A.M. KULSHRESTHAversusUNION BANK OF INDIA AND ORS.
- Citation
- 2025 INSC 744
- Decided
- 19 May 2025
- Bench
- ABHAY S OKA
Holding
The Supreme Court held that the bank must obtain the CVC’s first‑stage advice before issuing a charge‑sheet in vigilance‑related disciplinary cases, and its failure to do so rendered the charge‑sheet and proceedings void.
Summary
The appellant, a senior officer of Union Bank of India, was suspended in August 2018 and later served a charge‑sheet in June 2019 for alleged laxity in sanctioning credit proposals. The bank claimed the delay in issuing the charge‑sheet was due to seeking the first‑stage advice of the Central Vigilance Commission (CVC) as required under Regulation 19 of the Union of India Officer Employees’ (Discipline & Appeal) Regulations, 1976. The charge‑sheet was served before the CVC’s advice was received, prompting the appellant to challenge its validity before the High Court, which dismissed his petition. On appeal, the Supreme Court held that the bank had expressly acknowledged the vigilance angle and the necessity of CVC consultation, making the issuance of the charge‑sheet without the first‑stage advice a mala fide and arbitrary act. Consequently, the disciplinary proceedings and the charge‑sheet were quashed, and the appellant was directed to receive his retirement benefits, though not back wages. The appeal was allowed.
Issues considered
- Whether Regulation 19 of the 1976 Regulations imposes a mandatory requirement to obtain the CVC’s first‑stage advice before issuing a charge‑sheet in disciplinary cases having a vigilance angle.
- Whether the bank’s issuance of the charge‑sheet without the CVC’s advice was mala fide and arbitrary, warranting quashing of the disciplinary proceedings.
- Whether the appellant is entitled to retirement benefits despite the quashing of the disciplinary proceedings.
Legislation cited
- Central Vigilance Commission Act, 2003s. Section 8(1)(h)
- CVC’s Vigilance Manual, 2017s. Clause 7.9.1
- Union Bank of India Employees’ Pension Regulation, 1995
- Union of India Officer Employees’ (Discipline & Appeal) Regulations, 1976s. Regulation 19
Headnote
Issue for Consideration Whether the disciplinary proceedings including the charge sheet against the appellant ought to be quashed and set aside; whether the action of the respondent-Bank was mala fide and arbitrary in serving the charge sheet without receiving the first stage advice by the Central Officer Employees’ (Discipline & Appeal) Regulations, 1976 – Regulation 19 – Consultation with Central Vigilance Commission (CVC) – Respondent-Bank served charge sheet upon the appellant without waiting for the CVC’s advice – Appellant sought quashing of
Subjects
Judgment
[2025] 7 S.C.R. 42 : 2025 INSC 744
A.M. Kulshrestha
v.
Union Bank of India and Ors.
(Civil Appeal No. 7039 of 2025)
20 May 2025
[Abhay S. Oka* and Augustine George Masih, JJ.]
Issue for Consideration
Whether the disciplinary proceedings including the charge sheet
against the appellant ought to be quashed and set aside; whether
the action of the respondent-Bank was mala fide and arbitrary in
serving the charge sheet without receiving the first stage advice
by the Central Vigilance Commission.
Headnotes†
Union of India Officer Employees’ (Discipline & Appeal)
Regulations, 1976 – Regulation 19 – Consultation with Central
Vigilance Commission (CVC) – Respondent-Bank served
charge sheet upon the appellant without waiting for the CVC’s
advice – Appellant sought quashing of charge-sheet, writ
petition dismissed by High Court – Interference with:
Held: Regulation 19 stipulates that the Bank shall consult the
CVC, wherever necessary, in respect of disciplinary cases having
a vigilance angle – The CVC is consulted at two stages for its
advice – The first stage advice is sought before the issuance of the
charge sheet, and the second stage advice is either on receipt of
the reply to the charge sheet or on receipt of the enquiry report –
Respondent itself acknowledged that the case had a vigilance angle
and consultation with the CVC was necessary, and therefore, it
sought the opinion of the CVC – Therefore, it was not open for the
Bank to serve the charge sheet without receiving and considering
the first stage advice by the CVC – This was despite the statement
made by the Executive Director in the earlier petition, filed by the
appellant challenging the suspension order, stating that the charge
sheet would only be served upon receipt of advice from the CVC –
Actions of the respondent are mala fide and arbitrary – High Court
* Author
[2025] 7 S.C.R. 43
A.M. Kulshrestha v. Union Bank of India and Ors.
erred in holding that Regulation 19 was not mandatory – This issue
was irrelevant as the Bank itself acknowledged that in the facts
of the case, it was necessary to seek first-stage advice from the
CVC – Disciplinary proceedings including the charge sheet are
quashed and set aside – Union Bank of India Employees’ Pension
Regulation, 1995. [Paras 16, 17, 19-21, 22, 25]
List of Acts
Union of India Officer Employees’ (Discipline & Appeal) Regulations,
1976; Union Bank of India Employees’ Pension Regulation, 1995;
Central Vigilance Commission Act, 2003; CVC’s Vigilance Manual,
2017.
List of Keywords
Regulation 19 of Union of India Officer Employees’ (Discipline &
Appeal) Regulations, 1976; Central Vigilance Commission (CVC);
Consultation with Central Vigilance Commission; Disciplinary
proceedings; Charge-sheet served without receiving the first
stage advice by the Central Vigilance Commission; Suspension
order; Disciplinary cases having a vigilance angle; CVC’s advice;
CVC’s first-stage advice; Delay in issuing the charge sheet;
Superannuation; Disciplinary action; Sanctioning credit proposals;
Vigilance proceedings; Consultation with the CVC mandatory or
discretionary; Disciplinary proceedings and charge sheet quashed;
Retiral benefits.
Case Arising From
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 7039 of 2025
From the Judgment and Order dated 20.09.2019 of the High Court
of Judicature at Allahabad in SPLA No. 963 of 2019
Appearances for Parties
Advs. for the Appellant:
Gopal Sankaranarayanan, Sr. Adv., Purushottam Sharma Tripathi,
Akshat Kulshrestha, Tushar Srivastava, Ms. Shrya Nair, Ravi
Chandra Prakash, Prakhar Singh.
Advs. for the Respondents:
O.P. Gaggar, Sachindra Karn.
44 [2025] 7 S.C.R.
Supreme Court Reports
Judgment / Order of the Supreme Court
Judgment
Abhay S. Oka, J.
Leave granted.
1. This appeal is directed against the judgment and order dated 20th
September, 2019 passed by the Division Bench of the High Court
of Allahabad affirming the order of the Learned Single Judge dated
26th July, 2019, whereby the Writ Petition preferred by the appellant
seeking quashing of the charge sheet served on him pursuant to
disciplinary proceedings was dismissed.
FACTUAL ASPECTS
2. The appellant was an employee of the Union Bank of India (hereinafter
referred to as “The Respondent Bank”), where he served for
approximately 34 years from 1984 to 2018. He was promoted to
the post of Deputy General Manager in 2016 and was due to retire
on 30th June, 2019.
3. The Respondent Bank vide order dated 21st August, 2018, suspended
the appellant pending further disciplinary action, alleging that the
appellant, in his prior role as the Regional Head, Meerut, had
adopted a very casual approach while sanctioning credit proposals
in 16 accounts submitted by Mid-corporate Ghaziabad Branch. It was
alleged that he sanctioned huge limits to newly incorporated firms
without ensuring proper due diligence by the branch or processing
officers. On 18th January, 2019, after approximately 6 months of the
suspension order, a show cause notice was issued to the appellant,
asking him to show cause as to why disciplinary action should not
be initiated against him. On 27th March, 2019, another show cause
notice was issued to the appellant incorporating the same omissions
and commissions as alleged in the previous show cause notice, but in
relation to other parties. The appellant made multiple representations
to the Respondent Bank, requesting it to revoke his suspension.
However, the same was of no avail.
4. The appellant preferred Civil Misc. Writ Petition No. 6976 of 2019
before the Hon’ble High Court of Allahabad against Order dated
[2025] 7 S.C.R. 45
A.M. Kulshrestha v. Union Bank of India and Ors.
21st August, 2018. The General Manager of the Respondent Bank
(hereinafter referred to as, “General Manager”) submitted personal
affidavit dated 23rd May, 2019 before the Hon’ble High Court justifying
the delay in issuing the charge sheet as attributable to the matter
being referred to the Central Vigilance Commission (hereinafter
referred to as, “the CVC”) in terms of Regulation 19 of the Union of
India Officer Employees’ (Discipline & Appeal) Regulations, 1976
(hereinafter referred to as, “1976 Regulations”). The relevant extract
of the General Manager’s affidavit is as follows:
“32. That, the IAC has viewed/regarded the case of 16
officials, including that of appellant, as a Vigilance case.
33. That since the appellant being an Executive in TEGS-VI
and as also the matter Involving other executive/officials,
making it a composite case, in terms of Regulation 19 of
Union Bank of India Officers Employee’s (Discipline and
Appeal) Regulations, 1976 and guidelines of the Central
Vigilance Commission as circulated vide Circular NO.
07/04/15 dated 27.04.2015 (ANNEXURE CA - 4) the
matter has been sent to the central Vigilance Commission
for first stage advice.
34. That accordingly a request has been sent to Central
Vigilance Officer (CVO) of the Bank to forward the matter
on 23.04.2019 to Central Vigilance Commission (CVC)
seeking their first stage. The advice of CVC is still awaited.”
The Disciplinary Authority/Executive Director of the Respondent Bank
(hereinafter referred to as, “Executive Director”) submitted personal
affidavit dated 13th June, 2019 before the High Court, inter alia,
stating that the matter was referred to the CVC, and the charge sheet
would be issued to the appellant on receipt of the CVC’s advice. The
relevant extract of the Executive Director’s affidavit is as follows:
“27. That on receipt of the advice of CVC, the
respondent bank shall be soon issuing Articles of
Charge/Chargesheet to the appellant along with other
concerned officials who are found to be involved in the
matter”
(emphasis added)
46 [2025] 7 S.C.R.
Supreme Court Reports
On 18th June, 2019, the respondent-Bank served an ante-dated
charge sheet of 10th June, 2019, to the appellant, in relation to the
allegations levied in the show-cause notices. However, this charge
sheet was served without receiving the CVC’s advice.
5. Learned Single Judge of the High Court by Order dated 20th June,
2019 quashed Order dated 21st August, 2018 on the ground that
continuing the suspension of the appellant since 21st August 2018
without even initiating or serving charge sheet for almost a year
and that too at the fag end of the career of the appellant is wholly
arbitrary and illegal. At the same time, the High Court granted liberty
to the Respondent Bank to initiate any further proceedings that it
may deem fit. Accordingly, the Executive Director issued a letter
dated 28th June, 2019 to the appellant, stating that the disciplinary
proceedings against him will continue and that he would not receive
any pay, allowance or retiral benefits for the period till the completion
of the disciplinary proceedings.
6. The appellant preferred Civil Misc. Writ Petition No. 10800 of 2019
before the Hon’ble High Court of Allahabad seeking quashing of the
charge sheet dated 10th June, 2019 on the ground that the charge
sheet was served without seeking the advice of the CVC, which
violated the mandatory requirement under Regulation 19 of the 1976
Regulations. The appellant also sought a direction to the Respondent
Bank to consider his case for payment of pension under the Union
Bank of India Employees’ Pension Regulation, 1995 and to pay the
pension to the Appellant along with consequential relief.
