EMPLOYEES STATE INSURANCE CO Vs. GOKAK MILLS

JUDGEMENT

(1.) THUS appeal is instituted by the original respondentemployees' State insurance Corporation (hereinafter called as Corporation)and is directed against the order, dated 20 April 1975. passed by the Employees Insurance Court, Bangalore, in Employees' State Insurance Application no. 5 of 1974, on its file.

(2.) THE Gokak Mills in the district of belgaum instituted an application before the employees' Insurance Court, being aggrieved by the demands made by the respondent-Corporation by their demand notice, dated 10 June 1974, towards special contribution and interest on wages paid to the employees for the period of strike from 28 August to 5 September 1965. They submitted that though the Corporation was not entitled to recover the special contribution, on the wages paid for the strike period, the Corporation had actually recovered the contribution with interest. In the circumstances, the mill prayed that the same should be declared illegal and the contribution with interest thereon paid should be ordered to be refunded.

(3.) THE Corporation resisted the application. According to the Corporation, it was entitled to recover special contribution on the wages even though the wages paid were for the strike period. There was no illegality about it and hence it submitted that it was not liable to refund special contribution with interest there on. The learned Judge having beard the arguments of the parties, held that the Corporation was not entitled to recover special contribution for the wages paid during the strike period, and as such, by his order, dated 30 April 1975, he directed the Corporation to refund the amount of Rs. 2,909 paid towards the special contribution and rs. 672. 68 paid towards interest.