Raj. HC in the case of Nathu Lal vs. State of Rajasthan & Ors. (S.B. Civil Writ Petition No. 10394/2011), recently ruled that an employer cannot deny an employee’s financial entitlements solely on the ground that their acquittal was based on the benefit of the doubt. Emphasizing the principle of fairness, the court held that withholding arrears in such cases is unjust and arbitrary, as an acquittal indicates the absence of sufficient evidence to establish guilt. Given that a suspension is contingent upon pending charges, the court reasoned that once an employee is acquitted, the very foundation of their suspension collapses. As a result, the employer cannot continue to withhold dues on the pretext of an uncertain acquittal. Consequently, the court directed the employer to release the withheld financial benefits without further delay.
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