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  • provisions of Rule 14 of the Central Civil Services (Classification, Control and Appeal) Rules 1965. Although the provisions of Rule 14
  • Rule 15 of the Civil Services (Classification Control and Appeal) Rules 1957,
  • provision of the Public Servants (Inquiries) Act, 1850,
  • provisions of Rule 14(2)
  • Rule 14(2)
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  • provisions of Rule 14 of the Central Civil Services (Classification, Control and Appeal) Rules 1965. Although the provisions of Rule 14
  • Rule 15 of the Civil Services (Classification Control and Appeal) Rules 1957,
  • provision of the Public Servants (Inquiries) Act, 1850,
  • provisions of Rule 14(2)
  • Rule 14(2)
Smart Summary

Structured Summary of the Opinion (T.K. Basu, J.)

Factual and Procedural Background

This appeal is from the judgment and order of P.K. Banerjee, J. in C.R. No. 5005(W) of 1970 dated 17 August 1973, in which the trial judge quashed a show-cause notice dated 14 August 1970 issued by the Collector of Customs and made the Rule absolute.

Relevant factual and procedural events (as set out in the opinion):

  • In 1964 a notice similar to the 14 August 1970 notice was issued by the Collector of Customs against the respondent; the respondent replied and, according to him, the Collector was satisfied and dropped proceedings thereafter.
  • Records produced before the trial judge included a letter from the Collector dated 18 August 1965 to the Superintendent of Police, CBI, setting out an elaborate analysis and concluding that the Investigating Officer's report "has no legs to stand on." After that, the matter lay dormant.
  • On 16 April 1970 the Central Vigilance Commissioner wrote indicating that the case should be started again on a charge of major penalty and that final orders on the Enquiry Officer's report should not be passed without reference to the Central Vigilance Commission; the CBI should appear for the prosecution.
  • On the basis of that letter the Collector issued the impugned show-cause notice dated 14 August 1970.
  • The trial court quashed this 1970 notice; the present appeal challenges that judgment.
  • During the pendency of the appeal the respondent was promoted on the recommendation of the Departmental Promotion Committee; no application was made by the appellants to stay the promotion pending the appeal.

Legal Issues Presented

  1. Whether the proceedings initiated by the 1964 notice constituted only a preliminary enquiry (not subject to the full rigours of departmental proceedings) or whether they amounted to departmental proceedings/chargesheet calling for a formal explanation by the respondent.
  2. Whether issuance of a second show-cause notice in 1970 based on substantially the same materials as the 1964 proceedings was permissible, particularly where the Collector earlier appeared to have concluded there was no case.
  3. Whether the promotion of the respondent during the pendency of the appeal operates as a condonation of the allegations of misconduct and thus constitutes a bar to the appellants' challenge (i.e., whether executive action in promoting the respondent precludes pursuing disciplinary consequences on identical charges).

Arguments of the Parties

Appellants' Arguments (as advanced by Mr. Saktinath Mukherjee)

  • The 1964 notice was in the nature of a preliminary enquiry to ascertain whether there was a prima facie case for departmental proceedings, not a chargesheet initiating disciplinary proceedings.
  • Rule 15 of the Civil Services (Classification, Control and Appeal) Rules, 1957 contemplates an enquiry of this sort; because the 1964 notice did not specify a formal enquiry, it should be construed as preliminary rather than disciplinary.
  • The appellants relied on Supreme Court decisions (Amalendu Ghosh and Champaklal Chimanlal Shah) to support the proposition that preliminary enquiries to determine a prima facie case are not governed by Article 311(2) and are distinct from formal departmental proceedings.

Respondent's Arguments (as advanced by Mr. Somnath Chatterjee)

