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Supreme Court of India· 19 March 2026

Whether there is any perversity or infirmity in the enquiry report and the orders passed by the Disciplinary or Appellate Authority, and can it be raised when it was not pressed before the High Court?

VIRINDER PAL SINGH v. PUNJAB AND SIND BANK & ORS
2026 INSC 266 · CIVIL APPEAL NO. 3571 OF 2026
Coram: Pamidighantam Sri Narasimha; Manoj Misra
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Answer

No perversity was found and the plea was not permitted. In his comments on the Inquiry Report the appellant did not claim denial of due opportunity of hearing or a faulty procedure, nor did he challenge the finding that no bills were on record; and no argument on the merits of the charge was pressed before the High Court.

Headnote

Punjab and Sind Bank Officers' Service Regulations, 1982 — Regulation 20(3)(iii) — Punjab and Sind Bank Employees' Pension Regulations, 1995 — Disciplinary proceedings after superannuation — Reduction in the scale of pay — Implementability of punishment — End-use of loan — Misconduct — Punjab and Sind Bank Officers' Service Regulations, 1982 — Regulation 20(3)(iii) — Proceedings continue after superannuation — Held: Where the extant service Regulations permit continuance of disciplinary proceedings initiated before superannuation, those proceedings can be continued and brought to their logical conclusion thereafter. The Regulation being statutory in nature, the fiction that the officer is deemed to be in service must be given full effect. (¶29, 36) Punjab and Sind Bank Officers' Service Regulations, 1982 — Penalty after superannuation — Punishment must be implementable — Held further: Where the penalty is dismissal there is no technical difficulty, as it results in forfeiture of pension and other retiral dues. But where the punishment results in mere reduction or adjustment of pension, the Court must consider whether it is implementable post-retirement. (¶36) Punjab and Sind Bank Officers' Service Regulations, 1982 — Reduction by three stages in the scale of pay — Pension computed on salary last drawn — Held further: A reduction of the pay scale by three stages on a permanent basis relates back to the date the incumbent superannuated. Since pension is ordinarily computed on the salary last drawn, such a punishment is not difficult to implement. (¶37) Bank officer — Failure to ensure end-use of loan — Financial irregularity; dereliction constitutes misconduct — Held further: A bank officer holds a position of trust as he deals with public funds, and failure to ensure end-use of a loan is a financial irregularity which cannot be questioned merely because no loss is suffered by the Bank. Any dereliction, whether by negligence, casualness or deliberate intention, constitutes misconduct; appeal dismissed. (¶19, 20, 39)

In the Court's own words
Paragraph 16The appellant was given opportunity to submit his comments on the Inquiry Report. In his comments to the Inquiry Report, the appellant did not claim that he was not given due opportunity of hearing or that a faulty procedure was adopted by the Inquiry Officer. In fact, he did not even challenge the finding of the Inquiry Officer that no Bills were there on record. Rather his stand was that his predecessor-in-office had also not taken Bills, but no objection was taken to his predecessor’s conduct. In that backdrop, the disciplinary authority, while accepting the finding of the Inquiry Officer, imposed the punishment in question.
Paragraph 21In that backdrop, we find neither any perversity in the finding(s) returned by the Inquiry Officer nor do we deem it appropriate to permit the appellant to question the merit of the finding(s) that Charge No. 2 was partly proved, particularly when no such plea was pressed before the High Court.
Acts & Sections
Regulation 20(3)(iii) Punjab and Sind Bank Officers' Service Regulations, 1982Regulation 2 Punjab and Sind Bank Officers' Service Regulations, 1982Punjab and Sind Bank Employees' Pension Regulations, 1995

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Also decided in this judgment
Whether post-retirement of the appellant, punishment of reduction of three stages in the scale of pay, as imposed by the respondent, was permissible under the extant Service Regulations, or action under the Pension Regulations was the only way forward?Does every penalty imposed after superannuation stand on the same footing, or must the Court consider whether it is implementable?Can penal action against a bank officer for failing to ensure end-use of a loan be questioned merely because the Bank suffered no loss?Does negligence or casualness by a bank employee handling depositors' money, without deliberate intention, constitute misconduct?
Plain-language answer prepared by the LexStreak Editorial Desk — verify against the judgment. Source: Supreme Court of India. Corrections