H.L.GULATI vs UNION OF INDIA .

The Supreme Court upheld the disciplinary action against H.L. Gulati under the CCS (Conduct) Rules, 1964, specifically citing Rule 3(1)(ii), 3(1)(iii), and 3(2)(i). The Court established that the failure to prevent fraudulent claims and maintain integrity in public service constitutes misconduct warranting disciplinary measures. The appeal was dismissed, affirming the findings of the lower authorities regarding Gulati's unauthorized release of funds amounting to Rs.42.24 lakhs.