02-08-2025
HC reinstates Sidhi bank CEO, slams his suspension for ‘hurting MLA's ego'
Jabalpur: The MP high court has set aside the suspension of Rajesh Raikwar, CEO of the District Central Cooperative Bank in Sidhi, ruling that the action was taken to placate a local MLA rather than for any legitimate administrative reason.
In a strongly-worded judgment delivered on July 29, Justice Vivek Jain said the record showed "undue pressure" had been exerted after Raikwar refused an MLA's demand to reverse the transfer of a bank clerk.
The court observed: "In the present case it is duly indicated from the facts available on record that it was the case of undue pressure being exerted and not a case of general public grievance of the constituency being brought to the notice of the bank management.
It is in fact a case of the MLA feeling ego hurt by refusal of the petitioner to accept her demand of cancellation of transfer of clerk and this led to the entire unpleasant institution.
"
The petitioner's counsel has argued in the court that his client had refused to cancel the transfer of a bank clerk from Gandhi Gram Branch to Sidhi Branch -- a decision the CEO had made using his administrative powers. Raikwar was suspended on June 10.
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The court noted that the suspension order was triggered by a complaint jointly signed by the MLAs and routed through the district's in-charge minister, eventually reaching the cooperative minister, who recommended action against Raikwar. The managing director of the bank then issued the suspension order, citing allegations of "unparliamentary language" used by Raikwar during a phone call with the MLA.
However, the high court found that none of the materials placed on record demonstrated any actual use of indecent language.
The content of the alleged conversation, as quoted in official note-sheets, "did not amount to any indecency," the court said.
Raikwar's counsel had argued that he was being targeted for performing his duties independently and without political interference. The court concurred, calling the suspension a "clear abuse of power" and, "passed only to satisfy the ego of local MLA of the district and nothing else".
On the issue of alternative remedy, the state had contended that Raikwar should have approached the registrar under Section 55(2) of the MP Cooperative Societies Act or the Cooperative Tribunal under Section 77(14).
The court rejected this argument, ruling that given the involvement of the cooperative minister and MLAs, the remedies could not be deemed "efficacious remedy". The high court also observed, "In fact, there is no real remedy at all.
"
Holding the suspension illegal and arbitrary, the HC ordered Raikwar's reinstatement with all service benefits, observing that public servants "suspending the petitioner is held to be an order passed in exercise of excessive powers and actuated by bias and at behest of MLA and the MLA having over reached her jurisdiction to bring the just grievances of public to notice of the bank authority, but it was a case of a clerk using his political connections to bring about cancellation ordered by the CEO.
Therefore, the impugned suspension order deserves to be and is hereby quashed."
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