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REIMBURSEMENT OF LEGAL AND OTHER EXPENDITURE


03-Aug-2026 (In Criminal Law)
FIR filed by CBI was quashed by Hon'ble High Court. Whether employee can get relief from employer for hardship, travelling, staying and legal expenses from Employer for having permitted CBI to fille FIR
Answers (2)

Answer #1
976 votes
An employee facing a pending CBI case or a quashing petition in the High Court does not automatically get relief or immunity from employer actions such as suspension or disciplinary proceedings Separate Legal Tracks: The Supreme Court of India has consistently held that criminal proceedings (like a CBI investigation or trial) and departmental/internal disciplinary proceedings by an employer are separate and distinct
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Advocate Dhanalakshmi U

Adv. Dhanalakshmi U

LawRato Bangalore / Bengaluru | 5+ Answers
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Answer #2
574 votes
An employee cannot automatically claim reimbursement or compensation from the employer for legal expenses, hardship, travel, or lodging costs simply because an FIR filed by the CBI was quashed by the High Court. Sanction or permission granted by an employer to investigative agencies does not, by itself, constitute malicious prosecution or a breach of employment terms. ​Unless the relevant service rules or employment contract explicitly provide for indemnification or reimbursement of legal fees upon exoneration, there is no statutory right to claim such damages directly from the employer. If the employee believes the prosecution was initiated maliciously without reasonable cause, they may explore filing a civil suit for damages for malicious prosecution, where malice and lack of probable cause must be strictly established in court.
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Advocate Kishan Dutt Kalaskar

Adv. Kishan Dutt Kalaskar

LawRatoBangalore / Bengaluru | 1000+ Answers
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