STATE BANK OF INDIA vs HARBANS LAL

The Supreme Court addressed the legality of the suspension of an employee of the State Bank of India prior to the issuance of a charge-sheet, referencing the Sastry Award and its subsequent modification by a bipartite settlement. The Court held that the suspension was illegal as it violated the provisions of the Sastry Award, which stipulates that an employee can only be suspended after the initiation of an inquiry. Consequently, the Court ruled that the employee was entitled to full salary for the period of suspension, thereby overturning the High Court's decision that had deemed the suspension void.