ENA State 2018-08-15 14:58:09 <p><strong>New Delhi, Aug 15 (KNN)</strong> According to a recent judgement by the Chennai Civil Court, the trade union will have to pay compensation for defaming the management and it hoped that the judgement would serve as a warning bell to the belligerent trade union leadership.</p> <p>It hoped that the judgement would restrain them from making unfounded allegations against the managements and its business activities.</p> <p>A civil suit was filed by State Bank of India (SBI) before the City Civil Court, Chennai, claiming monetary damages against the trade union for defaming the reputation of the bank.</p> <p>S Ravindran, Senior Advocate, Chennai, appeared for the State Bank of India in the matter.</p> <p>In May 2006, State Bank of India Ambedkar Trade Union posted posters and issues pamphlets in and around the city of Chennai and in the vicinity of SBI branches and Head Office making scandalous allegations against the bank and its Chief Manager to the effect that huge amount of money is looted by the officers in various branches of SBI.</p> <p>The Respondent SBI filed a civil suit against the Ambedkar Union and the three appellants claiming damages in a sum of Rs.11,00,000/- for pasting posters in public and issuing handbills to public making defamatory allegations and causing damage to the reputation of the bank.</p> <p>When the civil suit was filed, the trade union had said that it was protecting the interest of the bank and it was immune to civil litigation. It said its action was protected under Article 19(1) (a) of the Constitution of India.</p> <p>In its Judgment on July 19, 2018, the court said the responsibility of an employee in an organization is much higher than the common man and unauthentic rumors should not be propagated by the employees.</p> <p>The employee defaming the employer is like using ones own hand to hit his own eyes, said the Judges adding that the defendants cannot hide behind the trade union banner to protect them from any action by the management.</p> <p>The freedom speech and expression enshrined under Article 19 (1) (a) of the Constitution of India is broadly misunderstood as anybody can speak anything against anyone without any qualification or reservation, said the Judgement.</p> <p>The defendants were asked to pay Rs Rs.1 lakh as damages to the bank for defaming the reputation of the bank.</p> <p>The defendant trade union is also restrained by way of permanent injunction from issuing defamatory hand bills, notices, pamphlets, placards and pasting posters against the bank, the judgement said adding that the defendant trade union should pay cost of the litigation to the bank. <strong>(KNN Bureau)</strong></p> 20613 https://knnindia.co.in/news/newsdetails/state/trade-union-to-pay-compensation-for-defaming-the-management-chennai-civil-court 2018-08-15 14:58:09 knnindia.co.in