  • The 1964 notice was effectively a chargesheet to which the respondent submitted an explanation; the Collector, after considering the explanation and the CBI report, concluded there was no case and the proceedings were dropped.
  • Under Rule 14(2) of the Central Civil Services (Classification, Control and Appeal) Rules, 1965, disciplinary proceedings require the disciplinary authority to form the opinion that there are grounds to inquire; here the Collector had formed the opinion in 1965 that there was no case to proceed with.
  • The 1970 initiation of proceedings was at the instance of an outside authority (the Central Vigilance Commission) rather than a bona fide exercise of the Collector's statutory power.
  • By promoting the respondent during the pendency of the Rule Nisi and this appeal, the Customs Authorities must be deemed to have condoned the alleged misconduct; reliance was placed on State of Punjab v. Dewan Chuni Lal.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Amalendu Ghosh v. District Traffic Superintendent, North-Eastern Railway, Katihar (AIR 1960 SC 992) Outline of the nature of a preliminary enquiry: authorities cited to support that preliminary enquiries to determine prima facie cases differ from formal departmental proceedings. Recorded as relied on by the appellants to characterise the 1964 proceedings as a preliminary enquiry. The Court noted the reliance but did not decide the substantive issue on this authority because the appeal was disposed of on a preliminary point.
Champaklal Chimanlal Shah v. Union of India (AIR 1964 SC 1854) Supports the proposition that a preliminary enquiry to determine whether a prima facie case exists is not governed by Article 311(2) of the Constitution. Also recorded as relied on by the appellants for the preliminary-enquiry characterization. The Court observed the reliance but did not rule on the merits under this authority before deciding the appeal on another ground.
State of Punjab v. Dewan Chuni Lal (AIR 1970 SC 2086) Principle that allowing crossing of an efficiency bar (or similar promotion) during pendency of adverse material may indicate that the authorities treated the officer favourably and can amount to condonation of earlier adverse allegations. The Court accepted and applied the principle from this decision: the promotion of the respondent during the pendency of proceedings/appeal amounted to condonation of the allegations and justified dismissal of the appeal on that preliminary ground.

Court's Reasoning and Analysis

The Court set out the factual matrix from the record: a 1964 notice issued on a CBI report; the Collector's detailed 18 August 1965 letter finding the CBI report unsustainable; and the Central Vigilance Commission's 16 April 1970 letter prompting fresh proceedings, which led to the 14 August 1970 notice now impugned.

The Court summarized the opposing legal contentions: appellants contended the 1964 action was merely a preliminary enquiry (citing Rule 15, 1957 Rules and Supreme Court authority), while the respondent contended that the 1964 notice operated as a chargesheet and that the Collector had in 1965 concluded there was no case to proceed and thereby effectively dropped proceedings.

Rather than address those substantive contentions, the Court identified and relied on a dispositive, preliminary fact: during the pendency of the Rule Nisi and this appeal, the respondent was promoted on the recommendation of the Departmental Promotion Committee and that promotion was implemented without any application by the appellants to stay or make the promotion conditional on the result of the appeal.

On that basis, the Court examined whether the promotion during pendency amounted to condonation. The Court accepted the respondent's reliance on the Supreme Court's decision in State of Punjab v. Dewan Chuni Lal and its reasoning about the incompatibility of taking a serious adverse view of the officer while simultaneously recommending or permitting promotion. The Court found it "unthinkable" that the authorities could have seriously pressed charges of graft and corruption and yet have promoted the respondent in the course of these proceedings.

Invoking equitable principles and the doctrine that an authority should not "approbate and reprobate" (i.e., take inconsistent positions), the Court held that the action of promoting the respondent amounted to condonation of the allegations against him and that, therefore, the appellants could not maintain the appeal. The Court expressly declined to pronounce on the merits of the parties' competing contentions about the 1964 proceedings and Rule 14(2) / Rule 15 issues because it dismissed the appeal on the preliminary point of condonation by promotion.

Holding and Implications

APPEAL DISMISSED

Holding (core ruling): The Court dismissed the appeal on the preliminary ground that the respondent's promotion by the Customs Authorities during the pendency of the Rule Nisi and this appeal amounted to condonation of the allegations against him; consequently the appellants could not pursue the appeal.

Implications and direct consequences:

  • The appeal against the trial judge's order quashing the 1970 show-cause notice was dismissed without the Court expressing any view on the substantive merits of the parties' competing legal contentions concerning whether the 1964 proceedings were preliminary or disciplinary.
  • The Court applied equitable reasoning and precedent (State of Punjab v. Dewan Chuni Lal) to treat promotion during pendency as inconsistent with a continued serious pursuit of disciplinary action and therefore as condonatory.
  • There was no order as to costs of the appeal.

No new precedent was announced; the Court resolved the dispute on the specific factual circumstance of promotion during pendency and applied existing authority.

End of summary.

    The Collector Of Customs v. Rebati Mohan Chatterjee

    T.K Basu, J.:—This appeal is directed against the judgment and order of P.K Banerjee, J. in C.R No. 5005(W) of 1970 dated 17th August, 1973. The Rule was directed against a show cause notice issued against the respondent by the Collector of Customs dated the 14th August, 1970. By the judgment under appeal, the learned trial Judge quashed the impugned notice and made the Rule absolute.

