LAWS(SC)-1998-8-91

NATIONAL Vs. ASHOK KUMAR SINGH

Decided On August 19, 1998
NATIONAL BICYCLE CORPORATION OF INDIA LIMITED Appellant
V/S
ASHOK KUMAR SINGH Respondents

JUDGEMENT

(1.) The Board of Directors of the appellant which is a Public Sector undertaking, at its meeting of 23/11/89 had initially taken a decision not to take any action against the respondent in respect of the chargesheet which had been issued to the respondent. The chargesheet was in connection with excessive commission paid to one M/s. Globe Agencies. However, thereafter central Vigilance Commission and the ministry of Industries issued directives to the appellant to hold an enquiry, since a prima facie case had been found against the respondent and another officer Mr. Raghavan. Pursuant to the directives so issued, the Board, at its subsequent meeting of 25/6/91, decided to conduct a departmental enquiry against the respondent and the said Raghavan. A chargesheet dated 10/5/91 was already issued to the respondent, on the basis of which the said enquiry was decided to be held.

(2.) The High Court has quashed the chargesheet dated 10/5/91 and set aside the enquiry. It has also held that the resignation of the respondent should be accepted by the appellant.

(3.) We fail to see how such directions could have been given in the facts and circumstances of the present case only on the ground that the Board of Directors of the appellant had initially decided not to conduct an enquiry. When the Central Vigilance commission has examined the case and prima facie come to a conclusion that there is enough material to hold a departmental enquiry against the respondent, and the board, pursuant to the directives given by the Central Vigilance Commission, decided to hold an enquiry, no fault can be found with the subsequent decision taken by the Board.