Citation : 2023 Latest Caselaw 4462 Ker
Judgement Date : 12 April, 2023
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR.JUSTICE ZIYAD RAHMAN A.A.
Wednesday, the 12th day of April 2023 / 22nd Chaithra, 1945
WP(C) NO. 7105 OF 2023
PETITIONERS:
1. P.K. KUNJU AGED 69 YEARS S/O. P.M. KURIAN, P.P.O. NO
KR/KCH/00116255, PULIVELIL, KADAVANTHRA P.O, KOCHI, PIN - 682020
2. K.N. VIMALAKUMARA SARMA AGED 70 YEARS S/O. LATE. NARAYANAN UNNI,
P.P.O. NO KR/KCH/00116702, KARTHIKA, P.C. CROSS ROAD, PONNURUNNI,
VYTTILA .P.O, KOCHI, PIN - 682019
3. SOBHANA PAUL K.P AGED 69 YEARS D/O. R. PAUL, P.P.O. NO
KR/KCH/00116362, CHAMBAKOTTUKUDIYIL HOUSE, THOTTUNGATHARA ROAD,
KADAVANTHRA, ERNAKULAM, PIN - 682020
4. RAMACHANDRAN ACHARI R AGED 70 YEARS S/O. RAGHAVAN ACHARY, P.P.O. NO
KR / KCH/ 00116353, ARUNIMA, KETTEZHUTHU KADAVU ROAD, MARADU P.O,
ERNAKULAM, PIN - 682304
5. RAMACHANDRAN NAIR S AGED 69 YEARS S/O. LATE. SIVARAMA PILLAI, P.P.O.
NO KR/KCH/00116357, 28/2879, THUSHARAM, PONNETH SOUTH ROAD,
KADAVANTHRA P.O, KOCHI, PIN - 682020
6. VALSALA N.S AGED 75 YEARS W/O. BALAKRISHNAN NAIR (LATE), P.P.O. NO
KR/KCH/00117296, SREEVALSAM, CHOTTANIKKARA P.O, KUREEKADU,
ERNAKULAM, PIN - 682312
7. MUKUNDAN V.V AGED 68 YEARS S/O. VASU ELAYATH (LATE), P.P.O. NO
KR/KCH/00116711, VELUTHAMESSARY ILLAM, PANDAVATH ROAD, MARADU .P.O,
ERNAKULAM, PIN - 682304
8. RAMACHANDRAN C AGED 68 YEARS S/O. RAMAN NAIR V (LATE), P.P.O. NO
KR/KCH/00115562, AISWARYA, KATTITHARA ROAD, KPPS-367, MARADU P.O,
ERNAKULAM, PIN - 682304
9. T.P. RAVIKUMARAN NAIR AGED 75 YEARS S/O. PARAMESWARAN NAIR (LATE),
P.P.O. NO KR/KCH/00117349, HOUSE NO: 69/2905, ESRA A059, SREEPADAM,
KARUKAPPILLY PARAMBU, ELAMAKKARA P.O,, PIN - 682026
10. SUDARSANAN A.N AGED 68 YEARS S/O. A.I. NARAYANAN (LATE), P.P.O. NO
KR/KCH/00116373, AMBAT GGK RA G04, GOLD LANE ANCHUMURY, THAMMANAM
P.O, ERNAKULAM, PIN - 682032
11. JOSEPH ANTONY O AGED 68 YEARS S/O. JOSEPH ANTONY (LATE), P.P.O. NO
KR/KCH/00116374, OTTUPURAKKAL HOUSE, MARADU P.O, , PIN - 682304
12. NADARAJAN ACHARI N AGED 69 YEARS S/O. LAKSHMANAN, P.P.O. NO
KR/KCH/00116710, ARUNIMA, THOTTUNGALTHARA ROAD, KADAVANTHRA P.O,,
PIN - 682020
13. BALU JOHN AGED 67 YEARS S/O. JOHN N.J (LATE), P.P.O. NO
KR/KCH/00116708, NJARACKAVELIL HOUSE, PERUMANOOR P.O,, PIN - 682015
14. VALLY C.K AGED 74 YEARS W/O. VELAYUDHAN T.K, P.P.O. NO
KR/KCH/00116321, 27/2751, MAYURAM, VIDYA NAGAR, KADAVANTHRA P.O, ,
PIN - 682020
15. SIVASANKARAN E.G AGED 70 YEARS S/O. P.N. GOPALA PILLAI (LATE),
P.P.O. NO KR/KCH/00117357, PULINCHOTTIL HOUSE, ALUVA, ERNAKULAM, PIN
- 683578
16. PAUL M.A AGED 68 YEARS S/O. M.P. AUGUSTINE (LATE), P.P.O. NO
KR/KCH/00117162, MULAVARIKKAL HOUSE, VADEL ROAD, NAYARAMBALAM P.O,
ERNAKULAM, PIN - 682509
17. N. MOHANAN AGED 75 YEARS S/O. NARAYANAN (LATE), P.P.O. NO
KR/KCH/00117717, HOUSE NO. 20/1083A, PATHIYA PARAMBU, PALLURUTHY,
PIN - 682006
18. VARGHESE V.J AGED 68 YEARS S/O. JOSEPH V.T (LATE), P.P.O. NO
KR/KCH/00117067, VALLANATT HOUSE, HOUSE NO. 15/306, KALLANCHERY
ROAD, KUMBALANGI, ERNAKULAM, PIN - 682007
19. N.M. OUSEPH AGED 75 YEARS S/O. N.A. MATHAI (LATE), P.P.O. NO
KR/KCH/00116258, NEDIYANIKKUZHIYIL, HOUSE NO. 34/1363, MTRA-116,
EDAPPALLY, ERNAKULAM, PIN - 682024
20. SANTHA DEVI K.S AGED 74 YEARS W/O. MURALEEDHARAN P.K, P.P.O. NO
KR/KCH/00117333, NO. 12/396B, PARVATHY, PANAYAPPILLY, KOCHI, PIN -
682002
21. FRANCIS XAVIER K.J AGED 69 YEARS S/O. K.S. JOSEPH (LATE), P.P.O. NO
KR/KCH/00117263, KURUPPAMBHAGATH HOUSE, SOUTH CHITTOOR P.O,
ERNAKULAM, PIN - 682027
22. K.N. SARALA AGED 75 YEARS C/O. P. RAMACHANDRAN PILLAI, P.P.O. NO
KR/KCH/00116316, NO. 28/97, VYSHAKHAM, PANAMPILLY NAGAR AVENUE,
ERNAKULAM, PIN - 682036
23. T.P. JOHN AGED 73 YEARS S/O. T.V PAPPU (LATE), P.P.O. NO
KR/KCH/00116716, THAIPARAMBIL HOUSE, HOUSE NO. 27/1917B,
KOCHUKADAVANTHRA, ERNAKULAM, PIN - 682020
24. VELAYUDHAN P AGED 69 YEARS S/O. PAPPU C.S, P.P.O. NO
KR/KCH/00117348, KUZHUVELIL HOUSE, THRICHATTUKULAM P.O, PANAVALLY,
CHERTHALA, PIN - 688581
25. SEBASTIAN K.J AGED 74 YEARS S/O. JOHN K.J, P.P.O. NO
KR/KCH/00116320, KOIKKARA PARAMBIL, HOUSE NO. 54/83, KUMARANASAN
ROAD, ERNAKULAM, PIN - 682017
26. DENEESH M.R AGED 68 YEARS S/O. C.P. RAGHAVAN (LATE), P.P.O. NO
KR/KCH/00116190, NO. 3/80, PUTHENVEETTIL, AYYARU KADAVU ROAD,
CHERANALLOOR, ERNAKULAM, PIN - 682034
27. GOPALAKRISHNAN NAIR G AGED 72 YEARS S/O. P.V. GOVINDAN NAIR (LATE),
P.P.O. NO KR/KCH/00116709, GOKULAM HOUSE, PANDARACHIRA ROAD,
