Supreme Court Dismisses Bank's Appeal, Upholds Compassionate Appointment for Dependent of Deceased Employee Despite Alleged Contemplation of Major Penalty. Mere Preparation of Charge Sheet Without Issuance Does Not Constitute Contemplation of Major Penalty Under Clause 10(iv) of the Scheme.

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Case Note & Summary

The case pertains to a writ petition filed by the respondent, Pankaj Srivastava, seeking compassionate appointment as a Clerk in Bank of India following the death of his father, an employee, on 28.07.2000. The bank rejected his claim relying on a Board Meeting letter dated 20.06.2002 which directed non-consideration of cases involving major penalty awarded or contemplated on account of fraud/forgery/misappropriation or vigilance angle/negligence. The bank contended that disciplinary proceedings were contemplated against the deceased employee at the time of his death, as a charge sheet was under preparation. The Single Bench of the High Court allowed the writ petition, directing the bank to consider the respondent's claim, and the Division Bench affirmed this decision. The Supreme Court, after examining Clause 10(iv) of the Scheme dated 17.03.1999 and the Board Meeting letter, held that mere preparation of a charge sheet without issuance does not constitute contemplation of major penalty. The Court noted that the deceased was not suspended, no charge sheet was issued, and there was no material to prima facie indicate that major penalty would have been awarded. The Court found that the bank's letter did not debar consideration in cases where disciplinary proceedings were merely pending or contemplated without specific allegations of fraud, forgery, misappropriation, or vigilance angle. Accordingly, the Supreme Court dismissed the bank's appeal, upholding the High Court's orders and directing implementation within four months.

Headnote

A) Service Law - Compassionate Appointment - Contemplation of Disciplinary Proceedings - Clause 10(iv) of Scheme dated 17.03.1999 - The deceased employee died on 28.07.2000; no charge sheet was issued, only alleged to be under preparation; the court held that mere preparation of charge sheet without issuance does not amount to contemplation of major penalty, and thus the dependent is entitled to consideration for compassionate appointment (Paras 6-9).

B) Service Law - Compassionate Appointment - Bank of India Board Meeting Letter dated 20.06.2002 - The letter debars consideration only where major penalty was awarded or contemplated on account of fraud/forgery/misappropriation/vigilance angle/negligence; it does not bar cases where disciplinary proceedings were pending or contemplated but not resulting in such specific allegations; the court held that the letter does not apply to the present case as no such contemplation existed (Paras 8-9).

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Issue of Consideration

Whether the respondent is entitled to compassionate appointment despite the alleged contemplation of major penalty proceedings against the deceased employee at the time of his death.

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Final Decision

Appeal dismissed. The Supreme Court upheld the orders of the Single Bench and Division Bench of the High Court, directing the bank to implement the High Court order within four months from the date of the order.

Law Points

  • Compassionate appointment
  • Contemplation of disciplinary proceedings
  • Major penalty
  • Clause 10(iv) of Scheme dated 17.03.1999
  • Bank of India Board Meeting letter dated 20.06.2002
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Case Details

2024 LawText (SC) (4) 308

Civil Appeal No. 6837 of 2023

2024-04-30

J. K. Maheshwari, Sanjay Karol

2024 INSC 538

Bank of India & Ors

Pankaj Srivastava

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Nature of Litigation

Civil appeal against judgment of Division Bench of High Court confirming Single Bench order directing bank to consider respondent's claim for compassionate appointment.

Remedy Sought

Respondent sought direction to consider his case for compassionate appointment as Clerk on account of death of his father during employment.

Filing Reason

Bank rejected respondent's claim for compassionate appointment citing contemplation of major penalty proceedings against deceased employee.

Previous Decisions

Single Bench allowed writ petition; Division Bench affirmed; bank appealed to Supreme Court.

Issues

Whether the respondent is entitled to compassionate appointment despite the alleged contemplation of major penalty proceedings against the deceased employee at the time of his death. Whether the Bank of India Board Meeting letter dated 20.06.2002 bars consideration of compassionate appointment in cases where disciplinary proceedings were merely contemplated.

Submissions/Arguments

Bank argued that as per Clause 10(iv) of the Scheme and Board Meeting letter dated 20.06.2002, cases involving major penalty awarded or contemplated on account of fraud/forgery/misappropriation/vigilance angle/negligence should not be considered for compassionate appointment. Respondent argued that no charge sheet was issued, deceased was not suspended, and mere preparation of charge sheet does not amount to contemplation of major penalty.

Ratio Decidendi

Mere preparation of a charge sheet without issuance does not constitute contemplation of major penalty for the purpose of Clause 10(iv) of the Scheme. The Bank's Board Meeting letter dated 20.06.2002 does not bar consideration of compassionate appointment in cases where disciplinary proceedings were merely pending or contemplated without specific allegations of fraud, forgery, misappropriation, or vigilance angle.

Judgment Excerpts

In our considered opinion, merely because the charge-sheet was said to be under preparation before the death of the father of the respondent – petitioner, it cannot be said that any major penalty was in contemplation. The letter is silent with respect to contemplation of the disciplinary proceedings against the deceased employee which would prima facie result in award of major penalty.

Procedural History

Respondent filed writ petition before Single Bench of High Court seeking compassionate appointment; Single Bench allowed petition. Bank filed intra-court appeal before Division Bench, which dismissed the appeal. Bank then appealed to Supreme Court by way of Civil Appeal No. 6837 of 2023.

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