LAWS(ORI)-2022-4-53

DILLIP KUMAR SAHOO Vs. STATE OF ORISSA

Decided On April 18, 2022
Dillip Kumar Sahoo Appellant
V/S
STATE OF ORISSA Respondents

JUDGEMENT

(1.) The present petition by Dillip Kumar Sahoo and 27 others is directed against an order dtd. 10/10/2008 passed by the District Labour Officer (DLO), Dhenkanal declining to proceed further in the matter of the Petitioners' complaint petition regarding their illegal retrenchment from the service of M/s. S. N. Corporation Ltd., Dhenkanal (SNCL) and the subsequent order dtd. 8/11/2010 of the DLO, Dhenkanal again stating that nothing can be done in the complaint since the said SNCL had been closed with effect from 23/11/1998 following the provisions of Industrial Dispute Act, 1947 (ID Act) and all the terminated employees had received their closure compensation.

(2.) The background facts are that SNCL is a subsidiary unit of Industrial Development Corporation of Orissa Limited (IDCOL) [Opposite Party No.4], which is stated to have direct and permissive control over SNCL.

(3.) When SNCL became sick, a reference was made to the Board for Industrial and Financial Reconstruction (BIFR) and case No.22 of 1990 was registered before it under the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA). On 16/7/1990, the BIFR declared SNCL sick. SNCL could not be revived despite the best efforts. On 6/4/1998, SNCL applied to the Government of Orissa in the Department of Labour and Employment under Sec. 25-O of the ID Act for closure since it was unable to meet the statutory dues and wages of the employees. On 4/6/1998, the Government granted permission for closure under Sec. 25-O (2) of the ID Act.