Court modifies excessive penalty imposed on retired bank officer, ensuring punishment is proportionate to misconduct.
In a significant ruling, the Punjab and Haryana High Court reinforced the doctrine of proportionality in disciplinary proceedings, emphasizing that penalties must correspond to the gravity of the misconduct. The court modified an excessive penalty imposed on Purshutam Goel, a retired bank officer, by reducing the harsh financial repercussions initially determined by the disciplinary authorities.
The petitioner, Purshutam Goel, who served in the Gramin Bank, was initially penalized with a severe reduction of his pay scale by 21 stages following allegations of recommending loans without proper appraisal during his deputation at the Palla Branch. The disciplinary authority had upheld this penalty despite Goel's contention that he was not the sanctioning authority and had a 35-year unblemished service record.
Justice Harpreet Singh Brar, while delivering the judgment, critiqued the penalty as excessive and not supported by evidence of any actual financial loss to the bank. The court recognized that the penalty significantly impacted the retired officer's financial security and contravened the principles of fair play and equality under Article 14 of the Constitution.
The court's decision to modify the penalty to a 5% deduction from Goel's monthly pension for five years aligns with the Supreme Court's established stance on proportionality, as seen in precedents like "Indian Oil Corpn. Ltd. v. Ashok Kumar Arora" and "Bhagat Ram v. State of H.P." The court ordered the refund of any excess amount recovered and directed the release of pension arrears with 6% interest, ensuring justice while acknowledging the officer's responsibility.
Bottom Line:
Doctrine of proportionality in disciplinary proceedings emphasizes that penalties imposed on employees must bear a reasonable relationship to the gravity of their misconduct and should not be excessive or disproportionate.
Statutory provision(s): Article 226 of the Constitution of India, Gurgaon Gramin Bank (Officers and Employees) Service Regulations, 2010, Article 14 of the Constitution of India.
Purshutam Goel v. State of Haryana, (Punjab And Haryana) : Law Finder Doc id # 2852822