VIJAYAN N INSTRUCTOR MILMA TRADING CENTRA KERALA CO OPERATIVE MILK MARKETING FEDERATION LIMITED Vs. SECRETARY OF GOVT AGRICULTURE DAIRY DEPARTMENT

JUDGEMENT

(1.) Exhibit P-1 Government Order dated 24/09/1998 directing the Kerala Co-operative Milk Marketing Federation to comply with Para 26-A of the Employees Provident Fund Scheme and directing the respondents from discontinuing or reducing the rate of employees contribution under the E.P.F. Act from 12% on the amount of salary in excess of Rs. 5,000/- per month was under challenge at the instance of some of the employees and the Ernakulam Regional Co-operative Producers Union Officers Association.

(2.) Heard the learned counsel for the petitioner and the learned Government Pleader. The Kerala Co-operative Milk Marketing Federation was contributing an equal amount of contribution as employer's share to the Employees Provident Fund Scheme. The Audit Department raised objection noting that the share of contribution made by the employer was in excess of the limits under Para 26- A(2) of the Employees' Provident Fund Scheme. The above matter was brought to the notice of the Government. Accordingly, the Government issued Exhibit P-l letter to the Kerala Co-operative Milk Marketing Federation to discontinue the remittance of the employer's share of contribution in excess of the statutory limits and comply with Para 26-A(2) of the Employees' Provident Fund Scheme. The above order (Exhibit P-1) is under challenge at the instance of some of the employees as well as the representative of the trade Union.

(3.) One of the arguments advanced by the learned counsel for the petitioner was that the Government was not competent to issue such an order like Exhibit P-l and as such it was illegal. A reading of Exhibit P-l would reveal that the Audit Department made certain objections relating to the contributions made by the employer in excess of the statutory limits to the E.P.F. Scheme and that was brought to the notice of the Government and accordingly, the Government issued Exhibit P-l directing-to comply with the statutory provisions. Exhibit P-l order reads: