SOWBHAGYA ILLAM CHILDRENS HOME Vs. DEPUTY DIRECTOR

JUDGEMENT

(1.) This writ petition is filed to quash the impugned order, dtd. 25/2/2015.

(2.) The brief facts of the case are that the petitioner namely, M/s.Sowbhagya Illam Children's Home, Gandhigram Trust was started in the year 1948 with the vision of providing care, protection and empowerment of vulnerable children. It is a Non-Governmental Organization which aims to provide parental affection and to ensure that they are restored to normal life by creating a family atmosphere in the Home.

(3.) The petitioner purely depends on Government grants and donations from well-wishers. The destitute home which is under the petitioner institution caters to destitute children and creche center takes care of children of poor working women in rural areas. The Income Tax Department has granted exemption under Sec. 80G of the Income Tax Act to the donors, in respect of the contributions made by them. The founders of Gandhigram Trust with the cardinal principles and objective of providing help / assistance to the poor and needy children without charging any fees from the children is running solely through Government aid and donations from the willing donors. Even the staff engaged by the establishment are service motivated volunteers and no commercial activities of any sort take place in the establishment. In such circumstances, suddenly without any advance notice or intimation, the respondents by proceedings, dtd. 25/2/2015, brought the petitioner establishment under the purview of Employees State Insurance Act (herein after referred as 'ESI Act'). As per Sec. 1(G) of the ESI Act, initially applies to all factories under Sec. 1(5) of the ESI Act, empowers State Governments to notify any establishment under its area for coverage under the Act provided that adequate notice is given and approval obtained from the Central Government. Pursuant to the same, the State Government has invoked the provisions of Sec. 1(5) of the ESI Act and extended to the following categories of establishment namely,