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Sushil Sharma v. Union of India

Civil Appeal · 2026 INSC 809Decided 6 Aug 2026
Civil Appeal No. 8634 of 2012
Justice Prashant Kumar Mishra · Justice Shree Chandrashekhar

Background

Sushil Sharma joined the Central Industrial Security Force (CISF) in 1982 and was promoted twice, eventually to Inspector. At age 50, an Internal Screening Committee reviewing his service record under Fundamental Rule 56(j) found him unfit for continued retention, noting that his performance ratings had declined from "Good" to "Average" in his last two years of service, alongside a censure penalty and several warnings for negligence. He was compulsorily retired in 2010, and the Delhi High Court upheld that decision, prompting his appeal to the Supreme Court.

Decision Breakdown

The Supreme Court reaffirmed that compulsory retirement is not a punishment and does not require a hearing under natural justice principles; courts can only interfere if the decision is arbitrary, mala fide, or lacks any supporting evidence. It rejected the argument that older adverse remarks should be disregarded once an employee is promoted: that "washed-off theory" applies only to future promotion decisions, not to assessments of whether someone should be retained in service, where the entire service record can be weighed, with greater importance given to recent years. Given the appellant's clear decline in performance shortly before retirement, and the added weight of his role in a disciplined security force, the Court found no arbitrariness and dismissed the appeal.

Lesson Learnt

A government employee's compulsory retirement is judged on the whole service record with special weight on recent performance, and courts will not second-guess the decision merely because the employee's earlier career was strong: interference requires clear proof of bad faith or arbitrariness, not just disagreement with the outcome.

Official source (sci.gov.in)View Judgment (PDF)

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