KADAVANTHRA P.O, ERNAKULAM, PIN - 682020
28. SATHIAN P AGED 67 YEARS S/O. NARAYANAN P, P.P.O. NO KR/KCH/00116712,
SOPANAM, AISWARYA NAGAR, ASSOCIATION ROAD, KADAVANTHRA, ERNAKULAM,
PIN - 682020
29. VIJAYA MOHANA DAS G AGED 69 YEARS S/O. K.P. GOPALAN (LATE), P.P.O.
NO. KR/KCH/00115554, SARADAS, THOPPICHANTHA, KALLOORKONAM,
PERUMKULAM P.O, TRIVANDRUM, PIN - 695102
30. JOSE C.D AGED 68 YEARS S/O. DEVASY (LATE), P.P.O. NO
KR/KCH/0000117047, CHUNDANAY HOUSE, THURAVOOR P.O, ANGAMALY,
ERNAKULAM, PIN - 683572
31. MATHEW K AGED 70 YEARS S/O. KURIAN M.C (LATE), P.P.O. NO
KR/KCH/00117718, MANGAT, HARMONY ENCLAVE, CHILAVANNUR ROAD,
KADAVANTHRA P.O, ERNAKULAM, PIN - 682020
32. RAJAN V.N AGED 68 YEARS S/O. NARAYANAN (LATE), P.P.O. NO
KR/KCH/00117046,VADAKKUNNATHUMALIL HOUSE, PUNNAYAM, KURUPPAMPADY,
ASAMANNOOR P.O, ERNAKULAM, PIN - 683549
33. SREEDHARAN THAMPI K AGED 73 YEARS S/O. KRISHNA PILLAI N. (LATE),
P.P.O. NO KR/KCH/00117370, HOUSE NO. 27/3115, SHIPYARD COLONY,
GIRINAGAR SOUTH, KADAVANTHRA, PIN - 682020
34. VARGHESE K.L AGED 67 YEARS S/O. LONAPPAN K.T (LATE), P.P.O. NO
KR/KCH/00117225, KALAPARAMBATH HOUSE, KULAYIDOM NORTH ROAD,
CHERAVALOOR P.O, KORATTY, THRISSUR , PIN - 680308
35. RAJENDRAN N AGED 68 YEARS S/O. NEELAKANDAN ACHARI, P.P.O. NO
KR/KCH/00116715, THIRUVATHIRA, FRIENDS NAGAR, KONTHURTHY, THEVARA
P.O, ERNAKULAM, PIN - 682013
36. BALACHANDRAN NAIR M.R AGED 69 YEARS S/O. RAGHAVAN PILLAI N, P.P.O.
NO KR/KCH/00116317, NO. 28/1268, KEZHUPILLIL MADOM, KADAVANTHRA P.O,
COCHIN, PIN - 682020
37. VENUGOPALAN K.K AGED 69 YEARS S/O. KUMARAN K.K (LATE), P.P.O. NO
KR/KCH/00117058, KANNASSERY HOUSE, MALIPURAM P.O, ERNAKULAM, PIN -
682511
38. THOMAS D AGED 69 YEARS S/O. OUSEPH DEVASSIA (LATE), P.P.O. NO
KR/KCH/00116358, KIZHAKKETTAM HOUSE, THOTTUNGATHARA ROAD,
KADAVANTHRA, ERNAKULAM, PIN - 682020
39. SREEDHARAN P.K AGED 68 YEARS S/O. P.K. KORAN (LATE), P.P.O. NO
KR/KCH/0000116354, USHUS, 26/1360A, ST. JOSEPH ROAD, THEVARA P.O,
ERNAKULAM, PIN - 682013
40. VENUGOPALAN M.A AGED 75 YEARS S/O. AYYAPPAN (LATE), P.P.O. NO
KR/KCH/00117279, AT MUKKAPPUZHA, KANDASSANKADAVU, THRISSUR, PIN -
680613
41. JOS C.M AGED 69 YEARS S/O. MIYYALU C.A, P.P.O. NO
KR/KCH/00117356,CHITTILAPPILLY HOUSE, PERAMANGALAM P.O, THRISSUR,
PIN - 680545
42. VARGHESE M.V AGED 69 YEARS S/O. VARGHESE M.J (LATE), P.P.O. NO
KR/KCH/00117164, MADATHUMPADY HOUSE, MANKUZHY ROAD, EDAPPALLY TOLL,
ERNAKULAM, PIN - 682024
43. SASEENDRABABU R AGED 68 YEARS S/O. RAGAVAN ASARI P (LATE), P.P.O. NO
KR/KCH/00117719, AMRITHAM, NETTOOR, P.O, MARADU, ERNAKULAM, PIN -
682040
44. JAYASHAJ N AGED 69 YEARS S/O. NANOO (LATE), P.P.O. NO
KR/KCH/00116355, NAVAGEETHAM, PANDARACHIRA ROAD, KADAVANTHRA,
ERNAKULAM, PIN - 682020
45. RAJENDRAN G AGED 69 YEARS S/O. S. GOPALAN (LATE), P.P.O. NO
KR/KCH/00117325, KRISHNA, VALAMANGALAM, THURAVOOR P.O, CHERTHALA,
ALAPPUZHA, PIN - 688532
46. SUGATHAN P.A AGED 66 YEARS S/O. P.K. ASOKAN (LATE), P.P.O. NO
KR/KCH/00116363, PANAIKULATH HOUSE, SRA-75, THRIKKAKARA P.O, , PIN -
682021
47. M. GOVINDAN AGED 76 YEARS S/O. RAMAN NAIR, P.P.O. NO
KR/KCH/00116356, NO. 1425 A/28, SURABHI, JOSEPH CHURCH ROAD,
KADAVANTHRA, PIN - 682020
48. BHADRAN M AGED 71 YEARS S/O. MADHAVAN (LATE), P.P.O. NO
KR/KCH/00116828, MANGALATH HOUSE, HOUSE NO: 28/1148, VIVEK NAGAR,
KADAVANTHRA, ERNAKULAM, PIN - 682020
49. SIVADASAN M.P AGED 66 YEARS S/O. PAZHNIMALA, P.P.O. NO
KR/KCH/00116375, PRASADAM, THOTTUNGATHARA ROAD, KADAVANTHRA P.O,
ERNAKULAM, PIN - 682020
50. JAYAPRAKASH A.K AGED 72 YEARS S/O. AYYAPPAN S, P.P.O. NO
KR/KCH/00116713, IDIYODIL, INDIRANAGAR, KADAVANTHRA P.O, KOCHI, PIN
- 682020
51. RAVINDRAN .K AGED 69 YEARS S/O. KANNAN,, P.P.O. NO KR/KCH/00117261,
KAUSTHUBHAM, SWAMIKUNNU, DHARMADAM P.O, TELLICHERRY, KANNUR, PIN -
670106
52. JAYAPRAKASH T AGED 69 YEARS S/O. ARUMUGHAN (LATE), P.P.O. NO
KR/KCH/00117720, ATHIRA, HOUSE NO. 33/736-A, A R CAMP ROAD,
MARIKUNNU P.O, KOZHIKODE, PIN - 673012
53. STANESLAVOSE I.V AGED 66 YEARS S/O. VARGHESE I.A (LATE), P.P.O. NO
KR/KCH/00116706, ITTYPATTA HOUSE, AISWARYA NAGAR ROAD, PUTHIYA ROAD,
PALARIVATTOM, ERNAKULAM, PIN - 682025
54. RAJAGOPALAN C AGED 74 YEARS S/O. CHUDALAMUTHU, P.P.O. NO
KR/KCH/00117068, SUDARSHANA, 70/1843-B-LANE 2, ACS SCHOOL ROAD,
KALOOR, ERNAKULAM, PIN - 682017
55. VASU K.K AGED 67 YEARS S/O. KRISHNAN K.K. (LATE), P.P.O. NO
KR/KCH/00117274, HOUSE NO. 26/1794C, KALLADATHIL HOUSE, CHALANCHERRY
