CENTRAL BANK OF INDIA LTD., NEW DELHI vs SHRI PRAKASH CHAND JAIN

The Supreme Court ruled that under Section 33(2)(b) of the Industrial Disputes Act, 1947, an Industrial Tribunal can disregard the findings of a domestic inquiry if those findings are perverse, meaning they are not based on legal evidence or are unreasonable. The Court held that hearsay evidence cannot be considered legal evidence in domestic inquiries, and findings based solely on such evidence are perverse. The Tribunal's decision to not approve the dismissal was upheld as the findings were deemed perverse due to lack of substantive evidence.