Lok Sabha Question No. 3814 (UNSTARRED), answered on 2018-03-19
Subject: Deposit of EPF Contribution
Ministry: LABOUR AND EMPLOYMENT
Asked by: ARVIND GANPAT SAWANT, KRUPAL BALAJI TUMANE

## MINISTRY OF LABOUR AND EMPLOYMENT

## GOVERNMENT OF INDIA LOK SABHA

UNSTARRED QUESTION NO. 3814 TO BE ANSWERED ON 19.03.2018

DEPOSIT OF EPF CONTRIBUTION

- †3814. SHRI ARVIND SAWANT: SHRI KRUPAL BALAJI TUMANE:

Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:

- (a)whether contribution of the Provident Fund is not being regularly deposited  by  several  employers  and  organisations,  if  so,  the  details  of such companies, State/UT-wise;
- (b)the date from  which  contribution  is not being deposited  by  these companies and the details of the action taken by the Government against such Provident Fund defaulters during each of the last three years and the current year, State/UT-wise;
- (c)the details of the Public Sector Undertakings/bodies which have defaulted to  deposit  their  Provident  Fund  Contribution  during  the  said  period, State/UT-wise;
- (d)whether the Government has taken any action to ensure the compliance of laws relating to Provident Fund  by all the organisations/employers including the public sector companies/corporators;
- (e)if  so,  the  details  thereof  and  the  success  achieved  therefrom  during  the said period; and
- (f)the steps taken or proposed to be taken by the Government to protect the interest of employees in this regard?

## ANSWER

MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI SANTOSH KUMAR GANGWAR)

- (a) and (b):  Instances of non-deposit of contribution by some establishments, covered under the Employees' Provident Funds and Miscellaneous Provisions (EPF & MP) Act, 1952 have come to the notice of Employees' Provident Fund Organisation (EPFO). Real time default management system has been put in place  to  reduce  such  instances.  A  statement  showing  the  State/UT-wise details of defaulting establishments for the last three years and the current year ( up to February, 2018) is at Annexure-I.

(c) to (f): A statement showing the State/UT-wise details of total demand in Public, Private and Co-operative Sector (Unexempted) as on 31.03.2017 is at Annexure-II.  During the year 2016-17, a sum of Rs.2127.79 crore has been recovered against arrear demand.

The  following  actions  have  been  taken  by  EPFO  against  the defaulting establishments to protect the interest of workers covered under the EPF & MP Act, 1952:

- (i) Action under section 7A of the Act against the defaulting establishments for assessment of dues.
- (ii) Action  under  Section  14B  of  the  Act  for  levying  of  damages  for belated deposit of dues.
- (iii) Action under Section 7Q of the Act for levy of interest for belated remittances.
- (iv) Recovery actions as provided under Section 8B to 8G of the Act.
- (v) Action under section 14 of the Act for filing prosecution against the defaulters before the competent Court of law.
- (vi) Action under section 406/409 of Indian Penal Code (IPC) against the employer  for  non-payment  of  employees'  share  of  contribution deducted from the wages/salary of the employees but not deposited in the fund.

**                                                ******

Statement referred to in reply to parts (a) and (b) of Lok Sabha Unstarred Question No.  3814  for  reply  on  19.03.2018  by  SHRI  ARVIND  SAWANT  and  SHRI  KRUPAL BALAJI TUMANE regarding 'Deposit of EPF Contribution'.

