EMPLOYEES STATE INSURANCE Vs. EASTERN ENGINEERING CO.

JUDGEMENT

(1.) This Appeal is directed against the judgment and order dated 5th April, 1991 passed by the learned Judge, Employees Insurance Court, Bombay in Application (ESI) No. 146 of 1984 which was filed under section 75 of the Employees' State Insurance Act, 1948 (hereinafter referred to as "The Act"). The appellant is the opponent in the said Application. The respondent/Engineering Company and partnership firm has filed the Application challenging the order dated 7th April, 1984 directing the applicant to pay Rs.27,893.75 by way of contribution towards the employees of the said establishment. The said order was confirmed by the opponent Corporation by another order dated 30th August, 1984, which were challenged under section 75 of the Act.

(2.) It is the case of the respondent that they are only the commission agent, who keep the goods or machinery in the godown and are not concerned with sale of goods or any other commercial transactions. The respondent had godown at Dadar and Sion to preserve the old record and furniture, so also the respondent is not a shop and number of employees working is also less to call it as a shop or establishment. The appellant/Corporation sent letter on 16 th August, 1982 that the respondent company is covered for E.S.I. Contribution, which is denied by the respondent-company. The appellant/Corporation passed the order demanding the amount of contribution of Rs.27893.70 and therefore, the respondent-company filed an application under section 75 of the E.S.I. Act challenging the legality of the said order. The appellant/Corporation filed reply to the Application and asserted that the establishment of the respondent is a shop and relied on the report of the inspector who had visited the establishment on 8th January, 1981 and justified its order of demand of contribution. The learned Judge of Employees Insurance Court, Mumbai framed issues. Both the parties tendered evidence by examining their respective witnesses and presented the documents. The learned Judge, after considering documentary and oral evidence, allowed the Application and set side the order dated 30 th August, 1984 directing the respondent-company to pay the contribution. Hence this Appeal.

(3.) The points of determination are as follows: