Irregularity by bank employees should not be dealt leniently: SC

A bench made the observation while upholding an order of dismissal against a bank clerk

The Supreme Court on Friday said merely because a bank employee has superannuated will not absolve him of the charges of misconduct and misappropriation of funds, committed during the discharge of duties.

"The bank employee always holds the position of trust where honesty and integrity are the sine qua non but it would never be advisable to deal with such matters leniently," a bench of Justices Ajay Rastogi and Abhay S Oka said.

The court allowed an appeal filed by the United Bank of India and set aside the orders passed by the High Court and a tribunal under the Industrial Disputes Act, which declared that dismissal of Bachan Prasad Lall for misappropriation of funds was disproportionate and directed for reinstatement.

On an appeal by the bank, the High Court's single judge as well as division bench declined to interfere with the order by the tribunal on the ground that the employee had superannuated.

After going through the facts on the case, the top court said looking into seriousness of the nature of allegations levelled against the employee, the punishment of dismissal inflicted upon him in no manner could be said to be shockingly disproportionate.

"Merely because the employee stood superannuated in the meanwhile, will not absolve him from the misconduct...," the bench said.

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