ASSISTANT PROVIDENT FUND COMMISSIONER, EMPLOYEES PROVIDENT FUND ORGANIZATION Vs. EMPLOYEES PROVIDENT FUND APPELLATE TRIBUNAL MINISTRY OF LABOUR AND EMPLOYMENT

JUDGEMENT

(1.) The order passed by the 1st respondent in ATA No.723(13)/2008 dated 03.08.2009 is sought to be quashed in the present writ petition.

(2.) The petitioner is the Assistant Provident Fund Commissioner, Employees' Provident Fund Organization. The order of the Tribunal is sought to be quashed, mainly on the ground that the Tribunal granted waiver of the damages, which is impermissible and the Tribunal has no jurisdiction to grant such a waiver. The petitioner states that the 2nd respondent company is an Establishment and paying contribution under the Employees Provident Fund Act. There was a belated payment of contributions and the interest levied, which was paid by the 2nd respondent company. However, the damages imposed at 17% was questioned by the 2nd respondent. The Tribunal erroneously considered the claim of the 2nd respondent and granted reduction of the damages from 17% to 5%.

(3.) The learned counsel for the petitioner states that the Tribunal has no jurisdiction to reduce the damages already fixed by the authorities competent under the provisions of the Act. Such a reduction is impermissible in view of the fact that the 2nd respondent had committed a default in making payment and therefore, the Tribunal ought not to have reduced the amount of damages from 17% to 5%.