Citation : 2022 Latest Caselaw 9232 Kant
Judgement Date : 21 June, 2022
1 W.P.No.201000/2017
IN THE HIGH COURT OF KARNATAKA
KALABURAGI BENCH
DATED THIS THE 21ST DAY OF JUNE, 2022
BEFORE
THE HON'BLE MR. JUSTICE S. VISHWAJITH SHETTY
WRIT PETITION No.201000/2017 (S-DIS)
BETWEEN:
1. GULBARGA ELECTRICITY SUPPLY
COMPANY LIMITED,
THROUGH ITS MANAGING DIRECTOR,
MAIN ROAD, GULBARGA.
2. THE CHIEF ENGINEER (ELE.)
O&M ZONE, GESCOM,
GULBARGA.
3. THE SUPERINTENDENT ENGINEER (ELE.)
O&M ZONE, GESCOM,
GULBARGA. ... PETITIONERS
(BY SRI RAVINDRA REDDY, ADVOCATE)
AND:
SRI. MOHD. ZAKIR HUSSAIN
S/O KHAJA HUSSAIN,
SINCE DECEASED, BY LRS.,
1. ISHRAT BEGUM
W/O LATE MOHD. ZAKIR HUSSAIN,
AGE: 40 YEARS, OCC: NIL,
2. MOHD. HUSANAN
S/O LATE MOHD. ZAKIR HUSSAIN,
AGE: 16 YEARS, OCC: STUDENT,
2 W.P.No.201000/2017
SINCE MINOR U/G OF RESPNODENT NO.1,
3. ADIBA BEGUM
D/O LATE MOHD. ZAKIR HUSSAIN,
AGE: 13 YEARS, OCC: STUDENT,
SINCE MINOR U/G OF PETITIONER NO.1,
ALL ARE R/O CHANDAPUR, TQ. CHINCHOLI,
DIST. KALABURAGI-585103.
... RESPONDENTS
(BY SRI P.VILASKUMAR, SENOR COUNSEL FOR
SRI NITESH PADIYAL, ADVOCATE FOR R1 TO R3)
THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND
227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE WRIT
OR CERTIORARI QUASHING AWARD DATED 18.08.2016 PASSED
IN REF.NO.27/2012 VIDE ANNEXURE-A AND DATED 29.07.2016
PASSED IN REF.NO.27/2012 VIDE ANNEURE-A1, PASSED BY THE
DISTRICT JUDGE AND PRESIDING OFFICER LABOUR COURT AT
KALABURAGI AND ETC.
THIS PETITION HAVING BEEN HEARD AND RESERVED FOR
ORDERS ON 14.06.2022 AND COMING ON FOR PRONOUNCEMENT
OF ORDERS THIS DAY, THE COURT MADE THE FOLLOWING:
ORDER
The instant writ petition has been filed with a
prayer to quash the award dated 18.08.2016 passed in
Reference No.27/2012 by the District Judge and
Presiding Officer, Labour Court, Kalaburagi, vide
Annexure-A and the order dated 29.07.2016 passed in
Reference No.27/2012 by the District Judge and
Presiding Officer, Labour Court, Kalaburagi, vide
Annexure-A1.
2. Heard the learned counsel for the petitioners as
well as the learned counsel appearing for the
respondents.
3. Brief facts of the case that would be relevant for
the purpose of disposal of this writ petition are:
Deceased respondent Sri.Mohammed Zakir Hussain
was working as Junior Assistant in the office of the
petitioners at Sedam. On the basis of several
complaints from consumers, internal audit report was
called for and it was found in the audit report that late
Mohammed Zakir Hussain had misappropriated cash
amount of Rs.3,70,300/- and based on such audit
report, a charge memo dated 28.01.2008 was issued to
Mohammed Zakir Hussain and other staff members. No
reply was filed to the charge memo. The Disciplinary
Authority had appointed the Enquiry Officer to conduct
departmental enquiry against the aforesaid Mohammed
Zakir Hussain and though the Enquiry Officer had issued
notices, Mohammed Zakir Hussain had failed to reply for
the same and he had not participated in the enquiry
proceedings. The Enquiry Officer completed the enquiry
and submitted a report dated 03.03.2010 and based on
the same, the Disciplinary Authority had issued a final
show cause notice to the aforesaid Mohammed Zakir
Hussain, who failed to reply to the same.
