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Dr.Fareed Ahmed vs Local Complaints Committee Women And ...
2025 Latest Caselaw 7669 MP

Citation : 2025 Latest Caselaw 7669 MP
Judgement Date : 8 April, 2025

Madhya Pradesh High Court

Dr.Fareed Ahmed vs Local Complaints Committee Women And ... on 8 April, 2025

Author: Subodh Abhyankar
Bench: Subodh Abhyankar
                           NEUTRAL CITATION NO. 2025:MPHC-IND:9605      1



                                IN THE HIGH COURT OF MADHYA PRADESH
                                                            AT INDORE
                                                               BEFORE
                                    HON'BLE SHRI JUSTICE SUBODH ABHYANKAR

                                                   ON THE 8th OF APRIL, 2025

                                              WRIT PETITION No. 20489 of 2019
                                       DR.FAREED AHMED AND OTHERS
                                                  Versus
                               LOCAL COMPLAINTS COMMITTEE WOMEN AND CHILD
                                   DEVELOPMENT DEPARTMENT AND OTHERS


                           Appearance:
                                 Shri Ravindra Singh Chhabra, senior advocate with Shri
                           Devaasheesh Dubey, learned counsel for the petitioners.
                                 Shri Bhuwan Deshmukh, learned Government Advocate appearing
                           on behalf of Advocate General.
                                 Shri Prashant Bhushan, senior advocate with Shri Amit Kumar
                           Washinde, learned counsel for the respondent No.2.


                                                                WITH
                                              WRIT PETITION No. 23858 of 2019
                                               PANKAJ DWIVEDI
                                                     Versus
                                    LOCAL COMPLAINTS COMMITTEE AND OTHERS


                           Appearance:



Signature Not Verified
Signed by: KHEMRAJ JOSHI
Signing time: 09-04-2025
14:03:35
                            NEUTRAL CITATION NO. 2025:MPHC-IND:9605                             2



                                      Shri Amit Agrawal, senior advocate with Shri Aditya Goyal,
                           learned counsel for the petitioner.
                                      Shri Bhuwan Deshmukh, learned Government Advocate appearing
                           on behalf of Advocate General.
                                      Shri Prashant Bhushan, senior advocate with Shri Amit Kumar
                           Washinde, learned counsel for the respondent No.2.
                                           WRIT PETITION No. 25127 of 2019
                            PUNJAB AND SIND BANK THR. SHRI SUBHAN SINGH S/O KAL
                                                  SINGH
                                                   Versus
                                 LOCAL COMPLAINTS COMMITEE AND OTHERS


                           Appearance:
                                Shri Ravindra Singh Chhabra, senior advocate with Shri
                           Devaasheesh Dubey, learned counsel for the petitioner.
                                     Shri Bhuwan Deshmukh, learned Government Advocate appearing
                           on behalf of Advocate General.
                                     Shri Prashant Bhushan, senior advocate with Shri Amit Kumar
                           Washinde, learned counsel for the respondent No.2.
                                ...........................................................................................................

                                        Reserved on                         :        03.03.2025
                                     Pronounced on                          :        08.04.2025
                                ...........................................................................................................

                                                                                ORDER

Heard finally.

1] This order shall also govern the disposal of WP Nos.20489/2019, 23858/2019 and 25127/2019 as all these three petitions have arisen out of

the same order passed by the Local Complaints Committee (hereinafter referred to as LCC) dated 17/06/2019, pursuant to a complaint made by respondent No.2 Smt. Durgesh Kuwar regarding her sexual harassment at workplace.

2] In W.P. No.25127/2019, which has been filed by Punjab & Sind Bank, one more order dated 08/07/2019 has also been challenged in which, a fine of Rs.50,000/- has been imposed on the Bank on account of non-formation of Internal Complaint Committee.

For the sake of convenience, the facts as narrated in W.P. No.20489/2019 are being taken into consideration.

3] This writ petition has been filed by the petitioners under Article 226 of the Constitution of India seeking the following reliefs:-

1. "A writ of certiorari be issued and the record be called from the Local Complaints Committee and the entire proceedings carried out by Local Complaints Committee be quashed.

2. Appropriate Writ/order/direction be issued to quash/set aside the Report dated 17/06/2019 and its recommendations issued by the Local Complaints Committee.

3. Appropriate Writ/order/direction be issued to dismiss the complaint dated 08/01/2019 filed by Smt. Durgesh Kuwar against the Petitioners before the Local Complaints Committee.

