The question has not furnished various details. Without these details the question cannot be properly answered. However, I am mentioning some general facts:-
(a) The person was in contractual employment under the Government. So, the CCS (CCA) Rules, 1965 and CCS (Conduct) Rules, 1964 (under which the regular Government employees' conduct is governed) won't be applicable to him. So, the normal disciplinary proceeding will not be followed in this case.
(b) For contractual employees, contract can be terminated giving one month notice. There is no question of payment of compensation. However, it has not been mentioned in the question whether the contract has been terminated by the Government, or not.
(c) So far as criminal proceeding is concerned, it has been stated to be sub-judice. So, it would not be prudent to comment upon the outcome of the case.
Beware! I question everything and everybody.