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Tushar Singh (clerk)     24 July 2013

Help! Service bond causing unemployment!

I have a friend who has completed his post graduation in a government college in India. He had signed a Bond at the time of admission that he will work for the institute for 3 years. The bond also mentions that he can be called within 6 months for employement after completion of the course. All the certificates were submitted in the instittute at the time of admission. Now one month has passed since he has completed the course but the institute is not providing him any job as per the bond as there are no vacant posts currently. The institute has also refused to return his original certificates and has asked him not to apply for any job till six months. If the institute cannot provide job within six months then they will release the certificates, till then he has been asked to remain unemployed as he cannot apply elsewhere without certificates. I would also like to mention that the bond is one sided. I want to know, is this bond induced unemployement legal? What are the legal options available?



Learning

 11 Replies

Jai Karan Nagwan (consultant)     24 July 2013

Please log in to:-

 

https://www.linkedin.com/groups/Some-companies-in-India-asks-118097.S.259921750?qid=5b9aa0fe-4944-4c4a-8804-6d46ab54a971&trk=group_most_recent_rich-0-b-cmr&goback=%2Egmr_118097

I believe, no free education was given to that person, however please log in and read. you may find that to very relvant.

Tushar Singh (clerk)     24 July 2013

Dear Sir, I am very sorry to bust your belief but I know what I have posted. I dont want to divulge personal information here but the institute is a goverment run full time government medical college and the bond is to serve the state government. 

Kumar Doab (FIN)     24 July 2013

 

 The link posted by Mr. Nagwan  is certainly informative.

What is the ground for bond? Has the institute incurred some expenses on this person?

You have posted that:

 

--------“The bond also mentions that he can be called within 6 months for employement after completion of the course.

 

Ideally it should imply that on call of the Institute the candidate should report to work for the institute and leave any other source of livelihood/employment he has contracted.

 

-------“All the certificates were submitted in the instittute at the time of admission. 

 

The institute and for that matter no one has any lien on the original testimonials of the individual and it is his property.

 

The original certificates of education can not be kept as collateral by the institute.

 

The affected person may approach a competent and experienced labor consultant/service lawyer specializing in such matters and show the advertisement for the course, offer for sponsorship and thus condition of bond associated with it and condition for depositing original testimonials, bond, give inputs in person, understand the merits and proceed under expert advice................................

On line discussions have its own limitations.

The lawyer that has seen all docs and has analyzed the merits can advice you the best. 

Does this person feel that if he is unemployed for 6 months the institute should reduce the bond amount by say................ wages of 6 months or multiplied by some factor as the discretion of individual to levy penalty as his rights to earn his livelihood are breached by institute..................................................

 Even if it is a bond it can have elements of equitable discretion.....................................................

In the meantime you may go thru the attachments.

 

 

Kumar Doab (FIN)     24 July 2013

Attached.


Attached File : 966526047 417759075 validity of employment bonds.pdf, 966526047 background paper.pdf downloaded: 268 times
1 Like

Tushar Singh (clerk)     24 July 2013

.........."What is the ground for bond? Has the institute incurred some expenses on this person?

The bond had been placed for admission to the MD/MS cources at the college. Failure to comply with the bond would result in payment of 10 lakh rupees for the government. 

........."The original certificates of education can not be kept as collateral by the institute.

It is a common practice to keep original certificates in almost all medical colleges across the country

..........."Does this person feel that if he is unemployed for 6 months the institute should reduce the bond amount by say................ wages of 6 months or multiplied by some factor as the discretion of individual to levy penalty as his rights to earn his livelihood are breached by institute

Yes definately, he feels that being unemployed he is loosing out on income as well as experience which he would have got had he joined some hospital or college. He does not mind serving the bond for the government but he has not been given a job due to lack of vacancies. By the way he not the only one affected, there are a gorup of students, some have been provided with jobs where vacancies where available, but some specialities did not have vacancies hence some people are left unemployed. The authorities are taking the 6 months clause to their advantage and hence not releasing the certificates. 

Kumar Doab (FIN)     24 July 2013

 

You have posted that:

 

--------“ The bond had been placed for admission to the MD/MS cources at the college. Failure to comply with the bond would result in payment of 10 lakh rupees for the government. 

 

It is strange………………..

 

The students pursuing this course make the payment of fee set by the college for the course.

 

No student paying the course fee is under obligation to sign any bond…………………………….

 

Your lawyer may opine that the bond is unconscionable, unreasonable, arbitrary…………. …………………………….