ROAD, THEVARA P.O, ERNAKULAM, PIN - 682013
56. JOY VARGHESE M AGED 68 YEARS S/O. VARGHESE, P.P.O. NO
KR/KCH/00116714, MANAMEL HOUSE, NO. 48/2044, GRAMEENA VAYANASALA
ROAD, PONNURUNNI EAST, VYTTILA, PIN - 682019
57. SHINE T.B AGED 68 YEARS S/O. BALAKRISHNAN, P.P.O. NO
KR/KCH/00116707, CHEERAKKUZHY HOUSE, P.C. CROSS ROAD, PONNURUNNI
EAST, VYTTILA, PIN - 682019
58. PAVITHRAN PATTERI AGED 69 YEARS S/O. ACHUTHAN PATTERI, P.P.O. NO
KR/KCH/00116318, PATTERI HOUSE, VIVEK NAGAR, KADAVANTHRA, KOCHI, PIN
- 682020
59. VIJAYAN K.V AGED 67 YEARS S/O. KUNHAMBU P.K, P.P.O. NO
KR/KCH/00117161, DIVYA NIVAS, MNRA-195, MULLACKAL NAGAR, EROOR WEST
P.O, THRIPUNITHURA, ERNAKULAM, PIN - 682306
60. RAJAN K.S AGED 75 YEARS S/O. LATE. K.E. SAMUEL, P.P.O. NO
KR/KCH/00117262, KANJIRAVILAYIL HOUSE, PALACE GARDENS, KARINGACHIRA,
IRUMPANAM P.O, ERNAKULAM, PIN - 682309
61. MARY GRACE AGED 75 YEARS W/O. LATE. K.J THOMAS, P.P.O. NO
KR/KCH/00116319, GRACE GARDEN, NAD ROAD, NRA-38, ASHOKAPURAM P.O,
ALUVA, ENAKULAM, PIN - 683101
62. SHAMSUDDIN A.A AGED 76 YEARS S/O. LATE HYDROSE, P.P.O. NO
KR/KCH/00117382, MALIAYEKKAL HOUSE, PADAMUGAL, KAKKANAD P.O,
ERNAKULAM, PIN - 682030
63. K.N. SARALA AGED 75 YEARS W/O. P. RAMACHANDRAN PILLAI, P.P.O. NO
KR/KCH/00116316, NO. 28/97, VYSHAKHAM, PANAMPILLY NAGAR AVENUE,
KOCHI, PIN - 682036
RESPONDENTS:
1. UNION OF INDIA REPRESENTED BY THE SECRETARY, MINISTRY OF LABOUR AND
EMPLOYMENT, DEPARTMENT OF EMPLOYMENT, NEWDELHI, PIN - 110001
2. THE EMPLOYEES PROVIDENT FUND ORGANISATION REPRESENTED BY THE CHIEF
PROVIDENT COMMISSIONER, BHAVISHYA NIDHI BHAVAN, 14,BHIKAJI CAMA
PALACE, NEW DELHI, PIN - 110066
3. REGIONAL PROVIDENT FUND COMMISSIONER THE EMPLOYEES PROVIDENT FUND
ORGANISATION KALOOR, ERNAKULAM, PIN - 682017
4. COCHIN SHIPYARD LTD (CSL) PERUMANOOR PO, COCHIN KERALA- REPRESENTED
BY ITS MANAGING DIRECTOR, PIN - 682015
Writ petition (civil) praying inter alia that in the circumstances
stated in the affidavit filed along with the WP(C) the High Court be
pleased to stay the operation of exhibits p7 and p8 and restore/ continue
the monthly pension paid to the petitioners under their respective pension
payment orders, pending disposal of the above writ petition.
This petition again coming on for orders upon perusing the petition
and the affidavit filed in support of WP(C) and this court's order dated
23.03.2023 and upon hearing the arguments of M/S. R.SANJITH & C.S.SINDHU
KRISHNAH, Advocates for the petitioners, SHRI. THOMAS MATHEW NELLIMOOTTIL,
Advocate for R2 & R3, the court passed the following:
ZIYAD RAHMAN A.A., J.
----------------------------
W.P.(C) Nos.8979/2023, 16018/2020, 11737/2021,
4958/2023, 5300/2023, 5442/2023, 5460/2023,
5473/2023, 5503/2023, 5510/2023, 5513/2023,
5790/2023, 5876/2023, 5987/2023, 6178/2023,
6206/2023, 6260/2023, 6284/2023, 6292/2023,
6499/2023, 6502/2023, 6681/2023, 6703/2023,
6710/2023, 6723/2023, 6725/2023, 6731/2023,
6740/2023, 6779/2023, 6811/2023, 6905/2023,
6941/2023, 6990/2023, 7015/2023,7043/2023,
7073/2023, 7105/2023, 7141/2023, 7261/2023,
7547/2023, 7578/2023, 7614/2023, 7838/2023,
7990/2023, 8412/2023, 8727/2023, 8777/2023,
8990/2023, 9061/2023, 9177/2023, 9241/2023,
9351/2023, 9358/2023, 9494/2023, 9614/2023,
9659/2023, 9979/2023, 10175/2023, 10186/2023,
10219/2023, 10535/2023, 10650/2023, 10711/2023,
11442/2023 & 11554/2023.
------------------------
Dated this the 12th day of April, 2023
O R D E R
In all these cases, the issue involved is
pertaining to the legal entitlement of the
petitioners for higher pension, as per the
provisions of the Employees Provident Funds and
Miscellaneous Provisions Act, 1952. These writ
petitions are already admitted.
2. As per the decision rendered by the
Honourable Supreme Court in EPF Organisation v.
Sunil Kumar [2022(7) KHC 12 (SC)], certain
directions were issued in this regard with respect
to the options to be submitted by the employees
concerned, to be eligible for the benefits of
higher pension under the Employees Pension Scheme,
1995. In para 44 (iv) of the said decision, the
following observations were issued by the
Honourable Supreme Court.
" 44 (iv) The members of the scheme, who did not exercise option, as contemplated in the proviso to paragraph 11(3) of the pension scheme (as it was before the 2014 Amendment) would be entitled to exercise option under paragraph 11(4) of the post amendment scheme. Their right to exercise option before 1st September 2014 stands crystallized in the judgment of this Court in the case of R.C. Gupta (supra). The scheme as it stood before 1st September 2014 did not provide for any cut-off date and thus those members shall be entitled to exercise option in terms of paragraph 11(4) of the scheme, as it stands at present. Their exercise of option shall be in the nature of joint options covering pre-amended paragraph 11(3) as also the amended paragraph 11(4) of the pension scheme."
3. The Honorable Supreme Court permitted the
employees who could not submit the options in the
light of para 11(3) of the pre-amendment scheme,
to submit fresh options within a period of four
months. Though the said period expired on
3.03.2023, the same was further extended for two
months i.e. up to 3.05.2023. The petitioners in
these cases are employees intending to submit
their options in the light of directions of the
Honourable Supreme Court.
