MADHUSREE COMPUTERS SOCIETY Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) Heard Sri Harish Kumar Rasineni, learned counsel for the petitioner and Sri N. Ranga Reddy, learned counsel for the respondent Nos.2 and 3 and learned Government Pleader for Municipal Administration for the 1st respondent and perused the material on record.

(2.) Learned counsel for the petitioner submits that the petitioner MEPMA Sec. and Computer Society (in short the society) is providing a skilled manpower to organizations and institutions on contract basis. Pursuant to the tender notice dtd. 5/7/2017 for supply of manpower from the 2nd respondent, the petitioner entered into agreement for supply of manpower on outsourcing basis for the period from 1/8/2017 to 31/3/2018 and supplied 51 outsourcing staff to the 2nd respondent. This contract was extended for two years up to 31/8/2020 on the same terms. The 2nd respondent paid the net amount of salaries to those staff after deducting the statutory contributions like EPF, ESI etc.

(3.) The petitioner received a notice dtd. 25/9/2020 from the 5th respondent/Employees State Insurance Corporation (in short ESI Corporation) for payment of the contribution towards the employees insurance under the Employees State Insurance Act, 1948 (in short E.S.I Act) for the period with effect from 1/9/2015 to 29/2/2016 and 1/7/2018 to 31/8/2020. The petitioner approached the 2nd respondent/the Rayadurgam Municipality and again on 10/12/2020 requesting the 2nd respondent to pay the said amount to the 5th respondent as the 2nd respondent had deducted and not paid the contributions towards the E.S.I to the petitioner. Thereupon, the 2nd respondent vide letter Roc.No.328/2020/E1 dtd. 14/12/2020 informed the petitioner that the payment of ESI premium was under process which fact was brought to the notice of the 5th respondent.