UNION OF INDIA vs N.V. PHANEENDRAN

The Supreme Court held that the Divisional Railway Manager is competent to impose punishment under the Railway Servants (Discipline and Appeal) Rules, as established in Scientific Adviser to the Ministry of Defence v. S. Daniel [1980 (2) SCR 440]. The Court found that the delegation of disciplinary powers is permissible and that the Central Administrative Tribunal's ruling, which set aside the removal order based on the appointing authority issue, was illegal. The appeal was allowed without costs, affirming the disciplinary action taken against the employee.