The Industrial Court has ordered Hong Leong Bank to reinstate an SBEU member Josephine Banun whom it dismissed 6 years ago, back to her job as a teller with no loss of pay, seniority and benefits. The Court also ordered the Bank to pay her compensation totalling more than $37,000.00
In a judgement handed on 12 January 2007, the court strongly reprimanded Hong Leong Bank holding that “Bank has dismissed the claimant arbitrarily and the manner of dismissal is harsh… the Bank to be accordingly reprimanded so that it would not take similar action wantonly but justifiably”.
Brief facts of the case:
1. On 01 October 2001, Josephine, who is a teller in Miri branch attended to a customer, who came to cash a cheque for RM500. After she keyed in the relevant details she noticed that the signature on the cheque does not match the specimen on the computer screen.
2. She aborted the transaction and referred the cheque to her officer and proceeded to serve other customers as there was a long queue.
3. The officer did a balance inquiry which showed that the balance was insufficient to cover the amount. The officer did not realise that the amount had already been debited to the account. He then instructed Josephine to return the cheque to the said customer.
4. The next day they discovered that the account was debited but she did not pay the cash to the customer. By right she should have a cash excess on the day in question IF there is no compensating error.
5. The bank immediately charged her with misappropriation of the RM500. The Bank’s domestic Inquiry found her guilty and dismissed her on 05 November 2001.
SBEU proven Right all along
SBEU tried to convince bank that there is simply no ground to find the member guilty of misappropriation. However the management just refused to listen to SBEU’s reasoning. SBEU than took state-wide protest action and picketing against the bank. It was a long battle until the case was finally referred to the Industrial Court on 16 August 2004.
During the hearing Josephine was represented by SBEU CEO Andrew Lo & whilst the Bank is represented by prominent law firm Zaid Ibrahim & Co. Advocates.
BANK BLAMED EMPLOYEE WHEN IT WAS A SYSTEM ERROR
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From the evidence the court concluded that,
“it is the system error is the total answer to the issue at hand as to why a debit entry of RM500 had taken place when the claimant did not pay out the amount and had returned the cheque to the customer.”
“Misappropriation is a criminal misconduct and thus proof by the bank has to be crystal clear. The bank has to afford proof premised on reasonable grounds for this Court to believe that the offence against the employee has been established. “
“From the evidence adduced both in this court and at the disciplinary inquiry, there is not even a trace of suspicion that the claimant has misappropriated the funds in question.”
On the contrary the court even praise the employee stating,
“her conduct in the alleged transaction and her honest explanation is laudable and consistent with her express contract of employment with the bank” and “she has also at all times especially during the impugned transaction maintained a standard of conduct and integrity which is beyond reproach.”
The Court also commended SBEU as follows;
“In this regard the task undertaken by the SBEU representative is commendable. He has represented the case for the employee candidly and effectively by demonstrating before this Court through the cross examination of witness for the Bank the occurrence and existence of the computer system error through no fault of the employee which has caused her livelihood.”
SBEU wonders just how the DI panel of David Chieng, Bernard Yeo and Ho Min Khiong as well as the Head Human Resources Michelle Chow Lai Pheng & IR Manager Deva Muruggan come come to such baseless and illogical decision that Josephine is guilty of misappropriation without a shred of evidence. Their unsound reasoning and flawed judgement has caused the bank to suffer financial loss and pay legal fees for nothing. While Michelle & Deva & Bernard have left the bank, one wonders whether we can still trust the judgement of those who are still in the bank.
Josephine will report back for duty on 5 March 2007.
S B E U PROTECTS YOU AND ME!
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