No Departmental Inquiry Against Ill Employee, Benefits Cannot Be Withheld: High Court Order

New Delhi, November 15, 2025: In a case involving departmental inquiries against employees accused of corruption, the Allahabad High Court of Uttar Pradesh has delivered a landmark judgment. The High Court has ruled that if an employee is severely ill, no departmental inquiry can be conducted against them, and if they have applied for VRS (Voluntary Retirement Scheme), a decision on the application must be made regardless of the pending accusations. The bench comprising Justice Manoj Kumar Gupta and Justice Siddharth Nandan delivered this verdict on a special appeal filed by the Dakshinanchal Vidyut Vitran Nigam Limited, Aligarh.

Manohar Singh vs. Dakshinanchal Vidyut Vitran Nigam Limited, Aligarh

Petitioner Manohar Singh, a resident of Aligarh district in Uttar Pradesh state, was employed as a Technician Grade-II in the Electricity Department. An allegation of corruption led to a departmental inquiry order against him, and during this period, his health deteriorated. Manohar Singh was unable to appear for the inquiry. As per departmental rules, he was given an opportunity to present his side, but due to his illness, he could not do so. In such a situation, as per the rules, Manohar Singh was dismissed from service.

No Departmental Inquiry Against Ill Employee: High Court

A petition was filed in the High Court on behalf of employee Manohar Singh. The High Court quashed the dismissal order and directed that the inquiry process should only proceed after the employee is medically fit and his fitness is certified by a medical board.

Can Employees Accused of Corruption Be Granted VRS?

Following the High Court's order, a medical board examined the employee's health and reported that due to multiple brain strokes, the employee suffers from severe physical and mental disability. He is unable to communicate or comprehend proceedings. In July 2024, the employee's wife applied for VRS on medical grounds, but as per Civil Services Rules, employees cannot be granted voluntary retirement benefits during an ongoing departmental inquiry process. Therefore, the department did not consider the VRS application.

If Inquiry Is Not Possible, VRS Can Be Granted: High Court

Another petition was filed in the High Court on behalf of the employee. A single bench ordered the department to decide on the employee's voluntary retirement application, irrespective of the corruption allegations against him. This time, the department filed an appeal against the High Court's order. The High Court accepted the department's appeal and directed that instead of the medical board, an examination be conducted at AIIMS. After AIIMS doctors examined the employee's health, they confirmed the medical board's report as correct. The division bench stated that when an inquiry is not feasible at all, the justification for departmental action ceases to exist. Therefore, the department must dispose of the employee's VRS application within four weeks.