Thereafterwards, the Disciplinary Authority had issued
the order dated 18.06.2010 dismissing the aforesaid
Mohammed Zakir Hussain from service.
4. The said order was confirmed in appeal by the
Appellate Authority vide its order dated 28.02.2011.
During the pendency of the appeal, Mohammed Zakir
Hussain had expired and therefore, his legal heirs had
raised a dispute before the Labour Court under the
Industrial Disputes Act and the said proceedings was
numbered as Reference No.27/2012. Initially the
Labour Court had dismissed the reference and confirmed
the order of termination and being aggrieved by the
same, the respondents herein had filed
W.P.No.100774/2013, which was allowed and the matter
was remitted to the Labour Court to re-consider issue
No.1 by providing an opportunity to the Management to
examine the witnesses in support of its case and
proceed thereafterwards in accordance with law.
5. The Labour Court after remand passed an order
dated 29.07.2016 answering issue No.1 in the negative
and held that domestic enquiry conducted against
deceased Mohammed Zakir Hussain was not fair and
proper. Thereafterwards, an opportunity was given to
the Management to examine their witnesses and the
matter was heard and vide the order dated 18.08.2016
partly allowed the claim petition and the order of
termination passed against Mohammed Zakir Hussain
was set aside and the Management was directed to give
all the terminal benefits to the legal representatives of
the deceased Mohammed Zakir Hussain by treating the
deceased Mohammed Zakir Hussain in service as on the
date of death. The Labour Court also directed to pay
50% backwages to the legal heirs of the deceased
Mohammed Zakir Hussain from the date of the order of
dismissal. Challenging the order dated 18.08.2016 and
29.07.2016 passed by the Labour Court in Reference
No.27/2012, the present writ petition is filed.
6. Learned counsel appearing for the
petitioner/Management submits that the Labour Court
had erred in interfering with the concurrent finding
recorded by two authorities. He submits that the claim
petition was allowed and the order of dismissal was set
aside by the Labour Court only on the ground that the
Management has failed to examine the Auditor. He
submits that the Labour Court has failed to appreciate
the serious charges that were leveled against the
workman and therefore, the Labour Court was not
justified in setting aside the order of dismissal. He
further submits that the jurisdiction of the Labour Court
was very limited to interfere as against the concurrent
findings and in support of his contentions, he has relied
upon the following judgments:
(i) AIR 2005 SC 2769 - Bharat Heavy Electricals Ltd. -vs- M.Chandrasekhar Reddy and Others;
(ii) (2000) 9 SCC 521 - U.P.State Road Transport Corporation -vs- Mohan Lal Gupta and Others;
(iii) (2020) 3 SCC 423 - State of Karnataka and Another -vs- N.Gangaraj.
7. Per contra, learned senior counsel appearing for
the respondents submits that this court while allowing
W.P.No.100774/2013 having taken note of the fact that
the workman allegedly had not appeared before the
Enquiry Officer and such workman was not alive to
tender his evidence to rebut such allegation, the burden
was heavy on the Management to examine the Enquiry
Officer to prove that he had held a fair and proper
enquiry. He submits that this court had held that the
Management had not examined appropriate witnesses to
establish the validity of enquiry and therefore had
remitted the matter to the Labour court to re-consider
issue No.1 by providing an opportunity to the
Management to examine appropriate witnesses. He
refers to the evidence of Enquiry Officer, who was
examined as MW-2 and submits that a perusal of the
same makes it clear that no fair and proper enquiry was
held and sufficient opportunity was denied to the
workman. He further submits that since issue No.1 was
answered against the Management, the burden was
heavy on the Management to prove the charges against
the workman by leading evidence before the Labour
Court and since the Management had failed to discharge
such burden by examining material witnesses, the
Labour Court was justified in allowing the claim petition
and setting aside the dismissal order.
In support of his contentions, he has relied upon
the following judgments of the Hon'ble Supreme Court:
(i) Neeta Kaplish -vs- Presiding Officer, Labour
Court and Another - (1999) 1 SCC 517;
(ii) Hardwari Lal -vs- State of U.P. and Others -
(1999) 8 SCC 582.
8. I have given my anxious consideration to the
arguments addressed on both sides and also perused
the material available on record.
