{"id":155834,"date":"2017-09-11T19:28:13","date_gmt":"2017-09-11T13:58:13","guid":{"rendered":"http:\/\/www.scconline.com\/blog\/?p=155834"},"modified":"2017-09-15T14:31:33","modified_gmt":"2017-09-15T09:01:33","slug":"lack-of-profit-or-loss-due-to-misconduct-by-employee-is-not-a-valid-defence","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2017\/09\/11\/lack-of-profit-or-loss-due-to-misconduct-by-employee-is-not-a-valid-defence\/","title":{"rendered":"Lack of profit or loss due to misconduct by employee is not a valid defence"},"content":{"rendered":"

Supreme Court<\/strong>: Explaining the scope misconduct by employees, the bench of RK Agrawal and AM Sapre, JJ said that there is no defense available to a delinquent to say that there was no loss or profit resulting in a case when officer\/employee is found to have acted without authority.<\/p>\n

The Court was hearing the case where the appellant, an assistant with LIC, was suspended for his alleged misconduct as he had, in discharge of his duties, issued as many as seven receipts including special premium receipts to the policyholders without receiving any premium amount from them. The appellant, in substance, admitted the issuance of receipts by him and also admitted non-receipt of the amount against any of these receipts from any of the policyholders. He, however, contended that such mistake occurred on his part due to heavy pressure of workload on him and some family circumstances\/worries that were troubling him during those days.<\/p>\n

Rejecting the contention of the appellant, the Court said that an employee, in discharge of his duties, is required to exercise higher standard of honesty and integrity. In a case where he deals with the money of the depositors and customers, it is all the more necessary for him to be more cautious in his duties because he deals with the money transactions for and on behalf of his employer.<\/p>\n

It was further held that every such employee\/officer is, therefore, required to take all possible steps to protect the interest of his employer. He must, therefore, discharge his duties with utmost sense of integrity, honesty, devotion and diligence and must ensure that he does nothing, which is unbecoming of an employee\/officer. Any dereliction in discharge of duties whether by way of negligence or with deliberate intention or with casualness constitutes misconduct on the part of such employee\/officer. [Mihir Kumar Hazara v. Life Insurance Corporation, 2017 SCC OnLine SC 1068<\/a>, decided on 11.09.2017]<\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

Supreme Court: Explaining the scope misconduct by employees, the bench of RK Agrawal and AM Sapre, JJ said that there is no <\/p>\n","protected":false},"author":121,"featured_media":154914,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,9],"tags":[22524,5051,22514,5941],"class_list":["post-155834","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-supremecourt","tag-delinquent-employee","tag-misconduct","tag-professional-misconduct","tag-service-law"],"yoast_head":"\nLack of profit or loss due to misconduct by employee is not a valid defence | SCC Times<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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Is compulsory retirement in such case a disproportionate punishment? Read what SC says","author":"Prachi Bhardwaj","date":"February 10, 2021","format":false,"excerpt":"\u201cIf an officer\/employee of the bank is allowed to act beyond his authority, the discipline of the bank will disappear.\u201d","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-2-7.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-2-7.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-2-7.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-2-7.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-2-7.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":361608,"url":"https:\/\/www.scconline.com\/blog\/post\/2025\/09\/25\/supreme-court-advocate-suspensionfor-3-years-misconduct-license-renewal-barred\/","url_meta":{"origin":155834,"position":4},"title":"Supreme Court upholds Advocate\u2019s 3-year suspension for misconduct; Bars License renewal without its nod","author":"Apoorva","date":"September 25, 2025","format":false,"excerpt":"Rejecting the plea for leniency, the Court dismissed the appeal with exemplary costs of \u20b91 lakh. Significantly, it directed the Collector, Agra, to attach the Advocate's properties for recovery of the cost amount, which was ordered to be paid to the respondent.","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"advocate suspension","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/09\/advocate-suspension.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/09\/advocate-suspension.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/09\/advocate-suspension.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/09\/advocate-suspension.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":264121,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/03\/23\/irregular-disciplinary-enquiry-court-cannot-reinstate-employee-as-such-matter-must-be-remanded-to-enquiry-officer-disciplinary-authority\/","url_meta":{"origin":155834,"position":5},"title":"Irregular Disciplinary Enquiry: Court cannot reinstate employee as such; Matter must be remanded to Enquiry Officer\/Disciplinary Authority\u00a0","author":"Prachi Bhardwaj","date":"March 23, 2022","format":false,"excerpt":"Supreme Court: In a disciplinary proceeding where it was established that there was a breach of principles of natural justice as the relevant documents mentioned in the charge sheet were not supplied to the delinquent officer, the bench of MR Shah* and BV Nagarathna, JJ has reiterated the settled legal\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/03\/MicrosoftTeams-image-112.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/03\/MicrosoftTeams-image-112.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/03\/MicrosoftTeams-image-112.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/03\/MicrosoftTeams-image-112.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/03\/MicrosoftTeams-image-112.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/155834","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/121"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=155834"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/155834\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/154914"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=155834"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=155834"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=155834"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}