7. The learned Single Judge by his judgement and order dated 26th
July, 2019 dismissed the Writ Petition holding that no ground was
made out to quash the charge sheet and directed the appellant to
cooperate in the enquiry. The appellant challenged the said Order by
filing Special Appeal No. 963 of 2019. The Division Bench by impugned
Judgement and Order dated 20th September, 2019 dismissed the
appeal, holding that it was not necessary to seek the CVC’s advice
before issuing the charge sheet.
RELEVANT PROVISIONS
8. The issues involved in this appeal require consideration of Regulation
19 of the 1976 Regulations, which reads as follows:
[2025] 7 S.C.R. 47
A.M. Kulshrestha v. Union Bank of India and Ors.
“Regulation 19. Consultation with Central Vigilance
Commission: The Bank shall consult the Central Vigilance
Commission wherever necessary, in respect of all
disciplinary cases having a vigilance angle”
The regulation requires the Respondent Bank to consult the CVC
in respect of all disciplinary cases with a vigilance angle, wherever
deemed necessary. The language of the rule stipulates a mandatory
consultation obligation by the usage of the word ‘shall’, and at the
same time grants the Respondent Bank a degree of discretion by
limiting the consultation to ‘wherever necessary’. A question may
arise whether the said provision is mandatory or directory.
SUBMISSIONS
Submissions on behalf of the Appellant
9. The learned senior counsel appearing for the appellant submitted
that Regulation 19 of the 1976 Regulations, by using the words ‘shall
consult’, imposes a mandatory requirement on the Respondent Bank
to seek the CVC’s advice in all complaints involving allegations of
corruption, before issuance of a charge sheet to an employee. In
support of this contention, learned senior counsel referred to CVC’s
Circular No. 99/VGL/66 dated 28th September, 2000, Circular No.
24/4/04 dated 15th April, 2004 and Circular No. 07/04/15 dated 27th
April, 2015. The relevant extracts of the circulars are reproduced
herein:
Circular No. 99/VGL/66 dated 28th September, 2000
“3. The Commission, at present, is being consulted at two
stages in disciplinary proceedings, i.e. first stage advice
is obtained on the investigation report before issue of the
charge sheet, and second stage advice is obtained either
on receipt of reply to the charge sheet or on receipt of
inquiry report.”
Circular No. 24/4/04 dated 15th April, 2004
“3. It is clarified that investigation/inquiry reports on the
complaints/cases arising out of audit and inspection, etc,
involving a vigilance angle will have to be referred to the
Commission for advice even if the competent authority in
48 [2025] 7 S.C.R.
Supreme Court Reports
the bank decides to close the case, if any of the officer
involved is of the level for whom the Commission’s advice
is required.”
Circular No. 07/04/15 dated 27th April, 2015
“As per the existing scheme for consultation with the
Commission, the CVOs of the Ministries / Departments
and all other organisations are required to seek the
Commission’s first stage advice after obtaining the
tentative views of Disciplinary Authorities (DAs) on the
reports of the preliminary inquiry / investigation of all
complaints involving allegation(s) of corruption or improper
motive; or if the alleged facts prima-facie indicate an
element of vigilance angle which are registered in the
Vigilance Complaint Register involving Category-A officers
(i.e., All India Service Officers serving in connection with
the affairs of the Union, Group-A officers of the Central
Govt. and the levels and categories of officers of CPSUs,
Public Sector Banks, Insurance companies, Financial
Institutions, Societies and other local authorities as
notified by the Government u/s 8(2) of CVC Act, 2003)
before the competent authority takes a final decision in
the matter. Such references also include cases wherein
the allegations on inquiry do not prima facie indicate any
vigilance overtone / angle / corruption.
On a review of the scheme of consultation with the
Commission and to expedite the processes of vigilance
administration in the Ministries/Departments/Organisations,
it has been decided that, henceforth after inquiry /
investigation by the CVO in complaints / matters relating
to Category-A officers as well as composite cases wherein,
Category-B officers are also involved, if the allegations,
on inquiry do not indicate prima facie vigilance angle /
corruption and relate to purely non-vigilance / administrative
lapses, the case would be decided by the CVO and
the DA concerned of the public servant at the level of
Ministry / Department / Organisation concerned. The CVO’s
reports recommending administrative / disciplinary action
in non-vigilance /administrative lapses would, therefore,
be submitted to the DA and if the DA agrees to the
[2025] 7 S.C.R. 49
A.M. Kulshrestha v. Union Bank of India and Ors.
recommendations of the CVO, the case would be finalised
at the level of the Ministry/ Department/ Organisation
concerned. In all such matters, no reference would be
required to be made to the Commission seeking its first
stage advice. However, in case there is a difference of
opinion between the CVO and the DA as to the presence
of vigilance angle, the matter as also enquiry reports on
complaints having vigilance angle though unsubstantiated
would continue to be referred to the Commission for first
stage advice. The provisions of the Vigilance Manual and
the Special Chapter on Vigilance Management in Public
Sector Enterprises, Public Sector Banks and Insurance
Companies would stand amended to this extant.”
(underline supplied)
Relying on the circulars mentioned above, the learned senior counsel
submitted that consultation with the CVC is a necessary pre-requisite
for initiating disciplinary proceedings against an employee.
10. The learned senior counsel also drew attention to Section 8(1)(h) of
the Central Vigilance Commission Act, 2003, wherein the CVC has
been bestowed the function and power to exercise superintendence
over the vigilance administration of the various Ministries of the
Central Government or Corporations established by or under any
Central Act, Government companies, societies and local authorities
owned or controlled by that Government. Attention was also drawn
to Clause 7.9.1 of the CVC’s Vigilance Manual, 2017, whereby
Central Vigilance Officers of the Ministries/Departments and all other
organisations are required to seek the Commission’s first stage
advice after obtaining the tentative views of Disciplinary Authorities
on the reports of the preliminary inquiry/investigation of all complaints
involving allegation(s) of corruption or improper motive; or if the
alleged facts prima-facie indicate an element of vigilance angle.
11. Lastly, the learned senior counsel referred to affidavits dated 23rd
May, 2019 and 13th June, 2019, filed by the General Manager and
the Executive Director, respectively, before the Hon’ble High Court
in Civil Misc. Writ Petition No. 6976 of 2019. Learned senior counsel
stated that Respondents vide these two affidavits have admitted
that the proceedings initiated against the appellant have a vigilance
50 [2025] 7 S.C.R.
Supreme Court Reports
angle and therefore the case has been referred to the CVC for their
advice in terms of Regulation 19 of the 1976 Regulations. Thus, the
Respondents are now estopped from seeking to initiate unilateral
disciplinary proceedings against the appellant without obtaining the
CVC’s first-stage advice.
Submissions on behalf of the Respondents
12. The learned counsel appearing for the Respondents submitted that as
per Clause 7.9.1 of the CVC’s Manual, the Commission’s first stage
advice is required to be sought ‘before the competent authority takes
a final decision in the matter’. Learned counsel contends that the
presentation of a charge sheet would not amount to taking the final
decision in the matter, but would rather only amount to initiation of
the disciplinary proceedings, and therefore, the charge sheet cannot
be vitiated for not taking the CVC’s advice.
13. The learned counsel further submitted that the Respondent Bank
had sought the CVC’s first-stage advice via their letter dated 17th
May 2019; however, they received the CVC’s response on 21st
June 2019. The advice was taken as a matter of abundant caution.
