I can't speak for the company in question but corporate culture can be very toxic here. They might have stopped remiting salary or threatened some other action if they do not resign themselves.
Holding salary as hostage until they move or resign.
The other possible outcomes are not providing experience letters, acknowledging employee worked, badmouthing, and harassing your next co-workers.
Also, many big companies here do contracts with clauses that charges a service fee and take salary or bonus back if the worker doesn't work there for at least 2 years.
If you leave soon, you might end up with negative pay.
They can refuse to give what is called a "relieving letter". That's a letter to future employers telling that this person left on good terms and his/her experience is genuine. It's a bloody effective weapon unfortunately :(
