In Brief
An Allahabad Bank manager was dismissed in 1989 for alleged misconduct related to loan advances. The bank failed to provide him a copy of the enquiry report as required by regulation, a violation later confirmed by the High Court. After 24 years of litigation, the High Court quashed the dismissal and ordered reinstatement with 50% back wages but full consequential benefits. Both the bank (challenging the 50% back wages) and the employee (seeking full back wages) filed appeals. The Supreme Court upheld the 50% back wages award, finding the bank clearly at fault for procedural violations, but noting that managerial employees are governed by different legal principles than workmen, and that the employee failed to plead non-employment, which would have strengthened a claim for full back wages.
The lawyer headnote and full judgment text are available to registered users.