Kerala High Court
Dr. Somervell Memorial Csi Medical ... vs Unknown on 23 January, 2020
Author: V Raja Vijayaraghavan
Bench: V Raja Vijayaraghavan
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE RAJA VIJAYARAGHAVAN V
THURSDAY, THE 23RD DAY OF JANUARY 2020 / 3RD MAGHA, 1941
WP(C).No.1888 OF 2020
PETITIONER:
DR. SOMERVELL MEMORIAL CSI MEDICAL COLLEGE AND
HOSPITAL KARAKONAM, THIRUVANANTHAPURAM, REPRESENTED
BY ITS ADMINISTRATIVE OFFICER.
BY ADV. SRI.M.R.SARIN
RESPONDENT
THE REGIONAL PROVIDENT FUND COMMISSIONER
EMPLOYEES' PROVIDENT FUND ORGANISATION, BHAVISHYA
NIDHI BHAVAN, PATTOM PALACE P.O., THIRUVANANTHAPURAM-
695004.
SMT. NITA N.S. SC
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
23.01.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W.P.(C) No.1888 of 2020 2
JUDGMENT
The petitioner herein is an establishment covered under the Employees Provident Fund and Miscellaneous Provisions Act, 1952 ("Act 19 of 1952" for short). They defaulted in paying the contributions and administrative charges due to the respondent for the period from 1.4.2018 to 31.3.2019. Exhibit P1 notice was accordingly issued to the petitioner calling upon them to pay a sum of Rs 73,63,088/- towards damages under Section 14B of the Act and Rs 36,27,362/ towards interest under Section 7Q of the Act for the belated payment. By Exhibit P2 order, they were informed that steps would be taken to realize the amount without further notice. Impugning the said notice, the petitioner is before this Court seeking interference.
2. Sri M.R. Sarin Panicker, the learned counsel appearing for the petitioner, submitted that the petitioner is running a Medical College and due to policy changes of the Government and other unforeseen circumstances, the petitioner is in great financial turmoil. They have approached the Central Government Industrial Tribunal cum Labour Court, Ernakulam and have mounted a challenge against the W.P.(C) No.1888 of 2020 3 order imposing damages under Section 14B of the Act and the said appeal is pending as Appeal No.461 of 2019. According to the learned counsel, insofar as the demand under Section 7Q is concerned, the petitioner is not disputing the quantum. He submits that after receipt of the notice of demand, the petitioner has remitted a sum of Rs.5,07,830/- vide Ext.P3, a sum of Rs.4,45,647/- vide Ext.P4 and a sum of Rs.4,45,647/- vide Ext.P5. He prays that a breathing time be granted to the petitioner to avoid initiation of coercive proceedings at the instance of the respondent.
3. Smt Nita N.S., the learned standing counsel, has vehemently opposed the prayer of the petitioner. It is submitted that the payment of interest is statutory and even an appeal is not provided against the demand of interest under Section 7Q. The learned counsel has also disputed the submission in so far as Exhibit P5 remittance is concerned. According to the learned counsel, the amount due towards the respondent is Rs 26,73,885/ as on date.
4. I have considered the submissions advanced and have perused the records.
5. Though this Writ Petition is filed challenging Exhibit P2 order and the demand of interest and also for incidental reliefs, now W.P.(C) No.1888 of 2020 4 the only prayer is that a breathing time be granted to clear off the installments. Having considered the submissions and the alleged impecunious circumstances pleaded by the petitioner, I am of the view that the petitioner can be granted two months to clear off the entire dues covered under Ext.P2.
In the result, this petition is disposed of granting the petitioner time till 23.3.2020 to clear off the dues covered under Ext.P2. On or before 15.3.2020, if any other amount is due towards interest, the respondent shall inform the petitioner and they shall be liable to clear the same on or before 23.3.2020. It is made clear that this order is made on the submission of the learned counsel that the petitioner is facing grave financial hardship and therefore, no further extension will be granted. This order is passed without prejudice to the right of the respondent to proceed against the petitioner for realization of amounts on any other heads due from them.
Sd/-
RAJA VIJAYARAGHAVAN V JUDGE pkk W.P.(C) No.1888 of 2020 5 APPENDIX PETITIONER'S EXHIBITS:
EXHIBIT P1 TRUE COPY OF SUMMONS NO.KR/TVM/16743/000/ENF 02/DAMAGES/667 DATED 06.05.2019.
EXHIBIT P2 TRUE COPY OF THE ORDER DATED
17.09.2019 ISSUED UNDER SECTION 7Q OF
THE ACT.
EXHIBIT P3 TRUE COPY OF MISCELLANEOUS CHALLAN
WITH TRRN NUMBER 2701909003982 FOR
RS.5,07,830/-.
EXHIBIT P4 TRUE COPY OF MISCELLANEOUS CHALLAN
WITH TRRN NUMBER 2701910005005 FOR
RS.4,45,643/-.
EXHIBIT P5 TRUE COPY OF MISCELLANEOUS CHALLAN
WITH TRRN NUMBER 2701912000383 FOR
RS.4,45,647/-.
EXHIBIT P6 TRUE COPY OF LETTER
NO.KR/TVM/16743/PD/2019-20/3739 DATED 27.11.2019.