NATURAL RESOURCES DEVELOPMENT CO OPERATIVE SOCIETY LIMITED Vs. REGIONAL PROVIDENT FUND COMMISSIONER HYDERBAD

JUDGEMENT

(1.) The petitioner challenges the validity of the order of the 1st Respondent dated 7/08/1990, passed under Section 7-A of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, and the consequential order of the 3rd respondent dated 6/07/1991 as illegal and void.

(2.) The petitioner is a Co-operative Society registered under the A. P. Co-operative Societies Act. It was registered in 1974. The Secretary of the Petitioner Co-operative Society submits that a group of unemployed Post-graduates in Geology, Geophysics, Physics and Chemistry etc., have registered themselves as a Co-operative Society to provide certain expert consultancy services, and that under the bye-laws every member is a share holder and undertakes consultancy work at the instance of the society. According to the petitioner, there is no master and servant or employer and employee relationship between the society and the member. Each member is a share holder. The treatment of the Petitioner-Society as an establishment within the meaning of Section 1(3) (b) of the Employees' Provident Funds and Miscellaneous Provisions Act, for short the, "Act', and the direction to comply with the scheme and the Act from 1/07/1988 is questioned in this write petition.

(3.) The respondents filed a counter-affidavit denying that there is no relationship of master and servant. It is averred that the relationship of master and servant exists. It is further stated that the Society had, complied with the direction and remitted the amount due from July 1, 198 8/06/1989 but defaulted in payment of dues from 1/07/198 9/12/1989. . It Is pointed out that as per the determination a sum, of Rs. 2,75,354.10 is due for the period from November 1, 198 6/06/1988 and a further sum of Rs. 1,51,244-25 for the period from July 1, 198 9/01/1990. . In these circumstances it is prayed that the writ petition be dismissed.