REGIONAL DIRECTOR TAMIL NADU EMPLOYEES STATE INSURANCE CORPORATION MADRAS Vs. MOTHHERS COMMERCE COMPANY PRIVATE LIMITED

JUDGEMENT

(1.) THE appellant is the respondent and the respondent is the petitioner in ESIOP No. 1/84 on the file of Employees State Insurance Court at Pondicherry.

(2.) THE respondent/petitioner herein fded an application under Section 75(g) of ESI Act to set aside the order dated 18/11/1983 passed by the appellant-Corporation on the following grounds: THE respondent/petitioner herein received on 8/12/1983 an order dated 18.11.1983 issued by the respondent imposing on the petitioner damages totalling Rs. 2,223/- for an alleged delay in payment of contributions due under the ESI Act of 1948 for the contribution periods 7/80, 9/80, 11/80, 1/81 and 3/81. THE petitioner has paid all the contributions due to the respondent for these contribution periods and the delay is due to the persistent refusal of respondent to determine the amount on the basis of the petitioner's records. THE delay in payment of contributions was on account of the failure of the respondent to determine the correct amount due on the basis of the records available with the petitioner. THE petitioner has not wilfully or wantonly delayed the payment. Petitioner was continuously requesting the respondent to fix the exact amount and in the mean while, he has also paid the entire amount due as per his own calculations. THE respondent is now claiming damages for the delay due to his failure to inspect the petitioner's records and assess the correct amount due.

(3.) NOW turning to the question of consideration of the appeal on merits under the ESI Act, it is the duty of the employer to file the return and pay the contribution, and once it is not paid, it attracts the levy of interest and imposition of damages. This can be seen from the following provisions of ESI Act. Section 39(4) of the ESI Act states as follows:-