IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE P.N.RAVINDRAN SATURDAY, THE 3RD DECEMBER 2011 / 12TH AGRAHAYANA 1933 WP(C).No. 31193 of 2011(Y) ------------------------- PETITIONER : --------------------- INDROYAL FURNITURE CO. PVT. LTD., REPRESENTED BY MANAGER HR & ADMN., SRI. N.SREENIVASAN, TC 2/2465(5), ROYAL PLAZA, PATTOM P.O., THIRUVANANTHAPURAM-695 004. BY ADVS. SRI.K.T.SHYAMKUMAR SRI.HARISH R. MENON SMT.M.S.KIRAN RESPONDENT(S): -------------------------- 1. ASSISTANT PROVIDENT FUND COMMISSIONER, EPFO, PATTOM, THIRUVANANTHAPURAM, KERALA STATE, PIN 690 004. 2. EMPLOYEES PROVIDENT FUNDS APPELLATE TRIBUNAL, NEW DELHI, PIN 110 001. BY ADV. SMT. T.N. GIRIJA, SC THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 03/12/2011, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Mn ...2/- WP(C).No. 31193 of 2011(Y) APPENDIX PETITIONERS' EXHIBITS : EXT.P1 : A TRUE COPY OF NOTICE DATED 15.7.2011 ISSUED BY THE RESPONDENT. EXT.P2 : TRUE COPIES OF STATEMENTS OF ACCOUNTS EVIDENCING THE DATE OF PAYMENT AND SHOWING DUES OF INTEREST UNDER SECTION 7Q AND DAMAGES UNDER SEC.14 B SEPARETELY FROM 3/2009 TO 2/2011. EXT.P3 : A TRUE COPY OF THE REPRESENTATION DATED 10.8.2011 FILED BEFORE THE RESPONDENT. EXT.P4 : A TRUE COPY OF THE ORDER PASSED BY THE RESPONDENT DATED 19.8.11. EXT.P5 : A TRUE COPY OF THE APPEAL NO.ATA 695/2011 AND STAY PETITION FILED BEFORE THE EMPLOYEES PROVIDENT FUNDS APPELLATE TRIBUNAL, NEW DELHI. RESPONDENTS' EXHIBITS : NIL //TRUE COPY// P.A. TO JUDGE Mn P.N.RAVINDRAN, J. ---------------------------------------------- WP (C) No. 31193 of 2011 ----------------------------------------------- Dated this the 3rd day of December, 2011 JUDGMENT The petitioner is a private limited company, which is running an establishment covered by the provisions of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, herein after referred to as 'the Act' for short. By Ext.P4 order passed on 19.8.2011, the first respondent levied damages to the tune of Rs.1,76,181/- under section 14B of the Act. By that order the petitioner was also called upon to pay the sum of Rs.1,10,277/- by way of interest under section 7Q of the Act. Aggrieved thereby the petitioner has filed Ext.P5 appeal (ATA 695 (7)/2011) before the Employees Provident Funds Appellate Tribunal, New Delhi. It is stated that the post of Presiding oOfficer of the Appellate Tribunal is vacant and therefore the Appellate Tribunal has not taken up the appeal and considered the prayer for interim relief made therein. In this writ petition the petitioner seeks an order directing the second respondent to take up Ext.P5 appeal and the stay petition filed therein and pass appropriate orders thereon within a time limit to be fixed WP(C)No. 31193 of 2011 -2- by this Court. The petitioner has also prayed for an order directing the first respondent to keep in abeyance the steps taken by him to recover the amounts demanded by way of interest and damages in Ext.P5 order. 2. When the writ petition came up for hearing today, Smt. T.N.Girija, learned standing counsel appearing for the first respondent submitted that a Presiding Officer has been appointed and the Employees Provident Funds Appellate Tribunal, New Delhi has commenced its functioning. The learned standing counsel submitted that in such circumstances this writ petition may be disposed of with a direction to the Appellate Tribunal to take up the appeal and pass orders on the application for stay filed therein and that until such time the first respondent will not enforce the order levying damages in the event of the petitioner remitting the interest levied as per Ext.P4 order. The learned counsel appearing for the petitioner submitted that in view of the fact that the Appellate Tribunal has functioning, the writ petition may be disposed of with a direction to the Appellate Tribunal to take up the stay petition filed in Ext.P5 appeal and pass appropriate orders thereon within a time limit to be fixed by this Court and till then this Court may stay WP(C)No. 31193 of 2011 -3- the recovery pursuant to the order impugned in the appeal. 3. I have considered the submissions made at the Bar by the learned counsel on either side. By Ext.P4 order besides levying damages the petitioner was also called upon to pay the sum of Rs.1,10,277/- by way of interest under section 7(Q) of the Act. Under the Act no appeal lies from an order directing payment of interest. Therefore the petitioner cannot avoid payment of interest. Such being the situation, I am of the opinion that the petitioner should deposit the interest demanded in Ext.P4 order as a condition for the grant of an order staying recovery pursuant to Ext.P4 order. I accordingly dispose of the writ petition with the following directions: 1. The petitioner shall on or before 31.1.2012, deposit with the first respondent the sum of Rs.1,10,277/- levied as interest by Ext.P4 order. Upon such deposit being made and proof of such deposit being produced before the Employees Provident Funds Appellate Tribunal, the Appellate Tribunal shall take up the stay petition filed in Ext.P5 appeal and pass appropriate orders thereon expeditiously and in any event within two weeks from the date on WP(C)No. 31193 of 2011 -4- which the petitioner or the first respondent produces proof of payment of the interest levied as per Ext.P4 before the Tribunal. 2. In the event of the petitioner failing to deposit the sum of Rs.1,10,277/- levied as interest within the time stipulated above, it will be open to the respondents to recover it from the petitioner and his assets. 3. It is clarified that deposit of the interest portion will not be reckoned for the purpose of predeposit and it will be open to the Appellate Tribunal to pass appropriate orders regarding predeposit. Sd/- P.N.RAVINDRAN, JUDGE. Rkc // true copy// PA to Judge