- (1.) The Life Insurance Corporation of India (in short the 'LIC') calls in question legality of the judgement rendered by a Division Bench of the Madras High Court, in a writ appeal filed under Cl. 15 of the Letters Parent holding that even if the penalty of removal from service is held to be in order, the respondent-employee nevertheless would be entitled to pension to which he would be entitled "but for his removal".
(2.) Background facts in a nutshell are as under: Respondent was employed as an Assistant in the LIC in the year, 1962. He worked in the Coimbatore Branch of the LIC from 1967 onwards. Prior to that he had worked at Erode for a period of 2 years i.e. from 1965 to 1967. On 14.12.1983 he was transferred to Attur and therefore relieved from the Coimbatore Branch. However, the respondent did not join duty at Attur and sought for privileged leave. Thereafter he claimed leave on medical grounds. He did not appear before the doctor designated by the LIC to substantiate his claim of leave on medical grounds. Thereafter he continued to remain absent till the time the charge sheet was issued to him on 16.08.1984. As the period of absence from duty was about 233 days, LIC asked the respondent to appear before the doctor designated by it pursuant to the powers under applicable Rg. 30(8) of LIC which inter alia provided that in the case of sickness or accident an employee shall not absent himself without submitting "a medical certificate satisfactory to the competent authority". He failed to do so. After the charge sheet setting out his misconduct of disobedience to lawful order, insubordination and unauthorized absence from duty was issued, he submitted a reply but did not take part in the enquiry by asserting that no enquiry was needed. The enquiry officer after completing the enquiry found the charges levelled against the employee had been proved. The disciplinary authority after taking note of that report held that in view of charge of insubordination and disobedience which were charges of serious nature and which had been proved, it was not in the interest of the appellant - LIC to continue him in service and directed his removal from service. Respondent raised an industrial dispute under the Industrial Disputes Act, 1947 (in short the 'Act') before the Industrial Tribunal, Madras. In the counter affidavit to the claim made by the respondent, the past conduct of the respondent-employee was highlighted and it was pointed out that he had been issued charge sheets earlier in a span of 6 years on seven occasions. It was also pointed out that he had been penalised pursuant to the charge sheets on more than one occasion. The Industrial Tribunal after examining the claim and the counter and the records of enquiry concluded that the enquiry had been properly held, the respondent was stubborn and adamant and there was not justifiable reason for not reporting for duty to Attur. Tribunal held that even in spite of all the lapses highlighted, punishment of removal from service was harsh. Instead of imposing of any specific punishment, directions were given that the workman was to be deprived of three fourth of the back wages from 17.12.1983 (the date when he was relieved on transfer) till 15.04.1987 (date of reference) and order for reinstatement in service with full back wages from 16.04.1987 and all other benefits including continuity of service.
(3.) A writ petition was filed by LIC before the High Court. A learned Single Judge dismissed it. Thereafter the Letters Patent Appeal was filed. Stand of LIC before the Division Bench was that in view of the provisions of Sec. 11-A of the Act it was not open for the Industrial Tribunal, however wide the provision may be construed, to substitute its view solely on the ground that it felt that the penalty was excessive without demonstrating as to how the penalty which had been imposed was grossly disproportionate. Reliance was placed on the decision of this Court in CMC Hospital Employees' Union V/s. CMC Vellore Association.;