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Supreme Court of India 2021-01-05 allowed

Deputy General Manager (Appellate Authority) and Others vs Ajai Kumar Srivastava

Bench: 3 — <UNKNOWN>

In Brief

A bank employee was dismissed following an enquiry into allegations of misappropriation of funds through fraudulent credit entries in various accounts. The High Court set aside the dismissal order. The Supreme Court reversed the High Court, holding that judicial review of disciplinary proceedings examines procedural fairness, not merit. The disciplinary authority had followed proper procedures—considered the enquiry report, afforded hearing, and addressed written objections. Since the dismissal complied with natural justice and was supported by the record, it was valid. The Court emphasized that banking demands absolute integrity and honesty, as employees handle depositors' money.

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Administrative Law Disciplinary Action Banking Regulation Natural Justice Misappropriation of Funds Corruption

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