MAHANAGAR TELEPHONE NIGAM LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) The present appeal has been filed by Mahanagar Telephone Nigam Ltd. (hereinafter referred to as "appellant"), seeking to set aside the order dated 16.12.2014 whereby the Single Judge has dismissed the writ petition being WP(C) No.4309/2013 filed by the appellant. In the said petition, the appellant had sought quashing and setting aside of the show cause notice dated 30.11.2012 issued by the respondent no.5/Assistant Provident Fund Commissioner (Exemption) as well as the show cause notice dated 07.05.2013 issued by the respondent no.6/Assistant Provident Fund Commissioner (Compliance-II). The appellant also challenged orders dated 11.01.2013 and 28.02.2013 passed by Regional Provident Fund Commissioner-I. A further declaration was sought that Condition No.25 of appendix 'A' to para 27 AA of the Employees' Provident Fund Scheme, 1952 (hereinafter referred to as "PF Scheme") is ultra vires the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (hereinafter referred to as the "PF Act").

(2.) The appellant was constituted as a Government Company for imparting telephone and related services in various cities. As it was an establishment whose rules of provident fund with respect to the rates of contribution were not less favourable than those specified in Section 6 of the PF Act and as the employees were also in enjoyment of other PF benefits which on the whole were not less favourable to the employees than the benefits provided under the Act or Scheme in relation to the employees in any other establishment of similar character, the appellant made an application for exemption under Section 17(1)(a) of the PF Act on 24.12.1986.

(3.) Pending grant of exemption, respondent no.4 vide order dated 19.01.1988 granted relaxation under para 79 of the PF Scheme subject to certain conditions set out therein.