NORTH COIMBATORE FOOD CORPORATION OF INDIA WORKERS LABOUR CONTRACT CO OP SOCIETY LTD Vs. JOINT DIRECTOR EMPLOYEES STATE INSURANCE CORPORATION

JUDGEMENT

(1.) THE petitioner is a Labour Contract Cooperative Society and undertook the work of loading and unloading of food grain bags from Railway wagons and Trucks etc. THE petitioner society was imposed with a liability of demand under Section 45-A of the ESI Act by order dated 31.12.2001. THE petitioner did not challenge the said order in the manner known to law. Subsequently, when proceedings of recovery was initiated by the Corporation, invoking Section 45-G of the ESI Act, the petitioner society started making a claim that the liability of recovering the amount lies with the principal employer under the ESI Act and not the society. After some correspondence, when there was no action and also getting breathing time from the Department, they filed the present Writ Petition.

(2.) THE Writ Petition was admitted on 14.6.2005. Pending the Writ Petition, in the application for interim relief, only Notice was ordered. On notice from this Court, the respondents have filed a counter affidavit dated 30.8.2008. In the counter affidavit, it was stated that the petitioner society is the principal employer and they alone are liable for the contributions towards the employees engaged in loading and unloading operation and the contract between the petitioner society and the Food Corporation of India clearly provides for the statutory liability arising out of the employers under various enactments including Factories Act, Workmens Compensation Act, Provident Fund Act and any other similar enactments. It is the liability of the Contractors and not of the principal employer.

(3.) IN the light of the same, the Writ Petition stands dismissed. No costs. Consequently, the connected Miscellaneous Petition stands closed. However, dismissal of the Writ Petition will not prevent the petitioner to move the ESI Court, if so advised.