Notice period is for enabling the company to find replacement of the outgoing employee and train him to perform the tasks so that work of the company is not affected.
The appointment letter, employee rule book (which is usually circulated in welcome kit to the new joinee, kept at HR wage of intranet, and available with concerned Hr personnel), certified standing orders of the company (which are displayed at the entrance, kept at HR wage of intranet, and available with concerned HR personnel) SE Act applicable to your state (which can be accessed at website of labor dept or purchased from the market, and is available with lawyers) may be studied carefully. You may discuss your matter with a competent and experienced service lawyer at your location.
What is expressed in clause of termination in case termination is initiated by the company?
Has the company mentioned that company can accept the notice of resignation before effective date of resignation and relieve the employee by paying notice pay for the balance no. of days/ or no salary for the balance no. of days shall be payable?
Have you been able to submit the company property and obtain acknowledgment?
If company can terminate by notice or notice pat in lieu of notice same can be implied for employee.
Apparently after the email by AVP-HR chances of amicable settlement have reduced.
Has AVP-HR charged you for having caused loss?
However you may immediately, submit a written representation under acknowledgment addressed to the good offices of your appointing authority, MD, with a copy to Head-HR, and request for accepting notice pay in lieu of notice by adjusting it in FNF statement and mention that if any amount is found correct as due to be paid by you shall pay the same by a/c payee cheque favoring the company receipt of which shall have to be issued by company on the spot under original seal and signature of the competent employee. You may mention as written by you that “I am ready to do the smooth tranisiton of my work in each circumstances by stratching to my standard shift hours or working in weekends.”
You can also try by applying your rapport goodwill with line management/HR.
In such situations employee need to apply exceptional levels of persuasion, persistence, negotiation, reasoning skills to settle the matter amicably.
If nothing woks you may approach a competent and experienced service lawyer and your lawyer may choose to draft a notice by you or legal notice, and may decide to approach O/o Labor commissioner or civil court.
You should have submitted an email/letter to your current employer that your past employer may not issue acceptance of resignation/work experience certificate/relieving letter and you shall be able to submit only the copy of resignation, POD and you should be allowed to join on the strength of these documents only. You can negotiate to compensate you for the notice pay.