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Supreme Court of India 2016-09-16 partly_allowed

State Bank of India & Ors vs Neelam Nag

Bench: 2 — A.M. Khanwilkar

In Brief

A bank employee was suspended on allegations of criminal breach of trust causing Rs 44+ lakh loss. Criminal charges were framed in 2007 but the trial progressed very slowly. The High Court stayed disciplinary proceedings until the criminal trial ended. The Supreme Court upheld the stay but reformed it: disciplinary proceedings remain suspended only until closure of prosecution evidence, but the criminal trial must be completed within one year. If not completed within that period, disciplinary proceedings resume automatically. The Court balanced the employee's right to defend the criminal case against the employer's interest in timely departmental action, rejecting indefinite delays particularly where the accused contributed to trial delays."

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Criminal Procedure Disciplinary Proceedings Criminal Breach of Trust Public Sector Banks Labor Law Concurrent Proceedings Evidence Law

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