Dept Proceedings Against Retired Govt Employee Permissible To Determine Loss To Exchequer, Not To Impose Penalty: J&K&L High Court

The Jammu & Kashmir High Court clarified that the Government can continue departmental proceedings against a retired employee, but only for the limited purpose of assessing losses caused to the State exchequer due to negligence or fraudulent acts, and not for imposing penalties under service rules.A Division Bench of Justice Sindhu Sharma and Justice Shahzad Azeem set aside the order of the Writ Court that had quashed departmental action against a retired officer, holding that the initiation of proceedings was valid since the memorandum of charges and statement of imputations were issued before his superannuation in March 2013.The Court observed that under Article 168-A of the J&K CSR Regulations, 1956, the term “instituted” refers to the formal initiation of proceedings by serving a charge memorandum, which had been done while the officer was still in service. Thus, the proviso protecting retirees from fresh proceedings post-retirement was not attracted.Rejecting the contention that acquittal/discharge in criminal proceedings barred departmental inquiry, the Bench noted “There is nothing in the Rules or the general law which would support the contention that once the delinquent employee is acquitted or discharged in judicial proceedings, then no departmental proceedings can be initiated against him. The Government is free to take departmental proceedings even after the closure of criminal/judicial proceedings.”The Court referred to the Supreme Court rulings in S. Pratap Singh v. State of Punjab, and Airports Authority of India v. Pradip Kumar Banerjee, 2025, affirming that departmental and criminal proceedings operate in separate spheres.At the same time, the Bench underscored the limitation: “If such departmental proceedings are continued against a retired Government employee, same shall be only to find out and determine the amount on account of losses caused to the Government by said employee due to his negligence or fraud and would not, in any manner, be applied for imposing any of the punishments enumerated in Rule 30 of the Rules of 1956.”Accordingly, the appeal was allowed, the Writ Court's order was set aside, and the writ petition dismissed. The High Court further directed that the officer shall continue to receive pensionary benefits under Article 168-D of the 1956 Regulations until the conclusion of departmental proceedings.Appearance: Case -Title: UT of J&K vs Aftab Ahmad Malik, 2025Ilyas Nazir Laway, Government Advocate for Appellant Mr N. H. Shah, Senior Advocate with Ms Saima Ghulam, Advocate for Respondent.Click Here To Read/Download Order

Dept Proceedings Against Retired Govt Employee Permissible To Determine Loss To Exchequer, Not To Impose Penalty: J&K&L High Court

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Dept Proceedings Against Retired Govt Employee Permissible To Determine Loss To Exchequer, Not To Impose Penalty: J&K&L High Court

Aleem Syeed

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