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1. The petitioner through instant petition under Articles 226/227 of the Constitution of India is seeking setting aside of order dated 04.07.2011 (Annexure P-1) passed by Employees' Provident Fund Appellate Tribunal, New Delhi to the extent petitioner's liability of Provident Fund Contribution qua conveyance and washing allowance has been confirmed.

2. The petitioner is a Private Limited Company which is engaged in providing security services to multiple customers. It has engaged number of workers who are deployed as 'Security Guards' at different premises. The Provident Fund Authorities in 1996 formed an opinion that petitioner is wrongly and illegally bifurcating wages payable to its workers in four components i.e. Basic, House Rent Allowance, Conveyance Allowance and Washing Allowance. The petitioner is paying minimum wages payable under Minimum Wages Act, 1948 (for short '1948 Act'), however, the said wages are bifurcated into four 1 of 11 Neutral Citation No:=2024:PHHC:154025 CWP-17716-2011 (O&M) -2- components. The petitioner is complying with provisions of 1948 Act, however, violating provisions of Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (for short '1952 Act') by not including HRA, Conveyance Allowance and Washing Allowance (collectively as 'Allowances" hereinafter) in the basic wage while calculating Employer/Employee Contribution. On the basis of said opinion, the respondent-authority for the period of March' 1996 to 1998 passed order dated 31.05.1999 holding that Provident Fund Contribution is required to be made on minimum wages without splitting emoluments into different heads i.e. Basic Wages, HRA, Conveyance and Washing Allowances.

3. The petitioner preferred an appeal before Appellate Authority which vide order dated 01.05.2000 upheld order dated 31.05.1999 passed by Assessing Authority. He preferred Writ Petition before Delhi High Court which came to be allowed vide order dated 20.09.2011. Delhi High Court set-aside orders passed by Assessing and Appellate Authority. The respondent preferred Intra Court Appeal which came to be dismissed vide order dated 10.10.2023.

4. The respondent like demand for the period from March' 1996 to 1998 initiated proceedings under Section 7A of 1952 Act for the period from November' 1998 to May' 1999. The Assessing Authority vide order dated 23.05.2002 dropped proceedings holding that petitioner is not liable to pay Provident Fund Contribution on allowances i.e. HRA, Conveyance Allowance and Washing Allowance. The said order was never assailed by respondent, thus, has attained finality.

5. The respondent for the period from December' 2001 to July' 2005 again initiated proceedings under Section 7A of 1952 Act and vide order dated 13.04.2006 held that petitioner is liable to include HRA and other allowances in the basic wage for the purpose of Provident Fund Contribution. The Authority 2 of 11 Neutral Citation No:=2024:PHHC:154025 CWP-17716-2011 (O&M) -3- formed an opinion that act of petitioner was a subterfuge to avoid statutory liability. The petitioner preferred an appeal before Appellate Tribunal which came to be allowed vide order dated 15.06.2009. The Appellate Authority held that allowances cannot be included in Basic Pay for the purpose of calculation of Provident Fund Contribution. The respondent preferred Civil Writ Petition before this Court which came to be dismissed vide order dated 01.02.2011. The respondent preferred Intra Court Appeal which came to be dismissed by a Division Bench vide order dated 20.07.2011. There was some typing mistake in the order dated 20.07.2011 which was corrected vide order dated 08.09.2011. The orders passed by this Court as well as Delhi High Court could not retain the respondent and it rushed to Supreme Court against the order passed by Division Bench of this Court. Supreme Court vide order dated 17.08.2023 upheld orders passed by Division Bench of this Court and dismissed appeal of the respondent.

6. The respondent for the period in question from August' 2005 to October' 2007 again initiated proceedings under Section 7A of 1952 Act which culminated in order dated 30.07.2008. The respondent again ordered to include allowances in the Basic Wage for the purpose of Provident Fund Contribution. The petitioner preferred an appeal before Appellate Authority which came to be partially allowed. The Tribunal ordered not to include HRA in the Basic Wage, however, ordered to include other allowances in the Basic Wage for the purpose of Provident Fund Contribution.