    2. The case of the respondent before the learned trial Judge was shortly that a notice similar to the notice dated the 14th August, 1970 was issued by the Collector of Customs in 1964. The respondent replied to that show cause notice and on perusal of the reply, according to the respondent, the Collector of Customs was satisfied that there was no case against the respondent and dropped the proceedings. It is not really disputed that the notice dated the 14th August, 1970 which is the subject matter of the present proceedings is issued on more or less the same grounds as the earlier notice.

    3. In the affidavit-in-opposition filed on behalf of the appellants before the trial court it was not made clear whether the proceedings initiated on the basis of the 1964 notice were dropped or not. But it appears that before the learned trial Judge the late Mr. A.C Mitra appearing on behalf of the present appellants produced all the records. From the records, it transpired that the previous notice of 1964 was initiated on a report by the Central Bureau of Investigation. The learned trial Judge in the judgment refers to a letter from the Collector of Customs dated the 18th August, 1965 to the Superintendent of Police, CBI, SPE Division in extenso. In the letter, the Collector of Customs went into an elaborate analysis of all the various allegations against the respondent and the report of the Investigating Officer of the CBI at whose instance the notice was issued. The letter concludes with the observation that “in the circumstances, this report (meaning the report of the Investigating Officer) has no legs to stand on.”

    4. Thereafter, nothing was heard about the matter till as noted by the learned trial Judge and as transpires from the records that the Central Vigilance Commissioner in a letter dated the 16th April, 1970 came to the conclusion that the case against the respondent should be started again on a charge of major penalty. It was further stated in the said letter that final orders on the Enquiry Officer's report should not be passed by the Collector without previous reference to the Central Vigilance Commission. The CBI it was, stated should also be asked to appear for the prosecution before the Enquiry Officer.

    5. It is on the basis of this letter that the impugned notice dated the 14th August, 1970 was issued against the respondent before us.

    6. Mr. Saktinath Mukherjee the learned advocate appearing on behalf of the appellants urged, in the first place, that the proceedings initiated by the notice of 1964 was really in the nature of a preliminary enquiry and was not disciplinary proceedings. That enquiry according to Mr. Mukherjee was for the sole purpose of finding out whether there was a prima facie case against the respondent which could be taken up by way of disciplinary proceedings. He drew our attention to Rule 15 of the Civil Services (Classification Control and Appeal) Rules 1957, which according to Mr. Mukherji contemplates an enquiry. Since the notice of 1964 did not mention any such enquiry which was to be held, it should be construed as merely a notice of a preliminary enquiry and not a chargesheet. Consequently, the learned trial Judge was in error when he came to the conclusion that the respondent was sought to be proceeded against twice by way of disciplinary proceedings on the same materials.

    7. Mr. Mukherjee relied on a decision of the Supreme Court in the case of Amalendu Ghosh v. District Traffic Superintendent, North-Eastern Railway, Katihar , Katihar reported in AIR 1960 SC 992 wherein Gajendragadkar, J. (as he then was) outlines the nature of a preliminary enquiry. He also relied on another decision of the Supreme Court in the case of Champaklal Chimanlal Shah v. Union Of India . reported in AIR 1964 SC 1854 in support of the proposition that when there is a preliminary enquiry to determine whether there is a prima facie case for formal departmental enquiry, such a preliminary enquiry is not governed by Article 311(2) of the Constitution of India.

    8. The proposition that there can be a preliminary enquiry against a proposed delinquent in order to find out whether there exists a prima facie case against him for departmental proceedings cannot possibly be disputed. Similarly it cannot be disputed and, indeed, was not disputed, that such an enquiry would not come within a strict ambit of departmental proceedings. The question that arises for consideration in this appeal is whether the proceedings initiated by the notice of 1964 against the respondent was in the nature of a preliminary enquiry or was part of the departmental proceedings.

    9. Mr. Somnath Chatterjee, appearing on behalf of the respondent submitted that the notice of 1964 was really a chargesheet to which the respondent was called upon to submit an explanation. With reference to the records of the proceedings which were produced before the learned trial Judge, Mr. Chatterjee argued that the proceedings in 1964 by way of the chargesheet were initiated on a report of the Central Bureau of Investigation. He referred to the elaborate analysis that the Collector of Customs made in his letter dated 18th August, 1965 to the Superintendent of Police, CBI, SPE Division in respect of the alleged charges against the respondent and come to the conclusion that the report of the CBI “has no legs to stand on”. In that view of the matter, it must be held that the Collector of Customs after having sent a chargesheet to the respondent and having considered his explanation came to the conclusion that there was no case against the respondent and as such the proceedings were dropped. Consequently, the respondent would not be proceeded against on identical materials by way of a second notice to show-cause.

