Telangana High Court
M/S.Sri Laxmi Narasimha Swamy Hamali ... vs The Government Of India on 18 September, 2024
HON'BLE SRI JUSTICE C.V.BHASKAR REDDY
WRIT PETITION No.25573 of 2024
ORDER:
This writ petition is filed praying this Court to direct the respondents to close the code vide No. 52000448770000999 issued by respondent No.2 in favour of the petitioner's society as the petitioner's society is not in existence and consequently declare the order No.52Q/ 44877-0999, dated 22.02.2024 passed by respondent No.3 for recovery of the E.S.I. contribution amount of Rs.68,44,429/- along with subsequent dues against the petitioner's society as illegal and arbitrary.
2. It is stated that the petitioner is a cooperative society registered under the provisions of the Cooperative Societies Act, 1995. It is stated that the members of the petitioner society are working in loading and unloading of goods in the vehicles as a Hamali workers for eking out their livelihood. The case of the petitioner is that though the petitioner society is not covered under Section 2 (12) of the Employees State Insurance Act, 1948 (for short "the Act"), 2 CVBR, J Wp_25573_2024 but believing that the society would fall within the provisions of the Act, the petitioner society deposited monthly contribution to respondent No.2 regularly from 01.11.2014 to 31.01.2015. It is the further case of the petitioner that the petitioner society is not in existence since long time as the members of the society are not getting any regular employment. The grievance of the petitioner is that without taking into consideration of the fact that the petitioner society is not in existence since long time, vide impugned order the respondents have issued the proceedings under Section 45-G of the Act fixing the liability of the petitioner to the tune of Rs.68,44,429/- towards the contributions.
3. Considered the submissions made by the learned counsel for the parties and with their consent this writ petition is being disposed of at the admission stage.
4. Learned counsel for the petitioner has submitted that the petitioner society is not covered under the provisions of the Act and it is not in existence since long time, therefore, the action of respondent No.3 in issuing the impugned 3 CVBR, J Wp_25573_2024 order for recovery of Rs.68,44,429/- along with subsequent dues is illegal and prayed to set aside the same.
5. Sri Pasham Srinivasulu, learned Standing Counsel appearing for the respondents has submitted that the petitioner society is covered under the provisions of the Act and the petitioner society regularly remitted the contributions from 01.11.2014 to 31.01.2015 and thereafter they failed to remit the E.P.F. contributions, therefore, the respondents have initiated the proceedings and after following the procedure prescribed under the Act the respondents have determined that the petitioner is liable to pay an amount of Rs.68,44,429/- towards ESI contributions under the provisions of the Act and issued the impugned order. Learned Standing Counsel further submits that the petitioner is having an alternate efficacious remedy if it is aggrieved with the impugned orders passed by respondent No.3.
6. In the writ petition, the petitioner has raised various disputed questions relating to non-existence of the society and also the petitioner society is not covered under the 4 CVBR, J Wp_25573_2024 provisions of the Act. The said issues can be decided only after verification of the records and basing on the reports submitted by the competent authorities under the provisions of the Act. Since the petitioner is having an alternate efficacious remedy to question the impugned order, the present writ petition filed is misconceived. However, liberty is given to the petitioner to agitate its grievances before the appropriate forum under Section 75 (1) (g) of the Act.
7. Accordingly, this Writ Petition is disposed of. There shall be no order as to costs.
8. As a sequel, the miscellaneous petitions pending, if any, shall stand closed.
__________________________ C.V.BHASKAR REDDY, J 18.09.2024 gkv