Gujarat High Court: Reinstatement of Bank Employee Compulsorily Retired for ‘Heated Exchange’

The Gujarat High Court reinstated a Bank of India employee who had been compulsorily retired in 2002 over misconduct involving assault and threatening behaviour in a “heated exchange” with a colleague. The employee’s appeal had been rejected by the bank, and a departmental inquiry believed the charges. However, the court found that crucial witnesses, including the complainant and inquiry officer, were not examined, and that the evidence was insubstantial. The Tribunal (Central Government Industrial Tribunal-cum-Labour Court) in 2013 held the inquiry was perverse, violating principles of natural justice. A fresh hearing in 2016 resulted in reinstatement with back wages and benefits. The High Court upheld that decision. The court observed that the penalty of compulsory retirement was grossly disproportionate given the nature of the incident, amounted to victimization, and violated fairness. The Bank’s arguments comparing the standard of proof to criminal trials were rejected: departmental proceedings need only a preponderance of probabilities. The bank’s appeal lacked merit and was dismissed.