Case: Krishna Mohan Mookherjee Vs. Secretary and Treasurer, State Bank of India and Others

to pass an order of dismissal could be pointed out and reliance was placed on Regulation 50, which we have earlier noticed, stands repealed, we may refer in this connection to Regulation 55 which reads as follows :"(1) Save as provided in sub-regulation (2), and as may be directed by the Central Board, a Local Board may exercise all the powers of the State Bank in respect of the staff serving the are in its jurisdiction.(2)(a) The initial appointments and promotions to various categories of employees in the Bank shall be made -(i) in the case of officers and employees starting on a pay lower than the starting pay in the scale applicable for the time being to Officers Grade II, by such authorities in the State Bank as may be specified, where the appointment or promotion is for service in the Circle, by the Chief General Manager concerned, and where the appointment or promotion is for service in or under Central Office, by the Managing Director;(ii) in the case of Officers Grade II and Grade I and of other employees to whom the Rules of services applicable to Officers Grade II or Grade I generally apply with or without modification by the Chief General Manager concerned or the Managing Director according as the appointments or promotion is for service in the Circle or in or under Central Office;(iii) in the case of Staff Officers of various grades and of other employees to whom the Rules of Service applicable to Staff Officers generally apply with or without modification by the Managing Director;(iv) in the case of Senior Staff Appointments and of employees to whom Rules of Service applicable to Senior Staff Appointments generally apply with or without modifications, by the Executive Committee;Such officers or employees shall not be dismissed from service of the State Bank by an authority lower than the appointing authority.(b) The salary and other emoluments to be granted to officers and to others employees with a starting pay equivalent to or higher than the starting pay in the scale applicable for the time being to Officers Grade II, shall be as laid down in Rules of Service approved by the Central Board and, where no such rules have been laid down, as fixed by the Executive Committee.(c) * * * * * *(d) The power to grant pensions to officers and other employees leaving the service of the State Bank, other than pensions provided for under the rules of the pension funds respectively applicable to them, shall be reserved to the Central Board.(e) The grant of gratuities or other financial assistance, either temporary or permanent, to widows, children or other dependents of deceased officers or other employees shall be made by the Executive Committee of the Central Board except where the grant of any such gratuity or financial assistance is authorised by any general direction given by the Central Board.19. From the averments made in the petition and from the materials on record, it does not become possible for us to come to any conclusion whether Regulation 55 has at all any application to the instant case.20. Even if we proceed on the basis that Regulation 55 has any bearing on the question of dismissal of the appellant, we cannot in the facts and circumstances of the case hold that there was been any breach of the said Regulation. Regulation 55(1) lays down that save as provided in sub-regulation (2) and as may be directed by Central Board, a Local Board may exercise all the powers of the State Bank in respect of the staff serving in the areas in its jurisdiction. There is nothing to indicate that the memorandum and the notice which we have earlier quoted did not come into existence as a result of a decision of the Local Board as directed by the Central Board or under the directions of the Central Board. There is also nothing to indicate that the appellant had been dismissed form service by an authority lower than the appointing authority. The order of dismissal has been communicated by the Superintendent, Staff Section who held the rank of General Manager who was duly authorised by the memorandum dated July 4, 1982 to take disciplinary action and pass orders imposing punishment against the appellant. It is also to be noticed that the appellant at no stage had raised any objection to the disciplinary proceedings against him initiated by the Superintendent and the punishment imposed on him by the Superintendent by virtue of the authority conferred on him by the said memorandum which we have earlier set out. It may also be pointed out that there are no proper averments in the petition filed by the appellant and indeed there are no materials to indicate that there has been any breach of Regulation 55 even if we assumed that the said Regulation had any application. In the absence of a statutory regulation, dismissal of an employee becomes entirely a managerial function.21. Para 521(12) of the Sastry Award, binding on the parties, requires that the person who cold pass an order of punishment, k should be notified. In compliance with the said requirement, the necessary notification had been made in the instant case and it may be pointed out once again that no objection had ever been taken to the nomination notified. We must, therefore, hold that in the instant case there is no substance in the contention of the appellant that the appellant had been dismissed by a person not competent to pass the order of dismissal.22. In this view of the matter, it does not really become necessary for us to consider the further argument of the learned counsel for the Bank that even if it could be said that the order of dismissal had not been passed by the competent authority, the order would result only in wrongful dismissal of the employee giving rise to a claim for damages, but could no be interfered with in a writ petition.

Decision (1 = appeal accepted, 0 = rejected): 0

Explanation:
0[ds]11. The law with regard to the applicability of the principles of natural justice isWe may, however, point out that the appellant in his representation dated December 12, 1962 clearly knowledges and admitted that the appellant had been afford full opportunity and all the points raised by him had been compiled with. It may also be noted that the further prayer of the appellant to make an oral representation after his representation in writing, was also allowed by the bank and the appellant was allow given an oral hearing.The learned Trial Judge has proceeded to hold that in view of regulation 50 of Schedule II and section22 of the Imperial Bank of India Act (Act XLVI of 1920) the dismissal of the employee could only be ordered by the Central Board or by the Local Board. He was of the view that the Amending Act of 1955 retained the said Regulation 50 of the Imperial Bank Act in the State Bank of India Act itself and in that view of the matter, the employee could be dismissed only in accordance with the provisions of the said Regulation.14. The Appellant Bench of the High Court has rightly pointed out that the learned single Judge failed to note that by the next Amending Act 58 of 1960, the said Regulation 50 on which the learned single Judge had relied was expressly repealed.From the averments made in the petition and from the materials on record, it does not become possible for us to come to any conclusion whether Regulation 55 has at all any application to the instant case.20. Even if we proceed on the basis that Regulation 55 has any bearing on the question of dismissal of the appellant, we cannot in the facts and circumstances of the case hold that there was been any breach of the said Regulation. Regulation 55(1) lays down that save as provided in(2) and as may be directed by Central Board, a Local Board may exercise all the powers of the State Bank in respect of the staff serving in the areas in its jurisdiction. There is nothing to indicate that the memorandum and the notice which we have earlier quoted did not come into existence as a result of a decision of the Local Board as directed by the Central Board or under the directions of the Central Board. There is also nothing to indicate that the appellant had been dismissed form service by an authority lower than the appointing authority. The order of dismissal has been communicated by the Superintendent, Staff Section who held the rank of General Manager who was duly authorised by the memorandum dated July 4, 1982 to take disciplinary action and pass orders imposing punishment against the appellant. It is also to be noticed that the appellant at no stage had raised any objection to the disciplinary proceedings against him initiated by the Superintendent and the punishment imposed on him by the Superintendent by virtue of the authority conferred on him by the said memorandum which we have earlier set out. It may also be pointed out that there are no proper averments in the petition filed by the appellant and indeed there are no materials to indicate that there has been any breach of Regulation 55 even if we assumed that the said Regulation had any application. In the absence of a statutory regulation, dismissal of an employee becomes entirely a managerial function.21. Para 521(12) of the Sastry Award, binding on the parties, requires that the person who cold pass an order of punishment, k should be notified. In compliance with the said requirement, the necessary notification had been made in the instant case and it may be pointed out once again that no objection had ever been taken to the nomination notified. We must, therefore, hold that in the instant case there is no substance in the contention of the appellant that the appellant had been dismissed by a person not competent to pass the order of dismissal.22. In this view of the matter, it does not really become necessary for us to consider the further argument of the learned counsel for the Bank that even if it could be said that the order of dismissal had not been passed by the competent authority, the order would result only in wrongful dismissal of the employee giving rise to a claim for damages, but could no be interfered with in a writ petition.