Service Law – Disciplinary action – Punishment lesser/other than removal from service – The appellant, Branch Manager of Insurance Company, issued a Insurance cover note with respect to the vehicle without taking any premium – A second cover note was also issued with respect to the same vehicle – The vehicle met with an accident relating to which a claim was filed on the basis of the first cover note – Claim was accepted by the company – Thereafter, appellant was removed from the service based on the report submitted by the disciplinary authority – It was alleged by the authority that the appellant had failed to maintain integrity, devotion to duty and acted in a manner prejudicial to the interest of the company – Writ petition dismissed by the High Court – On appeal, held: Appellant had an unblemished service record throughout – It appears that the insured was an old customer and the insured and the insurer company had a long-standing relationship with him – The appellant relied upon the assurance given by the insured that he will send the money and issued the first cover note – However, when the second cover was issued with respect to the very same vehicle, the appellant was required to cancel the earlier cover note which the appellant did not cancel, which resulted in loss to the insurance company – It cannot be said that the appellant failed to maintain integrity – The punishment of removal from service is disproportionate to the charge and the misconduct held to be proved – Therefore, it is a fit case to impose any other punishment lesser/other than the removal from service.
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
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