Disciplinary Action [Thread 561344]

Respected Seniors,
If a misconduct of fraud is happened in Nov 2014 can we take actions in May 2016?
A simple question but i am so confused. Management asking me to take action. What should I do?
Regards,
Abhay Ashtoorkaer

Dear Abhay,
Serious misconduct like fraud committed by an employee during the course of his employment does not get extinguished automatically by the passage of time. The actual time of detection of the misconduct is equally important. Generally misconducts like fraud would get exposed only when the consequences begin to surface out. So, the date of detection of the misconduct would justify the belated disciplinary action unless it is restricted by the service rules of the establishment.

What is the nature of fraud committed?
As learned member above states- fraud charges do not become invalid just because time has passed and there is delay.
So the importance of nature of fraud,how and when it was discovered become relevant.,give the employee full opportunity to defend himself.
On conclusion of enquiry if he is found guilty management can take appropriate action.
Delayed punishments,enquiries do not in general look good and have full effect.

As already mentioned above, the time of discovery/ detection of fraud is very important. However, assuming that the fraud took place two years back and you discovered it one month back you can easily take disciplinary action. However, if the fraud was discovered 2 years back and you remained silent, then your ground becomes weak. However, you can still initiate an enquiry provided that you have sufficient ground to cover such long delay of 2 years. If this is a serious issue, then consult a labour lawyer with documents before proceeding further.
Check my blog at www.labourlawhub.com

Keeping quiet for long can give an indication of condonation of fraud.
Here delay is nearly 2 years.
You may need to consider reasons for waiting so long to initiate action.
Fraud is serious irregularity and needs immediate action-enquiry and punishment as required.
The concerned employee can always use laches as an excuse to evade consequences of his acts.
Proceed with caution and after considering all angles.

Dear Abhay,
Fraud or a no fraud, any misconduct any time during service period of the employee attracts disciplinary action against him.

Action for a misconduct can be initiated during the period of service of an employee at the earliest opportunity when it is detected. Since the word "fraud" has been used, it means there was grave misconduct involving loss to company. Loss may be in monetary or in any other form i.e. damage to the reputation of the company etc. The management must have sufficient material of evidence on record to prove the charge. The company may consult a subject expert. It is not necessary that he is an advocate, but he must be professional having sound knowledge of disciplinary proceedings. If the company decides to conduct inquiry, it may appoint an inquiry officer and a presenting officer and afford opportunity of defence to the employee. The employee will also be given an opportunity engage a Defence Assistant during inquiry, but he will not be a practising advocate.

If you like you can get the charge sheet vetted from me. The success of charge sheet mainly depends upon the sufficient evidence available on record with company. Relevant witnesses will also have to be identified to support the charge during the process of inquiry.

Regards
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