9. It is the specific contention of the petitioner/Management that the workman had not
appeared before the Enquiry Officer inspite of repeated
notice to him and he had also failed to give reply to the
final show cause notice issued to him after submission of
the enquiry report. This Court in Writ Petition
No.100774/2013 which was disposed of on 17.11.2015
at paragraphs-7 and 8 had observed as follows:
"7. When in a circumstance where it is alleged that the workman concerned had not appeared before the Enquiry Officer despite opportunity being provided and further when such workman was not alive to tender his evidence to rebut such contention, the burden was heavy on the management to examine the Enquiry Officer himself to state with regard to the opportunities that had been provided to the workman and the workman not having utilized such opportunities. Such evidence was required to be tendered by the Enquiry Officer with reference to the proceedings sheet maintained by him and the recording made therein so as to establish before the Labour Court that opportunity which was required to be granted to the workman was granted in the enquiry and therefore the procedure adopted is to be held as fair and proper.
8. Hence, essentially the requirement while answering issue No.1 was to concentrate on the procedure that had been followed and the opportunity that was granted. The very fact that the Labour Court has thereafter proceeded in the matter for evidence of the claimant on the other issues would disclose all that was to be considered thereafter was with regard to the perversity of
the finding and as to whether there was unfair labour practice. When such heavy burden was there on the management with regard to issue No.1 and the appropriate witness required to be examined had not been examined before the Labour Court to establish the validity of the enquiry, the documents that had been relied on by MW-1 at Exs.M1 to M10 if made use for rendering the finding on issue No.2 certainly prejudice would be caused to the workman when a valuable right with regard to the validity or otherwise of the domestic enquiry available to the workman was very lightly dealt with by the Labour Court. Therefore in a circumstance when the appropriate witness was not examined, the Labour Court was required to set aside the validity of the enquiry and an opportunity ought to have been granted to the management to establish the charges afresh before the Labour Court."
This Court having observed as hereinabove had set aside
the award passed by the Labour Court and remitted the
matter afresh with a direction to re-consider issue No.1
by providing an opportunity to the Management to
examine appropriate witnesses.
10. In support of its case, the Management had
examined the Enquiry Officer as MW-2, who has
admitted in the cross-examination that he had not
produced any material before the Labour Court to
establish issuance of a notice to the workman during the
course of enquiry. He had also admitted that he had not
noted in his order sheet about furnishing the list of
witnesses and documents to the workman. He had also
admitted that there was a specific direction to him to
complete the enquiry within a period of one month. The
Labour Court after appreciating the order sheet
maintained by the Enquiry Officer has given a categorical
finding that the signatures of Mohammed Zakir Hussain
were not taken in the order sheet at any point of time.
The Labour Court has taken note of the order sheet and
has given a categorical finding that there was no proper
notice issued to the workman and in the background of
this material available on record, the Labour Court has
given a finding that the enquiry held as against
Mohammed Zakir Hussain was not fair and proper.
11. Once the Labour Court has given a finding on
issue No.1 against the Management, the burden was
heavy on the Management to examine appropriate
witnesses in support of its case to prove the allegations
against the workman. Since the Labour Court had
already held that the enquiry was not fair and proper,
the Labour Court had derived jurisdiction to deal with the
merits of the dispute and in such a case, the Labour
Court is required to appreciate the evidence adduced
before it by the Management and decide the matter on
the basis of such evidence. Therefore, the contention of
the learned counsel for the petitioner that the Labour
Court had exceeded its jurisdiction in interfering with the
concurrent finding is required to be rejected.
12. The Hon'ble Supreme Court in the case of
Neeta Kaplish (supra) has observed as follows:
"In view of the above, the legal position as emerges out is that in all cases where enquiry has not been held or the enquiry has been found to be defective, the Tribunal can call upon the Management or the employer to justify the action taken against the workman and to show by fresh evidence, that the termination or dismissal order was proper. If the Management does not lead any evidence by availing of this opportunity, it cannot raise any ground at any subsequent stage that it should have been given that opportunity, as the Tribunal, in those circumstances, would be justified in passing an award in favour of the workman. If, however, the opportunity is availed of and the evidence is adduced by the Management, the validity of the action taken by it has to be scrutinised and adjudicated upon on the basis of such fresh evidence."
