The insidious effect of the impugned
order, by necessary implication, is that the appellant
employee is reduced in his time scale by two places and it
is in perpetuity during the rest of the tenure of his service
with a direction that two years' increments would not be
counted in his time scale of pay as a measure of penalty.
The words are the skin to the language which if peeled off
its true colour or its resultant effects would become
apparent. When we broach the problem from this
perspective the effect is as envisaged under Rule 5(v) of
the Rules. It is undoubted that the Division Bench
in Sarwan Singh v. State of Punjab (1985) 1 SLJ 513
(P&H), P.C. Jain, A.C.J. speaking for the Division Bench,
while considering similar question, in paragraph 8 held
that the stoppage of increments with cumulative effect, by
no stretch of imagination falls within clause (v) of Rule 5
or in Rule 4.12 of Punjab Civil Services Rules. It was
further held that under clause (v) of Rule 5 there has to be
a reduction to a lower stage in the time scale of pay by the
competent authority as a measure of penalty and the
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period for which such a reduction is to be effective has to
be stated and on restoration it has further to be specified
whether the reduction shall operate to postpone the future
increments of his pay. In such cases withholding of the
increments without cumulative effect does not at all arise.
In case where the increments are withheld with or without
cumulative effect the government employee is never
reduced to a lower stage of time scale of pay. Accordingly
it was held that clause (iv) of Rule 5 is applicable to the
facts of that case. With respect we are unable to agree with
the High Court. If the literal interpretation is adopted the
learned Judges may be right to arrive at that conclusion.
But if the effect is kept at the back of the mind, it would
always be so, the result will be the conclusion as we have
arrived at. If the reasoning of the High Court is given
acceptance, it would empower the disciplinary authority to
impose, under the garb of stoppage of increments,
(sic stoppage) of earning future increments in the time
scale of pay even permanently without expressly stating so.
This preposterous consequence cannot be permitted to be
permeated. Rule 5(iv) does not empower the disciplinary
authority to impose penalty of withholding increments of
pay with cumulative effect except after holding inquiry and
following the prescribed procedure. Then the order would
be without jurisdiction or authority of law, and it would be
per se void. Considering from this angle we have no
hesitation to hold that the impugned order would come
within the meaning of Rule 5(v) of the Rules; it is a major
penalty and imposition of the impugned penalty without
enquiry is per se illegal."