J.K. CEMENT WORKS Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS petition has been filed by the petitioner J.K. Cement Works and J.K. White Cement Works (Unit/Division of J.K. Cement Limited) impugning therein the attachment order issued under Section 8F of the Employees Provident Fund and Misc. Provisions Act, 1952 (hereinafter referred to as the Act of 1952) and also to quash the attachment of account No. 30234 with S.B.B. J. Merta City. The said account was attached by the respondent - Provident Fund Department for recovery of PF dues of Rs. 40,16,042/ - pertaining to the period 1996 -97 in respect of J.K. Tyre Cord, Kota and J.K. Acrylic, Kota (Units/Division of M/s J.K. Synthetics Limited).

(2.) THE ground of challenge by the present petition is that these two units J.K. Tyre Cord and J.K. Acrylic whose PF dues are sought to be recovered from the present petitioners are units of J.K. Synthetics Limited and not of J.K. Cement works and upon demerger scheme approved by the Appellate Authority for Industrial and Financial Reconstruction, New Delhi in appeal No. 301/2000 dt. 23.1.2003 in which the cement undertakings of J.K. Synthetics were demerged and separated and these cement units vide Clause (E) of Rehabilitation Strategy got merged with the present petitioner i.e. J.K. Cement Limited.

(3.) HE further pointed out that as a matter of subsequent development in another order passed by the same Appellate Authority for Industrial and Financial Reconstruction, New Delhi in Appeal No. 133/2008 and other connected matters by order passed on 11.12.2008, copy of which has been placed on record for perusal of the Court, whereas the company M/s Arafat Petro -Chemicals Pvt. Ltd. has taken over these two units of J.K. Tyre Cord and J.K. Acrylic under a scheme approved by the said appellate authority and he relied upon Clause 39 of the said Scheme approved by AAIFR which is also reproduced hereunder for ready reference: