No departmental proceedings can be initiated against former employee unless provided for by relevant rules

Calcutta High Court: A Single Judge Bench comprising of Sambuddha Chakrabarti, J. allowed a writ petition which sought directions to the respondents to release post retiral benefits of the petitioner.

The petitioner was employed at the post of Director (Finance) in National Jute Manufacturers’ Corpn. Ltd. He sought for issuance of a writ in nature of mandamus commanding the respondents to release post retiral benefits including gratuity, leave encashment, maximum allowance and perks as provided for in the conditions of employment. The question for consideration before the High Court was whether NJMC could withhold post retiral benefits of the petitioner on the ground that after his retirement, certain alleged irregularities have been detected.

The High Court was of the opinion that a departmental enquiry is initiated by issuing a formal chargesheet against a delinquent employee. NJMC may have had a preliminary enquiry which was in nature of an informal enquiry but that was no legal basis to proceed against an employee. Moreover, now the petitioner had retired and it was observed as a settled principle of law that no departmental proceeding can be initiated against a former employee unless the relevant service rules provide for the same. The present was a case where neither NJMC Service Regulations, 1982 nor NJMC (Conduct, Discipline, and Appeal) Rules, 1982 contain any provision for initiation of any departmental proceeding against an employee after his retirement. Thus, no departmental proceeding could be initiated against the petitioner now that he had retired. In such case, the High Court held that respondents had no right to sit over retiral dues not released to the petitioner. They were accordingly directed to release the dues within six weeks with interest. The petition was allowed with costs of Rs 10,000 imposed on NJMC. [Sukanta Kumar Mondal v. National Jute Manufacturers’ Corp. Ltd.,2018 SCC OnLine Cal 6987, dated 27-09-2018]

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