 

-------“ It is a common practice to keep original certificates in almost all medical colleges across the country

 

Your lawyer may opine that this practice is illegal, unlawful…………………

 

 

--------“ By the way he not the only one affected, there are a gorup of students,

 

All of the affected students may approach a competent and experienced labor consultant/service lawyer specializing in such matters and show the advertisement for the course, offer for sponsorship and thus condition of bond associated with it and condition for depositing original testimonials, bond, give inputs in person, understand the merits and proceed under expert advice................................

 

 

The lawyer that has seen all docs and has analyzed the merits can advice you the best. 

2 Like

Tushar Singh (clerk)     24 July 2013

;"It is strange

Sir, I'm quite suprised to see your comment. Many states impose bond on candidates for these courses. In fact bond is imposed even on MBBS course, by many states in India. Fees forall these courses are paid to the colleges by the students, fees are highly subsidised in govt. colleges but they are paid. Even during counselling for such seats at the all India level, the central govt. ministry of health and family welfare clearly mentions the bond applicable to various seats. If this is illegal then how is this carried out for so many years?

sir, I would want to know is it legaly ok to use the clause of six months to keep the students waiting without any certainty that the will be employed by the state govt. while not allowing them to take employment elsewhere? 

Kumar Doab (FIN)     24 July 2013

 

 

No post by anyone in this thread initiated by you is made to surprise any one.

 

We are certainly surprised to know from your posts that:

 

Many states impose bond on candidates for these courses. In fact bond is imposed even on MBBS course, ‘

 

We have certainly benefited from the info you have shared, and any one who shall read this thread shall benefit from this information.

 

We have also learnt that Supreme Court of India has recently quashed the “NEET” as per the appeal filed by many colleges and now all colleges including colleges in states can continue to charge ‘Capitation Fee’. It remains to analyze what is and where the subsidy on fee……is………even after levying capitation fee etc…………..

 

You have posted that;

 

-------“ Even during counselling for such seats at the all India level, the central govt. ministry of health and family welfare clearly mentions the bond applicable to various seats.’

 

What is the category of such seats?

 

What concession, subsidy, relaxation or sponsorship is given for such seats in lieu of which or in consideration of which the candidate has to sign a bond?

 

You may attach copy of such publication mentioning the applicability of such bond…………

 

Some of publication which we came across mention about bond with condition of payment of liquidated damages if the candidate discontinues the course in between………………  

 

 

 

-------“I would want to know is it legaly ok to use the clause of six months to keep the students waiting without any certainty that the will be employed by the state govt. while not allowing them to take employment elsewhere? ‘

 

To the best of our understanding and common sense: NO.

 

If the institute/establishment is not able to make an offer of employment for the period of 6 months, the passed out/qualified candidate should have the liberty to seek source of livelihood at least for this period or some stipend may be paid to the candidate. 

Once again in lieu of what consideration the candidate has to remain idle/ unemployed?

 

 

It shall be appropriate to show all docs highlighted by you including but not limited to bond to the local lawyer well versed with the rules and policies of the institute, precedence’s in such cases……………in person and understand the merits.

 

The lawyer that has seen all docs and has analyzed the merits can advice you the best. 

 

https://cbse.nic.in/Information%20Bulletin(Counseling)_aipmt_2012.pdf

5. CONDITIONS RELATING TO BOND/FEE STRUCTURE AND RURAL SERVICES:

(ii) Any additional State condition pertaining to Bond/Rural service shall not be applicable to All India Quota candidates. As per the Hon’ble Supreme Court’s directions, it is not open to any State to fix any additional eligibility criteria in cases of candidates who fall under the All India Quota vide its Order dated 27.12.2001 in IA Nos. 9-13 in Civil Appeal No.1944 of 1993 (Anand S. Biji v/s State of Kerala and Ors.)

 

https://www.mcpariyaram.com/DownLoad/MBBSMgt2013.pdf

 

V. Special Features : g  ( Liquidated damages to be paid if course is discontinued……….in between)

 

https://www.aiims.edu/aiims/academic/md-ms/MD-JULY.htm

CONTRACT

 

 

Any candidate who joins the  MD/MS/MDS course, leaves the said course before the expiry of one year of joining, shall be liable to pay a sum of Rs.50,000/- (Rupees Fifty Thousand only) and any candidate who joins the PG  course and who leaves after one year of joining shall be liable to pay a sum of Rs.1 lakh (Rupees One Lakh only) by  the AIIMS due to such midstream departure.

In the 2nd counseling all seats are confirmed seat. Any candidate who opts for confirmed seat in the 2nd Counseling his/her original certificates will be retained and the same will be returned to the candidate after he/she deposits a sum of Rs. 50,000/- irrespective of the fact whether he/she joins the course or not.


Attached File : 966638642 mbbsmgt2013.pdf, 966638642 prospectus2013.pdf, 966638642 information bulletin(counseling) aipmt 2012 (1).pdf downloaded: 126 times

Shreyas Zinjarde (Advocate/Consultant)     24 July 2013

Mr. Doab,

I fully endorse your views and opinion. As we all are aware the Law of Torts has not developed in India. In any case, now this Bond system as in case of Nursing Schools/Institutions was prevailing has been struck down, but in case of MBBS students, the State is becoming very strict ans has been imposing very stringent conditions. One may call them as unreasonable restrictions but when it comes to a national Policy, the opinions differ.

Anyway, the querist has not made all thing very clear and it is difficult to opine unless all instructions are clear.

Stil thanks for the opinion

S.G.Zinjarde, Adv.

Tushar Singh (clerk)     25 July 2013

Sir, I never intended to offend you by any of my comments. My reactions were spontaneous in nature and I apologise if you are offended by any means.

 

............It remains to analyze what is and where the subsidy on fee……is………even after levying capitation fee etc…

My reference is to a government college as pointed out in the earier posts, and government colleges do not charge any capitation fees and by subsidy I mean that the fees in government institutions run in few thousands (Usually less then Rs.20000) per semester as compared to the private colleges that run in lakhs, besides the capitation fees imposed by these private colleges of course. NEET examination was conducted this year, however it is not applicable to my friend as he took admission based on the merit obtained in AIPGMEE examination 3 years ago.

 

..............What is the category of such seats?

These seats are filled in all the government colleges across the countries (leaving out central institutes like AIIMS) under a central Quota consisting of 50% of all the seats from different medical colleges across the country. These seats are filled based on merit obtained in AIPGMEE- All India Postgraduate Medical Entrance examination (This Examination was temporarily replaced by NEET this year until it was quashed by the recent supreme court verdict) 

 

.....................What concession, subsidy, relaxation or sponsorship is given for such seats in lieu of which or in consideration of which the candidate has to sign a bond?

As medical students pay a small fees as compared to the cost icurred by the government to ru the college............ goverments impose bonds on the students to serve the public health sector on completion of their studies.

 

.........................If the institute/establishment is not able to make an offer of employment for the period of 6 months, the passed out/qualified candidate should have the liberty to seek source of livelihood at least for this period or some stipend may be paid to the candidate. 

This was the answer I was looking for. Thank You. I just want to know if you can point out any legal liturature in support of the above statement. Like article of constitution, etc. I will be highly obliged

 

.............................Once again in lieu of what consideration the candidate has to remain idle/ unemployed?

The Candidate has to remain idle as the certificates submitted at the time of admission are witheld, but I believe this is illegal as pointed out by you earlier. 

 

.................................5. CONDITIONS RELATING TO BOND/FEE STRUCTURE AND RURAL SERVICES:

(ii) Any additional State condition pertaining to Bond/Rural service shall not be applicable to All India Quota candidates. As per the Hon’ble Supreme Court’s directions, it is not open to any State to fix any additional eligibility criteria in cases of candidates who fall under the All India Quota vide its Order dated 27.12.2001 in IA Nos. 9-13 in Civil Appeal No.1944 of 1993 (Anand S. Biji v/sState of Kerala and Ors.)

A very useful piece of information but this is practiced in many states as on date. So should I take that what difeerent state governments are doing is actually illegal?

.................Special Features : g  ( Liquidated damages to be paid if course is discontinued……….in between)

Yes the bond contains this clause too, asking the candidate to pay 10 lakhs if the course is discontinued before completion. There students who have paid the bond for discontinuing the course.

Any candidate who joins the  MD/MS/MDS course, leaves the said course before the expiry of one year of joining, shall be liable to pay a sum of Rs.50,000/- (Rupees Fifty Thousand only) and any candidate who joins the PG  course and who leaves after one year of joining shall be liable to pay a sum of Rs.1 lakh (Rupees One Lakh only) by  the AIIMS due to such midstream departure.

In the 2nd counseling all seats are confirmed seat. Any candidate who opts for confirmed seat in the 2nd Counseling his/her original certificates will be retained and the same will be returned to the candidate after he/she deposits a sum of Rs. 50,000/- irrespective of the fact whether he/she joins the course or not.

................This is in reference to AIIMS. Central institutes and few places like Delhi do not have a bond. My reference is to other states that do.

 

Kumar Doab (FIN)     26 July 2013

 You may look into the comments you have posted in response to the post of Mr. Nagwan too.

While Mr. Nagwan posted the link to the specific information you have been seeking and could have posted further, after your post,  this form has been deprived of the further valuable inputs from Mr. Nagwan, which could have helped many.

 

This forum and society would need members/experts like Mr. Nagwan who are willing and inclined to contribute and help the companions and fellow citizens……………….

