Bombay High Court Allows Employer to Prove Charges Before Labour Court Despite No Prior Enquiry — Right to Lead Evidence Not Lost by Delay in Filing Application. Employer's Application to Lead Evidence to Justify Removal of Employee Without Domestic Enquiry Was Wrongly Rejected by Labour Court; Supreme Court Precedent Permits Leading Evidence Even if No Enquiry Held.

High Court: Bombay High Court Bench: NAGPUR In Favour of Prosecution
  • 2
Judgement Image
Font size:
Print

Case Note & Summary

The petitioner, Ekvira Nagri Pat-Sanstha Maryadit, an employer, challenged an order dated 07/09/2022 passed by the Labour Court, Amravati, rejecting its application (Exh.C-9) to conduct an enquiry or prove charges against the respondent employee, Sandeep Marotrao Pande, who had been removed from service without a prior domestic enquiry. The employer sought permission to lead evidence before the Labour Court to justify the removal. The Labour Court rejected the application on the ground that no enquiry was conducted before removal. The employer argued that it had a settled right to prove charges even if no enquiry was held, relying on Supreme Court decisions in Workmen of Motipur Sugar Factory Private Ltd. v. The Motipur Sugar Factory (1965) 3 SCR 588, Workmen of M/s. Firestone Tyre and Rubber Co. of India (Pvt.) Ltd. v. The Management (1973) 1 SCC 813, and State of Uttarakhand v. Sureshwati (2021) 3 SCC 108. The respondent contended that while the right was not disputed, the application must be filed at the earliest stage, i.e., at the time of filing the written statement, and that the employer's written statement did not contain such a request; the application was filed later when the matter was pending for further evidence of the employee. The High Court considered the rival submissions and examined the Supreme Court's decision in Motipur Sugar Factory, which held that where an employer has failed to make an enquiry before dismissing a workman, it is open to him to justify the action before the Tribunal by leading all relevant evidence. The Court found that the Labour Court's rejection was erroneous as the employer's right to lead evidence is not lost merely because the application was filed after the written statement, especially when the matter was still at the stage of the employee's evidence. The Court set aside the impugned order and directed the Labour Court to permit the employer to lead evidence to prove the charges, subject to the employer paying costs of Rs. 5,000 to the respondent. The petition was allowed with costs.

Headnote

A) Industrial Disputes - Disciplinary Proceedings - Right to Lead Evidence - Industrial Disputes Act, 1947 - Employer's right to justify dismissal by leading evidence before Tribunal even if no domestic enquiry was held - The Supreme Court in Workmen of Motipur Sugar Factory held that where no enquiry was conducted, the employer can justify the action before the Tribunal by leading all relevant evidence. The Labour Court's rejection of the application was set aside as the right is not lost merely because the application was filed after the written statement, especially when the matter was still at the stage of employee's evidence. (Paras 7-9)

B) Industrial Disputes - Disciplinary Proceedings - Stage of Application - Industrial Disputes Act, 1947 - Application to lead evidence must be filed at the earliest, but delay alone does not disentitle the employer - The respondent's contention that the application should have been filed at the stage of written statement was rejected. The Court held that the Labour Court ought to have allowed the application as the employer's right to prove charges is substantive and the delay was not fatal. (Paras 5-9)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the Labour Court erred in rejecting the employer's application to lead evidence to prove charges against the employee, filed after the written statement and when the matter was pending for further evidence of the employee.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The High Court allowed the writ petition, set aside the impugned order dated 07/09/2022 passed by the Labour Court, Amravati, and directed the Labour Court to permit the employer to lead evidence to prove the charges against the employee, subject to the employer paying costs of Rs. 5,000 to the respondent.

Law Points

  • Right of employer to prove charges before Tribunal when no enquiry conducted
  • Stage for filing application to lead evidence
  • Discretion of Labour Court to permit evidence at later stage
Subscribe to unlock Law Points Subscribe Now

Case Details

2024 LawText (BOM) (03) 168

Writ Petition No. 7283 of 2022

2024-03-12

Bharat P. Deshpande

2024:BHC-NAG:3139

Shri Y. N. Sambre for petitioner, Shri P. S. Patil for respondent

Ekvira Nagri Pat-Sanstha Maryadit through its General Manager Nitin Pandurang Band

Sandeep Marotrao Pande

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Writ petition challenging the order of the Labour Court rejecting the employer's application to lead evidence to prove charges against the employee.

Remedy Sought

The employer sought to set aside the Labour Court's order and to be permitted to lead evidence to prove the charges against the employee.

Filing Reason

The Labour Court rejected the employer's application to conduct an enquiry or prove charges before the Tribunal on the ground that no enquiry was conducted before removal of the employee.

Previous Decisions

The Labour Court, Amravati, passed the impugned order dated 07/09/2022 below Exh.C-9 rejecting the employer's application.

Issues

Whether the Labour Court erred in rejecting the employer's application to lead evidence to prove charges against the employee, filed after the written statement and when the matter was pending for further evidence of the employee. Whether the employer's right to lead evidence before the Tribunal to justify dismissal without prior enquiry is lost if the application is not filed at the earliest stage.

Submissions/Arguments

Petitioner: The employer has a settled right to seek permission to prove charges even if no enquiry was conducted or if the enquiry was defective. Reliance placed on Workmen of Motipur Sugar Factory, Firestone Tyre, and Sureshwati. Respondent: The right to prove charges is not disputed, but the application must be filed at the earliest stage, i.e., at the time of filing the written statement. In this case, the written statement did not contain such a request, and the application was filed later when the matter was pending for further evidence of the employee.

Ratio Decidendi

The employer has a right to lead evidence before the Tribunal to justify dismissal even if no domestic enquiry was conducted, as held by the Supreme Court in Workmen of Motipur Sugar Factory. This right is not lost merely because the application to lead evidence is filed after the written statement, especially when the matter is still at the stage of the employee's evidence. The Labour Court ought to have allowed the application.

Judgment Excerpts

It is now well settled by a number of decisions of this Court that where an employer has failed to make an enquiry before dismissing or discharging a workman it is open to him to justify the action before the tribunal by leading all relevant evidence before it. The Labour Court committed an error in rejecting the application filed by the employer to lead evidence to prove the charges.

Procedural History

The employer filed an application (Exh.C-9) before the Labour Court, Amravati, seeking permission to conduct an enquiry or prove charges against the employee. The Labour Court rejected the application on 07/09/2022. The employer then filed the present writ petition before the High Court challenging that order.

Acts & Sections

  • Industrial Disputes Act, 1947:
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Dismisses Insurance Company's Appeal in Motor Accident Claim. Insurer's Liability to Third Parties Not Affected by Violation of Permit Conditions Under Section 149(2) of Motor Vehicles Act, 1988.
Related Judgement
High Court Bombay High Court Allows Employer to Prove Charges Before Labour Court Despite No Prior Enquiry — Right to Lead Evidence Not Lost by Delay in Filing Application. Employer's Application to Lead Evidence to Justify Removal of Employee Without Domesti...