## Details of number of defaulting establishments covered under the EPF & MP Act,

## 1952.

| Sl. No.   | Name of the State/UTs                                                                                     |   2014-15 |   2015-16 |   2016-17 |   2017-18 (upto February, 2018) |
|-----------|-----------------------------------------------------------------------------------------------------------|-----------|-----------|-----------|---------------------------------|
| 1.        | Andhra Pradesh including Telangana                                                                        |       528 |      2471 |      1436 |                            1866 |
| 2.        | Bihar                                                                                                     |        28 |        96 |        74 |                             359 |
| 3.        | Chhattisgarh                                                                                              |       302 |       141 |       295 |                            1067 |
| 4.        | Delhi                                                                                                     |        82 |       761 |       317 |                             108 |
| 5.        | Goa                                                                                                       |        61 |        80 |       295 |                              28 |
| 6.        | Gujarat including Daman & Diu and Dadra & Nagar Haveli                                                    |       287 |      1187 |       610 |                            1125 |
| 7.        | Haryana                                                                                                   |       185 |       758 |       507 |                             297 |
| 8.        | Himachal Pradesh                                                                                          |         0 |       280 |       143 |                             110 |
| 9.        | Jharkhand                                                                                                 |         0 |       172 |       329 |                             157 |
| 10.       | Karnataka                                                                                                 |      1133 |       686 |      1625 |                            2177 |
| 11.       | Kerala including Lakshadweep                                                                              |       721 |       922 |      1034 |                             441 |
| 12.       | Madhya Pradesh                                                                                            |       446 |       319 |       542 |                             325 |
| 13.       | Maharashtra                                                                                               |       955 |      1675 |      3061 |                            2385 |
| 14.       | North Eastern Regions including Assam, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland & Tripura |       233 |       247 |        81 |                              27 |
| 15.       | Odisha                                                                                                    |        73 |       219 |       238 |                             107 |
| 16.       | Punjab including Chandigarh                                                                               |       172 |      1835 |      3060 |                            1347 |
| 17.       | Rajasthan                                                                                                 |       182 |       275 |       545 |                             499 |
| 18.       | Tamil Nadu including Puducherry                                                                           |      4091 |      2968 |      2016 |                            1448 |
| 19.       | Uttar Pradesh                                                                                             |        67 |      1535 |      1041 |                             685 |
| 20.       | Uttarakhand                                                                                               |        51 |        23 |        53 |                             175 |
| 21.       | West Bengal including Andaman & Nicobar Islands and Sikkim                                                |       494 |       962 |       558 |                             533 |
|           | TOTAL                                                                                                     |     10091 |     17612 |     17860 |                           15266 |

Statement referred to in reply to parts (c) to (f) of Lok Sabha Unstarred Question No. 3814 for reply  on  19.03.2018  by  SHRI  ARVIND  SAWANT  and  SHRI  KRUPAL  BALAJI  TUMANE  regarding 'Deposit of EPF Contribution'.

