Suspension
Ajay
(Querist) 26 November 2011
This query is : Resolved
Hi,
Dear Friends,
I have a query about suspension of a our employee, company money of Rs.10 K was pocketed by him, some wrong adjustment was done by him in the books of accounts, after that he was suspended by the management & amount deposited to co by him, after taking a writing confirmation from him he accepts this in his letter, after his suspension some more transactions were found wrong & around Rs50K was pocketed by him, but co does have only some amounts of proof that amount taken by him, after that a charge sheet was issued to him to deposit the amount. & enquiry is proceeding agt him but he does not attend any enquiry against him from last two years, company send a letter to him every month about the enquiry proceeding agt him and mark absent. what we should do in this, in the suspension letter it was confirmed that company will pay 50 % salary but not paid to him only cheques were issued & after six month cheque reverse. now he is asking his 50 % salary after adjustment of amount pocketed by him. what we should do in this.
Guest
(Expert) 26 November 2011
You seem to have jumbled two problems together. I feel your primary query is about your feeling of handicap in accomplishment of the inquiry process when the employee is regularly absenting from the inquiry proceedings. The issue of subsistence allowance, cheque bouncing on that count is the secondary issue.
About inquiry, the inquiry can be held ex-parte in that case. But, before that you must publish a notice of inquiry in a local newspaper as well as a newspaper of national importance, clearly mentioning the background of his not attending the inquiry and that the same will be held ex-parte if the employee would remain absent during the proceedings. The Inquiry Officer should hold and conclude the inquiry ex-parte in his absence and give his report to the management, if he still does not appear for inquiry. Based on that the management may take decision to dismiss/terminate his services.
About his subsistence allowance, even if the employee has given his consent to adjust the amount of embezzlement, you cannot make recovery out of his subsistence allowance. You will have to honour the terms of suspension and pay him 50% of his salary.
By dishonour of cheques issued towards his subsistence allowance, your company is liable to be held responsible for violation of the provisions of section 138 of the Negtotiable Instruments Act. So, it is up to you how you would like to deal with such a case.
For recovery of the amount of fraud, you can however launch a separate criminal case against the employee for embezzlement of funds and falsification of official records.
PLEASE KEEP IN MIND, EVERY PROCESS SHOULD NOT BE INTERMINGLED AND HAS TO BE DEALT WITH APPROPRIATELY AND SEPARATELY.
PS Dhingra
[dcgroup1962@gmail.com]
Ajay
(Querist) 26 November 2011
Dear Sir,
Here is one more problem all the entry done by him are approved by his supervisor, as the number of transition, these were not checked by thoroughly,
and about the cheques cheques were not bounce these were not issued to him after expiring the date these were reversed
are we liable to pay 50 % of the salary for two years as he did not attend any enquiry proceedings.
Sankaranarayanan
(Expert) 26 November 2011
yes don't tie a problem with another. under the suspension the company have liable to pay 50% salary.
More over mr dhingara given more suggestion and explanation then your expectation.
As per further query that he was made entry in the book and the duty of verification his supervisor, and also according to his supervisor's approval only all transaction was happened, then how your management left that supervisor in the inquiry and punishment circle.
Guest
(Expert) 26 November 2011
Dear Ajay,
About your supplementary information, the supervisor is equally at fault and is liable for stern disciplinary action against him for his laxity in supervisory duties. Rather, I can say, he is more responsible for the said fraud, as had he performed his duty sincerely and vigilantly, there would not have arisen cause of continuation of fraud on the part of the employee.
About reversal of checks, the language of your own question was the cause of misinteretation, as you did not mention that the cheques after issue were not sent to the employee, rather cancelled. Reversal or write back is the term used for accounting process in the company books and takes place only after cancellation of cheques. You cannot reverse/ writeback the concerned debit and credit entries until the cheques are cancelled.
About salary during suspension period, definitely, the company is liable to pay 50% of the salary, as per the stipulated terms of the company till the employee remains under suspension.
Raj Kumar Makkad
(Expert) 27 November 2011
Dhingra Sir has now clarified second aspect of your original query.
K.S.Srinivas
(Expert) 27 November 2011
I agree with the expert Dhingra.
Ajay
(Querist) 28 March 2012
Dear Sirs,
now this employee is suspended after domestic enquiry but till date no amount is paid to him, now he is asking to pay his suspension salary from the date of suspension, but he never join domestic enquiry proceeding against him. what should we do on this.
Guest
(Expert) 28 March 2012
Irrespective of whether he joins the domestic enquiry proceedings or not, that cannot be the ground for withholding of the subsistence allowance during suspension period. He would be entitled to the same till revocation of suspension or termination of his service, as the case may be.
