High Court Dismisses Employer's Writ Petition in Labour Dispute Over Dismissal Without Inquiry. Dismissal based on media reports without independent verification violates natural justice and MSRTC Discipline and Appeal Rules, justifying reinstatement with back wages.

High Court: Bombay High Court Bench: AURANGABAD
  • 21
Judgement Image
Font size:
Print

Case Note & Summary

The dispute arose from the dismissal of an employee, a driver with the Maharashtra State Road Transport Corporation (MSRTC), following an accident on 31 July 2019. The MSRTC dismissed the employee based on television and newspaper reports alleging drunken driving, without conducting a departmental inquiry, invoking clause 6(1) of its Discipline and Appeal Rules. The employee challenged the dismissal before the Labour Court, Jalgaon, which allowed the complaint, ordering reinstatement with 50% back wages, finding the dismissal violated natural justice and the rules. The MSRTC appealed to the Industrial Court, Jalgaon, which dismissed the revision application. The MSRTC then filed a writ petition before the High Court. The core legal issues were whether the dismissal without inquiry was justified under Rule 6(1) and the appropriateness of the back wages. The MSRTC argued that Rule 6(1) applied, justifying no inquiry, while the employee contended the dismissal was arbitrary. The High Court analyzed the rules, noting that Rule 6(1) requires the employee to admit guilt or have the offense's truthfulness established, which was not done as no independent inquiry confirmed the news reports. The court held the dismissal unjustified, violating natural justice. Regarding back wages, the court found no perversity in the lower courts' orders. The High Court dismissed the writ petition, upholding the reinstatement and back wages, and directed the MSRTC to reinstate the employee within four weeks and pay the back wages, expressing concern over the delay in implementation.

Headnote

A) Labour Law - Disciplinary Proceedings - Natural Justice - MSRTC Discipline and Appeal Rules - Employee dismissed based solely on television and newspaper reports alleging drunken driving without independent inquiry - Labour Court and Industrial Court found violation of natural justice and rules - High Court upheld findings, stating dismissal unjustified under Rule 6(1) as guilt not admitted and truthfulness not verified (Paras 4-10).

B) Labour Law - Reinstatement and Back Wages - Judicial Review - Industrial Disputes Act, 1947 - Labour Court ordered reinstatement with 50% back wages, confirmed by Industrial Court - MSRTC challenged back wages but failed to show perversity in findings - High Court found no infirmity, upheld back wages award (Paras 11-13).

C) Labour Law - Contempt of Court - Implementation of Orders - MSRTC failed to reinstate employee despite 2021 order without preventive order - High Court expressed serious concern, deemed it contemptuous, directed reinstatement within four weeks and payment of back wages (Paras 14-15).

Issue of Consideration: Whether the dismissal of the respondent employee without conducting a departmental inquiry was justified under the MSRTC Discipline and Appeal Rules, and whether the grant of 50% back wages was appropriate.

Final Decision

Writ Petition dismissed; orders of Labour Court and Industrial Court upheld; MSRTC directed to reinstate respondent within four weeks and pay back wages as per Labour Court order

2026 LawText (BOM) (03) 152

Writ Petition No. 4796 of 2024

2026-03-25

Ajit B. Kadethankar J.

2026:BHC-AUG:13234

Mr. M. D. Shinde, Mr. M. V. Bhamre

Maharashtra State Road Transport Corporation, Jalgaon Division, Through its Divisional Controller

Anil S/o. Pratap Nikam

Nature of Litigation: Writ petition challenging orders of Labour Court and Industrial Court regarding dismissal of employee

Remedy Sought

Petitioner MSRTC sought to quash orders directing reinstatement with 50% back wages

Filing Reason

MSRTC aggrieved by dismissal of its revision application by Industrial Court

Previous Decisions

Labour Court allowed complaint ULP No.32 of 2019, ordering reinstatement with 50% back wages; Industrial Court dismissed revision application ULP No.11 of 2022

Issues

Whether dismissal without departmental inquiry was justified under MSRTC Discipline and Appeal Rules Whether grant of 50% back wages was appropriate

Submissions/Arguments

Petitioner argued case covered under Rule 6(1) justifying no inquiry Respondent challenged dismissal as violation of natural justice

Ratio Decidendi

Dismissal based solely on media reports without independent inquiry violates principles of natural justice and MSRTC Discipline and Appeal Rules, especially when guilt is not admitted and truthfulness not verified; back wages award not perverse.

Judgment Excerpts

Relying upon the news flashed on television as also published in newspapers, the M.S.R.T.C. invoked the discipline and Appeal Rules particularly clause no. 6(1) of the Rules, and without conducting any departmental inquiry dismissed the respondent from the services. Observing that the dismissal of the respondent was against the principles of natural justice and also the concerned provisions of the Discipline and Appeal Rules of the M.S.R.T.C., the Labour Court allowed the complaint and directed the M.S.R.T.C. to reinstate the respondent with 50% back wages. As such, in any case, the M.S.R.T.C. was not justified in dismissing the petitioner by taking recourse to Rule 6(1) of the Discipline and Appeal Rules. I do not find any infirmity in the order passed by the Labour Court as also the Industrial Court. The petitioner/ M.S.R.T.C. without any default shall reinstate the petitioner within a period of four weeks from today and shall clear payable back wages in terms of the orders passed by the Labour Court.

Procedural History

Accident occurred on 31.07.2019; MSRTC dismissed respondent based on media reports; respondent filed complaint ULP No.32 of 2019 in Labour Court, allowed in 2021; MSRTC filed revision ULP No.11 of 2022 in Industrial Court, dismissed on 06.09.2022; MSRTC filed writ petition in High Court in 2024; High Court heard finally on 25.03.2026.

Related Judgement
High Court High Court Dismisses Employer's Writ Petition in Labour Dispute Over Dismissal Without Inquiry. Dismissal based on media reports without independent verification violates natural justice and MSRTC Discipline and Appeal Rules, justifying reinstatement...
Related Judgement
Supreme Court Supreme Court Upholds Cancellation of Gift Deed in Favor of Son for Non-Maintenance of Elderly Mother.