DRIPLEX WATER ENGINEERING INTERNATIONAL PVT LTD , FARIDABAD Vs. REGIONAL PROVIDENT FUND COMMISSIONER, HARYANA

JUDGEMENT

(1.) Petitioner is aggrieved of order dated 17.06.1988 passed by the Regional Provident Fund, Commissioner Haryana imposing a liability of Rs. 90,258.58 on account of provident fund contributions, administrative charges, EPF contributions, EDLI contributions and EDLI administrative charges.

(2.) Briefly stated the facts as emerge from the record are that Excelsior Plants Corporation Limited, a Limited Company, incorporated under Indian Companies Act, 1956 secured a loan from industrial Finance Corporation of India, New Delhi (hereinafter referred to as 'IFCI'). The said Company defaulted in payment of loan. IFCI initiated proceedings under Section 30 of the Industrial Finance Corporation Act, 1948 against the company in the Delhi High Court. The Delhi High Court appointed a Receiver and directed the sale of the properties and assets of Excelsior Plants Corporation Limited. In response to the notice issued by the Receiver appointed by the Delhi High Court M/s Driplex Water Engineering Private Limited made an offer to purchase the properties and assets of Excelsior Plants Corporation for a consideration of Rs. 30 lacs. The offer was accepted by the Delhi high Court vide its order dated 06.12.1979. On acceptance of the offer, the Receiver conveyed the acceptance to M/s Driplex Water Engineering Private Limited vide its letter dated 08.01.1980 on the conditions and stipulations contained in the acceptance letter (Annexure P1). Consequently, a conveyance deed was executed on 18.03.1981 by the Registrar of the Delhi High Court in favour of the purchaser M/s Driplex Water Engineering Private Limited. One of the conditions for sale of the property incorporated in letter dated 08.01.1988 was as under :-

(3.) The petitioner claims to have applied for a separate Provident Fund Code number and on the request of the petitioner, a report was sought from the Provident Fund Inspector, Grade-I, Faridabad. The said office vide his report dated 09.06.1983 informed the Regional Provident Fund Commissioner, Haryana that present factory at Faridabad was opened on 01.05.1981 by the petitioner- M/s Driplex Water Engineering (International) Private Limited which is a different company incorporated on 27.12.1979. The registered office of the company is covered separately under Employees Provident Fund and Miscellaneous Provisions Act, 1952 under the Code Number DI 6595 w.e.f. 01.07.1981. It was also communicated that the petitioner-Company was coverable under the Act w.e.f. the date of their functioning i.e. 01.05.1981. It was also mentioned that the firm is complying with the provisions of the EPF Act w.e.f. 01.07.1981 and dues are remitted with the State Bank of India, Faridabad without any code number. The Regional Provident Fund Commissioner, however, vide its letter dated 24.05.1983 informed the petitioner to comply with the provisions of the Act from the date (01.05.1981), it took over the charge under the code No. PN/3941 already allotted to M/s Excelsior Plant Corporation Limited by changing their names. In response to this, the petitioner wrote to the Regional Provident Fund Commissioner that the petitioner-Company has not taken over the charge of M/s Excelsior Plant Corporation Limited, Faridabad and has taken over only their assets and some portion of building and some machinery have been leased out to M/s Driplex Water Engineering Pvt. Ltd. and requested for allotment of a separate code number. However, the request of the petitioner was rejected vide letter dated 08.03.1988 and petitioner was asked to represent the case in person. The petitioner was informed of the delayed payments and the damages under Section 14B. The petitioner again represented against the aforesaid letter vide its communication dated 22.03.1988 and finally the impugned order has been passed by the respondents. The petitioner has challenged the impugned order primarily on the following grounds :-