Case Note & Summary
The Petitioner, a Co-operative Credit Society registered under the Maharashtra Co-operative Societies Act, 1960, employed the Respondent as a Secretary from 1 November 1998. On 22 May 2012, a charge-sheet was issued alleging misappropriation, and the Respondent was suspended on 9 May 2012. A domestic enquiry was held, and the Enquiry Officer submitted a report on 16 August 2012 holding the Respondent guilty. Based on this, a show-cause notice was issued, and on 24 August 2012, the Respondent was dismissed from service. Aggrieved, the Respondent filed Complaint (ULP) No.93 of 2012 before the 3rd Labour Court, Pune under Section 28(1) of the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 (MRTU & PULP Act), challenging the legality of the enquiry and seeking reinstatement with back-wages. The Petitioner filed a reply at Exhibit-13 denying the allegations. The Labour Court, by order dated 2 January 2017, decided to defer the decision on the preliminary issue of legality and fairness of the domestic enquiry to the final stage. The Respondent challenged this order by filing Revision Application (ULP) No.18 of 2017 before the Industrial Court, Maharashtra at Pune under Section 44 of the MRTU & PULP Act. The Industrial Court, by judgment and order dated 28 August 2018, allowed the revision and set aside the Labour Court's order, directing the Labour Court to decide the preliminary issue first. The Petitioner then filed the present Writ Petition challenging the Industrial Court's order. The High Court held that the Industrial Court was justified in setting aside the Labour Court's order, as it is a well-settled principle that the preliminary issue regarding the legality and fairness of the domestic enquiry must be decided first to avoid unnecessary evidence on merits. The High Court dismissed the Writ Petition, upholding the Industrial Court's order.
Headnote
A) Industrial Law - Preliminary Issue - Enquiry Fairness - Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971, Section 28(1) and Section 44 - The Labour Court must decide the preliminary issue of legality and fairness of the domestic enquiry before proceeding with the merits of the complaint. The Industrial Court, in revisional jurisdiction under Section 44, correctly set aside the Labour Court's order deferring such decision to the final stage, as it is a well-settled principle that the preliminary issue should be decided first to avoid unnecessary evidence on merits. (Paras 1-5)
Issue of Consideration
Whether the Industrial Court was justified in setting aside the Labour Court's order which deferred the decision on the preliminary issue of legality and fairness of the domestic enquiry to the final stage.
Final Decision
The High Court dismissed the Writ Petition, upholding the Industrial Court's order dated 28 August 2018, and directed the Labour Court to decide the preliminary issue of legality and fairness of the domestic enquiry first.
Law Points
- Preliminary issue of legality of domestic enquiry must be decided first
- Labour Court cannot defer decision on preliminary issue
- Industrial Court has revisional jurisdiction under Section 44 of MRTU & PULP Act
- 1971




