In India is it legal for a company to set up an internal system of law and order where there shall be a chain of courts under the company and a formal code of law?Punishments shall range from denial of certain allwances to smll monetary fines.Is it legal?If yes what are the limitations and to what extent?
I was thinking about the following system:
- There may be a central court with many subordinate courts in a company.
- One employee can file a case against another or the company's employees may be sued by customers.
- If a court finds a flaw it may impose a fine, send it to a higher court or order something.
- Higher courts decide on serious cases or cases of contempt of lower court orders.
- Punishment may range from reduced pay, loss of job, taking the matter to a real court, determining a code of conduct, transferring or shuffling of posts, or imposing a ban from services.
- The higher courts can set precedents and rule according to company law set by the CEO or any other person who is above all courts of the company meaning they are immune to prosecution.
Is this legal in India?