Personal Liability of Government Employees and Principles

Personal Liability of Government Employees and Principles

In case of Boloram Bordoloi v. Lakhimi Gaolia Bank [2021] GCtR 309 (SC) principles of personal liability of government employees was explained. Argument of employee that work pressure was there or that employee is willing to pay the costs should not be accepted. Compulsory retirement of such government employee would not be harsh. 

It was also held that if any loan is disbursed by erring officers in contravention of their service conditions, the liability cannot be fastened upon the Bank. Instead, such liability must be also borne upon the concerned officer/manager whose actions led to the erosion of public trust in the Bank and the Bank employee is liable for actioned against him.  

The view is further affirmed in Assistant Director, ED v. Kamal Ahsan [2022] GCtR 1550 (SC) where it becomes clear that for any lapse in litigation by a government department, costs of not less than Rs. 1 lacs has to be imposed on such government department which should be paid personally by deducting such amount from the salary of the concerned government employee who is responsible for such lapse.