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PHULBARI TEA ESTATE versus ITS WORKMEN

Citation: [1960] 1 S.C.R. 32 · Decided: 06-05-1959 · Supreme Court of India · Bench: BHUVNESHWAR PRASAD SINHA · Disposal: Dismissed

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Judgment (excerpt)

I959 
May6. 
32 
SUPREME COUI~T REPORTS 
[1960(1)] 
PHULBARI TEA ESTATE 
v. 
ITS WORKMEN 
(B. P. SINHA, P. B. GAJENDRAGADKAR and 
K. N. w ANCHOO, JJ.) 
Industrial Dispute-Tribunal-Question of competency-When 
can be raised-Dismissal of u1orkmen on enquΒ£ry-Rule of natural 
justice-Defect in procedure, if curable -Industrial Disputes Act 
(I4 of r947), s. 7. 
Two workmen Das and another were arrested by the police 
on the complaint of the appellant company for an alleged theft. 
The manager held an enquiry and dismissed Das from service for 
gross misconduct. 
At the enquiry, Das stated that he had nothing to say and 
knew nothing about the theft. Certain persons whose statements 
had been recorded by the manager at the investigation stage in 
the absence of Das, were present at the said enquiry. Das was 
told to ask those persons what they had to say, though he was 
neither supplied with the copies of the statements made by them 
nor the statements were read over to him at the time of the 
enquiry. Das replied that he would not put any questions to 
them. Thereupon these witnesses were asked whether the evid-
ence they had given before the manager was correct, and if not, 
they were at liberty to amend it, to which they replied that the 
evidence they had given was correct. 
Some time later, the Magistrate on the final report of the 
police discharged Das. Thereafter the Union had the matter 
referred to the Tribunal. 
Before the Tribunal the company pro-
duced only the statements of the witnesses but did not produce 
the witnesses themselves. The Tribunal found in favour of the 
workman. 
The co1npany came up in appeal by special leave to 
the Supreme Court, where, for the first time it raised the ques-
tion of the qualification and competency of the one member 
Tribunal under s. 7 of the Act. 
Held, that the question whether the Tribunal was a compe-
tent one under s. 7 of the Industrial Disputes Act, 1947, prior to 
the amending Act 36 of 1956, must be raised before the Tribunal 
itself as it was a matter of investigation and could not be raised 
for the first time before the Supreme Court. 
Held further, that the basic principle of natural justice in an 
enquiry was that the opponent must be given the opportunity of 
questjoning the witnesses after knowing in full what they had to 
state against him. 
The witnesses on whom the party relied 
should generally be examined in the presence of the opponent 
and he must also be informed about the material sought to be 
used against him, and given an opportunity to explain it. 
. ' 
... 
-
S.C.R. 
SUPREME COURT REPORT8 
33 
Union of India v. T. R. Varma r1958l S.C.R. 499, followed. 
x959 
New Prakash Transport Co. Ltd. ,.. ).'cir- S1110arna Transport Phulbari Tea Estate 
Co. Ltd. [1957] S.C.R. 98. referred to. 
v. 
Held, further, that if there was defect in the conduct of thC' 
Its Workn,.n 
enquiry by the employer it could be cured if all the relevant 
evidence including the witnesses who were not examined in the 
presence of the workman were produced before the Tribunal. 
thereby giving the party an opportunity to cross-examine them, 
and leaving it to the Tribnnal to consider tlw evidence and 
decide the case on merits. 
M/s. Sasa M-usa Sugar Worlls (P) Ltd.''Β· ShobratiKhan C.As. 
~os. 746 & 747 of r957 decided on zg-4-1959, followed. 
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 
205of1958. 
Appeal by special leave from the judgment and 
order dated October 23, 1956, of the Industrial Tribu-
nal, Assam in Reference No. 16 of 1956. 
M. 0. 8etalvad, Attorney-General for Indio., S. N . 
.Zl!ukherjee and B. N. Ghosh, for the appellant. 
0. B. A.garwala and K. P. G~tpta., for the respon-
dents. 
1959. l.\fay 6. 
The Judgment of the Court was 
delivered by 
WANCHOO J.-This is an appeal by special leave in 
an .industrial matt.er. The appellant is the Phulbari 
Tea Estate (hereinafter called the company). The 
case relates to the dismissal of one workman namely, 
B. N. Das (hereinafter called Das), which had been 
taken up by the Assam Chah Karmchari Sangh, which 
is a registered trade union. A reference was made by 
the Government of Assam on March 8, 1956, to the 
Industrial Tribunal on the question whether the dis-
missal of Das was justified; and if not, whether he 
was entitled to reinstatement with or without com-
pensation or any other relief in lieu thereof. Das was 
dismissed by the company on March 12, 1955. The 
charge against him was that on the night of Februa

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