Madras High CourtWP/16083/2022disposed of

Don Bosco Mat.Hr Sec.School v. E.S.I.Regional Corporation (Tamil Nadu)

2022-07-12Honourable Mr Justice D. Krishnakumar6 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 12.07.2022

CORAM:

THE HON'BLE MR. JUSTICE D.KRISHNAKUMAR and WMP.Nos.15420 & 15421 of 2022 Don Bosco Mat. Hr. Sec. School Rep. By its President, Srinivasa Nagar, Chennai-600 009.

Petitioner vs.

1.E.S.I. Regional Corporation (Tamil Nadu), Represented by its Regional Director, 143, Sterling Road, Chennai-600 034.

2.E.S.I. - Regional Corporation (Tamil Nadu), Represented by its Deputy Director, Panchdeep Bhawan, 143, Sterling Road, Chennai-600 034.

3.E.S.I. - Regional Corporation (Tamil Nadu), Represented by its Recovery Officer, Panchdeep Bhawan, 143, Sterling Road, Chennai-600 034.

Respondents Prayer: Writ Petition filed under Article 226 of the Constitution of India praying for issuance of a Writ of Certiorarified Mandamus calling for the records pertaining to the impugned order dated 16.03.2022 in Nos.51000924220001302 / 3162022328, 51000924220001302 / 3162022329

and 51000924220001302/3162022330 and subsequent proceeding dated 17.03.2022 in Nos.TN.Ins.VIII/51-00-092422-000-1302/C18 Adhoc-239/21, TN.Ins.VIII/51-00-092422-000-1302/C18 Adhoc - 1048/20, on the file of the 2nd respondent, in respect of the petitioner school and quash the same and directing the respondents to waiver of arrears of contribution on omitted wages as inapplicable to the petitioner.

For Petitioner : Mrs.A.Arul Mary For Respondents : Mr.C.V.Ramachandramoorthy Standing Counsel for ESI

O R D E R

The petitioner, challenging the impugned demand notices dated 16.03.2022 passed by the second respondent, has filed the present writ petition.

2. According to the petitioner, pursuant to the Full Bench decision of this Court in W.P.No.34326 of 2019 dated 29.07.2020, the second respondent has issued notice dated 15.12.2020 directing the petitioner to pay an amount of Rs.7,01,952/- towards contribution for the period from December, 2012 to March 2014 and also directed the petitioner to appear before the authority on 16.02.2021 at 2.30 p.m. Subsequently, another notice was issued on the very same day directing the petitioner to pay an amount of Rs.35,18,015/- towards contribution for the period from May 2014 to July 2020. The petitioner school submitted a detailed representation dated 19.01.2021, along with

relevant documents and based on the same, the second respondent, vide proceedings dated 10.08.2021 has directed the petitioner to pay contribution of Rs.1,77,870/- for the period from August, 2020 to December 2020 and directed the petitioner to appear on 06.10.2021 along with relevant documents.

3. The third respondent issued notice dated 01.09.2021 directing the petitioner to pay an amount of Rs.9,91,232/- which consists of contribution of Rs.4,95,495/- with interest @ Rs.4,95,672 and costs of Rs.65 for the period from December, 2011 to 11/2012 upto 04/11/2020 and further stated that interest will be paid @ Rs.162.90 per day with effect from 05.11.2020, till the date of payment. The fourth respondent issued Attachment Notice under 45G of the Employees State Insurance Act dated 05.01.2022 in respect of contribution / Interest / Damages and Cost and charges of Rs.20,94,147/- for the period from December, 2010 to November, 2012 and on the very same day, the petitioner school appeared and furnished relevant documents. The second respondent issued three orders under Section 45A dated 16.03.2022 directing the petitioner to pay an amount of Rs.17,87,687/-, Rs.38,99,228/- and Rs.3,44,524/- respectively for the period nil, in respect of arrears of

contribution. Challenging the same, the petitioner has filed the present writ petition.

4. Mrs.A.Arul Mary, learned counsel for the petitioner submits that the petitioner School undertakes to settle the contribution as demanded by the second respondent vide impugned notices in 15 instalments and would clear all the oustanding amount to the respondents/ ESI.

5. However, Mr.C.V.Ramachandramoorthy, learned Standing Counsel for the respondents has submitted that the said request of the petitioner seeking for settlement of the contribution in 15 instalments is too long and therefore, objected for the said request of the petitioner.

6. Considering the fact that during pandemic period, educational institutions were unable to collect entire fees from the students and expenses were meted out by the schools with great difficulty and on a similar request, this Court has granted time to settle the said contribution amount by way of instalments and further, the petitioner school has not been served with notice

for demand of interest, in the interest of justice, this Court passes the following order:

(i) The petitioner school is directed to pay the demand amount of Rs.60,31,619/- for the period from December, 2012 to December, 2020 in ten instalments commencing from August 2022 and the instalment amount shall be paid on or before 10th day of every succeeding English calendar month. (ii) In case of default in payment of instalments, it is open to the respondents to proceed in accordance with law. (iii) If any contribution amount already paid by the petitioner, the same shall be deducted by the respondents in the last instalment.

(iv) In the meantime, the impugned demand notices shall be kept in abeyance.

7. With the above directions, the writ petition stands disposed of. No costs. Consequently, connected miscellaneous petitions are closed. 12.07.2022 Index : Yes / No Internet : Yes / No Jvm

D.KRISHNAKUMAR, J.

Jvm To 1.The Regional Director, E.S.I. Regional Corporation (Tamil Nadu), 143, Sterling Road, Chennai-600 034.

2. The Deputy Director, E.S.I. - Regional Corporation (Tamil Nadu), Panchdeep Bhawan, 143, Sterling Road, Chennai-600 034.

3.The Recovery Officer, E.S.I. - Regional Corporation (Tamil Nadu), Panchdeep Bhawan, 143, Sterling Road, Chennai-600 034.

12.07.2022