• Conspiracy by Employees

Im holding an executive position in a company. Company is a startup and is into services. I suspect that 4-5 employees have formed a cartel & planning a conspiracy. They may be
1. Sharing information of our clients to our competitors
2. Provoking other employees to under-perform and not listen to their managers
3. Deliberately under-performing at clients place so that company looses business
4.They are also trying to increase their cartel size

What legal options are available to safeguard company's interest.

I have also noticed thru video camera that they are recording some information in their personal diaries during office hours or may be taking copy of some documents. Do I have legal right to check their diaries or bag within office premises.
Asked 6 years ago in Business Law

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7 Answers

Management should  ask employees to sign non solicitation, non disclosure agreement 

 

2) if they have shared business secrets with competitors their services can be terminated 

 

3) you can check their diaries within office premises 

Ajay Sethi
Advocate, Mumbai
99818 Answers
8147 Consultations

1. See if they are recording and sharing confidential information you can issue legal notice also file police complaint for same against them. Further as per there agreement with your company you can terminate them for sharing the confidential information. 

2. As far as cartel and performance are considered in that case you have to personal stay connected to employees and further for performance set targets. 

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

Checking diaries may be invading their privacy. Only your company diaries can be checked by management. 

Prashant Nayak
Advocate, Mumbai
34542 Answers
249 Consultations

You can check their bags in office premises.

You can terminate them if you have valid evidence .

Mohammed Mujeeb
Advocate, Hyderabad
19325 Answers
32 Consultations

1. Yes you can check diaries and other belongings while in your premises.

2. You can also make then sign a non disclosure agreement and track their activities if you are suspecting them. 

3. Issue them a show cause notice for non performance and you can also terminate them if you find some evidence regarding theft of data. 

Mohit Kapoor
Advocate, Rohtak
10686 Answers
7 Consultations

If you suspect the employees indulge in the sabotaging activities against the company, you may, if authorised by the company's top management, issue a show cause notice mentioning their such illegal activities and after that you issue a memorandum to suspend their services besides ordering a departmental inquiry and after that you may conduct the inquiry properly as per law and on the recommendation of the inquiry committee, you may take proper legal action as pr law agaisnt the employees if they are found guilty.

T Kalaiselvan
Advocate, Vellore
90016 Answers
2497 Consultations

Terminate them. Check their diaries, if any proof of information flow outside and causing loss to company, can file FIR of cheating. 

Yogendra Singh Rajawat
Advocate, Jaipur
23083 Answers
31 Consultations

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