4. Appropriate Writ/order/direction be issued to award the cost of the present Writ Petition.

5. Any other relief which this Hon'ble Court deems fit may kindly be granted."

4] The petitioners are aggrieved by the recommendations made by the Local Complaints Committee (LCC) allegedly constituted under the provisions of Sexual Harassment at Workplace (Prevention, Prohibition and Redressal) Act, 2013, vide its order dated 17/06/2019. On the basis of the complaint filed by respondent No.2 on 08/01/2019 alleging her sexual harassment on workplace as respondent No.2 happens to be an employee

of Punjab & Sind Bank and was posted as Chief Manager at P.Y. Road Branch, Indore.

5] The brief the facts of the case as narrated in this writ petition are as under:-

The present Writ Petition is filed for quashment of the proceedings and Final Report dated 17.06.2019 (Annexure- P/47) of the Local Complaints Committee constituted under Section 6 of the Sexual Harassment at Workplace (Prevention, Prohibition and Redressal) Act, 2013, issued upon the complaint of the Respondent no. 2 i.e. Smt. Durgesh Kuwar, the Chief Manager of P. Y. Road branch, Indore lodged against Mr. Pankaj Dwivedi, the then Zonal Manger of Punjab & Sind Bank, Bhopal as well as upon the complaint lodged by her against the Petitioners alleging, inter alia, that the Petitioners did not take any action upon the complaint of the Respondent no. 2 in respect of misbehaviour done by her immediate superior officer Mr. Pankaj Dwivedi and in a conspiracy protected him. Local Complaints Committee prepared the impugned Final Report dated 17.06.2019, whereby it declared the Report of ICC dated 26.02.2019 as void ab initio and recorded findings to the extent that Mr. Pankaj Dwivedi is guilty of committing sexual harassment with the Respondent no. 2 and the Petitioners are also liable for supporting Mr. Pankaj Dwivedi by not taking any action upon the oral and written complaints of the Respondent no. 2 thereby, creating hostile work environment for her and committed humiliating treatment likely to affect her health and safety. The LCC recommended a fine of Rs. 50,000/- for not having Internal Complaints Committee at Indore and constituting ICC at Delhi by declaring the same in violation of the provisions of the Act, 2013. The LCC recommended for immediate posting of the Respondent no. 2 as branch manager of Punjab & Sind Bank, P.Y. Road branch, Indore. The LCC further recommended for taking disciplinary action against the Petitioners and Mr. Pankaj Dwivedi as per the Service Rules for the acts of sexual harassment. The LCC further advised to grant 90 days leave to the Respondent no. 2 under the Act, 2013. LCC also advised to the employer to consider her representation against non-promotion on merits. Lastly, the LCC recommended that the Bank should be penalised for non-cooperation and non-adherence of provisions of the POSH, Act by planting 200 trees in Green Belt between Hawa Bangla to CAT Road, Indore and advised to take care of the plants by guarding them tree guards thereby ensuring that plants to sustain.

The petitioners are challenging the proceedings and Report dated 17.06.2019 of the Local Complaints Committee on the various, inter alia, that the Internal Complaints Committee constituted under Section 4 of the Act, 2013 had already given its Report on 26.02.2019 and LCC was not having any jurisdiction to entertain the complaint of Smt. Durgesh Kuwar,

the complaint was time barred, there was no whisper about the alleged sexual harassment in the earlier petition filed by the the respondent no. 2 bearing W.P. no. 9048/2018 and in all previous correspondence with the higher officers, no personal notice was served upon all the Respondents therein, copies of the complaint, statement and documents were not served personally upon all the Respondents therein, the LCC did not wait till decision of Writ Petition no. 7962/2019 pending before this Hon'ble Court, the complaint does not disclose any allegation of harassment against the Petitioners much less the act of sexual harassment as defined under Section

2 (n) of the Act, 2013, the Petitioners are not covered under the definition of employer. The LCC by conducting and concluding the enquiry proceedings in such a manner, violated the Service Rules as well the principles of natural justice of the Petitioners. The whole proceedings before the LCC were void ab initio and contrary to the provisions of the Act, 2013."

6] In addition to the above, it is also the case of the petitioners that while the dispute was going on between the petitioners and respondent No.2, she was transferred vide order dated 14/12/2017, which was challenged by her in WP No.9048/2018 which was decided on 17/04/2018. The said writ petition was allowed by this Court vide order dated 11/12/2019, quashing the order of transfer, against which, the Bank also preferred Writ Appeal No.377/2019, which was dismissed on 18/03/2019 affirming the order passed by the Single Bench. The order passed by the Division Bench on 18/03/2019 was then taken by Punjab & Sind Bank to the Supreme Court in Civil Appeal No.1809/2020, which was dismissed by the Supreme Court vide its judgement dated 25/02/2020, affirming the orders passed by the division bench of this Court. In its decision, the Supreme Court has also reflected heavily upon the constitution of Internal Complaints Committee (ICC) by the Bank and has also observed that there was a fundamental defect in the constitution of ICC which was set up by the Bank.