    10. The next submission of Mr. Chatterjee was based on the provisions of Rule 14 of the Central Civil Services (Classification, Control and Appeal) Rules 1965. Although the provisions of Rule 14 have been considered by the learned trial Judge, it will be useful to set out the provisions of Rule 14(2) which are as follows:

    “Whenever the disciplinary authority is of the opinion that there are grounds for inquiring into the truth of any imputation of misconduct or misbehaviour against a Government servant, it may itself inquire into, or appoint under this rule or under the provision of the Public Servants (Inquiries) Act, 1850, as the case may be, an authority to inquire into the truth thereof.”

    11. According to Mr. Chatterjee, the condition precedent for disciplinary proceedings under Rule 14(2) of the above mentioned Rules is the formation of an opinion by the Disclinary Authority that there are grounds for enquiring into the case of a delinquent. The Disciplinary Authority admittedly was the Collector of Customs in the present case. That Disciplinary Authority had in 1965 in fact formed an opinion that there was no case against the respondent to be proceeded with. It was only at the instance of the Central Vigilance Commission that in 1970 a successor of the previous Collector of Customs was prevailed upon to issue the second show-cause notice. The initiation of the proceedings in 1970 in this manner, according to Mr. Chatterjee, was really at the instance or behest of an outside authority and was not a bona fide exercise of power of the Collector of Customs under the above mentioned Rules.

    12. We are merely recording the contentions advanced on behalf of the respective parties but we do not propose to express our opinion on them. This is because, in our view, this appeal must fail on a preliminary point which we propose to deal with now.

    13. It is an admitted fact that after the disposal of the Rule Nisi by the learned trial Judge and during the pendency of this appeal the respondent has been promoted to a higher post by the Customs Authorities. It is also an undisputed fact that the promotion was on the recommendation of a Committee known as the Departmental Promotion Committee. This Committee as is well-known goes into the question of the merits and suitability of each candidate for promotion before making its recommendations. This Committee as we have stated recommended the promotion of the respondent which was acted upon by the Authorities and the recommendation was implemented during the pendency of the appeal.

    14. It may be mentioned that no application was made by the appellants before the Court of Appeal for any order that the promotion of the respondent be stayed pending the disposal of the appeal or that the promotion should abide by the result of the appeal.

    15. Relying on these admitted facts, Mr. Chatterjee contended that by this action of promoting the respondent, the Customs Authorities should be deemed to have condoned any allegation of misconduct against the respondent. He placed strong reliance on a decision of the Supreme Court in the case of State of Punjab v. Dewan Chuni Lal reported in AIR 1970 SC 2086. In that case during the pendency of the departmental proceedings the delinquent was allowed to cross the efficiency bar. Dealing with this aspect of the matter G.K Mitter, J. on behalf of the Court observed as follows:

    “In our view reports earlier than 1944 should not have been considered at all in as much as he was allowed to cross the efficiency bar in that year. It is unthinkable that if the authorities took any serious view of the charge of dishonesty and inefficiency contained in the confidential reports of 1941 and 1942 they could have overlooked the same and recommended the case of the officer as one fit for crossing the efficiency bar in 1944. It will be noted that there was no specific complaint in either of the two years and at best there was only room for suspicion regrading his behaviour”.

    16. Relying on these observations of the Supreme Court, Mr. Chatterjee submitted that although that case was one of crossing the efficiency bar and the present one of promotion, the same principle must apply to the present case. In other words, it must be held that by granting the promotion to the respondent the Customs Authorities must be deemed to have condoned any allegation of misconduct against the respondent. Mr. Chatterjee submitted that the Customs Authorities must not be allowed to take up inconsistent positions and there must be some predictability in the action of executive or Statutory authorities.

    17. In our view, this contention of Mr. Chatterjee is sound and should be upheld. After all, the allegations against the respondent was of graft and corruption since he was being charged with having acquired assets disproportionate to his known sources of income. If the Customs Authorities were really serious in pressing the charge it is, in our view, unthinkable how during the pendency of this appeal they could have promoted the respondent. This action of promotion should, in our view be held, to amount to a condonation of any allegation against the respondent. After all this Court is exercising its equitable jurisdiction in granting discretionary relief. The appellants in our view cannot be allowed to approbate and reprobate at the same time.

    18. In that view of the matter, we dismiss this appeal on this preliminary question without pronouncing on the merits of the contentions advanced by the respective parties.

    There will be no order as to the costs of this appeal.

    M.N Roy, J.:—I agree.

    Appeal dismissed.

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    Comments

    The Collector Of Customs v. Rebati Mohan Chatterjee
    (Aug 27, 1976)