Bombay High Court
National Marketing Corporation vs Regional Provident Fund Commissioner ... on 29 July, 1993
Equivalent citations: [1994(68)FLR655], (1994)IILLJ1177BOM
JUDGMENT B.P. Saraf, J.
1. By this writ petition, the petitioner has challenged the order of the Regional Provident Fund Commissioner dated 27.5.1988 levying damages under section 14-B of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 ("the Act") for delay in payment of provident fund contribution for the period from March 1975 to November 1978 on the ground, inter alia, that the proceeding for levy of damages itself was initiated by using notice dated 15.2.1988, after long lapse of time ranging between 10 to 13 years from the date of alleged delay in payment of contribution. It is agreed by the learned counsel for the parties that the controversy in this case is covered by the decision of this Court in K. T. Rolling Mills Pvt. Ltd. v. R. M. Gandhi & Ors. W. P. No. 3271 of 1987 R. M. Gandhi & Ors. W. P. No. 3271 of 1987 decided on 19 & 20 November, 1992, which was also affirmed on appeal.
2. Following the same, I hold that the action in this case is vitiated on account of the long delay ranging between 10 to 13 years in initiating action under section 14-B of the Act for alleged delay in depositing the contribution for which no explanation is also forthcoming. In that view of the matter, the writ petition is allowed. The impugned order dated 27.5.1988 and the notice of demand issued in pursuance thereof are set aside and quashed.
3. Under the facts and circumstances of the case, I make no order as to costs.
4. The deposit of Rs. 4,000/- made by the petitioner in pursuance of the order of this Court shall be refunded by the concerned respondent within six weeks from today. Needless to say that the bank guarantee furnished by the petitioner stands discharged.