4. The EPF organization made available to the
employees the facility to submit the options
through online mode by providing necessary links
for the same on their website. Ext P9 in
WP(C)8979/2023 is the option form the employee has
to fill up while submitting the option.
5. The grievance highlighted by the petitioners is that one of the details to be
furnished in the said option form is the copy of
the permission under para 26(6) of the Employees
Provident Fund Scheme, 1952. According to the
petitioners, even though they were permitted to
pay the contribution based on the salary,
exceeding the ceiling limit prescribed (Rs 5,000/-
and Rs 6,500/-), as contemplated under para 26(6)
of the Scheme 1952, no formal option has been
submitted. According to them, submission of such
an option was never necessitated or insisted upon,
and instead, higher contributions were being
accepted all along by the EPFO. Therefore, they
are unable to fill up the said column in the
online option form, and the said form is
formulated in such a fashion that, unless the
details of the option under para 26 (6) of the
Scheme, 1952 are incorporated, they cannot
successfully submit the online options. If they
are not submitting their options on or before the
cut-off date, i.e. 3.05.2023, they will be
deprived of the benefits of the Scheme to which
they are legally entitled. In such circumstances,
the petitioners seek an interim order permitting
them to submit options without insisting on the
details/copies of the options submitted by them
under para 26(6) of the Scheme 1952.
6. The prayer for interim relief is stoutly
opposed by the respective Standing Counsels for
the EPFO. According to them, the option under para
26(6) is one of the crucial requirements for
availing the benefits, and therefore, it is
absolutely necessary for processing the options
submitted by the employees.
7. The learned counsels for the petitioners
would point out that higher contributions were
being accepted by the EPFO all along, even without
formal options from the employees and without any
insistence for submission of options as referred
to above. The petitioners relied on various
circulars issued by the EPFO to substantiate the
said contentions.
8. In circular bearing No:
Pension/Misc.2005/65836 dated 22.011.2006, it was
mentioned in para 4 (4) that, if the option was
not exercised at the time of salary crossing the
statutory limit or on 16.3.1996 as the case may be
and the contributions were deposited on salary
exceeding the limit after receiving instructions
from the Office before the date of issue of
circular dated 22.06.2004, the department has the
vicarious liability(restricted to specific cases
only)of honouring such a commitment and hence the
pensionable salary shall be on the actual salary,
i.e. on the salary (exceeding the statutory limit)
on which contribution paid. However, it is true
that, in para 4 (5) of the said Circular, it was
clarified that, in cases where no options were
given, or no commitment was made by the concerned
office, but the contribution on higher pay was
deposited by the establishment/employee on their
own, excess contributions will be considered as
erroneous contributions, and the pensionary salary
will be restricted to statutory ceiling existing
from time to time. But the fact remains that the
said Circular clearly indicates that certain
offices of the EPFO used to give instructions for
accepting the higher contributions, even without
options being actually submitted, and permitting
payment of higher contribution.
9. Besides the same, in Circular No Pen-
1/12/33/96/Amendment/Vol.IV/16762 dated 22.01.2019
(Ext P3 in WP(C) 8979/2023), it is mentioned as
follows: "However, if an employer and employee have contributed under the EPF Scheme, 1952 on wages higher than the statutory wage
limit, without joint option of employee & employer, and the EPF
Account of the concerned employee has been updated by the EPFO on
the basis of such contribution received, then by action of
employee, employer and EPFO, it can be inferred that joint option
of the employee and employee has been exercised and accepted by
EPFO........."
10. Of course, the said Circular has been
withdrawn as per Circular dated 7.02.2019, in the
light of the observations made by a Division Bench
judgment of this Court in WP(C)13120 of 2015.
However, the said Circular dated 22.01.2019
clearly conveys the manner in which the EPFO
treated the issue as regards the necessity of
submitting options under para 26(6) of the Scheme
1952, and it indicates that the submission of
options was never made mandatory.
11. In addition to the above, the petitioners
have also raised a contention that, in the
judgment passed by the Division Bench of this
Court, in Sasikumar P. and others v. Union of
India and others [ILR 2019 (1) Kerala 614], it was
clarified that, the employees shall be entitled to
exercise the option stipulated by paragraph 26 of
the EPF Scheme without being restricted in doing
so by the insistence on a date. Therefore, even if
the submission of an option is mandatory, it is
still open for the employees to submit the same
without any cut-off date. It was further contended
that, even though the said judgment was set aside
by the Honourable Supreme Court in Sunil Kumar's
case (supra), it would not affect the direction of
the Division Bench judgment of this court in
Sasikumar's case (supra), as there is no contrary
finding in the decision of the Honourable Supreme
Court, with regard to the option under para 26(6)
of the Scheme 1952. In my view, this is also a
matter to be considered at the time of the final
hearing.
12. Thus, when all the above aspects are
considered, it can be seen that, right from the
inception, higher contributions were being
accepted by the EPFO, even without submitting
options under para 26(6) of the Scheme 1952. It is
also evident that in some cases, instructions were
issued from some of the offices of EPFO to accept
the same, and in some cases, accounts of
respective employees were also updated in tune
with such higher contributions.
13. Further, the petitioners also have a
contention that, going by the language used in
para 26(6) of the Scheme, 1952, it could be
interpreted as an enabling provision, which
provides the power to the EPFO to accept higher
contributions in certain circumstances and the
same cannot be treated as a provision which makes
the submission of option mandatory. The exercise
of such options and their acceptance by the EPFO
can be inferred from the conduct of the employees,
employers and the EPFO, as mentioned in Circular
dated 22.01.2019. After considering the provisions
in this regard, I am of the view that this is also
a relevant aspect to be considered in detail.
14. Thus, when considering all the above
aspects, the only view that can possibly be taken
is that the petitioners have succeeded in
establishing a prima facie case, warranting an
interim order in the matter. It is to be noted
that the balance of convenience also favours the
petitioners. Evidently, the Honourable Supreme
Court fixed the cut-off date as 3.05.2023 for
submitting the options. Now on account of the
insistence from the EPFO to furnish the details of
the option under para 26(6)of the Scheme, 1952,
and also in view of the peculiar nature of the
online facility provided for such submissions,
they are now prevented from submitting the said
options. There cannot be any dispute that if they
were not permitted to submit their options before
the cut-off date, they would be deprived of their
opportunity to claim the benefits of the judgment
of the Honourable Supreme Court forever.
WP(C) No. 8979/2023 & Con.cases 12 Therefore, the petitioners deserve an interim order for that reason,i.e. the balance of convenience, as well.
15. The learned Standing Counsel for the EPFO
also raised a contention that some of the writ
petitions are submitted by the employees of the
exempted establishments, and they cannot be
granted the benefits. However, in para 38 of the
judgment in Sunil Kumar's case (supra), this
aspect was considered, and it was found that
employees of the exempted establishments should
not be deprived of the benefit of remaining in the
pension scheme while drawing salary beyond the
ceiling limit. Therefore the said contention of
the EPFO is also not prima facie sustainable.
In the light above of the observations, I am
inclined to pass an interim order; Accordingly,
the Employees Provident Fund Organization and the
authorities under the same are directed to make
adequate provisions in their online facility to
enable the employees/pensioners to furnish the
options in tune with the directions of the
Honourable Supreme Court, without the production
of the copies of option under paragraph 26(6) of
the Scheme, 1952 and the details thereof, for the
time being. If appropriate modifications cannot be
made in the online facility, feasible alternate
arrangements, including the permission to submit
hard copies of the options, shall be made/granted.
The facilities mentioned above shall be made
available to all the employees/pensioners within
a period of ten days from today.
Sd/-
ZIYAD RAHMAN A.A., JUDGE
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