The Manager vs Employees Provident Fund ...
2023 Latest Caselaw 2189 Ker

               IN THE HIGH COURT OF KERALA AT ERNAKULAM
                               PRESENT
          THE HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS
     FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944
                       WP(C) NO. 27635 OF 2021
PETITIONER:

          THE MANAGER,
          M/S. SDKY GURUKULA VIDYALAYA, EROOR SOUTH,
          THRIPUNITHURA, ERNAKULAM, PIN - 682 306.

          BY ADVS.
          ARUN KUMAR.P
          AMBIKA RADHAKRISHNAN
          THIYYANNOOR RAMAKRISHNAN



RESPONDENTS:

    1     EMPLOYEES PROVIDENT FUND ORGANISATION
          REGIONAL OFFICE, BHAVISHYA NIDHI BHAWAN, KALOOR, KOCHI,
          ERNAKULAM DISTRICT, PIN - 682017, REPRESENTED BY ITS
          REGIONAL PROVIDENT FUND COMMISSIONER.

    2     REGIONAL PROVIDENT FUND COMMISSIONER - II
          EMPLOYEES PROVIDENT FUND ORGANISATION, REGIONAL OFFICE,
          BHAVISHYA NIDHI BHAWAN, KALOOR, KOCHI, ERNAKULAM
          DISTRICT, PIN - 682 017.

    3     ASSISTANT PROVIDENT FUND COMMISSIONER & RECOVERY
          OFFICER
          EMPLOYEES PROVIDENT FUND ORGANISATION, REGIONAL OFFICE,
          BHAVISHYA NIDHI BHAWAN, KALOOR, KOCHI, ERNAKULAM
          DISTRICT, PIN - 682017.

    4     THE BANCH MANAGER
          FEDERAL BANK LIMITED, EROOR BRANCH, ERNAKULAM, PIN -
          682 306.

          BY ADV S.PRASANTH




     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
10.02.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
  W.P.(C).NO.27635 OF 2021
                                     2



                     BECHU KURIAN THOMAS, J.
                       --------------------------------
                     W.P.(C).No.27635 of 2021
                      ---------------------------------
              Dated this the 10th day of February, 2023

                                 JUDGMENT

The petitioner is the Manager of an educational institution,

affiliated to the CBSE. Since there was default in payment of amounts to

the Employees Provident Fund, coercive proceedings were initiated

against the petitioner. As on date an amount of Rs.19,39,329/- is due

from the petitioner. The learned counsel seeks a breathing time to repay

the total liability due from the petitioner. Though by judgment dated

06.12.2021, this writ petition was disposed of, the said judgment has

been reviewed and recalled.

2. Learned counsel for the respondent upon instructions

submitted that since petitioner is an educational establishment, the

respondents are willing to accept repayment in instalments provided

defaults are not committed in repayment.

3. Having regard to the submissions made across the Bar and

also the circumstances pointed out including the fact that the liability

towards Employees Provident Fund arose against an educational

establishment, due to the onset of COVID-19 pandemic, I am of the view

that facility of repayment of amounts due in 10 instalments can be

granted to the petitioner. Accordingly, this writ petition is disposed of

with the following directions:

W.P.(C).NO.27635 OF 2021

(i) Petitioner shall repay the amount of Rs.19,39,325/- in 10

equated monthly instalments commencing from the 10 th day of

March, 2023.

(ii) Subsequent instalments shall be paid on the 10 th day of the

succeeding months.

(iii) In the event of default in payment of any one instalment, the

respondents shall be free to proceed with the coercive

proceedings.

(iv) To enable the petitioner to repay the entire amounts all

coercive proceedings including Ext.P5 attachment and prohibitory

order dated 17.01.2023 issued by the 2nd respondent shall be kept

in abeyance.

(v) The 4th respondent-Bank shall permit the petitioner to operate

its Bank accounts which was attached under Ext.P5 as well as the

prohibitory order dated 17.01.2023. The petitioner shall be

permitted to carry on with the day to day transactions through the

said bank account notwithstanding Ext.P5 and the prohibitory

order dated 17.01.2023.

The writ petition is disposed of as above.

Sd/-

BECHU KURIAN THOMAS, JUDGE

ak W.P.(C).NO.27635 OF 2021

APPENDIX OF WP(C) 27635/2021

PETITIONER'S EXHIBITS:-

Exhibit P1           TRUE COPY OF THE INSPECTION REPORT BY THE
                     ENFORCEMENT    OFFICER   OF    THE    1ST

RESPONDENT, BEARING NO.KR/KCH/1074382/IEO PRG/2019, DATED 16.09.2019 ASSESSING THE DEFAULTED DUES TO THE TUNE OF RS.21,69,551/-

Exhibit P2 TRUE COPY OF THE NOTICE OF SEC.7A PROCEEDINGS UNDER THE EPF ACT BY THE 2ND RESPONDENT BEARING E-COURT DIARY NO.699/2019 DATED 28.10.2019.

Exhibit P3 TRUE COPY OF THE DEMAND NOTICE BEARING NO.KR/KCH/1074382/RECOVERY CELL/2021-22 DATED 07.10.2021 ISSUED BY THE 3RD RESPONDENT.

Exhibit P4 TRUE COPY OF THE REPRESENTATION DATED 24.11.2021 FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT.

Exhibit P5 TRUE COPY OF THE ORDER DATED 17.11.2021 BEARING NO.KR/KCH/1074382/RECOVERY/2021- 22 BY THE 3RD RESPONDENT TO THE 4TH RESPONDENT BANK.