 

You may please access him further help.

 

 

> Employment bond is enforceable in India and before signing such bonds, it is prudent to understand the terms and conditions associated with it. An individual has the option to refuse the offer and not to join the company.

 

> Article 19 of Indian Constitution talks of fundamental rights, as per the Article 19 the Constitution the write work is a fundamental right, and under no circumstance does the Fundamental rights under Article 19 be waived by any person nor can any person be forced to do something that amounting to the violation of the rights mentioned under Article 19.

 

> You may attach copy of such publication mentioning the applicability of such bond in your state…………

 You may erase the names etc to maintain confidentiality.

 

 

> Madras High Court

Madras High Court

Dr.S.Rajesh vs The State Of Tamil Nadu on 12 December, 2008

Dated : 12-12-2008

https://www.indiankanoon.org/doc/1028571/

 

24. Issue No.3: Insofar as the Government order in G.O.Ms.No.215 Health and Family Welfare Department dated 12.7.2007, ordering retention of PG Degree/Diploma Certificates till the completion of two years of service, the contention of the learned counsel for the petitioner is well founded.……………… ……………………………….If for any reason petitioners are not willing to join, the respondents can only demand the said amount and therefore the condition to retain the certificates till the completion of two years of service is arbitrary and irrational.

 

25: 4:

The Government though not accepted the said suggestion to retain the certificates, the petitioners are not given the certificates till date, which is an unauthorised action on the part of the Deans of the Government Medical Colleges.

 

26. This Court in W.P.No.12885 to 12887 of 2008, etc., batch, by order dated 20.11.2008 considered similar issue with regard to retention of certificates/documents from the PG students. In the said order this Court held that such condition is not contemplated under the terms and conditions of the bond and therefore the respondents cannot retain the certificates and direction was issued to return the certificates individually by the

respective Dean of the Medical Colleges, within a period of two weeks and if the conditions of bonds executed is not complied with, it is open to the respondents to enforce the conditions of the bonds in the manner known to law. Thus, it is clear that the Government Order imposing the condition not to return the original certificates of the petitioners till the completion of two years of service in the Government Institution as per the bond, is illegal and the same is declared as invalid.

 

30. In fine, all the writ petitions are disposed of on the following terms:

(1) The PG Degree/Diploma Holders, who applied for their Degree/Diploma course through All India Entrance Examination for selection to All India Quota seats and admitted to Tamil Nadu Government Medical Colleges are not bound by the terms and conditions issued by the respondents through their prospectus. Even if any candidate executed bond, it will have no effect since they have not applied for admission under the

impugned prospectus.

 

(3) No PG Degree/Diploma Holder shall be denied of their certificates in original on their completion of their course as the respondents have no jurisdiction to retain their certificates and the respondents are directed to return all the certificates of the petitioners within two weeks from the date of the receipt of copy of this order.

 

 

> You may also go thru;

 

M. Sham Singh v. State of Mysore:

reiterated his assurance that he would place his services at the disposal of the Government on his return provided a suitable position was available.

 

> It is felt that you may not like to pursue however if you wish and if your lawyer approves you may evaluate the merits with wise counsel of your lawyer:

 

-Indian Penal:Section 403 [DISHONEST MISAPPROPRIATION OF PROPERTY],406[CRIMINAL BREACH OF TRUST:]& 420 [CHEATING:].

For retention of Original Certificates & Mark List by the Employer

 

Indian Penal Code: Sec 368 : if any person or institute holds back any document or any use any legal document or threatens any legal suits or actions and thus forces a person to perform any act against his wishes or which is illegal or wrong as per the statute of Law of the land.

 

If he Institute acts in the manner of a bank granting loan against security it may not work. The act of retaining original pass certificates by Colleges (as a collateral/security) has also been declared illegal as cited MR. Nagwan also……………

 

> As per ILO checklist to identify forced labour in practice one of the activity is " retention of identity documents or other valuable personal documents or possessions by employer"

Combating Forced Labour:

Definitions and concepts

Forced Labour

Menace of any penalty: This can refer to criminal sanctions as well as various forms of coercion such as threats, violence, the retention of identity documents,

 

Forced labour and the global economy

II

Coercion in employment: This refers to the many forms of deception and coercion in employment that can amount to forced labour under specific circumstances. Withholding or non-payment of wages, the retention of identity documents,

 

 


Attached File : 320472549 dr.s.rajesh vs the state of tamil nadu on 12 december, 2008.pdf, 320472549 page 9 ilo checklist wcms 101171.pdf, 320472549 m. sham singh vs state of mysore on 11 august, 1972.pdf downloaded: 75 times

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