Madras High Court: In a writ petition filed against the suspension orders passed by District Manager (Incharge), Tamil Nadu State Marketing Corporation Limited (‘TASMAC’), the Single Judge Bench of B. Pugalendhi, J. held that the petitioners had violated the employee conduct code by appearing before the media and criticising the organisation. However, it also found indications of systemic issues within TASMAC and expressed concern that the corruption complaints were not adequately investigated. Accordingly, the Court set aside the suspension orders but granted liberty to TASMAC management to initiate proper disciplinary proceedings against the petitioners for violation of the conduct code.
Background
The three petitioners, all Salesmen working in TASMAC shops, filed writ petitions challenging their suspension orders dated 22-08-2022. The suspension was issued after the petitioners gave interviews to Sathiyam TV and Thanthi TV on 06-08-2022, allegedly criticising TASMAC and revealing internal corruption. The employer claimed that such media appearances violated the TASMAC Employees’ Conduct Code — 2014, specifically Circular No.2 dated 21-01-2019.
The petitioners alleged that the then District Manager of TASMAC (Madurai South), and a TASMAC Supervisor, were engaged in systemic corruption, including the collection of illegal monthly payments from TASMAC shops. The petitioners claimed they had made a formal complaint to the Director of Vigilance and Anti-Corruption, along with a recorded conversation between them supporting their claims.
Despite this, they contended that the authorities failed to act promptly or substantively on their complaint. An enquiry was eventually ordered only in April 2022, and the petitioners were called for a hearing in May 2022. Dissatisfied with the delay and lack of action, they took their grievances to the media in August 2022, which led to their suspension.
Analysis and Decision
The Court said that the petitioners had indeed violated the employee conduct code by appearing in the media and speaking against the organisation. However, it also noted that the complaint against the District Manager appeared to have substance and was not addressed promptly or effectively. The supervisor had since been repatriated and retired from service, and the enquiry appeared to have been closed based on mere denial by him.
The Court found that there was some indication of systemic issues within TASMAC and expressed concern that the corruption complaints were not properly investigated. It emphasised that TASMAC, being a state-run entity, should maintain the highest standards of integrity.
Considering that the petitioners’ suspension had been under interim stay and they were actively working for the past two years, the Court set aside their suspension orders, while granting liberty to the TASMAC management to initiate proper disciplinary proceedings for the violation of the conduct code.
[K. Mayakannan v. Managing Director, TASMAC, WP(MD)No.20439 to 20441 of 2022, decided on 16-05-2025]
Advocates who appeared in this case:
For Petitioner : Mr.B.Brijesh Kishore
For Respondents : Mr.H.Arumugam
