Gratuity

SHASHIDHAR A (Querist) 08 July 2014 This query is : Resolved
Respected Sirs,

When an employee commits fraud to the tune of 4 lakhs to the company. At the same time if he is entitled for Gratuity amount of Rs.1.6 lakhs, can the employer forfeite the Gratuity and adjust the same amount to the liability which he has done fraudelently.

Thank you in advance

Shashidhar A

Follow Query

Report Abuse

Kumar Doab (Expert) 08 July 2014
Process of Natural Justice has to be followed........................issue show cause notice, conduct inquiry, provide opportunity of defense..................prove the fraud................issue speaking order.......

Guest (Expert) 08 July 2014
First of all fraud has to be established by due process of disciplinary proccedings by issuing show cause notice, preliminary investigation in to the case, holding domestic/ departmental inquiry and allowing the employee the opportunity of defence. You have not mentioned whether you have followed the above process or not.

However, unless fraud is proved during domestic/ departmental inquiry process, you cannot forfeit gratuity. You can forfeit the gratuity in full or part, but cannot adjust a single penny of the company out of the amount due to be paid as gratuity to the employee.

Rajendra K Goyal (Expert) 08 July 2014
Agree with the experts.

Previous

Next

You need to be the querist or approved LAWyersclub expert to take part in this query .

Click here to login now

Similar Resolved Queries :

Ask Query
Unanswered Queries