Birsa Agricultural University vs Employees Provident Fund ...
2022 Latest Caselaw 5151 Jhar

                           IN THE HIGH COURT OF JHARKHAND AT RANCHI
                                     W.P.(L) No.6243 of 2022
                                           ....

Birsa Agricultural University, Kanke, Ranchi through Registrar, Sri Narendra Kudada .... Petitioner Versus Employees Provident Fund Organisation, through Additional Central Provident Fund Commissioner, Bihar & Jharkhand & Ors. .... Respondents ....

                 CORAM:HON'BLE MR. JUSTICE RAJESH KUMAR

                For the Petitioner              : Mr. Ramit Satender, Adv.
                For the Respondent-E.P.F.O.     : Mr. Rupesh Kumar, Adv.
                For the Respondent No.6         : Mr. P.A.S.Pati, Adv.
                                                 ....
03/20.12.2022              Heard learned counsel for the parties.

The present writ petition has been filed against the impugned order contained in letter dated 04.11.2022 passed under Section 8 F of the E.P.F. & M.P.A. Act attaching the Bank Account for recovery of Rs.46,12,131/- and letter dated 24.11.2022 for attaching the Bank Account to the tune of Rs.1,33,32,376/-.

Submission has been advanced that the damages and interest has been imposed upon the petitioner without assigning any reason. Further, although the issue has been settled by the Hon'ble Apex Court in the judgment reported in AIR 1979 SC 1803 in the case of Organo Chemical Industries & Anr. Vrs. U.O.I. & Ors. in which it has been stated that if there is a delay in depositing the amount, the compensation and interest will be more or less automatic and the judgment reported in 2022 4 SCC 516 in the case of Horticulture Experiment Station Gonikoppal, Coorg Vrs. Regional Provident Fund Organization the matter of damages for delay in payment of E.P.F. contribution has been settled.

It has also been brought to my notice that there is an amendment in the said section and "shall" word has been substituted by "may".

The issue involved in the present case is "Whether if there is a delay in the deposit of the statutory amount then the damages and interest will be more or less automatic or not."

Submission has been advanced that the petitioner organization is a Government Organization and the payment can be made only after receipt of the amount from the concerned Government. The allocation is made after allocation in the budget and on receiving the amount only, the concern institution is in a position to disburse the amount.

It has been submitted by learned counsel for the respondents that recovery has already been made and there is statutory provision of appeal also.

Considering the above fact, the both the impugned orders dated 04.11.2022 and 24.11.2022 is, hereby stayed.

Counsel for the respondents is directed to file counter affidavit within four weeks.

(Rajesh Kumar, J.) Shahid/