High Court Allows Writ Appeal, Sets Aside Illegal Continuation of Disciplinary Proceedings Against Retired Employee

07 May 2024 8:19 AM

By: Admin

In a significant judgment, the High Court of Judicature at Madras has allowed a writ appeal filed by T. Retnapandian, a retired employee, and set aside the illegal continuation of disciplinary proceedings against him. The judgment, delivered by the Hon'ble Mrs. Justice J. Nisha Banu and the Hon'ble Mr. Justice D. Bharathachakravarthy, emphasizes the importance of adhering to procedural fairness and the rule of law.

Bench stated, "The continuation of the disciplinary proceedings against the appellant after retirement, especially when no charge is made out as per the Conduct Rules, is illegal." The court further clarified that the period of six months mentioned in the rule regarding the continuation of disciplinary proceedings is directory and not mandatory.

The case revolved around a charge memo issued to Mr. Retnapandian in 2004, alleging misconduct related to his wife's private construction business. The appellant denied the charges, arguing that the rule on which the charges were based did not apply to the period in question. The court agreed, ruling that the rule had come into force in 1994, while the instances mentioned in the charge memo occurred before that date.

Additionally, the court highlighted that the rule only prohibited employees from taking stockistships and forwarding agencies in benami names or engaging in money lending or private business. It did not extend to private business conducted by an employee's family member.

The judgment emphasized that the appellant had already retired in 2011, and the continuation of the disciplinary proceedings without paying him the subsistence allowance was unjustified. The court directed the respondents, Tamil Nadu Cements Corporation Limited, to permit Mr. Retnapandian to retire from service and pay all retiral benefits within two months. In case of any delays, the court ordered the payment of arrears with interest at the rate of 6% per annum from the date of superannuation.

This verdict sets a precedent, reaffirming the importance of fair treatment and adherence to the principles of natural justice in disciplinary proceedings. It highlights the need for careful consideration of the applicability of rules and the rights of retired employees. The judgment also serves as a reminder to employers to ensure the timely settlement of retiral benefits to retired employees.

The decision of the High Court in this writ appeal brings justice to Mr. Retnapandian, ensuring that he can retire with dignity and receive the benefits he rightfully deserves.

Date of Decision: June 21, 2023

T.Retnapandian vs Tamil Nadu Cements Corporation Limited