News Citation : 2026 LN (HC) 120
February 09, 2026 : The High Court of Chhattisgarh has quashed a show cause notice issued by UCO Bank to one of its former employees, holding that initiating disciplinary action after a delay of nearly two decades was arbitrary, unjustified, and legally unsustainable.
Justice Sachin Singh Rajput allowed a writ petition filed by Ramesh Kumar Bunkar, a retired UCO Bank employee, who had challenged a show cause notice dated May 23, 2022. The notice related to alleged theft and private financial transactions dating back to 2002, when Bunkar was posted at the bank’s Charoda and Kohka branches in Bhilai.
Bunkar had been accused of involvement in a night-time burglary and theft of nearly Rs 14 lakh from the Charoda branch. A criminal case was registered against him under Sections 457 and 380 of the IPC, following which he was placed under suspension in November 2002. After a prolonged trial, a Judicial Magistrate acquitted him in January 2017. That acquittal was upheld by the appellate court in 2018 and later affirmed by the High Court itself in revision proceedings in January 2025.
Despite participating in the criminal proceedings for over 15 years, the bank did not initiate any departmental inquiry during that period. Instead, it issued a fresh show cause notice in 2022, nearly 20 years after the alleged incident, while Bunkar remained under suspension. The suspension was finally revoked only in May 2023 following court directions. He retired from service in July 2023.
The High Court noted that most allegations in the impugned notice related to personal borrowings from private individuals, some of whom happened to be bank customers, and that the amounts were repaid long ago. There was no evidence that these transactions had any connection with Bunkar’s official duties or that any lender had complained of misconduct.
On the charge of theft, the court rejected the bank’s argument that the acquittal was merely on benefit of doubt. It observed that the trial court had clearly held that the prosecution failed to prove the charges beyond reasonable doubt, amounting to a clean acquittal that stood affirmed up to the revision stage.
While reiterating that criminal acquittal does not automatically bar departmental action, the court stressed that such power must be exercised within a reasonable time. Relying on multiple Supreme Court rulings, the judge held that unexplained and inordinate delay in initiating disciplinary proceedings causes serious prejudice, mental agony, and violates principles of fairness under Articles 14 and 21 of the Constitution.
The court found no explanation from the bank for waiting more than 20 years to issue the show cause notice, especially when the alleged misconduct was always within its knowledge. Describing the notice as an afterthought and an attempt to revive a stale issue, the High Court quashed it in its entirety and allowed the petition.
Case Reference : WPS No. 4827 of 2022, Ramesh Kumar Bunkar v. UCO Bank through Chief Manager, Disciplinary Authority, Satyam Complex, BMY Charouda, Bhilai & Others; Counsels: for the petitioner, the petitioner appeared in person; for the respondents, Shri P. R. Patankar, Advocate.