The learned counsel contended that the Rules or Regulations must
not be interpreted in a manner that stalls or delays the disciplinary
process until receipt of the advice from the CVC. The disciplinary
proceedings against the delinquents cannot be frustrated solely
on account of the CVC’s inaction. Learned counsel also submitted
that the pendency of vigilance proceedings does not bar the
internal disciplinary proceedings by the Respondent Bank against
an employee, and accordingly, the Respondent Bank could issue
the charge sheet.
14. Lastly, the learned counsel submitted that it was incorrect to suggest
that the Respondents have taken two contradictory and inconsistent
stands in the two rounds of litigation before the Hon’ble High Court.
Learned counsel denied that the charge sheet was prepared hastily
and that the same was ante-dated and served only by email on
account of any mala fide reasons, extraneous consideration, or
personal bias. Moreover, learned counsel submitted that no prejudice
was caused to the appellant on account of the serving of the charge
sheet and the continuation of disciplinary proceedings against him.
[2025] 7 S.C.R. 51
A.M. Kulshrestha v. Union Bank of India and Ors.
CONSIDERATION OF SUBMISSIONS
15. In the present case, factual aspects are very relevant. Material factual
aspects set out in a chronology are as under:-
a. The appellant was employed with the respondent Union Bank
of India from the year 1984;
b. In the year 2016, he was promoted to the post of Deputy
General Manager;
c. On 30th June 2019, the appellant was to be superannuated;
d. The appellant had a blemishless record till 21st August 2018,
when the Bank suspended him. The allegation against the
appellant was that, as the Regional Head at Meerut, he adopted
a very casual approach while sanctioning credit proposals in
16 accounts sent by the Mid-corporate Ghaziabad branch. It
is alleged that the appellant sanctioned huge limits to newly
incorporated firms without ensuring proper diligence by the
branch/processing officers;
e. On 18th January 2019 and 27th March 2019, two show cause
notices were served upon the appellant, calling upon him to show
cause why a disciplinary action should not be initiated against him;
f. As the representations made by the appellant for revoking
suspension were not considered, the appellant filed a writ
petition before the Hon’ble High Court of Allahabad to challenge
the order of suspension. In the said writ petition, the General
Manager filed his affidavit justifying the delay in issuing the
charge sheet, stating that the matter was referred to the CVC
for first-stage advice, but the advice was not received. He relied
upon Regulation 19 of the 1976 Regulations. In the same writ
petition, another affidavit dated 13th June 2019 was filed by the
Executive Director stating that on receipt of advice from the CVC,
Articles of charge/charge sheet will be issued to the appellant;
g. By the order dated 20th June 2019, the High Court quashed
the order of suspension dated 21st August 2018 on the ground
that continuing the suspension of the appellant from 21st August
2018 without even initiating or serving a charge sheet for almost
a year was arbitrary and illegal. However, liberty was reserved
to the Bank to initiate further proceedings; and
52 [2025] 7 S.C.R.
Supreme Court Reports
h. On 18th June 2019, without waiting for the CVC advice, a charge
sheet dated 10th June 2019 was served upon the appellant.
Thereafter, by a letter dated 28th June 2019, the Executive
Director informed the appellant that the disciplinary proceedings
against him would continue, and he would not receive any
pay, allowances, or retiral benefits until the completion of the
proceedings.
16. Regulation 19 of the 1976 Regulations stipulates that the Bank shall
consult the CVC, wherever necessary, in respect of disciplinary
cases having a vigilance angle. A reading of the regulation makes
it clear that in cases where the Respondent Bank deems that the
consultation is necessary due to the case having a vigilance angle,
the Respondent Bank is required to seek the advice of the CVC.
Therefore, while the learned counsel has argued the question of
whether consultation with the CVC is mandatory or discretionary,
in the facts of this case, it is not necessary for us to delve into the
said question. The reason is that the Respondent Bank has itself
acknowledged that the case had a vigilance angle and consultation
with the CVC is necessary, and therefore, the Respondent Bank had
sought the opinion of the CVC.