7] It is further the case of the petitioners that admittedly, prior to the

aforesaid order dated 25.02.2020, passed by the Supreme Court, the ICC had already given its final report on 26/02/2019 and had exonerated the petitioners. Against the aforesaid order, respondent No.2 also preferred W.P. No.7962/2019 on 11/04/2019, alleging lack of jurisdiction of ICC, however, during the pendency of the aforesaid petition, since the respondent No.2 had already initiated a parallel proceeding before the Local Complaints Committee, the Local Complaints Committee also gave its report in favour of respondent No.2 in its order dated 17/06/2019, and thereafter, the WP No.7962/2019 which was filed by the respondent no.2 against the order of ICC dated 26/02/2019 was withdrawn on 07/08/2019, with liberty to file fresh petition, if the occasion arises. 8] The petitioner's contention is that the report prepared by the ICC has attained finality on account of withdrawal of writ petition WP No.7962/2019 by respondent No.2. Whereas, the constitution of Local Complaints Committee itself was void-ab-initio as admittedly, there was an internal complaint committee already constituted by the Bank, whereas according to Section 9 of the Act of 2013 a local committee can only be constituted if ICC is not so constituted by the employer. 9] The arguments have also been advanced at length by the learned counsel appearing for the rival parties. It has been primarily argued by the learned senior counsel for the petitioner that the observations made by the Supreme Court in Civil Appeal No.1809/2020 which had arisen out of the transfer order of respondent No.2, regarding the constitution of ICC are obiter dictas only and are not the ratio of the aforesaid decision, hence, the aforesaid observations regarding ICC have to be ignored by this Court being the obiter. In support of his submissions, Shri Amit Agrawal, learned senior counsel appearing for the petitioners has also drawn the

attention of this Court to the Constitution Bench Judgment comprising of 9 Judges in the case of Property Owners Association and others vs. State of Maharashtra and others reported in 2024 SCC OnLine SC 3122( para 111 to 114) and it is submitted that this Court is also required to apply the inversion test as noted by the Supreme Court in para 114 of the said decision to determine whether a particular proposition of law is part of ratio decidendi of a case. It is also submitted that as per the inversion test, if the findings recorded by the Supreme Court in respect of ICC are reversed or removed from the judgment, it would not affect the decision of the case which was in respect of the transfer of the respondent no.2 and thus, it can be safely assumed that the observations made by the Supreme Court in respect of ICC were only the obiter, and are not binding on this Court.

10] The arguments at length have also been made regarding the finding recorded by the Local Complaint Committee to submit that the findings are perverse and are liable to be set aside even if the report filed by the ICC is ignored.

11] Regarding availability of alternative remedy as provided under Section 18 of the Act of 2013, is concerned, it is submitted that the aforesaid objection has already been taken care of by this Court in its order dated 17/10/2023, and the petitions have already been admitted, rejecting the preliminary objection raised by respondent No.2 regarding maintainability of the petition on the ground of appeal as provided under Section 18 of the Act of 2013, and the said order passed by this Court has also not been disturbed by the Supreme Court in SLP (C) No.7574- 7576/2024, vide its order dated 30/09/2024.

12] The prayer is vehemently opposed by Shri Prashant Bhushan,

learned counsel appearing for respondent No.2 and it is submitted that the petition itself is not maintainable on account of availability of alternative remedy of appeal under Section 18 of the Act of 2013. Counsel has also drawn the attention of this Court to the order passed by the Supreme Court on 30/09/2024 passed in SLP (C) No.7574-7576/2024 which was filed by respondent No.2 against the order dated 17/10/2023, rejecting the plea of availability of alternative remedy, and although the Supreme Court has refused to entertain the aforesaid SLP, however, it has also been directed to the High Court to decide the matter finally without being influenced by the order passed by this Court on 17/10/2023. Thus, it is submitted that the issue of jurisdiction of this Court has also been kept open by the Supreme Court in the aforesaid order and the plea of dismissal of writ petition on the ground of availability of alternative remedy can still be considered by this Court.

