REGIONAL DIRECTOR EMPLOYEES STATE INSURANCE CORPORATION Vs. KUMAR STILL AND GENERAL MILLS PROPRIETORS NALWA METAL AND ALLOYS PVT LTD

JUDGEMENT

(1.) THIS appeal is directed against the judgment and order passed by the Judge. Employees State Insurance court, Bombay (hereinafter referred to as the 'insurance court' for the sake of brevity), dated 17. 12. 1988 in application (E. S. I.) No. 43/1986, filed before the said insurance Court by the respondent No. 1. The learned insurance Court. Bombay, by an impugned order, has reduced an Amman. of damage envied by the Regional director, Employees' State Insurance Corporation. Bombay to the tune of Rs. 54,ooo/- as against Rs. l,o7,925. 2o Ps. .

(2.) MORE facts:-The respondent No. 1 had filed an application (E. S. I.) No. 43/86. under section 75 of, the Employees state insurance Act, 1948 (hereinafter referred to as the said Act" 1948 for short), in the Court of learned insurance Court at Bombay, against the present appellant

(3.) THE respondent No. 1 has replied the said show cause notice by letter dated 4. 2. 1985 setting out the true facts and seeking sympathetic view in the matter, since the respondent No. 1 were sick unit for a considerable long period. The grounds set out in the said reply by the respondent No. 1 that the factory was totally closed down on account of labor unrest, financial propellants, power cuts and various other factors etc. . The respondent No. 1 has also stated that the (management of the respondent No. 1 changed hands and attempt had been made to revive the unit in the year 1979-80. but they could not succeed. The resujndent No. 1 has also contended in the said letter that ultimately, the management abandoned the unit in December 1980. with a liability of E,s. I. Dues amounting to more than A as of rupees besides (many other outstanding statutory dues, and ultimately requested to consider the case sympathetically. The Regional Director, Employees State insurance Corporation on receipt of the said reply, directed the respondent No. 1 to represent their case in personal before him on 10. 2. 1985. The record further shams that despite seeking time, the respondent No. 1 did not remain present before the Regional Director and ultimately the Regional Director, passed an order dated 3o. 3. 1985 levying a sum of Rs. 1,07,825. 20 PS;. , towards the damages U/section 85 (B) of the said Act. 1946.