H C SARIN Vs. UNION OF INDIA

JUDGEMENT

(1.) This appeal is by certificate granted by the High Court of Delhi under Article 133 (1) (a) and (b) of the Constitution of India as it stood prior to the 30th Constitution Amendment Act. No substantial question of law is involved in this appeal. It is to be decided mostly on facts. And since we are in agreement with the judgment of the Division Bench of the High Court given in the Letters Patent appeal, we shall advert only to the necessary facts and the main points argued before us.

(2.) Shri H. C. Sarin - the appellant was employed in the Indian Railways as Senior Railway Inspector attached to the Office of the India Stores Department at London. He was in that job from the 6th August, 1954. The Government of India placed orders with various firms in the United Kingdom and the continent for supply of rolling stock and other materials for the Indian Railways. In December, 1956 the appellant was deputed to the Essen Area of West Germany as Senior Railway Inspector in which capacity he had to inspect and pass the goods in the first instance at the site. Although this work of inspection in West Germany was entrusted to the German Federal Railway in January 1958, the appellant remained there associated with the work till April or May, 1958. In July, 1956 orders were placed with M/s. Leo Gottwald and Company for supply of several breakdown cranes - both for meter gauge and broad gauge railway tracks in India. This was a family concern of one Dr. Hana Dieter Gottwald. Prior to the appellant's going to the Essen Area of West Germany, there were other Senior Railway Inspectors doing the work of inspection including one S. N. Hussain (since deceased) immediately preceding the appellant. One of the clauses in the contract with Gottwald was that he would be liable to pay liquidated damages in the specified sums if he made delay in the delivery of the cranes. Eventually there being delay, the amount of such damages was quantified at a figure in the neighbourhood of £ 45,000/-.

(3.) Dr. Gottwald carried on business of his firm at Dusseldorf in West Germany. He came to London on July 30, 1956 to discuss with Shri L. T. Madnani, Railway Advisor certain technical aspects of the cranes contract. A meeting took place in the morning wherein were present other officers including one Mr. Bayross. In the afternoon, Gottwald saw S. N. Hussain at the India Stores Department when the latter told the former that delay had occurred in the supplies of cranes and consequently the firm of contractors may have to pay liquidated damages. Upon this, Gottwald disclosed that Sarin was responsible for the delay, he had taken money by way of bribes from the firm and in such a situation the firm was not liable to pay any damages, Since the allegation made by Gottwald against Sarin was a serious one S. N. Hussain advised him to inform Madnani about it. He did accordingly. After some preliminary steps Gottwald's statement was recorded on September 8, 1958 at India Stores Department where he gave a detailed account of the allegedly corrupt practices of the appellant. Shri Shukla was the Director General of the India Stores Department at the relevant time. He directed Gottwald to furnish some tentative proof in support of his accusation against Sarin. Gottwald's second statement was recorded on October 21, 1958. One Shri M. A. Hussain, I.C.S. was the Deputy High Commissioner for India stationed in U. K. at the relevant time. On examining the papers and the statements of Dr. Gottwald given before the various officers of the India Stores Department the Deputy High Commissioner formed an opinion that prima facie the accusations against the appellant were such that required to be investigated in a departmental enquiry. He accordingly made a recommendation to that effect to the Government of India. The Government, however, directed a preliminary enquiry to be made by Shri N. S. Pandey, Financial Advisor to the Indian High Commission and then to start a departmental enquiry, if necessary. Accordingly, Pandey went to Gottwald's place in West Germany, made preliminary investigations and submitted a report dated January 19, 1959 finding a prima facie case made out against the delinquent government servant. At the instance of the Government of India. Ministry of Works, Housing and Supply, charges were served upon the appellant on April 7, 1959 along with two Annexures containing various details of the accusations made by Gottwald against him. The appellant was asked to indicate by April 15 the papers which he wanted to inspect and the papers the copies of which he required to enable him to enter his defence. He was asked to submit his written explanation by 30th of April, 1959. In the meantime he was placed under suspension.