Case Note & Summary
The petitioner, S M Adiga, was an officer in senior management grade scale-V at Syndicate Bank. He was dismissed from service by an order dated 03.10.2001. The petitioner challenged the dismissal and sought payment of balance 50% ex-gratia amount and arrears of pension. The court found that the disciplinary authority had not obtained prior approval from the Central Government as required under Regulation 4(1) of the Syndicate Bank Officer Employees' (Discipline and Appeal) Regulations, 1976, rendering the dismissal void ab initio. Consequently, the petitioner was deemed to have voluntarily retired on the date of dismissal. The court allowed the writ petitions, quashed the dismissal order, and directed the bank to pay the balance ex-gratia amount and arrears of pension with interest at 6% per annum.
Headnote
A) Service Law - Disciplinary Proceedings - Dismissal Without Prior Approval - Regulation 4(1) of Syndicate Bank Officer Employees' (Discipline and Appeal) Regulations, 1976 - The disciplinary authority imposed the penalty of dismissal from service without obtaining prior approval from the Central Government as mandated by Regulation 4(1). The court held that such dismissal is void ab initio and the petitioner is deemed to have retired voluntarily on the date of dismissal, entitling him to all consequential benefits including ex-gratia and pension. (Paras 2-10) B) Service Law - Ex-Gratia Payment - Entitlement - The petitioner was denied 50% of ex-gratia amount on the ground of dismissal. Since the dismissal was held invalid, the court directed the bank to pay the balance 50% of ex-gratia with interest at 6% per annum from the date it became due. (Paras 11-15) C) Service Law - Pensionary Benefits - Arrears of Pension - The court directed the bank to compute and pay arrears of pension from the date of dismissal (deemed voluntary retirement) with interest at 6% per annum, as the dismissal was set aside. (Paras 16-20)
Issue of Consideration
Whether the disciplinary authority could impose the penalty of dismissal from service without obtaining prior approval from the Central Government as required under Regulation 4(1) of the Syndicate Bank Officer Employees' (Discipline and Appeal) Regulations, 1976, and whether the petitioner is entitled to ex-gratia payment and pensionary benefits.
Final Decision
The court allowed both writ petitions, quashed the dismissal order dated 03.10.2001, and directed the bank to treat the petitioner as having voluntarily retired on that date. The bank was directed to pay the balance 50% ex-gratia amount of Rs.7,57,355/- with interest at 6% per annum from 01.10.2001 until payment, and to compute and pay arrears of pension with interest at 6% per annum from the due dates.
Law Points
- Disciplinary proceedings
- Dismissal without prior approval
- Regulation 4(1) of Syndicate Bank Officer Employees' (Discipline and Appeal) Regulations
- 1976
- Ex-gratia payment
- Pensionary benefits
- Article 226 of Constitution of India
