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loyolagbabu (Assistant)     24 December 2013

Dealing with indemnity bond - final help before going to cat

Dear Sir,

 Before posting a new tread, I searched by best to find suitable answer with similar condition, but I was not able to find. So I am posting a detailed position of my problem with the indemnity bond enforced by my organisation.

I joined the Department of Atomic Energy in the year 2008 as a trainee and the training was for a period of 2 years. We have been provided stipend during training. The employer asked me to provide an indemnity bond to work for a period of 5 years( excluding training, including training it is 7 years). The bond stated that if we fail to serve the employer for the stipulated 7 years, we need to pay the stipend money recieved during our training with the present rate of interest of nearest bank. All together the bond is for Rs. 1,10,000 + interest.

Important Conditions Mentioned

"The candidate will not be allowed to appear for any competitive exams including the exams conducted by SSC and UPSC."

Additional Information

Along with us around 50 plus candidates joined as trainee. But before completion of our training another batch (of same eligibility criteria without experience) was taken as direct batch and was fixed pay before the completion of our training. For them no bond was made, though similar training was provided and the nature of work done then and now between both batch is same.

My questions/doubts

1. No where in the indemnity bond nor the interview call letter nor the notification nor the joining order it was mentioned that we need to work in the field prone to radiation. Is not concealing of facts from the employer? Will the bond be valid?

2. Can a department restrict a candidate from appearing in UPSC Civil Service Examination stating contractual obligation? The reason why I ask is, one who joins the organisation at the age of 21/22 will be relieved from bond at his 29. Now he is almost out of the race in Civil Service.

3. I read few court orders related to indemnity bond, in that it was stated that the department need to show the expenditure made in providing training to the indemnifier. Here I would like to bring to your notice, that within DAE every organisation has different period of bond for the same sort of training provided. One organisation has 3 year bond and other has 4 year bond.

4.I filed RTI to ministry of personnel asking them to provide rules regarding service bond enforcement. They have clearly provided that an employee working in PSU or Government can shift to any other government organisation including state government / banks etc., and all they need to do is to execute a fresh bond to do his remaining period of work with the new employer. But when asked about, my organisation quotes that it for those who applied through proper channel or NOC and they are not providing us NOC showing the contractual obligation that we will not be allowed to appear in any exam.

5. After providing for 2 years which included 1 year class training and 1 year field training. I was made to work in the same section for another year. After that I have been shifted to new section which is no where related to the training imparted on me. I tired to learn the new arena and now after another 2 years they are planning to send me to another section which is also quite new.

 

Considering the above mentioned facts, kindly provide me suggestion to deal with it. How to get NOC? How to move further with my organisaition? How to move in CAT?



Learning

 8 Replies

Sudhir Kumar, Advocate (Advocate)     31 December 2013

who signed the bond.

loyolagbabu (Assistant)     31 December 2013

Of course it is me who signed. 

Sudhir Kumar, Advocate (Advocate)     09 March 2014

whether the bond is as per any statutory rule.  CCS rules do not provide for such bonnd unless ic case of study leave.

Kumar Doab (FIN)     11 March 2014

You have posted that:

All together the bond is for Rs. 1,10,000 + interest.”

It is a meager cost for training with such an employer of repute.

The Employer is rotating the trainees in various sections/dept.’s as per its requirement but it shall give exposure also to the employee and that is for the benefit of employee also.

Pay the cost and get yourself relieved without any blot.

 

“No where in the indemnity bond nor the interview call letter nor the notification nor the joining order it was mentioned that we need to work in thefield prone to radiation. “

Has the dept provided sufficient measures to protect from radiations?

If No you have a point.

 

 

Still it is better to Pay the meager cost and get yourself relieved without any blot.

It shall be appropriate to consult lawyer specializing in such matters in person.

loyolagbabu (Assistant)     12 March 2014

@Mr.Kumar Doab : I don't have any problem to pay the bond money, but all I need is NOC to appear for other government jobs particularly the one conducted by SSC/UPSC etc., which they are not providing. They are simply denying to provide NOC, citing the bond. The only option available to me now is to conceal the facts to the new employer and resign from the present employer by paying the bond. By doing so I am losing my 6 years of experience and so on. I am attaching copy of the bond enforcement copy which I got from the ministry through RTI which mentions that candidate need not pay money if they shift to another government organisation, if they apply through proper channel/intimation. Now the employer is telling me that since I will not be allowed to appear in competitive examinations or given NOC, I have to pay the money if I resign.

Can a government organisation deny giving NOC or prevent someone from appearing in SSC/UPSC citing bond obligation? Even in the bond they have mentioned that without permission we should apply outside, they never mentioned that they will not give NOC at any condition.

