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2001 (9) TMI 1186

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..... Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971, (hereinafter referred to as the "MRTU & PULP Act), contending that unfair labour practice was committed by the management while terminating the services of the employees. The learned Labour Judge framed the necessary issues and he tried the issues: Does the complainant prove that the enquiry conducted against him is not fair, proper and in accordance with the principles of natural justice? As a preliminary issue and after hearing both the sides came to a conclusion that the complainant failed to prove that issue. It means that it was held that the enquiry was conducted against him in fair and proper manner and by adhering to the principles of natural justice. 4. Thereafter, the matter proceeded before the Labour Judge for consideration of further issues. The learned Labour Judge, after hearing the parties, came to the conclusion that the findings of the enquiry officer were not based on legal and acceptable evidence and hence were perverse. On coming to this conclusion, the learned Labour Judge passed the order that the management should pay 75 per cent back wages to the employees .....

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..... him were perverse. There was no reason for the Labour Court to give opportunity to the management to lead evidence with respect to the charges framed, once the Labour Court had come to the conclusion that the enquiry was fair and proper, the learned Judge, therefore, rightly disposed of the matters finally. 9. It is also argued by the learned counsel for the appellants that the management had not sought any permission from the Labour Court to lead evidence with respect to the charges framed against the employees at the earliest opportunity available to the management and therefore, it was not necessary for the Labour Court to call upon the management to lead any evidence in support of the charges framed against the employees. 10. In this respect, the learned counsel for the appellants has relied upon the ruling of the Apex Court in the matter of Karnataka State Road Transport Corporation v. Laxmidevamma (Smt.) and Anr., (2001)IILLJ199SC . It is strongly contended by the learned counsel for the appellants that in this judgment of the Constitution Bench of the Supreme Court, the view taken by the Supreme Court in Shambhu Nath Goyal v. Bank of Baroda, (1983)IILLJ415SC is accepted a .....

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..... l vitiate under two circumstances, firstly if the enquiry is not held fairly and properly and by following the principles of natural justice and secondly that if the finding is perverse because the enquiry officer has failed to appreciate the evidence led before him. In either case, the enquiry will vitiate and the management will get an opportunity to lead evidence to substantiate the charges framed, if a specific alternative plea is taken to that effect by the management in the written statement. 14. The learned counsel for the respondents therefore, has relied upon the ruling of the Apex Court in the matter of Bharat Forge Company Limited v. A.B. Zodge and Anr., (1996)IILLJ643SC and he has specifically referred to the observations made by the Apex Court at p. 645 of LLJ: "A domestic enquiry may be vitiated either for non-compliance with the rules of natural justice or for perversity. Disciplinary action taken on the basis of a vitiated enquiry does not stand on a better footing than a disciplinary action with no enquiry. The right of the employer to adduce evidence in both the situations is well recognised." 15. The learned counsel for the appellants has argued tha .....

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..... ce to prove the charges against the employees. If the learned Labour Judge has not properly appreciated the written statement and had not given the opportunity to the management to lead evidence on coming to the conclusion that the findings recorded were perverse, then it was not the fault of the management. The learned Labour Judge, on coming to the conclusion that the finding recorded was perverse on the basis of evidence led before the enquiry officer, then the learned Labour Judge ought to have given an opportunity to the management to lead evidence on the charge framed against the employees. 18. The management had no opportunity to make an application to the Labour Court that because of such a pleading in para 16 of the written statement, the management has reserved its right to lead evidence to prove the charges, and therefore, the permission be granted to lead the evidence. That so happened because on recording the findings, the learned Labour Judge without bringing it to the notice of the management the findings recorded, directly delivered the final judgment in the matter in favour of the complainants. Definitely the management was deprived of leading any evidence in supp .....

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..... iously, this third stage is subject to the condition that the management had reserved such a right in the written statement filed by the management. It is already pointed out that the management had reserved such right in the written statement. So when the learned Judge came to the conclusion that the findings recorded by the enquiry officer were perverse, then the learned Labour Judge ought to have called upon the management to lead evidence to substantiate the charges framed against the employees. This position is borne out by the observations made by the Supreme Court in the case of Bharat Forge Company Ltd. (supra). 23. The endeavour of the Supreme Court in all these cases is that there should not be delay in concluding the proceedings and therefore whatever stand the management has to take with respect to the allegations made by the complainant, that stand must be taken in the written statement itself. But once that stand is taken by the management, then the Court will have to work out the proceedings before it, according to the stand taken by the management. It will not be necessary for the Labour Court to call upon the management to lead evidence to substantiate the charges .....

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