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RAM ASHISH DIXIT versus CHAIRMAN PURVANCHAL GRAMIN BANK LIMITED AND ANR.

Citation: [2012] 13 S.C.R. 332 · Decided: 22-08-2012 · Supreme Court of India · Bench: S.S. NIJJAR, H.L. GOKHALE · Disposal: Dismissed

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Judgment (excerpt)

A 
B 
c 
[201 ~~] 13 S.C.R. 332 
RAM ASHISH DIXIT 
v. 
CHAIRMAN PURVANCHAL GRAMIN BANK LIMITED AND 
ANR. 
(Civil AppEtal No. 6072 of 2012) 
AUGUST 22, 2012 
[SURINDER SINGH NllJJAR AND H.L. GOKHALE, JJ.] 
SERVICE LAWΒ· 
Penalty - Effect of as regards promotion - Bank Officer 
awarded penalty of one increment for three years - Not found 
suitable for promotion - Held: Promotion from Junior 
Management Grade-I to Junior Management Grade-II is on 
D the basis of seniority-cum-merit - Clearly, therefore, the fact 
that appellant has been punished for a misconduct would form 
part of his record of service and would be taken into 
consideration whilst adjudging his suitability on the criteria of 
seniority-cum-merit - If on such assessment of his record of 
E service he is not promofod, it cannot be said to be by way of 
punishment - It is a non-promotion on account of appellant 
not reaching a suitable standard to be promoted on the basis 
of criteria. 
Union of India and Ors. vs. K. V. Jankiraman and Ors. 
F 1991 (3) SCR 790 = 1991 (4) sec 109 - relied on. 
Case Law Reference: 
1991 (3) SCR 790 
relied on 
para 7 
G 
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 
H 
6072 of 2012. 
From the Judgment & Order dated 15.06.2007 of the High 
Court of Judicature at Allahabad in CMWP No. 38084of1999. 
332 
RAM ASHISH DIXIT v. CHAIRMAN PURVANCHAL 
333 
GRAMIN BANK LIMITED AND ANR. 
Dhruv Mehta, Fakhruddin, Abhay Singh, Yasmin Zafar, Dr. 
A 
Vipin Gupta, Rajesh Kumar, Yashraj Singh Deora, Sameer 
Pradeep Abhyankar, Anupama Dhruv, Sarv Mitter (for Mitter & 
Mitter Co.), K.T. Anantharam, Vasudevan Raghavan, Gopal 
Krishna, M.K. Chaudhary, Raj Kishore, S.K. Verma for the 
appearing parties. 
B 
The following order of the Court was delivered by 
ORDER 
1. Leave granted. 
c 
2. The appellant herein was appointed as an officer in the 
Gorakhpur Kshetriya Gramin Bank on 21.12.1981. He was 
confirmed on the post of officer [later on designated as Junior 
Management Grade Scale I (JMGS-1)] in the year 1983. On 
18.12.1991, a charge sheet pertaining to the period from 1984 D 
to 1990 was prepared against him. At that time he was posted 
as Branch Manager, Gajpur Branch, District Gorakhpur. The 
charge sheet alleges that while the appellant was posted at 
Bhatpur Branch and Gajpur Branch as Branch Manager, he had 
committed a serious irregularity in the acceptance/ E 
disbursement of loan (of a particular account holder). The gist 
of the charge was that he did not verify the genuineness of the 
claim made by the account holder for the loan in various small 
amounts. The loan amount was to be used by the account 
holder, who was an agriculturist, for improving the agricultural 
F 
facilities on his farm. On the basis of those imputations it was 
alleged that the appellant has violated, Rules 17 and 19 of the 
Gorakhpur Kshetriya Gramin Bank (Employees) Service 
Regulation, 1980. It is not disputed before us that the charge 
sheet was served upon the appellant on January, 1982. G 
Thereafter a regular inquiry was held against him. The inquiry 
officer held that the charge No.3 was proved. Subsequently, the 
disciplinary authority differed with the finding recorded by the 
inquiry officer. The charge Nos. 1 and 2 were also held to be 
proved against the appellant. At the conclusion of the H 
334 
SUPREME COURT REPORTS 
[2012] 13 S.C.R. 
A 
disciplinary proceedings on 29th August, 1998 the disciplinary 
authority imposed punishment of stoppage of one increment for 
three years and 50% recovery of the sanctioned loan amount 
in case the Bank fails to' recover the same from the farmer to 
whom the loan had been grated. It appears that in a 
B 
departmental appeal filed by the appellant, by Order dated 15th 
December, 1998, the appellate authority modified the order of 
punishment, by reducin~1 the amount of recovery from 50% to 
Rs.5,000/-. The aforesaid order was communicated to the 
appellant on 7.1.1999. 
c 
3. During the aforesaid interregnum, the appellant became 
eligible for promotion from the rank of Junior Management 
Grade-I to Middle Management Grade-II. He was duly 
considered for promotion by the departmental promotion 
committee, which was held in the year 1995. It is the pleaded 
D case of the 
respondent-Bank, in Paragraph 12 of the counter 
affidavit filed in the High Court (Annexure P-13 in the SLP), that 
the appellant was duly c:onsidered for promotion but he could 
not succeed on the basis of the criteria of seniority-cum-mer

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