Citation : 2021 Latest Caselaw 1504 Guj
Judgement Date : 2 February, 2021
C/SCA/1339/2009 JUDGMENT
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/SPECIAL CIVIL APPLICATION NO. 1339 of 2009
FOR APPROVAL AND SIGNATURE:
HONOURABLE DR. JUSTICE A. P. THAKER Sd/-
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1 Whether Reporters of Local Papers may be allowed NO
to see the judgment ?
2 To be referred to the Reporter or not ? YES
3 Whether their Lordships wish to see the fair copy NO
of the judgment ?
4 Whether this case involves a substantial question NO
of law as to the interpretation of the Constitution
of India or any order made thereunder ?
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BHAVNAGAR MUNICIPAL CORPORATION
Versus
AFZALBHAI HUSENBHAI
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Appearance:
MR HS MUNSHAW(495) for the Petitioner(s) No. 1
MR ANKUR Y OZA(2821) for the Respondent(s) No. 1
RULE SERVED(64) for the Respondent(s) No. 1
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CORAM: HONOURABLE DR. JUSTICE A. P. THAKER
Date : 02/02 / 2 0 2 1
ORAL JUDGMENT
1. This petition is filed by Bhavnagar Municipal Corporation under Articles 226 and 227 of the Constitution of India challenging the award passed by Labour Court, Bhavnagar, in Reference (IT) No.18 of 1998 dated 31.3.2008, whereby the penalty of stoppage of two increments with permanent effect has been set aside and the petitioner has been directed to release
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requisite amount including the amount for the period of suspension.
2. It is vehemently submitted that the Labour Court has committed serious error of facts and law in allowing the petition of the workman as he was serving as Class-IV, Sepoy, and it was his duty to see that area of mutton market is kept clean. It is the main contention of the Corporation that workman was irregular in his attendance and several notices were issued against him and opportunity of being heard was given to him, however, he did not reply to any of the notices and remained absent. It is also contended that, after due departmental inquiry, punishment of stoppage of two increments with permanent effect has been imposed by the Corporation, which is in consonance with legal provisions and proper in the facts of the case. It is also submitted that there is callous approach of the workman and he was remaining absent in his duty. It is also alleged that even when the Commissioner has visited the sight, the workman was found absent. It is also submitted that during the course of departmental inquiry necessary opportunity was given to the workman and after perusing the material, inquiry officer has ultimately opined that continuous absence has been proved against the workman. Therefore, necessary order of punishment of stoppage of two increments with future effect was passed. According to the petitioner, the Labour Court has committed serious error of facts and law in allowing reference as it is the discretion of the administrative authority to impose penalty upon its employee after following due process of law. It is also submitted that there is no illegality or perversity in the order passed by the Corporation regarding stoppage of two increments with permanent effect.
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3. Heard Mr.Munshaw, learned advocate for the petitioner and Mr.A.Y.Oza, learned advocate for the workman at length through video conferencing.
4. Main contention of Mr.Munshaw is that the notices were issued to the workman for not attending his work and yet no improvement was shown by the workman. He has also submitted that no explanation was given by the workman to various notices and, therefore, the Corporation has initiated departmental inquiry against him and, ultimately, after giving an opportunity of being heard, punishment of stoppage of two increments with permanent effect was imposed. According to Mr.Munshaw, punishment is not disproportionate to the charge and the Labour Court has over-reached in exercising the power in favour of the workman. According to him, when the inquiry was proper, there was no need to interfere by the Labour Court even while exercising powers under Section 11-A of the Industrial Disputes Act. Mr.Munshaw has relied upon the decision in the case of West Bokaro Colliery (Tisco Ltd.) v. Ram Pravesh Singh reported in (2008) 3 SCC 729 in support of his submission that under Section 11A of the Act, Labour Court or the Industrial Tribunal cannot act as if it were an appellate body. It has been observed by the Supreme Court that when two views are possible on evidence, the Labour Court should be very slow in interfering with the finding arrived at in the domestic inquiry and the standard of proof in domestic inquiry is preponderance of probabilities and not beyond reasonable doubt. It is also observed by the Supreme Court that the Tribunal or the Labour Court may not interfere with the findings of domestic inquiry on the ground that there was independent evidence, apart from management witnesses. In the
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said decision, in paragraph 15, the Supreme Court has referred to paragraph 9 its earlier decision in the case of Divl. Controller, KRSTC v. A.T.Mone reported in (2005) 3 SCC 254, wherein it was held as under:-
"9. From the above it is clear once a domestic tribunal based on evidence comes to a particular conclusion normally it is not open to the appellate tribunals and courts to substitute their subjective opinion in the place of the one arrived at by the domestic tribunal. In the present case, there is evidence of the inspector who checked the bus which establishes the misconduct of the respondent. The domestic tribunal accepted that evidence and found the respondent guilty. But the courts below misdirected themselves in insisting on the evidence of the ticketless passengers to reject the said finding which, in our opinion, as held by this Court in the case of Rattan Singh (supra) is not a condition precedent. We may herein note that the judgment of this Court in Rattam Singh's (supra) has since been followed by this Court in Devendra Swamy vs. Karnataka State Road Transport Corporation (2000) 9 SCC 644."
4.1 In view of above, Mr.Munshaw prayed to allow present petition by setting aside the impugned award passed by Labour Court, Bhavnagar.
5. Per contra, Mr.A.Y.Oza, learned advocate for the workman, while referring to the award as well as material placed on record, has submitted that there is no perversity or illegality committed by the Labour Court in passing the award in favour of the workman. He has also submitted that so-called notices were issued in the year 1991 and 1992, however, till 2003 no action was taken. While referring to the report of the inquiry officer, learned advocate Mr.Oza submitted that, as per the observations made therein, the stall holders as well as businessmen near the mutton market have clearly stated that the workman was present and he was keeping the place in clean condition and, therefore, this statement would destroy the case of the Corporation. He has also submitted that reasoning given by the
C/SCA/1339/2009 JUDGMENT
Labour Court is not in consonance with provisions of Section 56 (2) of the Bombay Provincial Municipal Corporation Act. He submitted that penalty mentioned therein is only regarding withholding of increments or promotion purpose and there is no specific provision for stoppage of increment with permanent effect. According to him, therefore, Labour Court has not committed any serious error of law as the punishment imposed by the Corporation is not in consonance with said Section and it is not commensurate with the alleged misconduct on the part of the workman for not remaining present as alleged. He has prayed to dismiss present petition with cost.
6. In his re-submission, Mr.Munshaw has submitted that even under Section 56 (2) (b) of the BPMC Act, the penalty imposed is sustainable as the word used therein is "withholding of increments". He has also submitted that the workman has not filed any reply to the show cause notices and has not cooperated even by filing any explanation. It is also submitted that there is a Standing Committee or an Appellate Committee constituted by the Corporation. Therefore, without taking that opportunity, the workman ought not to have filed any reference before Labour Court. Therefore, Mr.Munshaw, learned advocate for the petitioner has submitted to allow present petition by setting aside the impugned award passed by the Labour Court.
7. Having considered the submissions made on behalf of both the sides as well as material placed on record, it is undisputed fact that there is employer-workman relationship between the parties. It is also not in dispute that the petitioner was appointed as a Sepoy for cleanliness of the mutton market at Bhavnagar. It also reveals that the petitioner was issued various notices for his
C/SCA/1339/2009 JUDGMENT
absence and he was lastly informed on 7.12.1993, while referring to earlier notices dated 10.6.1991, 9.8.1991, 10.1.1992, 7.7.1992 and 21.7.1992. As per record, it appears that thereafter the departmental inquiry has been conducted and the charge of absence has been proved and ultimately the Corporation has passed order of stoppage of increments with permanent effect vide order dated 22.8.1995. At this stage, it is worthwhile to refer to Section 56 (2) and 56 (4) of the Bombay Provincial Municipal Corporations Act, which reads as under:-
"56. Imposition of penalties on municipal officers and servants,- (1) ..............
(2) The penalties which may be imposed under this section are the following, namely:--
(a) censure;
(b) with-holding of increments or promotion including stoppage at an efficiency bar;
(c) reduction to a lower post or time-scale, or to a lower stage in a time-scale;
(d) fine;
(e) recovery from salary of the whole or part of any pecuniary loss caused to the Corporation;
(f) suspension;
(g) removal from municipal service which does not disqualify from future employment;
(h) dismissal from municipal service which ordinarily disqualifies from future employment.
(3) ...........
(4) Subject to the provisions of clause (d) of the proviso to sub- section (1),-any municipal officer or servant who is reduced, removed or dismissed by any authority other than the Corporation may, within one month of the communication to him of the order of reduction, removal or dismissal, appeal to the authority immediately superior to the authority which imposed the penalty and the appellate authority may, after obtaining the remarks of the authority which imposed the penalty, either confirm the order passed or substitute for it such order as it
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considers just, including an order for the imposition of some lesser penalty, and effect shall forthwith be given to any order passed by the appellate authority which shall be conclusive :
Provided that for the purposes of this sub-section the Standing Committee shall be deemed to be the authority immediately superior to the Commissioner and the Corporation shall be deemed to be the authority immediately superior to the Standing Committee."
8. On analysis of the aforesaid provisions, it appears that employer is vested with power to impose punishment, which may include censure, withholding of increments or promotion including stoppage at an efficiency bar; reduction to a lower post or time-scale, or to a lower stage in a time-scale; fine; recovery from salary of the whole or part of any pecuniary loss caused to the Corporation; suspension; removal from service which does not disqualify from future employment and dismissal from Corporation service which ordinarily disqualify from future employment.
9. At this stage, it is pertinent to note that as per Sub-section (4) of Section 56, the provision for preferring an appeal against the order of reduction, removal or dismissal, is vested in the person immediately superior to the authority which imposed the penalty. However, there is no reference regarding other penalty, which are referred in sub-section (2) of Section 56. In view of that the workman has to approach the Court, which is in consonance with the legal provisions. At the same time, as learned advocate for the workman has raised an issue that in sub-clause (ii) of sub-section (2) of Section 56 there is mention of only withholding of increment, and it cannot be of permanent nature. This Court is of the considered view that when the power is provided to withholding of increments, it will be for the concerned administrative authority as to whether it should be
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permanent in nature or without permanent effect. However, such exercise is required to be adopted by the administrative authority in consonance with the well settled principles of law and in the facts of each case, the penalty should be commensurate with the guilt of the workman.
10. Admittedly, in this case, the Corporation has heavily relied on various notices issued from 1991 and 1992 and for that purpose, they have initiated the inquiry in the year 1993 and ultimately, has passed the impugned order of reduction of two increments with permanent effect on 22.8.1995. The fact remains that notices were issued issued at least more than one year prior and the authority has not taken any action. It also reveals that even as per the inquiry officer's report, the stall holder and other businessmen have not supported the version of the Corporation but the fact also reveals that the workman has not replied to the notices issued to him by the Corporation. He has not explained anything to the authority. This action on the part of the workman is also required to be taken into consideration as no workman can be permitted to act in such a manner, as he did not even care to reply to the notices issued to him by the administration. If this callous approach is accepted in toto, the administration cannot work at all. Therefore, having considered the factual aspects of the case with material placed on record, this Court is of the considered opinion that some punishment is required to be imposed upon the workman.
11. In view of the facts narrated in the petition as well as material available with the Court, this Court finds that punishment of stoppage of two increments with permanent effect is not commensurate with the absentism on the part of the
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workman. However, at the same time, to safeguard the rights of administration, if the punishment of withholding of two increments without future effect is imposed upon the workman, it will meet the ends of justice.
12. In view of above, present petition is allowed to aforesaid extent. The impugned award passed by Labour Court in Reference (IT) No.18 of 1998 dated 31.3.2008 is hereby modified and punishment of withholding of two increments without future effect is imposed. The authority shall decide the question of making payment for the period of suspension and other allowances in accordance with law. Rule is made absolute accordingly. No order as to costs.
Sd/-
(DR. A. P. THAKER, J) R.S. MALEK
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