13. In the case of Hardwari Lal (supra), the
Hon'ble Supreme Court has observed as follows:
"Before us the sole ground urged is as to the non-observance of the principles of natural justice in not examining the complainant, Shri Virender Singh, and witness, Jagdish Ram. The Tribunal as well as the High Court have brushed aside the grievance made by the appellant that the non-examination of those two persons has prejudiced his case. Examination of these two witnesses would have revealed as to whether the complaint made by Virender Singh was correct or
not and to establish that he was the best person to speak to its veracity. So also, Jagdish Ram, who had accompanied the appellant to the hospital for medical examination, would have been an important witness to prove the state or the condition of the appellant. We do not think the Tribunal and the High Court were justified in thinking that non-examination of these two persons could not be material. In these circumstances, we are of the view that the High Court and the Tribunal erred in not attaching importance to this contention of the appellant."
14. From the aforesaid pronouncements made by
the Hon'ble Apex Court, it is very clear that after the
Labour Court had given a finding in the negative on
issue No.1, the burden was completely on the
Management to prove its allegation as per the charges
leveled against the workman by adducing sufficient
material before the Labour Court. It is the specific case
of the respondents that the Management has failed to
examine the material witnesses before the Labour Court.
The Management has made allegation against the
workman that he had misappropriated the amount to
the tune of Rs.3,70,300/- and this allegation was made
on the basis of the audit report. Therefore, the internal
auditor would have been the competent witness to
speak about his report on the basis of which the charge
memo was issued to the workman. The Labour Court
appreciating this aspect of the matter has held that the
Management had failed to prove the misconduct of the
workman.
15. The judgments relied upon by the learned
counsel for the petitioner are all rendered in cases
where the enquiry against a delinquent employee was
held to be fair and proper and it has been held in the
said cases that in such an event the punishment
imposed on the employee especially where the
allegations are grave, the same should not be interfered
by the courts. The said judgments would not be
applicable to the facts and circumstances of the present
case, as the Labour Court in the present case has
answered issue no.1 against the Management and held
that the enquiry was not fair and proper and this finding
given by the Labour Court is based on the material
available on record, more so, the deposition of the
Enquiry Officer and therefore, said finding cannot be
found fault with. Once the enquiry is held to be not fair
and proper, the consequent order passed by the
Disciplinary Authority based on such enquiry report loses
its relevance and in order to establish its case the
Management is required to adduce evidence of the
appropriate witnesses before the Labour Court to prove
its allegation/charges against the workman.
16. It is not in dispute that when the matter had
reached the Labour Court, the workman had expired and
he was not available to lead rebuttal evidence as against
the allegations made against him. It is in this
background, this Court while disposing of
W.P.No.100774/2013 had specifically observed that the
burden to establish the issues was on the Management
and the Management had failed to discharge such
burden by examining the material witnesses.
17. Under the circumstances, I find no illegality or
irregularity in the order dated 29th July 2016 passed by
the District Judge and Presiding Officer, Labour Court,
Kalaburagi in Reference No.27/2012 vide Annexure-A1
while answering issue No.1 against the Management.
The Labour Court having held that the Management had
failed to prove its allegation against the workman by
examining the material witnesses to establish the
charges leveled against him, has set aside the order of
dismissal and has directed to grant all terminal benefits
to the legal heirs of the workman by treating the
deceased workman that he had died while in service.
The Labour Court had also directed the Management to
pay 50% of backwages from the date of dismissal of the
workman till his death.
18. In my considered view, though the Labour
Court was justified in setting aside the order of dismissal
and directing the Management to grant all terminal
benefits to the legal heirs of the workman by treating
the workman that he had died while he was in service,
the Labour Court was not justified in directing the
Management to pay backwages from the date of
dismissal till the date of death of workman since
admittedly the deceased workman had not worked for
the said period. To the said extent, the order passed by
the Labour Court in Reference No.27/2012 dated 18 th
August 2016 vide Annexure-A is required to be modified.
Accordingly, the following order:
The Writ Petition is partly allowed. The order
dated 29th July 2016 passed by the District Judge and
Presiding Officer, Kalaburagi in Reference No.27/2012
vide Annexure-A1 is confirmed and the order dated 18 th
August 2016 made in Reference No.27/2012 by the
court of District Judge and Presiding Officer, Labour
Court, Kalaburagi vide Annexure-A is modified to the
extent it relates to directing the Management to pay
backwages to the legal heirs of the workman/
Mohammed Zakir Hussain from the date of dismissal of
the workman till his death.
The order passed by the Labour Court insofar as it
relates to setting aside the order of dismissal of the
workman and directing the Management to grant all the
terminal benefits to the respondents by treating that the
workman/Mohammed Zakir Hussain had died while in
service, remains unaltered.
Sd/-
JUDGE
KNM/-
CT-SMP
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