Secondly related to radiation, the employer claim that they provide enough protection with documents, but in real every employee has to get some dose of radiation. Even the official limits of dose one will exposed in much more than common citizen outside. Sir, is my right to life is not violated here? No where while joining they told me in any form that my exposure to dose is more than outsider.

@Mr.Sudhir : The indemnity bond is for the scientific training recieved by me


Attached File : 951101738 public enterprises enforcement of bond.pdf, 951101738 service bond.pdf downloaded: 309 times

loyolagbabu (Assistant)     12 March 2014

@Mr.Kumar Doab : I don't have any problem to pay the bond money, but all I need is NOC to appear for other government jobs particularly the one conducted by SSC/UPSC etc., which they are not providing. They are simply denying to provide NOC, citing the bond. The only option available to me now is to conceal the facts to the new employer and resign from the present employer by paying the bond. By doing so I am losing my 6 years of experience and so on. I am attaching copy of the bond enforcement copy which I got from the ministry through RTI which mentions that candidate need not pay money if they shift to another government organisation, if they apply through proper channel/intimation. Now the employer is telling me that since I will not be allowed to appear in competitive examinations or given NOC, I have to pay the money if I resign.

Can a government organisation deny giving NOC or prevent someone from appearing in SSC/UPSC citing bond obligation? Even in the bond they have mentioned that without permission we should apply outside, they never mentioned that they will not give NOC at any condition.

Secondly related to radiation, the employer claim that they provide enough protection with documents, but in real every employee has to get some dose of radiation. Even the official limits of dose one will exposed in much more than common citizen outside. Sir, is my right to life is not violated here? No where while joining they told me in any form that my exposure to dose is more than outsider.

@Mr.Sudhir : The indemnity bond is for the scientific training recieved by me


Attached File : 951101738 service bond.pdf, 951101738 public enterprises enforcement of bond.pdf downloaded: 219 times

Kumar Doab (FIN)     13 March 2014

It is suggested that you may not conceal anything from next employer.

The next employer may want you to sign an affidavit/form containing sections on ‘Past Employment’ and concealment may be viewed seriously and may even lead to termination

If you have separated by paying the liquidated damages then why should you conceal.

Printed version of the policies of some of the other employers is available at the following links:

 

>>> CBI: NOC for Higher Studies and Change of Jobs

 General Principles: 14.2.6: (iv)

https://cbi.nic.in/aboutus/adminmanual/Chapter_14.pdf

 

>>>

c. Applications of Government servants who have been given some technical training at Government expenses after commencement of service - Such Government servant cannot justifiably complain of hardship if he is not allowed to capitalize the special qualifications so gained by seeking other better employment. Withholding of application in such a case is therefore justifiable.

 

e. Application of Government servants for employment in private business and industrial firm. etc. - Where a Governmentservant (including a temporary Government servant) seeks permission, to apply for such employment, he should submit his resignation or notice of retirement, as the case may be, before applying for private employment. He cannot complain of hardship if his application is withheld. While a person remains in Government service, the State can legitimately refuse to surrender its claim on his services in favour of a private employer.

 

5. POSTS ADVERTISED BY UNION PUBLIC SERVICE COMMISSION (UPSC/STAFF SELECTION COMMISSION(SSC)


a) Where Government servants apply directly to UPSC/SSC as in the case of direct recruit, they must immediately inform the head of their Office/Department giving details of the amination/post for which they have applied, requesting him to communicate his permission to the Commission directly. If. however, the Head of the Office/Department considers it necessary to withhold the requisite permission, he should inform the Commission accordingly within thirty days of the date of closing for receipt of applications. In case any situation mentioned in para 6 below is existing, the requisite permission should not be granted and UPSC/SSC should be immediately informed of this fact as also the nature of allegations against the Government servant. It should also be made clear that in the event of actual selection of Government servant, he would not be relieved for taking up the appointment, if the charge-sheet / prosecution sanction is issued or a charge-sheet is filed in a court for criminal prosecution, or if the Government servant is placed under suspension.

 

https://crpfdot.blogspot.in/2013/12/forwarding-of-applications-of.html

 

If you feel that your rights have been violated then you can approach court of law.

However it may be a protracted legal battle.

Are other affected employees too willing to join you?

If yes all of you may join hands.

 

It shall be appropriate to consult lawyer specializing in such matters in person and preferably the lawyer who is well versed with service conditions of your establishment.

 

Sudhir Kumar, Advocate (Advocate)     14 May 2014

well explained by Mr Kumar Doab


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