Recently, the Rajasthan High Court has upheld the reinstatement of a woman government employee whose services were terminated in 2002 following her arrest in a cheating case, in which she was later acquitted.

A Division Bench comprising Dr. Justice Pushpendra Singh Bhati and Justice Anuroop Singhi was hearing a special appeal filed by the State against a Single Judge’s order that had affirmed the Labour Court’s award directing reinstatement of the employee.

Case Brief:

In the said matter, the woman services were terminated in 2002 after an FIR under Section 420 IPC was registered against her. The Court arrested her and thereafter she challenged the termination by raising an industrial dispute before the Labour Court.

During the pendency of those proceedings, she was acquitted of all charges by the competent criminal court on December 3, 2011.

Earlier, by an award dated August 8, 2005, the Labour Court had set aside the termination order and directed her reinstatement on the same contractual terms that existed prior to her termination. The State challenged this award before the Single Judge.

By an order dated March 14, 2024, the Single Judge granted partial relief to the State by denying back wages but directed that all other notional benefits be extended to the respondent. Aggrieved by this, the State preferred an appeal before the Division Bench.

The State argued that mere acquittal in a criminal case does not automatically entitle an employee to reinstatement unless the termination is shown to be perverse or legally unsustainable.

On the other hand, the respondent contended that her termination was solely based on the pendency of the criminal case, and once she was acquitted, the very foundation of the termination ceased to exist.

After considering the submissions and examining the record, the High Court found no reason to differ from the views taken by the Labour Court and the Single Judge. Holding that there was no perversity or jurisdictional error warranting interference, the Division Bench dismissed the State’s appeal.

Case Title: The State of Rajasthan v. Smt. Manju Berwa & Anr.