ANNAMMA MATHEW Vs. MANAGING COMMITTEE

JUDGEMENT

(1.) The petitioner retired from the service of the 2ndrespondent Bank on 31/5/2018 as Secretary. On getting information that the Branch Manager and employees of Thazhakkara branch of the Society were indulging in certain misleads, a surprise inspection was ordered at the instance of the petitioner. The preliminary enquiry revealed serious lapses and illegal acts committed by the Branch Manager. The Managing committee, which met on 22/12/2016, decided to suspend the Branch Manager, and he was suspended on 22/12/2016. The Cashier and Clerk were also placed under suspension. Based on the inspection conducted, with the help of the Computer expert, it was found that there was malpractice to the tune of Rs.14,82,88,905.00 and a crime was registered as Crime No.134 of 2017 by Mavelikkara Police station for the offences punishable under Ss. 406, 408, 409, 417, 420, 465, 468, 120B, 34 and 471 (wrongly shown as 571) of the Indian Penal Code and Sec. 65 of the Information Technology (Amendment) Act, 2008. The three employees, who were responsible for the entire misappropriation, executed an agreement dtd. 27/10/2017 agreeing that if the loss is found to be of their deeds, the same can be recovered from their properties.

(2.) On 13/6/2017, the petitioner was suspended on the grounds of supervisory lapses, and she retired on 30/5/2018 without being reinstated in service. No disciplinary proceedings were initiated against the petitioner. The department conducted an inquiry under Sec. 65 of the Kerala Co-operative Societies Act, 1969 (for short 'the KCS Act'). Based on the enquiry report, proceedings under Sec. 68 of the KCS Act were also initiated. Since she retired from the service, she is entitled to gratuity, Provident Fund, welfare fund, terminal leave surrender and other reliefs, which were denied to the petitioner. Therefore, she approached this court by filing W.P.(C.) No.19820 of 2018 for a direction to disburse the retiral benefits. The said Writ Petition was heard along with a batch of cases, and by judgment dtd. 2/7/2019, it was observed that since proceedings under Sec. 68 of the KCS Act, in respect of imposition of surcharge under the Act, are pending, the reliefs sought in the Writ Petition cannot be granted at the stage. The petitioner was given the liberty to seek reliefs after conclusion of the proceedings.

(3.) An arbitration case was filed against the Branch Manager and other employees as ARC No.1 of 2017, and this Court directed disposal of the said case within 6 months. On 28/2/2020, the 3rdrespondent issued Ext.P3 Surcharge proceedings under Sec. 68(2) of the KCS Act. There is no allegation in Ext.P3 against the petitioner for misappropriation of any amounts. Surcharge proceedings are initiated only on the grounds of supervisory lapses on the side of the petitioner as Secretary. The petitioner has filed a statutory appeal under Sec. 83 of the KCS Act before the Government against Ext.P3, which is still pending. In the said circumstances, the petitioner has approached this Court with the following reliefs: