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Imposition Of Penalty In Disciplinary Proceeding Lies In Sole Domain Of Employer

In STATE OF TAMIL NADU & ANR. vs M. MANGAYARKARASI, the high court had interfered with the punishment of removal from service imposed on two employees on the ground that it was shockingly disproportionate. Though the state contended that quantum of loss caused due to the production of bogus bills in the case of the two employees was substantially higher compared to other employees who were only subjected to a lenient punishment of stoppage of increments, the court observed that it would have to consider only the nature of the charge and not the quantum involved.

On appeal, the Supreme Court, disagreeing with this approach, observed that the high court ought to have noticed that the gravity of misconduct which was established against these two employees was distinct from and of a more serious nature than what was found against the other employees and also held that the imposition of a penalty in disciplinary proceeding lies in the sole domain of the employer. Unless the penalty is found to be shockingly disproportionate to the charges which are proved, the element of discretion which is attributed to the employer cannot be interfered with.


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