Forfeiture of Bonus of employee who has dismissed from service for fraud or riotous or violent behaviour while on the premises of the establishment or theft, misspproproation or sabtoage of any property of the establishment. The relevant section 9 is as follows.

9. Disqualification for bonus.- Notwithstanding anything contained in this Act, an employee shall be disqualified from receiving bonus under this Act, if he is dismissed from service for--
(a) fraud; or
(b) riotous or violent behaviour while on the premises of the establishment; or
(c) theft, misappropriation or sabotage of any property of the establishment.

The section mentioned forfeiture of bonus of the employee who has dismissed from service. The question arises whether bonus will be forfeited for particular accounting year or previous years.

In one of the judgement delivered by Karnataka High Court in the case of Himalays drug Company Makali vs Presiding officer Second Additional court, Banglore 1987 that Section 9 of the Bonus Act exercised only with reference to accounting year in which the misconduct was committed.

Conclusion: X being employee of the company dismissed from service as per Section 9 of the act September 2011 then the company can forfeit his bonus for the accounting year 2011-12 not 2010-11. For accounting year 2010-2011 the bonus payable cannot be forfeited as per the Karnataka High Court Judgment.