Translate
Text Highlighter

Bookmark

PDF

Share

Report a problem
AMICUS AI
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Are you a practicing lawyer?
Enhance your digital presence and reach by creating a Casemine profile.
Upload pleading to use the new AI search
Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Smart Summary

Factual and Procedural Background

The Divisional Railway Manager, Western Railway, Ratlam Division, issued orders on February 18, 19 and 21, 1981 declaring a “break in service” for several railway employees (the petitioners) on the ground that they had participated in an illegal strike and absented themselves from duty without authority. The orders stated that the break entailed forfeiture of all leave earned up to the strike, postponement of the next increment, fresh commencement of service for future benefits, and potential disciplinary proceedings under the Departmental Authorities Rules (D.A.R.). Admittedly, these punitive orders were passed without giving the employees prior notice or an opportunity to be heard. The employees challenged the orders by filing writ petitions before the Supreme Court of India.

Legal Issues Presented

  1. Whether an order treating an employee’s participation in an illegal strike as a “break in service” that results in forfeiture of past service can be passed without complying with the principles of natural justice (i.e., notice and opportunity to be heard).
  2. Whether paragraphs 1301 and 1304 of the Railway Establishment Manual implicitly or explicitly exclude the requirement of natural justice in such cases.

Arguments of the Parties

Petitioners' Arguments

  • The impugned orders were void because they were passed without giving the employees any notice or opportunity to show cause, thereby violating the principles of natural justice.
  • Past Supreme Court authority (Dayal Saran Sanan v. Union of India) establishes that forfeiture of past service cannot be ordered without following natural justice.

Respondents' Arguments

  • Paragraphs 1301 and 1304 of the Railway Establishment Manual empower railway authorities to forfeit service of employees who participate in an illegal strike unless the competent authority condones it.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Dayal Saran Sanan v. Union of India, (1980) 3 SCC 25; AIR 1980 SC 554 Forfeiture of past service cannot be ordered without observing the principles of natural justice. Treated as binding authority; the Court applied its ratio to hold that the impugned orders were invalid for lack of notice and hearing.
Karan Singh v. Union of India, Civil Writ Petition No. 1889 of 1981 (Rajasthan High Court) Extended the Dayal Saran Sanan principle to cases involving break in service due to participation in an illegal strike. Cited as persuasive support reinforcing the requirement of natural justice in the present context.

Court's Reasoning and Analysis

The Supreme Court noted that the legal question was effectively answered in Dayal Saran Sanan v. Union of India, which held that any order forfeiting past service must comply with natural justice. The Court observed that the impugned orders were admittedly passed without notice or hearing, squarely violating this requirement.

The respondents’ reliance on paragraphs 1301 and 1304 of the Railway Establishment Manual was rejected because neither provision expressly or by necessary implication excludes the observance of natural justice. The Court clarified that it was not deciding the substantive competence of railway authorities to impose such penalties; it was only addressing the procedural safeguard of natural justice. Finding no statutory exclusion of these safeguards, the Court concluded that the orders could not stand.

Holding and Implications

The writ petitions were allowed and the orders dated February 18, 19 and 21, 1981 were quashed.

Implications: The decision reinforces that railway authorities must provide notice and an opportunity to be heard before declaring a break in service and forfeiting past benefits, even when the employee participated in an illegal strike. The ruling does not create a new substantive right but affirms due-process protections; it leaves undisturbed the Railway Administration’s power to act, provided natural justice is observed.

    Shiv Shanker And Another v. Union Of India And Others

    O. Chinnappa Reddy, J.— The question raised in these writ petitions is, for all practical purposes, already answered in an earlier case decided by this Court in Dayal Saran Sanan v. Union of India (1980) 3 SCC 25, AIR 1980 SC 554, (1980) 1 SLR 507. On February 19, 1981, the Divisional Railway Manager, Western Railway, Ratlam Division, passed an order to the effect that there was a break in the service of the petitioners from the dates shown against each of them as they were participating in the illegal strike of the running staff of the Mechanical Department and were absenting themselves from duty without authority. The order further added:

    “This break-in-service involves forfeiture of all leave earned up to the strike, postponement of date of increment and commencement of service afresh on resumption of duty after the strike for the purpose of eligibility for leave, passes and sanction of SC to PF and pensionary benefits on retirement in terms of Railway Board's Letter No. ELI(II) 79 ST-36 dated March 31, 1979 published in Eastern Railway monthly Gazette No. 3/1979-80 dated June 1, 1979.
    Further they are also liable to be taken up under D.A.R”
    Admittedly this order was made without any notice to the petitioners and without giving them any opportunity to show cause against the action. The contention of the petitioners before us is that there was a violation of the principles of natural justice and for that reason alone, the order was liable to be quashed. In Dayal Saran Sanan v. Union of India (1980) 3 SCC 25, AIR 1980 SC 554, (1980) 1 SLR 507 this Court had pointed out that an order of forfeiture of past service cannot be made without observing the principles of natural justice. The principle of the case was applied by the High Court of Rajasthan to cases of break in service on account of participation in illegal strike also. In one of the cases, namely, Karan Singh v. Union of India Civil Writ Petition No. 1889 of 1981 S.C Agarwal, J., after referring to the decision of this Court in Dayal Saran Sanan v. Union of India (1980) 3 SCC 25, AIR 1980 SC 554, (1980) 1 SLR 507 observed:
    “In view of the decisions aforesaid, it must be held that an order with regard to the break in service which results in forfeiture of the past service of a Railway employee, cannot be made without observing the principles of natural justice.”
    The learned Counsel for the respondents urged that para 1301 of the Railway Establishment Manual read with para 1304 enabled the Railway authorities to forfeit the service of a Railway servant for participation in an illegal strike unless condoned by the competent authority. We are not now on the question of competence of the Railway authority to make an order of forfeiture of service. The question before us is whether the principles of natural justice should be observed when an order of forfeiture of service on the ground of participation in an illegal strike is to be made. Neither para 1301 nor para 1304 of the Railway Establishment Manual excludes the observance of the principles of natural justice either expressly or by necessary implication. We, therefore, allow the writ petitions and quash the orders dated February 19, 1981, February 21, 1981 and February 18, 1981 which have been filed as Annexures I, II and III of the writ petition. The writ petitions are allowed as indicated.

    Use AI to get other relevant cases.

    Comments

    Shiv Shanker And Another v. Union Of India And Others
    (Jan 23, 1985)