"Supreme Court Upholds LIC's Action on Employee Abandoning Service, Quashes High Court's Relief Order" "Clear cases of job abandonment cannot bypass procedural requirements when the facts substantiate abandonment."


Summary of Judgement

Acts and Sections Discussed:

  • LIC Staff Regulation, 1960: Regulation 39(4)(iii) and Explanations 1 and 2.
  • Constitution of India: Article 226 (Equitable relief).

1. Parties and Representation

  • Appellants: Life Insurance Corporation of India (LIC).
  • Respondent: Om Parkash, a former Assistant Administrative Officer at LIC.
  • Counsels:
    • Mr. Kailash Vasudev (Appellant)
    • Mr. Jaideep Gupta (Amicus Curiae)

2. Background

  • High Court's Judgment:
    • Single Judge and Division Bench of the Himachal Pradesh High Court found LIC's termination of the respondent on 25.06.1996 unsustainable due to lack of opportunity.
    • Ordered reinstatement with consequential benefits, with the liberty to re-conduct an inquiry.

3. LIC's Termination Decision

  • Facts:

    • Respondent absented from duty since 25.09.1995 without intimation.
    • LIC issued multiple notices (06.10.1995, 06.11.1995, 19.12.1995) which were unanswered.
    • Chargesheet issued on 14.02.1996 for abandonment under Regulation 39(4)(iii).
  • Regulatory Provision:

    • Regulation 39(4)(iii): An employee absent for 90 days without intimation is deemed to have abandoned their service.

4. Respondent's Concealment of Employment

  • Secured alternate employment with Food Corporation of India (FCI) on 14.04.1997 but concealed this in his writ petition filed on 05.01.1998.

5. High Court’s Relief and Its Flaws

  • Relief was granted due to lack of a formal inquiry.
  • The Court overlooked the abandonment of duty and subsequent employment with FCI.

6. Supreme Court's Analysis and Decision

  • Opportunity to Respond:

    • Notices were issued to all known addresses.
    • Postal remarks indicated the respondent had left the job and relocated.
  • Abandonment of Service:

    • Non-response to multiple notices, absence exceeding 90 days, and securing alternate employment proved abandonment.
  • Equitable Relief:

    • Concealment of material facts (employment at FCI) disqualifies the respondent from receiving equitable relief under Article 226.

Ratio Decidendi

  • Key Principle:
    In cases of prolonged unauthorized absence and evident abandonment of service, procedural fairness in conducting inquiries can be limited when the employee evades communication and facts confirm abandonment.

Subjects:

  • #EmploymentLaw
  • #ServiceTermination
  • #AbandonmentOf Service

The Judgement

Case Title: LIFE INSURANCE CORPORATION OF INDIA & ORS. VERSUS OM PARKASH

Citation: 2024 LawText (SC) (11) 132

Case Number: CIVIL APPEAL NO(S).4393/2010

Date of Decision: 2024-11-13