Step 1: Understanding “loss of confidence.”
In service law, particularly in cases involving employees in positions of trust, loss of confidence is a valid ground for termination.
Step 2: Case law.
Courts have held that even if dismissal is wrongful, reinstatement may be denied if loss of confidence is proved. Similarly, discharge simpliciter can also be justified on this ground.
Step 3: Conclusion.
Thus, both statements (a) and (b) are correct, making option (c) the right answer.