C L KHANNA Vs. UOI

JUDGEMENT

(1.) This Letters Patent Appeal has been filed by Shri C.L. Khanna appellant No. 1, the sole proprietor of appellant No. 2 K.F. Engineering Works, against the judgment and order dated February 27, 2003 passed by the learned single Judge of this Court in the Civil Writ Petition No.789/1980 by which judgment and order the learned single Judge had upheld the order of the respondent No. 3 i.e. the Regional Provident Fund Commissioner, holding that the two units i.e. the appellant No.2, K.F. Engineering Works and A.Pee Industries are one establishment and are covered under the provisions of Employees Provident Fund and Misc. Provisions Act, 1952 (hereinafter referred to as the 'Act'). The respondent No. 1 herein is the Union of India through Secretary Ministry of Labour and respondent No. 2 is the Central Provident Fund Commissioner.

(2.) The brief facts of the case are that the respondent No. 3 initiated proceedings against the appellant No. 1 under Section 7-A of the Act. Section 7-A of the Act reads as follows:

(3.) In the said proceedings the respondent No. 3 alleged that the appellant No.2 was set up on March 1, 1969 and had already completed a period of five years on March 1, 1974. In addition the appellant No.1 purchased another unit in 1973 which was owned and being run in the name of A. Pee Industries by the same sole proprietor. Thus, the activities of both the units were being inter-related, they were one establishment within the meaning and the provisions of the Act. The order of the respondent No.3 dated June 17, 1978 was challenged by the appellant No.l before the learned single Judge. However, the learned single Judge upheld the order of the respondent No. 3, holding that the two units i.e. the appellant No.2, K.F. Engineering Works and A. Pee Industries are one establishment and are covered under the provisions of the Act.