13] Shri Bhushan has also drawn the attention of this Court to various paragraphs of the order passed by the Supreme Court in Civil Appeal No.1809/2020 dated 25/02/2020, to submit that in the aforesaid order which related to transfer of the respondent No.2, the Supreme Court has also taken note of the sexual harassment meted out to respondent No.2 in the garb of her transfer, hence, it is submitted that the Supreme Court has rightly reflected upon the constitution of ICC, and in such circumstances, it cannot be said that the observations made by the Supreme Court regarding ICC are obiter dictas and are not binding on this Court. It is also submitted that no illegality has been committed by the Local Complaint Committee in passing the impugned order and thus, no case for interference is made out and the petitions are liable to be dismissed. 14] Heard learned counsel for the parties and perused the record.

15] From the record, it is found that so far as the order passed by the Supreme Court in Civil Appeal No.1809/2020 is concerned, which was in respect of transfer of the petitioner, the following paras are relevant to decide if the observations made by the Supreme Court were ratio decidendi or obiter dicta, the same read as under:-

"2 A senior officer of a public sector banking institution complains that her reports about irregularities and corruption at her branch and her complaints against an officer who sexually harassed her met with an order of transfer. The case involves the intersection of service law with fundamental constitutional precepts about the dignity of a woman at her workplace. xxxxx xxxxx 17 We must begin our analysis of the rival submissions by adverting to the settled principle that transfer is an exigency of service. An employee cannot have a choice of postings. Administrative circulars and guidelines are indicators of the manner in which the transfer policy has to be implemented. However, an administrative circular may not in itself confer a vested right which can be enforceable by a writ of mandamus. Unless an order of transfer is established to be malafide or contrary to a statutory provision or has been issued by an authority not competent to order transfer, the Court in exercise of judicial review would not be inclined to interfere. These principles emerge from the judgments which have been relied upon by the appellants in support of their submissions and to which we have already made a reference above. There can be no dispute about the position in law.

18 The real issue which the Court needs to enquire into in the present case is as to whether the order of the High Court quashing the order of transfer can be sustained, having regard to the above principles of law. The material on record would indicate that commencing from 31 December 2016 and going up to 15 November 2017, the respondent, who was posted as Chief Manager in her capacity as a Scale IV officer at Indore branch, submitted as many as six communications drawing attention to the serious irregularities which she had noticed in the maintenance of bank accounts of and transactions by liquor contractors. The contents of the complaints raised serious issues. The order of transfer was served on the respondent within a month of the last of the above representations, on 14 December 2017. On 19 February 2018, the respondent levelled allegations specifically of sexual harassment against the Zonal Manager. The bank initially constituted an ICC. The respondent raised an objection to the presence of some of the members of the Committee. The Committee as constituted initially consisted of the following persons:

(i) Ms Havinder Sachdev, GM (Presiding Officer)

(ii) Ms Rashmita Kwatra, AGM (Member)

(iii) Ms Abha Sharma, CM (Member)

(iv) Mr Vimal Kumar Attrey, CM (Member & Convenor)

(v) Ms Shountal Singh, SRM (Member)

(vi) Ms Seema Gupta, Advocate (Independent Member) 19 The report of the ICC contains a reference to the objections which the respondent raised to the members at serial numbers (ii), (iv) and (vi) above. These objections were noted in the course of the report of the ICC dated 26 February 2019. The respondent drew the attention of the Presiding Officer of the ICC to the fact that Ms Rashmita Kwatra, AGM is the spouse of a retired General Manager, who was part of the process of the transfer of the respondent. As against Ms Seema Gupta, who was nominated as an independent member, the respondent noted that she was a panel advocate of the bank and was regularly contesting cases in court involving the bank. The respondent also raised an objection in regard to the presence of Mr Vimal Kumar Attrey as a member of the Committee.

The report of the Committee contains a reference to the fact that following the objections which were raised by the respondent, the Committee was reconstituted, as a result of which Ms Rashmita Kwatra and Mr Vimal Kumar Attrey were substituted by two other officers of the bank. However, Ms Seema Gupta, Advocate continue to be a member of the ICC. 20 The Act was enacted to provide protection against sexual harassment of women at the workplace as well as for the prevention and redressal of complaints of sexual harassment. Sexual harassment at the workplace is an affront to the fundamental rights of a woman to equality under Articles 14 and 15 and her right to live with dignity under Article 21 of the Constitution as well as her right to practice any profession or to carry on any occupation, trade or business. Section 3 of the Act provides the following:

3. Prevention of sexual harassment-

(1) No woman shall be subjected to sexual harassment at any workplace. (2) The following circumstances, among other circumstances, if it occurs, or is present in relation to or connected with any act or behavior of sexual harassment may amount to sexual harassment:-

(i) implied or explicit promise of preferential treatment in her employment; or

(ii) implied or explicit threat of detrimental treatment in her employment; or

(iii) implied or explicit threat about her present or future employment or status; or

(iv) interference with her work or creating an intimidating or offensive or hostile work environment for her; or

(v) humiliating treatment likely to affect her health or safety."

(Emphasis added) 21 Section 4 of the Act requires the constitution of an ICC at all the administrative units or offices of the work place. Sub-section (2) of Section 4 of the Act provides for the constitution of the ICC. Section 4(2) is

extracted below:

"4(2). The Internal Committee shall consist of the following members to be nominated by the employer, namely:-

(a) a Presiding Officer who shall be a woman employed at a senior level at workplace from amongst the employees:

Provided that in case a senior level woman employee is not available, the Presiding Officer shall be nominated from other offices or administrative units of the workplace referred to in sub-section (1):

Provided further that in case the other offices or administrative units of the workplace do not have a senior level woman employee, the Presiding Officer shall be nominated from any other workplace of the same employer or other department or organisation;

b) not less than two Members from amongst employees preferably committed to the cause of women or who have had experience in social work or have legal knowledge:

(c) one member from amongst non- overnmental organisations or associations committed to the cause of women or a person familiar with the issues relating to sexual harassment:

Provided that at least one-half of the total Members so nominated shall be women."

22 Clause (c) of Section 4(2) indicates that one member of the ICC has to be drawn from amongst a non-governmental organization or association committed to the cause of women or a person familiar with issues relating to sexual harassment. The purpose of having such a member is to ensure the presence of an independent person who can aid, advise and assist the Committee. It obviates an institutional bias. During the course of hearing, we have received a confirmation from the learned senior counsel appearing on behalf of the bank that Ms Seema Gupta was, in fact, a panel lawyer of the bank at the material time. This being the position, we see no reason or justification on the part of the bank not to accede to the request of the respondent for replacing Ms Seema Gupta with a truly independent third party having regard to the provisions of Section 4(2)(c) of the Act. This is a significant facet which goes to the root of the constitution of the ICC which was set up to enquire into the allegations which were levelled by the respondent.

23 The respondent did not participate in the proceedings before the ICC since, in the meantime, she had moved the LCC in terms of the provisions of Section 6 of the Act. Mr Sudhir Chandra, learned senior counsel urged that the LCC under Section 6 can be set up in a situation where the ICC has not been constituted or if the complaint is made against the employer himself. It has been urged that in the present case there was no complaint against the employer himself and hence the LCC would have no jurisdiction under Section 6 of the Act. Be that as it may, we have a situation in the present case where the appellants did not participate in the proceedings before the LCC and the respondent did not participate in the proceedings before the ICC. What, however, does emerge from the record

is that there was a fundamental defect in the constitution of the ICC which was set up by the bank.

24 The material which has been placed on record indicates that the respondent had written repeated communications to the authorities drawing their attention to the serious irregularities in the course of the maintenance of accounts of liquor contractors and in that context had levelled specific allegations of corruption. The respondent was posted on 14 December 2017 to a branch, which even according to the bank, was not meant for the posting of a Scale IV officer. The sanctity which the bank attaches to posting officers of the appropriate scale to a branch commensurate with their position is evident from the Board's Resolution to which we have adverted earlier. Admittedly, the branch to which the respondent was posted was not commensurate to her position as a Scale IV officer. There can be no manner of doubt that the respondent has been victimized. Her reports of irregularities in the Branch met with a reprisal. She was transferred out and sent to a branch which was expected to be occupied by a Scale I officer. This is symptomatic of a carrot and stick policy adopted to suborn the dignity of a woman who is aggrieved by unfair treatment at her workplace. The law cannot countenance this. The order of transfer was an act of unfair treatment and is vitiated by malafides. 25 In view of the above analysis, we are of the view that the High Court cannot be faulted in coming to the conclusion that the transfer of the respondent, who was holding the office of Chief Manager in the Scale IV in Indore branch to the branch at Sarsawa in the district of Jabalpur was required to be interfered with. At the same time, a period of nearly four years has since elapsed. Despite the order of stay, the respondent was not assigned an office at Indore and had to suffer the indignity of being asked to sit away from the place assigned to a Branch Manager. Considering the period which has elapsed, it would be necessary for the Court to issue a direction, which, while sub-serving the interest of the bank, is also consistent with the need to preserve the dignity of a woman employee who, we hold, has been unfairly treated.

26 We accordingly direct that Ms Durgesh Kuwar, the respondent officer, shall be reposted at the Indore branch as a Scale IV officer for a period of one year from today. Upon the expiry of the period of one year, if any administrative exigency arises the competent authority of the bank would be at liberty to take an appropriate decision in regard to her place of posting independently in accordance with law keeping in view the relevant rules and regulations of the bank, in the interest of fair treatment to the officer. 27 While affirming the decision of the High Court, the appeal is disposed of in terms of the above directions. The respondent would be entitled to costs quantified at Rs 50,000 which shall be paid over within one month."

(Emphasis supplied)

16] It is apparent from the aforesaid decision of the Supreme Court that

it has, has dealt with the issue of sexual harassment of the respondent no.2 in its entirety, including the constitution of the ICC, which has been held to be fundamentally defective in para 23 of the judgment. In such circumstances, and also taking note of para 2 of the aforesaid decision wherein it has also been specifically observed by the Supreme Court that the case involves the intersection of service law with fundamental constitutional precepts about the dignity of a woman at her workplace, and in such circumstances, it cannot be said that the observations made by the Supreme Court in the aforesaid decision regarding the constitution of the ICC would be obiter dicta and have to be ignored by this Court. 17] So far as the decision relied upon by Shri Amit Agrawal, learned senior counsel for the petitioners in the case of Property Owners Association (supra) is concerned, in which the inversion test has been promulgated by the Supreme Court, the relevant paras of the same read as under:-

"110. The counsel for the appellants contend that the observations in Mafatlal on this point constitute obiter dicta and do not bind this bench of coequal strength. On the other hand, the counsel for the respondents have advanced the view that the issue arose directly in the case and the observations are binding on this bench.

111. Not every observation in a judgement of this Court is binding as precedent. Only the ratio decidendi or the propositions of law that were necessary to decide on the issues between the parties are binding.109??? Observations by the judge, even determinative statements of law, which are not part of her reasoning on a question or issue before the court, are termed obiter dicta. Such observations do not bind the Court. More simply, a case is only an authority for what it actually decides.

112. A Constitution Bench of this Court (speaking through Chief Justice Khare) in Islamic Academy of Education v. State of Karnataka pithily observed:

"2. [...] The ratio decidendi of a judgment has to be found out only on reading the entire judgment. In fact, the ratio of the judgment is what is set out in the judgment itself. The answer to the question would necessarily have to be read in the context of what is set out in the judgment and not in isolation. In case of

any doubt as regards any observations, reasons and principles, the other part of the judgment has to be looked into. By reading a line here and there from the judgment, one cannot find out the entire ratio decidendi of the judgment. [...]"

113. In Secunderabad Club v. CIT,112 this Court, speaking through one of us (Justice BV Nagarathna), had occasion to delineate how to cull out the ratio decidendi of a judgement and identify the principles which have precedential value. This Court observed:

"14. [...] According to the well-settled theory of precedents, every decision contains three basic ingredients :

(i) findings of material facts, direct and inferential. An inferential finding of fact is the inference which the judge draws from the direct or perceptible facts ;

(ii) statements of the principles of law applicable to the legal problems disclosed by the facts ; and

(iii) judgment based on the combined effect of (i) and (ii) above. For the purposes of the parties themselves and their privies, ingredient

(iii) is the material element in the decision, for, it determines finally their rights and liabilities in relation to the subject-matter of the action. It is the judgment that estops the parties from reopening the dispute. However, for the purpose of the doctrine of precedent, ingredient (ii) is the vital element in the decision. This is the ratio decidendi. It is not everything said by a judge when giving a judgment that constitutes a precedent. The only thing in a judge's decision binding a party is the principle upon which the case is decided and for this reason it is important to analyse a decision and isolate from it the ratio decidendi."

(emphasis supplied)

114. Further, a simple test that has been invoked by this Court to determine whether a particular proposition of law is to be treated as the ratio decidendi of a case is the "inversion test" formulated by Professor Eugene Wambaugh.113??? The test mandates that to determine whether a particular proposition of law is part of the ratio decidendi of the case, the proposition is to be inversed. This means that either that proposition is hypothetically removed from the judgement or it is assumed that the proposition was decided in reverse. After such removal or reversal, if the decision of the Court on that issue before it would remain the same then the observations cannot be regarded as the ratio decidendi of the case."

