Dear Mohikhan,
Pl doesn’t adopt unethical practices.
The employee is ethical he has decalred where he is moving, had he not declared, it would have been difficult for you to find it. You can restrict his access to companys confidential information. Again he is ready to serve one month notice as per the agreement. It is not legally & morally correct to relieve an employee without a pay.
If he goes in a court of Law, it will cost u much not only financially but from HR & employee moral & conduct & in turn productivity point of view also,.it will send the negative message to all other employee.” If it can done employee, it can done to us also".
If one wants to terminate an employee one need to give an show cause notice in advance & time for him explain his side also, unless caught red-handed for doing wrong things.
So give him a notice pay & settle out this issue.
Regards
Raghunath