Supreme Court Upholds Removal of Employee Convicted of Theft While Under Suspension — Limitation Bar Applied for Delayed Challenge. The Court held that a removal order under Rule 19(i) of CCS (CCA) Rules is not a continuing wrong and delay of 13 years cannot be condoned without sufficient cause.

  • 8
Judgement Image
Font size:
Print

Case Note & Summary

The Supreme Court allowed the appeal filed by the All India Institute of Medical Sciences (AIIMS) against the judgment of the Delhi High Court, which had upheld the Central Administrative Tribunal's order setting aside the removal of Prahlad Raut from service. The appellant, Prahlad Raut, was appointed as a Bearer in AIIMS in 1972 and later promoted to Steward. He became treasurer of the AIIMS Cooperative Society. In 1991, two FIRs were registered against him: one for embezzlement of Rs.5 lakhs from the Cooperative Society (FIR No.91/1991) and another for snatching a bag containing cash and lottery tickets (FIR No.868/1991). He was convicted under Section 379 IPC in the second FIR on 15.9.1993 and released on probation. AIIMS, claiming it had no knowledge of the conviction for about 7 years, issued a memorandum on 6.1.2000 under Rule 19(i) of the CCS (CCA) Rules, 1965, removing Raut from service with retrospective effect from the date of his conviction. Raut filed an appeal which was allegedly rejected but no order was traceable. Over a decade later, in 2012, the first FIR was quashed by the Delhi High Court after Raut compensated the society. In 2013, Raut filed an Original Application before the Central Administrative Tribunal challenging the 2000 removal order, along with an application for condonation of delay. The Tribunal condoned the delay and set aside the removal order, granting all benefits. The Delhi High Court, on AIIMS's writ petition, set aside the Tribunal's order. The Supreme Court framed the issue of limitation and continuing wrong. It held that the removal order was a final order and not a continuing wrong; the quashing of a different FIR did not create a fresh cause of action; and the appellant failed to show sufficient cause for the delay of over 13 years. The Court also upheld the validity of the removal under Rule 19(i), noting that the procedure was followed and the conviction justified the penalty. Consequently, the Supreme Court dismissed the appeal and upheld the High Court's decision.

Headnote

A) Administrative Law - Limitation - Section 21 of Administrative Tribunals Act, 1985 - Condonation of Delay - The appellant challenged a removal order after 13 years, claiming continuing wrong and fresh cause of action due to quashing of another FIR - The Supreme Court held that the removal order was a one-time final order, not a continuing wrong, and the quashing of a different FIR did not give a fresh cause of action - The Tribunal's condonation of delay was improper as no sufficient cause was shown (Paras 18-30).

B) Service Law - Disciplinary Proceedings - Rule 19(i) of CCS (CCA) Rules, 1965 - Summary Dismissal on Conviction - The respondent removed the appellant from service under Rule 19(i) based on his conviction under Section 379 IPC for theft - The Court held that the procedure under Rule 19(i) was validly followed, including giving an opportunity of representation, and the removal was justified as the conduct rendered further retention undesirable (Paras 11-13).

C) Limitation Act - Continuing Wrong - Applicability to Service Orders - The appellant argued that withholding of pension and gratuity constituted a continuing wrong - The Supreme Court rejected this, holding that the removal order itself was the cause of action, and subsequent denial of benefits flowed from that order, not a fresh wrong - The limitation period started from the date of the removal order (Paras 19-22).

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the Central Administrative Tribunal could condone a delay of over 13 years in challenging a removal order under Rule 19(i) of CCS (CCA) Rules, 1965, and whether the removal order was per se illegal or a continuing wrong.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The Supreme Court dismissed the appeal, upholding the Delhi High Court's order that set aside the Tribunal's condonation of delay and reinstatement. The Court held that the removal order was not a continuing wrong, the quashing of a different FIR did not create a fresh cause of action, and the appellant failed to show sufficient cause for the delay. The appeal was dismissed with no order as to costs.