(Emphasis supplied)

18] A perusal of the aforesaid decision would also reveal that although the Supreme Court has referred to inversion test to separate the obiter dicta from the ratio decidendi, however, these observations appear to have

been made only in respect of the test which the Supreme Court is required to apply to find out about the ratio decidendi and obiter dicta of a judgment. Nowhere in the aforesaid decision, or in other decision relied upon by the learned counsel for the petitioners, there are any directions issued by the Supreme Court that the obiter dicta of the Supreme Court is not binding on the High Court. On the contrary, this Court can fruitfully rely upon by the decision rendered by the Supreme Court in the case of Oriental Insurance Company Ltd. Vs. Meena Variyal reported as 2007 5 SCC 428, in which it has also been observed by the Supreme Court that an obiter dictum of the Supreme Court may be binding only on the High Court in the absence of a direct pronouncement on the question elsewhere by the Supreme Court. The relevant para 26 of the same reads as under:-

"23. Learned counsel for the respondent contended that there was no obligation on the claimant to prove negligence on the part of the driver. Learned counsel relied on Gujarat State Road Transport Corporation, Ahmedabad vs. Ramanbhai Prabhatbhai and another (1987 (3) SCC 234) in support. In that decision, this Court clarified that the observations in Minu B. Mehta's case (supra) are in the nature of obiter dicta. But, this Court only proceeded to notice that departures had been made from the law of strict liability and the Fatal Accidents Act by introduction of Chapter VIIA of the 1939 Act and the introduction of Section 92A providing for compensation and the expansion of the provision as to who could make a claim, noticing that the application under Section 110A of the Act had to be made on behalf of or for the benefit of all the legal representatives of the deceased. This Court has not stated that on a claim based on negligence there is no obligation to establish negligence. This Court was dealing with no-fault liability and the departure made from the Fatal Accidents Act and the theory of strict liability in the scheme of the Act of 1939 as amended. This Court did not have the occasion to construe a provision like Section 163A of the Act of 1988 providing for compensation without proof of negligence in contradistinction to Section 166 of the Act. We may notice that Minu B. Mehta's case was decided by three learned Judges and the Gujarat State Road Transport Corporation case was decided only by two learned Judges. An obiter dictum of this Court may be binding only on the High Courts in the absence of a direct pronouncement on that question elsewhere by this Court. But as far as this Court is concerned, though not binding, it does have clear persuasive authority. On a careful understanding of the decision

in Gujarat State Road Transport Corporation (supra) we cannot understand it as having held that in all claims under the Act proof of negligence as the basis of a claim is jettisoned by the scheme of the Act. In the context of Sections 166 and 163A of the Act of 1988, we are persuaded to think that the so called obiter observations in Minu B. Mehta's case (supra) govern a claim under Section 166 of the Act and they are inapplicable only when a claim is made under Section 163A of the Act. Obviously, it is for the claimant to choose under which provision he should approach the Tribunal and if he chooses to approach the Tribunal under Section 166 of the Act, we cannot see why the principle stated in 's case should not apply to him. We are, therefore, not in a position tMinu B. Mehtao accept the argument of learned counsel for the respondents that the observations in Minu B. Mehta's case deserve to be ignored."

(Emphasis supplied)

19] In such circumstances, this Court is of the considered opinion that the edifice of the petitioner's case, that the order passed by the Supreme Court is not binding on this Court so far as it relates to the finding recorded by the Supreme Court in respect of constitution of ICC, is based on a false premise and cannot be accepted. Thus, it is held that the observations made by the Supreme Court in the aforesaid judgement dated 25/02/2020, regarding ICC, are binding on this Court. Accordingly, it is held that the ICC was not properly constituted.

20] Having held so, this Court is also of the considered opinion that in the light of the aforesaid decision of the Supreme Court, if the respondent No.2 had withdrawn her writ petition No.7962/2019 on 07/08/2019 which had been filed against the report filed by the ICC, no illegality or error can be said to have been committed by respondent No.2 in not pursuing the aforesaid writ petition.

