DIMS HOSPITAL Vs. UNION OF INDIA

JUDGEMENT

(1.) By invoking the extraordinary jurisdiction under Article 226 of the Constitution of India, the Writ Petition has been preferred challenging three orders, that is, (i) Order, dtd. 21/7/2009; (ii) Order, dtd. 8/9/2010; & (iii) Order, dtd. 3/7/2012 passed by the Respondent Authorities in the Employees Provident Fund Organization [EPFO].

(2.) The Order, dtd. 21/7/2009 was an Order passed after conclusion of an inquiry proceeding under Sec. 7-A of the Employees' Provident Fund and Miscellaneous Provisions Act, 1952 whereby the Respondent EPFO authority empowered thereunder, had found an amount of Rs.8,00,265.00 due from the Petitioner No.1, M/s. DIMS Hospital as dues under the Employees Provident Funds & Miscellaneous Provisions Act, 1952 for the period from May, 2004 to February, 2009. By the Order, dtd. 8/9/2010, a direction was given to the Respondent No.3 to recover an amount of Rs.7,61,796.00 from the Petitioner No.1. The said Order was in the nature of a Prohibitory Order passed by the Recovery Officer, EPFO purportedly under Sec. 7-Q of the Employees Provident Funds & Miscellaneous Provisions Act, 1952. By the Order, dated 3/7/2012, the Petitioner No.2, who is the Managing Director of the Petitioner No.1 establishment, was directed to remit an amount of Rs.6,14,527.00 in favour of the Respondent No.3 within 10 [ten] days from the date of receipt of the said Order, failing which, necessary actions under the provisions of the Employees Provident Funds & Miscellaneous Provisions Act, 1952 would be initiated for realization of the same without further information.

(3.) The Petitioners have averred that the Petitioner No.1 is a unit of M/s May Flower Health Care Private Limited and it runs a Hospital named Ms/ DIMS [Dharanidhar Memorial Institute of Medical Sciences and Research] Hospital ['the Hospital', for short]. As the Hospital was an establishment under provisions of the Employees Provident Funds & Miscellaneous Provisions Act, 1952 ['the Act' and/or 'the PF Act', for short], the same was brought under the purview of the PF Act with effect from 1/4/2004 and it was assigned a code number being PF Code No-AS/5614. As per the Proforma for Coverage submitted by the Petitioner No.1, the total nos. of Employees in the establishment at the time it was brought under the purview of the PF Act was 28.