Madras High Court
M/S. The Janakiran Mills Limited vs The Assistant Provident Fund ... on 6 October, 2023
W.P.(MD).No.24242 of 2023
BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
DATED : 06.10.2023
CORAM:
THE HONOURABLE MR.JUSTICE R.VIJAYAKUMAR
W.P(MD)No.24242 of 2023
and
W.M.P(MD) No.20415 of 2023
M/s. The Janakiran Mills Limited,
Represented by its Director,
Srivilliputhur Road,
Sakthi Nagar, Rajapalayam – 626 117,
Virudhunagar District. ...Petitioner
Vs.
1. The Assistant Provident Fund Commissioner,
Employees Provident Fund Organization,
District Office, AKM Complex,
Old Virudhunagar Road,
Sivakasi – 626 189,
Virudhunager District.
2. The Manager,
Bank of Baroda,
Rajapalayam Branch,
Rajapalayam,
Virudhunagar District. ...Respondents
PRAYER: Writ Petition filed under Article 226 of the Constitution of India,
1/6
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W.P.(MD).No.24242 of 2023
praying this Court to issue a Writ of Certiorari, calling for the records relating
to the impugned order passed by the first respondent in his proceedings
No.MD/MDU/DO/SVKS/437/M-09/PDC/8F/2023, dated 18.09.2023 and
quash the same as illegal.
For Petitioner : Mr.M.Jerin Mathew
For Respondents : Mr.S.Anwar Sameem
Standing Counsel - for R1
ORDER
The present Writ Petition has been filed challenging the order of
recovery passed by the first respondent herein under Section 8F (3) of the
Employees' Provident Funds and Miscellaneous Provisions Act.
2. According to the learned counsel appearing for the writ petitioner,
they have suffered an order under Section 14-B of Employees' Provident
Fund Act, on 18.07.2023 directing them to pay a sum of Rs.5,72,112/-
(Rupees Five Lakhs Seventy Two Thousand One Hundred and Twelve only)
towards damages. He further contends that an appeal as against the said order
has been filed before the appellate authority through registered post on
13.09.2023. He further contends that when the appeal is pending before the
appellate authority, the present order of recovery has been passed which is not
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W.P.(MD).No.24242 of 2023
legally sustainable.
3. The learned counsel appearing for the writ petitioner has relied upon
the judgment of this Court reported in 2009 (3) L.L.N 483 (Pyramid Saimira
Theatre, Ltd., (Represented by its Senior General Manager) Chennai Vs.
The Regional Provident Fund Commissioner, Employees' Provident Fund
Organisation, Chennai and another), to contend that when the appeal is
pending, the authority should not proceed with the recovery proceedings.
4. Per contra, the learned Standing Counsel appearing for the first
respondent points out that the appeal is restricted to the claim made by the
Employees Provident Fund Organisation under Section 14 B of the Act. The
petitioner Mill has not challenged the order passed under Section 7 Q of the
Act. Therefore, the respondent is at liberty to proceed with the recovery of the
amount.
5. From the deliberations made above, it is clear that the petitioner has
already filed an appeal challenging the order passed under Section 14 B of the
Act and the appeal is yet to be numbered. Therefore, the respondent
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W.P.(MD).No.24242 of 2023
authorities shall keep the order of recovery relating to damages in abeyance.
The respondent authorities have already recovered the interest portion by the
proceedings of the first respondent, dated 29.09.2023. It is made clear that the
impugned recovery order shall be kept in abeyance only with regard to the
damages portion under Section 14 B of the Act. The authority will be at
liberty to proceed with recovery proceedings depending upon the result of the
appeal. The Central Government Industrial Tribunal is directed to dispose of
the appeal as expeditiously as possible. The petitioner shall be permitted to
operate the bank account till the disposal of appeal.
6. With the above said observations, this Writ Petition stands disposed
of. There shall be no order as to costs. Consequently connected
Miscellaneous Petition is closed.
06.10.2023
NCC : Yes/No
Index : Yes / No
Internet : Yes / No
ebsi
Note: Issue order copy on 06.10.2023
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W.P.(MD).No.24242 of 2023
To
1. The Assistant Provident Fund Commissioner,
Employees Provident Fund Organization,
District Office,
AKM Complex,
Old Virudhunagar Road,
Sivakasi – 626 189,
Virudhunager District.
https://www.mhc.tn.gov.in/judis
W.P.(MD).No.24242 of 2023
R.VIJAYAKUMAR,J.
ebsi
W.P(MD)No.24242 of 2023
06.10.2023
https://www.mhc.tn.gov.in/judis