Law Points

  • Limitation under Section 21 of Administrative Tribunals Act
  • 1985
  • Rule 19 of CCS (CCA) Rules
  • 1965
  • Continuing wrong
  • Sufficient cause for condonation of delay
Subscribe to unlock Law Points Subscribe Now

Case Details

2019 LawText (SC) (8) 106

Civil Appeal No. 6640 of 2019 (@ SLP(C) No. 30046 of 2017)

2019-08-27

Indira Banerjee

Prahlad Raut

All India Institute of Medical Sciences

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

Nature of Litigation

Civil appeal against High Court order setting aside Tribunal's condonation of delay and reinstatement of employee removed under Rule 19(i) of CCS (CCA) Rules.

Remedy Sought

Appellant sought reinstatement with all benefits after removal order was set aside by Tribunal; respondent sought dismissal of the delayed application.

Filing Reason

Appellant challenged removal order dated 6.1.2000 after 13 years, claiming continuing wrong and fresh cause of action due to quashing of another FIR.

Previous Decisions

Central Administrative Tribunal allowed OA No.3381/2013 on 29.2.2016, setting aside removal order; Delhi High Court allowed WP(C) No.5977/2016 on 24.7.2017, setting aside Tribunal's order.

Issues

Whether the removal order under Rule 19(i) of CCS (CCA) Rules, 1965 was a continuing wrong or a final order for limitation purposes. Whether the quashing of a different FIR (FIR No.91/1991) gave a fresh cause of action to challenge the removal order. Whether the appellant showed sufficient cause for condonation of delay of over 13 years in filing the application before the Tribunal.

Submissions/Arguments

Appellant argued that the removal order with retrospective effect was void ab initio, the quashing of the first FIR gave a fresh cause of action, and the withholding of pension was a continuing wrong. Respondent argued that the removal order was a final order, the delay was inordinate and unexplained, and the conviction under Section 379 IPC justified the removal under Rule 19(i).

Ratio Decidendi

A removal order under Rule 19(i) of CCS (CCA) Rules, 1965 is a final order and not a continuing wrong. The limitation period under Section 21 of the Administrative Tribunals Act, 1985 starts from the date of such order. Subsequent events like quashing of a different FIR do not give a fresh cause of action to challenge the removal. Condonation of delay requires sufficient cause, which was not shown for a delay of over 13 years.

Judgment Excerpts

The removal order was a one-time final order, not a continuing wrong. The quashing of a different FIR did not give a fresh cause of action. The appellant failed to show sufficient cause for the delay of over 13 years.

Procedural History

On 6.1.2000, respondent removed appellant from service under Rule 19(i) of CCS (CCA) Rules. Appellant filed appeal in 2000, allegedly rejected but no order traceable. On 2.11.2012, Delhi High Court quashed FIR No.91/1991. On 24.7.2013, appellant filed OA No.3381/2013 before CAT, which was allowed on 29.2.2016. Respondent filed WP(C) No.5977/2016 before Delhi High Court, which was allowed on 24.7.2017. Appellant filed SLP(C) No.30046/2017, which was converted to Civil Appeal No.6640/2019 and dismissed by Supreme Court.

Acts & Sections

  • Administrative Tribunals Act, 1985: Section 21
  • Central Civil Services (Classification, Control and Appeal) Rules, 1965: Rule 10(2), Rule 19(i)
  • Indian Penal Code, 1860: Sections 356, 379, 406, 411, 420, 468, 471, 477A, 120B
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
Supreme Court Supreme Court Upholds Removal of Employee Convicted of Theft While Under Suspension — Limitation Bar Applied for Delayed Challenge. The Court held that a removal order under Rule 19(i) of CCS (CCA) Rules is not a continuing wrong and delay of 13 ye...
Related Judgement
High Court Landlord’s Bonafide Requirement Prevails Over Tenant’s Hardship in Eviction Proceedings. Expanding business needs supported by law favor landlord’s claim over tenant’s possession.