>>IN such cases it shall be appropriate to approach a competent and experienced labor consultant/service lawyer with all facts and records as facts of each case, service rules of the establishment, Conduct and discipline rules, standing orders, PF rules, show cause notice, inquiry report etc and facts of the case would matter for the opinion.
>> The latest judgment seems to cover variety of angles those are usually involved and may help you.
Jharkhand High Court
Nilam Dubey vs State Of Jharkhand & Ors on 10 May, 2013
https://www.indiankanoon.org/doc/146997172/}
12. It is admitted position that the husband of the petitioner died on 3.11.1995 during the pendency of the departmental proceeding initiated against him by issuing charge memo dated 30.07.1990.
It is also not denied that the orders of recovery from the retiral dues of the husband of the petitioner were passed after the death of the husband of the petitioner.
15................... It has further been held that if there is any disputed claim against an employee, after the death of the employee such claim can be adjudicated in a civil proceeding and not by the department itself.
"13. It is thus obvious that the applicability of the maxim 'actio personalis moritur cum persona' depends upon the 'relief claimed' and
the facts of each case.
25. In a given case offence/misconduct committed by an employee may automatically be dissolved on account of his death however, in certain offences/misconduct alleged to have been committed by the employee during his service would not dissolve him of the liability due to his death.
In a case where an employee is alleged to have misappropriated funds and before the conclusion of the inquiry he dies, the legal representatives of the employee are entitled to defend the case and if it is found that any amount is due from the employee, the employer can recover the same from the estate left by the deceased employee. Similarly if the misconduct is not proved, the legal representatives of the deceased employee would be entitled for the retiral benefits of the deceased employee. The effect of the proceeding initiated after the retirement or dismissal of an employee is different from the proceeding that can be initiated for misconduct during the lifetime of the employee before his retirement. In cases of inquiry initiated during the 12
lifetime of the employee before his retirement, the employer would be at liberty to complete the inquiry even after the death of the employee in presence of the legal representatives of the deceased employee and recover the loss from the retiral dues of the deceased employee.
28. In view of the provisions in various legislations which permit the legal heir/dependent/near relatives of a person to institute/continue suit/case/appeal, I am of the view that in certain circumstances a departmental proceeding can be continued even after the death of an employee provided :
31. In the result, I hereby hold that the recovery of Rs. 1,92,000/ made by the respondents from the retirement dues of the deceasedhusband of the petitioner is not sustainable in law, because reasonable opportunity was not given to the L.Rs. of the 14
deceased employee. However, it is made clear that the respondents would be at liberty to continue the inquiry after giving a fresh showcause notice to the petitioner or her son for recovering the alleged amount misappropriated by the husband of the petitioner from his retiral dues. Needless to say that the respondents can continue with such inquiry only for the amount which is appearing from the official records. Copies of such records would be supplied to the legal representatives of the deceased employee and sufficient opportunity would be granted to him/her for contesting the case. Any inquiry, if initiated, should be completed within a period of six months from the date of this order.
>> You may also find following thread as relevant;
https://www.lawyersclubindia.com/forum/P-f-gratuity-90740.asp#.UtlzBdK6a3Z
>> Kindly arrange all docs and record and facts in order and approach your able labor consultant/service lawyer in person.