1 BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED: 09.09.2011 CORAM: THE HONOURABLE MR.JUSTICE VINOD K.SHARMA W.P.(MD).No.6348 of 2011 And M.P.(MD).No.2 of 2011 M/s. 360 Oodaipatti Primary Agricultural Co-operative Bank Rep' thro' its Special Officer Oodaipatti Post, Sathur Taluk Virudhunagar District : Petitioner Vs. 1. The Registrar Employee's Provident Fund Appellate Tribunal (Ministry of Labour & Employment Government of India) Scope Minar, Core- II, 4th Floor, Laxmi Nagar District Centre Laxmi Nagar, New Delhi - 110 092. 2. The Assistant Commissioner of Employees' Provident Fund Organization / Recovery Officer, Sub Regional Office Lady Doak College Road, Madurai -2 : Respondents PRAYER: Writ Petition is filed under Article 226 of the Constitution of India praying to issue a Writ of Certiorari calling for the records made in the impugned order ATA No. 20(13) of 2010 dated 31.12.2010 passed by the first respondent and consequential order passed by the second respondent an attachment order made in CIR/22/TN/MD/37779/RECY/RO/2011 dated 25.03.2011 and quash the same. *** For Petitioner : Mr.C.G.Pethanaraj For 2nd Respondent: Mr.G.R.Swaminathan R1 : Tribunal O R D E R The petitioner has approached this Court with a prayer for issuance of a Writ in the nature of Certiorari, to quash the order passed by the Assessing Officer under Section 14 (b) of the Employees' Provident Fund and Miscellaneous Provisions Act 1952, [herein-after referred to as the "Act"] and that of Employees Provident Fund Appellate Tribunal, New Delhi. 2. The petitioner is the registered Co-operative Society engaged in the business distributing essential commodities to the ration card holders. 3. The case of the petitioner is that though it was regularly remitting provident fund contribution, it was due to financial difficulty that the petitioner could not deposit the amount in time. It is also the case of the petitioner that the default is not intentional, but, due to financial problem on account of which no salary were also paid to the staff. https://hcservices.ecourts.gov.in/hcservices/ 2 4. The learned Assessing Officer as well as the learned Tribunal have recorded the finding that the financial crunch is not a ground for waiving penal damages for delay the deposit of EPF contribution, in view of the Judgment of the Hon'ble Supreme Court in the case of Hindustan Times Limited Vs. Union of India reported in 1998 (2) SCC 242. 5. The plea of the petitioner that the order is violative of the principles of natural justice, was also not accepted as it was proved that the petitioner was given number of opportunities to represent the case. The plea of the petitioner that as the salary was not paid to the employee due to financial crunch, therefore, the default committed was not motivated or mala fide was also rightly rejected by the learned Tribunal by placing reliance on the Judgment of the Hon'ble Kerala High Court in the case of Calicut Modern Spinning and Weaving Mills Vs. RPFC reported in 1982 (1) LLJ 440, where the Hon'ble Court held, that to allow the employer to make the contribution only when he pays the wages would be to stultify the Act. The only ground raised in defense by the petitioner is that the contribution were not deposited because of financial crunch, which can not a good ground to waive all the damages in view of settled law. 6. No ground is made out to interfere with the impugned orders, being bases on settled law referred to above. 7. Consequently, this Writ Petition is dismissed. 8. The connected Miscellaneous Petition is also dismissed. No costs. Sd/- Assistant Registrar (Records) /True Copy/ Sub Assistant Registrar (C.S) To 1. The Registrar Employee's Provident Fund Appellate Tribunal (Ministry of Labour & Employment Government of India) Scope Minar, Core- II, 4th Floor, Laxmi Nagar District Centre Laxmi Nagar, New Delhi - 110 092. 2. The Assistant Commissioner of Employees' Provident Fund Organization / Recovery Officer, Sub Regional Office Lady Doak College Road, Madurai -2. W.P.(MD).No.6348 of 2011 And M.P.(MD).No.2 of 2011 09.09.2011 vsg RJ/21.9.11 2p/3c https://hcservices.ecourts.gov.in/hcservices/