, PALTAN BAZAR, GUWAHATI-701008.
2: EXECUTIVE DIRECTOR (NORTH EAST ZONE)
FCI
G.L. PUBLICATION BUILDING
G.S. ROAD
GUWAHATI-781008.
3: GENERAL MANAGER
FCI
REGIONAL OFFICE
ASSAM
PALTAN BAZAR
GUWAHATI-781008.
4: DIVISIONAL MANAGER
FCI
ULUBARI
MITRA BUILDING
GUWAHATI-781007.
5: DIVISIONAL MANAGER
FCI
A.T. ROAD
HAIBORGAON
NAGAON
PIN-782002.
6: MANAGER ACCOUNTS
FCI
ULUBARI
MITRA BUILDING
Page No.# 2/7
GUWAHATI-781007.
7: MANAGER ACCOUNTS
FCI.
A.T. ROAD
HAIBORGAON
NAGAON-782002.
8: MANAGER (IR)
FCI.
ULUBARI
MITRA BUILDING
GUWAHATI-781007.
9: MANAGER DEPOT FOOD STORAGE DEPOT.
NEW GUWAHATI
BAMUNIMAIDAM
GUWAHATI-781021
VERSUS
BINDESWARI SINGH AND 11 ORS.
S/O. JHARI LAL SINGH, R/O. KARBI NAGAR, H/NO. 10, BAMUNIMAIDAM,
GUWAHATI-21.
2:NAWAL SAH
S/O. LT. KAMAL SAH
R/O. VILL.- BILPAR OF SUNCHALI
H/NO. 46
NOONMATI
GUWAHATI20.
3:RADHE MAHATO
S/O. BAJRANGI MAHATO
R/O. SANKAR NAGAR LAST GATE
H/NO. 2
DIST. KAMRUP (M)
GUWAHATI-20.
4:RAM CHALITRA YADAV
S/O. SHIV NANDAN YADAV
R/O. BISHNU RAVA NAGAR
H/NO. 5
NOONMATI
GUWAHATI-20
5:JIBACH SAHANI
S/O. PRADIP SAHANI
Page No.# 3/7
R/O. GANESHMANDIR
SHIVAM PATH
BYE LANE NO. 3
H/O. NO. 9
P/O. NOONMATI
GUWAHATI-20
ASSAM.
6:SULENDRA KR. SAHANI
S/O. LT. ANANDI SAHANI
R/O. BISNI RAVA NAGAR
H/NO. 18
P/O. NOONMATI
GUWAHATI-781020
ASSAM.
7:RAM ISWAR KUMAR
S/O. RADHEY RAY
R/O. JANTA NAGAR
H/NO. 15
P/O. NOONMATI
DIST. KAMRUP (M)
GUWAHATI-781020
ASSAM.
8:ARVIND KUMAR SAHANI
S/O. ANUPLAL SAHANI
R/O. 6 NO. RAILWAY GATE
H/NO. 144
P/O. BAMUNIMAIDAM
DIST. KAMRUP
GUWAHATI-781021
ASSAM.
9:DILIP KUMAR YADAV
S/O. RAMU YADAV
R/O. BISHNU RAVA NAGAR
NOONMATI
GUWAHATI-781020
ASSAM.
10:SHIV SHANKAR SHARMA
S/O. MATUKDEV SARMA
R/O. VILL.- SAHANKAR NAGAR
H/NO. 33
P/O. NOONMATI
GUWAHATI-781020
ASSAM.
Page No.# 4/7
11:DIPLAL SAH
S/O. MAHINDRA SAH
R/O. BISHNU RAVA NAGAR
H/NO. 22
P/O. NOONMATI
GUWAHATI-781020
ASSAM.
12:RANJIT KUMAR RAY
S/O. RAMDEO RAY
R/O. GANESH MANDIR PATH
BYE LANE NO. 30
P/O. NOONMATI
GUWAHATI-781020
ASSAM
For the appellants : Mr. P.K. Roy, Sr. Advocate
Mr. S.K. Chakraborty, Advocate
For the respondents : Mr. A. Dasgupta, Sr. Advocate
Mr. B. Das, Advocate
-BEFORE-
HON'BLE THE CHIEF JUSTICE MR. ASHUTOSH KUMAR HON'BLE MR. JUSTICE ARUN DEV CHOUDHURY
23-03-2026
(Ashutosh Kumar, C.J.) We have heard Mr. P.K. Roy, learned Senior Advocate for the appellants/Food Corporation of India and others and Mr. A. Dasgupta, learned Senior Advocate for the respondents.
At some point of time in the past, an audit by the Controller and Page No.# 5/7
Auditor General (CAG) was made of the expenses made by the Food Corporation of India (hereinafter to be referred as "FCI") towards payments made to the labourers between October, 2013 and March, 2014 and in that audit, it was found that there were discrepancies in the work certification. The stock accounts displayed that there were only 57,521 bags of food grains which were lifted but payments were made to the labourers for lifting of 12,43,312 bags. The audit therefore revealed an over-certification of 11,85,791 bags.
The natural corollary of this disclosure was that undue payments were made to the labourers beyond their entitlements.
On the basis of the afore-noted audit report by the CAG, recovery from such labourers were initiated from their respective salaries/wages. This initiation of recovery process was questioned by many of the labourers, relying on the decision of the Hon'ble Supreme Court in State of Punjab & Ors. Vs. Rafiq Masih (2015) 4 SCC 334 , which resulted in a Coordinate Bench passing an order of stopping the recovery presently and resume it only after an opportunity was given to the labourers to explain their cause and further quantification of the amount which was sought to be recovered. While directing for such contingent proceedings, this Court had permitted the appellant/FCI to conduct disciplinary enquiries. However, by that time, with respect to those labourers, who had challenged such decision of the FCI, recoveries had already been made. The commencement of the disciplinary enquiries was thus not made contingent on the refund of the recovered amounts paid to the respective labourers.
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It further appears from the records that after the enquiry, it was found that it was not only a mistake on the part of the FCI authorities but it was a fraudulent over-certification in which the labourers also had played a role. The decision to recover the excess amount paid to the labourers, therefore, was taken, which we are not aware, whether was questioned by the labourers in a separate proceeding.
In the case of the twelve respondents in this appeal, the recoveries had already been made but there was no show-cause notice to them prior to such recovery.
The learned Single Judge in their cases [WP(C) 1223/2023] permitted the FCI to conduct an enquiry but only after refunding the recovered amounts first.
This condition was not there in the earlier proceedings with respect to other labourers. That part of the order passed by the learned Single Judge has been impugned in the present appeal with the assertion by the FCI that such condition was very onerous and if the amount recovered would be refunded and it so happens that the respondents are not in the service of FCI, it would be very difficult to claim it back after they are found to be in cahoots with the authorities of FCI in over- certification and payment.
We find substance in the afore-noted submission of the learned Senior Advocate for the appellant/FCI.
Mr. A. Dasgupta, learned Senior Advocate for the respondents submits that he shall take instructions whether the respondents are still in the service of the FCI or have superannuated.
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