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Synopsis

The Supreme Court recently observed that the resignation of an employee can be withdrawn before its acceptance by the competent authority.

A bench of Justices P S Narasimha and Pankaj Mithal directed for the reinstatement of appellant S D Manohara within 30 days by respondent Konkan Railway Corporation Ltd.

In the case, the court said that even assuming that the appellant withdrew the resignation letter of December 05, 2013, on May 26, 2014, it was just about five months in a long service of 24 years in the Indian Railways. Between these two admitted dates, lay the competing and highly contested claims of parties that the resignation was either withdrawn or not withdrawn before its acceptance. 

Making an enquiry to find this fact, the bench noted that the respondent-employer strongly relied on the letter of acceptance of resignation of April 15, 2014, and submitted that it had come into effect from April 07, 2014. 

"We are inclined to accept the submission made by the appellant that the letter dated 15.04.2014 is an internal communication. There is no clear evidence about the service of such letter on the appellant. Further, it is also not denied that the appellant has been continuously in touch with the respondent," the bench said.

The court also opined that there was no reason as to why the respondent Corporation would write a letter on May 10, 2014 requesting the appellant to report to duty for considering his unauthorised absence from April 28, 2014 to May 18, 2014.

The bench also noted that it was an admitted fact that the appellant had in fact reported to duty on May 19, 2014. There was also the communication of the appellant's wife on April 17, 2014 and May 20, 2014 requesting that the resignation of December 05, 2013 should not be accepted by the respondents. 

"As there is also the letter dated 10.05.2014 of the respondent asking the appellant to report on duty for considering his unauthorised absence from 28.04.2014 to 18.05.2014 which gives an indication that there was no finality to the letter of resignation dated 05.12.2013," the bench said.

The court held the Karnataka High Court's single judge bench was correct in his conclusion that the resignation was withdrawn before its acceptance. 

The single judge had opined, "I am of the view that petitioner having submitted his letter dated 26.5.2014 seeking to withdraw the resignation much before the effective date, 01.07.2014 with official order on 15.07.2014 by which the petitioner was relieved of his duties, withdrawal of resignation ought to have been accepted by the respondents and continued the petitioner in service."

The contrary decision by the respondents by the communication on June 23, 2014 that withdrawal of resignation was not accepted and decision accepting the resignation stands good, is not sustainable in law, the high court single judge bench had held.

"In our opinion, the decision of the Single Judge is correct, and the Division Bench committed an error in not eschewing the communication dated 15.04.2014 from consideration," the top court said.

The court allowed the appeal and set aside the judgment of the division bench of the Karnataka High Court.

It directed that the appellant should be reinstated into service within thirty days from the date of the order.

Court clarified that the appellant should however be entitled to receive 50 percent of his salary for the period he was said to have been relieved from service i.e. from July 01, 2014 under letter of June 23, 2014 to the date of reinstatement, pursuant to court's orders. The amount should be calculated and paid within a period of two months. This period shall however be counted for pensionary benefits, if any, the top court ordered.

Case Title: S D Manohara Vs Konkan Railway Corporation Limited & Ors