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Madras High CourtWP/35570/2016disposed of

Annai Veilankannis College For v. The State Of Tamil Nadu,

2016-10-06Honourable Mr Justice N. Kirubakaran4 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED 06.10.2016

CORAM

THE HONOURABLE MR.JUSTICE N.KIRUBAKARAN Writ Petition No.35570 of 2016 and WMP.No.30579 of 2016 1 Annai Veilankannis College for [ Petitioners ] Women Arts & Science College Rep. by Chairman Annai Veilankannis Educational & Cultural Socy. Admn. Office 81/33 V.G.P. Salai West Saidapet Ch-15 2 Annai Veilankannis College for Pharmacy Rep. by Chairman Annai Veilankannis Edul. & Cultural Socy.

Admn. Office 81/33 V.G.P.Salai West Saidapet Ch-15 3 Annai Veilankannis Teacher Training Institute Rep. by Chairman Annai Veilankannis Edul. & Cultural Socy.

Admn. Office 81/33 V.G.P.Salai West Saidapet Ch-15 4 Annai Veilankannis School of Nursing Rep. by Chairman Annai Veilankannis Edul. & Cultural Socy.

Admn. Office 81/33 V.G.P.Salai West Saidapet Ch-15 5 Annai Veilankannis College of Education Rep. by Chairman Annai Veilankannis Edul. & Cultural Socy.

Admn. Office 81/33 V.G.P.Salai West Saidapet Ch-15 6 Annai Veilankannis College of Nursing Rep. by Chairman Annai Veilankannis Edul. & Cultural Socy.

Admn. Office 81/33 V.G.P.Salai West Saidapet Ch-15

7 Annai Veilankannis College of Engineering Rep. by Chairman Annai Veilankannis Edul. & Cultural Socy.

Admn. Office 81/33 V.G.P.Salai West Saidapet Ch-15 Vs 1 The State of Tamil Nadu Rep. by its Principal Secretary to Government Labour & Employment department Fort St. George Chennai-9.

2 The Employees State Insurance Corporation Rep. by its Additional Commissioner & Regional Director of ESIC Tamilnadu No.143 Sterling Road Nungambakkam Chennai-34.

3 The Employees State Insurance Corporation Rep. by its Deputy Director of ESIC No.143 Sterling Road Nungambakkam Chennai-34.

[Respondents] Prayer: Petition has been filed under Article 226 of the Constitution of India seeking Writ of declaration declaring the coverage of ESI to the petitioners pursuant to the Notification extending Employees State Insurance Scheme to Private educational Institutions in all the implemented area under Employees State Insurance Act by G.O.M.No.237 Labour and employment (K1) on 26th November 2010 published vide Tamilnadu Government Gazette in Part-IISection 2 dated 29.12.2010 and Government vide Labour and Employment Department Notification No.II(2)LE/265/2008 published at page 206 of Part-II Section 2 of the Tamilnadu Government Gazette dated 4th June 2008 as "Null & Void" and hold the consequent letters of third respondent (i)dated 18.09.2012vide No.51-P/11/12/1/ Inspn/NSR-3217 (ii)dated 01.11.2013 vide No.

51-P/11/12/1/ Inspn/NSR-3217, (iii) Office C18 Adhoc dated 19.04.2016 for period 01/11 to 10/15, which notice has not been served on the Annai Veilankanni's Group of Colleges, (iv) Notice No.51-00-104124-000-1303/Ins VIII/ dated 06.05.2016; (v) orders under Section 45A of the ESI Act as amended vidce No. TN/Ins.VIII/51-00-104124-000-1303/C-18 [Adh] dated 29.06.2016 computing Rs.23,30,543/- as contribution payable by Annai Veilankanni's Group of Colleges for period 06/2011 to 10/2015 and (vi) Attachment Show Cause Notice vide No.TN/RECY/CP1/51001041240001303/CCR-75085 dated 11.08.

calling upon it to suddenly deposit Rs.23,30,543/- as contribution payable by Annai Veilankanni's Group of Colleges for period 06/2011 to 10/20156, under Employees State Insurance Act, as non-est in law, in so far as they relate to the petitioners institutions. For Petitioners :

Mr.K.Shakeshpeare For Respondents :

Ms.M.Lalitha, GA (R1) Mr.V.Ramachandramoorthy(R2&3)

O R D E R

Heard Mr.K.Shakespeare, learned counsel for the petitioners; Ms.M.Lalitha, learned Government Advocate accepting notice for the 1st respondent and Mr.V.Ramachandramoorthy, learned Standing Counsel accepting notice on behalf of the respondents 2 and 3. 2.The petitioners are Annai Veilankanni's Group of Colleges, started by Annai Veilankanni's Educational and Charitable Society, a Society registered in the year 1988. The challenge in these writ petitions is to a Government Order in G.O.(Ms)No.237, Labour and Employment (K1) Department, dated 26.11.2010. An identical issue was considered by the First Bench of this Court, in a batch of cases in W.A.Nos.918 of 2013 and etc. batch dated 16.06.2015 (Tamil Nadu Nursery Primary Matriculation and Higher Secondary Schools, Managements Association and others V.

Government of Tamil Nadu) and the Division Bench, after taking into consideration that the issue is now pending before the Hon'ble Supreme Court, disposed of the Appeals/Writ Petitions by passing the following order: "Learned counsel for the parties state that as recorded in the order dated 05.05.2005, reported in 2005 (5) SCC 1 (State of U.P. vs. Jai Bir Singh), the question of law has been referred to the Larger Bench of the Honourable Supreme Court, i.e. whether the Employees' State Insurance Act, 1948, would apply to educational institutions. Interim orders have been operating in the present matters.

2.In view of the aforesaid position, the writ appeals and the writ petitions are disposed of by agreement that the interim orders would continue till the disposal of the matter by the Honourable Supreme Court and the parties would naturally remain bound by the legal position enunciated by the Honourable Supreme Court on such decision being rendered. No costs.

Consequently, connected miscellaneous petitions are closed."

3.Thus, by following the above order passed by the Division Bench, this Writ Petition is disposed of, with a direction that there will be an order of interim stay in favour of the petitioners and the same will continue till the disposal of the matter by the Hon'ble Supreme Court and the petitioners would be bound by the legal position enunciated by the Hon'ble Supreme Court on such decision being rendered. No costs. Consequently, connected Miscellaneous Petition is closed.

Sd/- Assistant Registrar //True Copy// Sub Assistant Registrar rg To 1 The Principal Secretary to Government The State of Tamil Nadu Labour & Employment department Fort St. George Chennai-9.

2 The Additional Commissioner & Regional Director of ESIC The Employees State Insurance Corporation Tamilnadu No.143 Sterling Road Nungambakkam Chennai-34.

3 The Deputy Director of ESIC Employees State Insurance Corporation No.143 Sterling Road Nungambakkam Chennai-34.

+1cc to Mr.K.Shakespeare, Advocate, S.R.No.57641 +1cc to Mr.C.V.Ramachandramoorthy, Advocate, S.R.No.58460 +1cc to the Government Pleader, S.R.No.58179 W. P. No.35570 of 2016 gj(co) pmk.12.11.2016