21] This Court is of the considered opinion that if the petitioners were of the opinion that the observations made by the Supreme Court were not binding on the High Court, then it was necessary for them to have this

clarification from the Supreme Court, but apparently, none of the petitioners have approached the Supreme Court seeking any clarification of the aforesaid order and now it is being argued before this Court that the observations made by the Supreme Court are not binding on this Court, which is appears to be an afterthought and cannot be accepted. 22] Now remains the impugned report dated 17/06/2019, passed by the LCC, which has been prepared under Section 13 of the Act of 2013, whereas Section 18 of the same provides for an appeal against such recommendations in the following manner:-

"18. Appeal.--

(1) Any person aggrieved from the recommendations made under sub-

section (2) of section 13 or under clause (i) or clause (ii) of sub-section (3) of section 13 or sub-section (1) or sub section (2) of section 14 or section 17 or non-implementation of such recommendations may prefer an appeal to the court or tribunal in accordance with the provisions of the service rules applicable to the said person or where no such service rules exist then, without prejudice to provisions contained in any other law for the time being in force, the person aggrieved may prefer an appeal in such manner as may be prescribed.

(2) The appeal under sub-section (1) shall be preferred within a period of ninety days of the recommendations."

23] So far as the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Rules, 2013 are concerned, Rule 11 of the same reads as under:-

"11. Appeal - Subject to the provisions of section 18, any person aggrieved from the recommendations made under sub-section (2) of section 13 or under clauses (i) or clause (ii) of sub-section (3) of section 13 or sub- section (1) or sub-section (2) of section 14 or section 17 or non- implementation of such recommendation may prefer an appeal to the appellate authority notified under clause (a) of section 2 of the Industrial Employment (Standing Orders) Act, 1946 (20 of 1946)."

24] The parties have also brought on record a Notification dated 04/05/2016, issued by the Ministry of Labour and Employment, New Delhi, which reads as under:-

"New Delhi, the 4th May, 2016 S.O. 1632(E).- In exercise of the powers conferred by clause (a) of section 2 of the Industrial Employment (Standing Orders) Act, 1946 (20 of 1946), and in supersession of the notification of the Government of India in the Ministry of Labour and Employment number S.O. 1062 dated the 15 th March, 1990, the Central Government hereby appoints the following officers to exercise the functions of appellate authority under the said Act in respect of the industrial establishment under the control of Central Government or a Railways administration or a major port, mine or oil-field situated anywhere in India, namely:-

                                 (1)       Chief Labour Commissioner (Central):
                                 (2)       Additional Chief Labour Commissioner (Central);
                                 (3)       All Deputy Chief Labour Commissioner (Central).
                                                                                  [No.S-12011/3/2014-IR(PL)]
                                                                             G.VENUGOPAL REDDY. Jt. Secy."

                           25]    It is true that this court, vide its order dated 17/10/2023, had earlier

held that the petition is maintainable but when the said order was assailed by the respondent no.2 before the Supreme Court in Special Leave to Appeal (c) No.7575-7576/2024, it was decided on 30/09/2024 and following observations were made:-

"1.Heard the learned counsel appearing for the respective parties.

2. We are not inclined to interfere with the impugned order passed by the High Court in view of the fact that the said order is interim in nature. However, it is brought to our notice that the Writ Petitions are still pending before the High Court. In this view of the matter, we request the High Court to dispose of the Writ Petitions as expeditiously as possible, preferably within four months from today. We would also clarify that the High Court would dispose of the Writ Petitions without being influenced by the observations made in the order impugned before us.

3. The Special Leave Petitions are, accordingly, disposed of."

(Emphasis supplied)

26] Thus, it is apparent that this court has been directed to decide the matter without being influenced by the said order dated 30/09/2024. In such circumstances, in the light of the aforesaid Notification and also the regulations of the petitioner Punjab & Sind Bank, this Court is of the

considered opinion that the remedy of an appeal is very much available to the petitioners and all the disputed question of facts can certainly be raised before the appellate authority only.

27] In such facts and circumstances of the case, this Court does not find it to be a fit case to interfere while exercising its extraordinary jurisdiction under Article 226 of the Constitution of India.

28] Accordingly, the petitions being devoid of merits are hereby dismissed. However, with liberty reserved to the petitioners to take recourse of remedy of appeal before the appellate authority. It is also directed that if the petitioners prefer an appeal within one month from the date of receipt of certified copy of this order, the same shall be decided by the appellate authority, in accordance with law, after giving due opportunity of hearing to all the parties concerned, and without raising any objection as to the limitation in filing the appeal as apparently, the time spent by the petitioners in prosecuting this petition has to be excluded from the period of limitation.

29] Consequently, the order/report dated 17/06/2019 passed by the LCC against the Bank also can be challenged in the appeal as provided aforesaid.

30] In view of the same, writ petitions stand dismissed, with the liberty reserved as aforesaid.

Signed copy of this order be kept in WP No.20489/2019 and a copy whereof be placed in connected petitions.

Sd/-

(SUBODH ABHYANKAR) JUDGE krjoshi

 
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