17. We have already quoted the relevant parts of the Circulars dated
28th September 2000, 15th April 2004 and 27th April 2015 issued
by the CVC. As can be seen from the Circulars, the CVC is being
consulted at two stages for its advice. The first stage advice is
sought before the issuance of the charge sheet, and the second
stage advice is either on receipt of the reply to the charge sheet or
on receipt of the enquiry report. As can be seen from the affidavit
dated 23rd May 2019, filed by the General Manager of the Bank, the
first stage advice of the CVC has been sought. The affidavit dated
13th June 2019 filed by the Executive Director also clearly states
that on the receipt of the advice of the CVC, the Bank shall issue a
charge sheet to the appellant. As stated earlier, within five days of
filing the said affidavit, the charge sheet dated 10th June 2019 was
served upon the appellant. This was done without receiving the first
stage advice from the CVC.
18. In its counter-affidavit, the Respondent Bank has admitted that the
CVC’s first-stage advice was sought on 17th May 2019. Notably, the
advice was sought from the CVC nine months after the suspension
[2025] 7 S.C.R. 53
A.M. Kulshrestha v. Union Bank of India and Ors.
order. In fact, on 18th January 2019 and 27th March 2019, show-cause
notices were issued to the appellant, calling upon him to show cause
why disciplinary action should not be initiated against him.
19. Thus, the respondent-Bank accepted that Regulation 19 of the 1976
Regulations was applicable and therefore, first-stage advice of the
CVC was sought. Even before getting the first stage advice, on 10th
June 2019, the charge sheet was kept ready which was served upon
the appellant on 18th June 2019. In this case, the Respondent Bank
itself accepted the necessity of seeking first-stage advice from the
CVC. Therefore, it was not open for the Bank to serve the charge
sheet without receiving and considering the first stage advice by
the CVC.
20. As stated earlier, only ten months before the date of superannuation,
an order of suspension was served upon the appellant. This was done
after 34 years of unblemished service. Although it was necessary to
take the first stage advice of the CVC, the advice was sought only
as late as on 17th May 2019. Twelve days before reaching the age
of superannuation, a charge sheet was served upon the appellant,
without receiving and considering the CVC’s advice. This was despite
the specific statement made by the Executive Director in the earlier
petition on oath, which stated that the charge sheet would only be
served upon receipt of advice from the CVC.
21. Once, the first stage advice of the CVC was called, it was the duty of
the respondent-Bank to consider the advice and then take a decision
to serve the chargesheet. Thus, the actions of the respondent-Bank
are mala fide and arbitrary. The appellant was sought to be victimised
at the fag end of his unblemished career of 34 years.
22. The High Court committed a gross error by holding that Regulation
19 of the 1976 Regulations was not mandatory. This issue was
irrelevant, as the Bank had itself acknowledged that in the facts of
the case, it was necessary to seek first-stage advice from the CVC.
It is also pertinent to note that no record was placed in the High
Court to indicate that the CVC report had been received.
23. Now, at this stage, it will be unjust to allow the respondent-Bank
to resume disciplinary proceedings. Almost six years have passed
since the superannuation of the Appellant.
54 [2025] 7 S.C.R.
Supreme Court Reports
24. Though the appellant will be entitled to all retiral benefits, he shall
not be entitled to any back wages.
CONCLUSION
25. Accordingly, the disciplinary proceedings, including the charge sheet
dated 10th June 2019, are hereby quashed and set aside. Although
the appellant shall not be entitled to back wages and allowances, the
Respondent Bank shall release all retirement benefits admissible on
the basis that the appellant has superannuated as of 30th June 2019.
The amount of retirement benefits due to the appellant in accordance
with the law, shall be paid to the appellant within three months from
today. The appeal is allowed on the above terms.
Result of the case: Appeal allowed.
†
Headnotes prepared by: Divya Pandey
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