| BIFURCATION OF DEMAND IN PUBLIC, PRIVATE AND COOPERATIVE SECTOR 31.03.2017 (ALL SCHEMES) (Rs. In Cr)   | BIFURCATION OF DEMAND IN PUBLIC, PRIVATE AND COOPERATIVE SECTOR 31.03.2017 (ALL SCHEMES) (Rs. In Cr)      | BIFURCATION OF DEMAND IN PUBLIC, PRIVATE AND COOPERATIVE SECTOR 31.03.2017 (ALL SCHEMES) (Rs. In Cr)   | BIFURCATION OF DEMAND IN PUBLIC, PRIVATE AND COOPERATIVE SECTOR 31.03.2017 (ALL SCHEMES) (Rs. In Cr)   | BIFURCATION OF DEMAND IN PUBLIC, PRIVATE AND COOPERATIVE SECTOR 31.03.2017 (ALL SCHEMES) (Rs. In Cr)   | BIFURCATION OF DEMAND IN PUBLIC, PRIVATE AND COOPERATIVE SECTOR 31.03.2017 (ALL SCHEMES) (Rs. In Cr)   |
|--------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|
| Sl. No.                                                                                                | Name of the State                                                                                         | Public Sector                                                                                          | Private Sector                                                                                         | Cooperative Sector                                                                                     | Total Demand                                                                                           |
| 1                                                                                                      | Andhra Pradesh including Telangana                                                                        | 25.33                                                                                                  | 343.33                                                                                                 | 0.92                                                                                                   | 369.58                                                                                                 |
| 2                                                                                                      | Bihar                                                                                                     | 9.11                                                                                                   | 41.63                                                                                                  | 0.37                                                                                                   | 51.10                                                                                                  |
| 3                                                                                                      | Chhattisgarh                                                                                              | 16.02                                                                                                  | 17.61                                                                                                  | 0.62                                                                                                   | 34.26                                                                                                  |
| 4                                                                                                      | Delhi                                                                                                     | 0.00                                                                                                   | 815.32                                                                                                 | 0.00                                                                                                   | 815.32                                                                                                 |
| 5                                                                                                      | Goa                                                                                                       | 0.07                                                                                                   | 9.07                                                                                                   | 0.00                                                                                                   | 9.14                                                                                                   |
| 6                                                                                                      | Gujarat including Daman & Diu and Dadra & Nagar Haveli                                                    | 7.54                                                                                                   | 111.31                                                                                                 | 1.33                                                                                                   | 120.17                                                                                                 |
| 7                                                                                                      | Haryana                                                                                                   | 0.19                                                                                                   | 112.86                                                                                                 | 2.15                                                                                                   | 115.20                                                                                                 |
| 8                                                                                                      | Himachal Pradesh                                                                                          | 1.28                                                                                                   | 16.17                                                                                                  | 0.08                                                                                                   | 17.53                                                                                                  |
| 9                                                                                                      | Jharkhand                                                                                                 | 0.00                                                                                                   | 47.40                                                                                                  | 0.46                                                                                                   | 47.86                                                                                                  |
| 10                                                                                                     | Karnataka                                                                                                 | 26.80                                                                                                  | 343.43                                                                                                 | 0.63                                                                                                   | 370.86                                                                                                 |
| 11                                                                                                     | Kerala including Lakshadweep                                                                              | 42.13                                                                                                  | 336.19                                                                                                 | 38.51                                                                                                  | 416.84                                                                                                 |
| 12                                                                                                     | Madhya Pradesh                                                                                            | 198.21                                                                                                 | 142.95                                                                                                 | 0.05                                                                                                   | 341.21                                                                                                 |
| 13                                                                                                     | Maharashtra                                                                                               | 143.93                                                                                                 | 846.16                                                                                                 | 109.50                                                                                                 | 1099.59                                                                                                |
| 14                                                                                                     | North Eastern Regions including Assam, Arunachal Pradesh, Manipur, Meghalaya, Mizoram, Nagaland & Tripura | 22.41                                                                                                  | 19.90                                                                                                  | 0.95                                                                                                   | 43.26                                                                                                  |
| 15                                                                                                     | Odisha                                                                                                    | 626.75                                                                                                 | 58.41                                                                                                  | 25.49                                                                                                  | 710.64                                                                                                 |
| 16                                                                                                     | Punjab including Chandigarh                                                                               | 38.84                                                                                                  | 91.78                                                                                                  | 0.21                                                                                                   | 130.82                                                                                                 |
| 17                                                                                                     | Rajasthan                                                                                                 | 0.89                                                                                                   | 41.17                                                                                                  | 0.43                                                                                                   | 42.48                                                                                                  |
| 18                                                                                                     | Tamil Nadu including Puducherry                                                                           | 67.38                                                                                                  | 513.90                                                                                                 | 28.56                                                                                                  | 609.84                                                                                                 |
| 19                                                                                                     | Uttar Pradesh                                                                                             | 69.78                                                                                                  | 266.23                                                                                                 | 10.25                                                                                                  | 346.25                                                                                                 |
| 20                                                                                                     | Uttarakhand                                                                                               | 25.67                                                                                                  | 19.09                                                                                                  | 0.00                                                                                                   | 44.76                                                                                                  |
| 21                                                                                                     | West Bengal including Andaman & Nicobar Islands and Sikkim                                                | 37.82                                                                                                  | 458.03                                                                                                 | 0.39                                                                                                   | 496.24                                                                                                 |
|                                                                                                        | TOTAL                                                                                                     | 1360.13                                                                                                | 4651.93                                                                                                | 220.89                                                                                                 | 6232.96                                                                                                |