ORDER

1. In this appeal the Regional Provident Fund Commissioner and the Union of India have brought in challenge the judgment and order rendered by the learned Single Judge of the Bombay High Court in Writ Petition No. 1129 of 1980. It has been held by the learned Judge that the respondent-Chemical Company had established a new concern at Roha in Kolaba District of Maharashtra State on 9-7-1977. The said new concern which was to manufacture organic chemicals had nothing to do with the existing factory of Respondent 1-Company at Ambarnath in Thane District which was being run since 1921. The contention of Respondent 1 is to the effect that Roha factory was an infant industry which was entitled to earn exemption from the operation of the Employees Provident Funds and Miscellaneous Provisions Act, 1952 (hereinafter referred to as "the Act"). As per Section 16(1)(b) of the Act the claim for exemption was for three years from the date of its establishment in 1977. Though initially the exemption was claimed for three years for Roha factory, on account of the representation of the workmen of the said factory the claim for exemption was confined only for two years from its establishment, that is for two years from 9-7-1977. It is not in dispute that thereafter Roha factory also got covered by the Act and is complying with the provisions of the said Act. The authorities functioning under the Act did not accept the said contention of the respondent-Company and took the view that it was not an infant industry at all but was a part and parcel of the parent factory of the respondent-Company at Ambarnath which was being run since 1921. In short, it was not treated as a new and infant industry. Therefore, benefit under Section 16(1)(b) was denied by the authorities functioning under the Act. That brought the respondent-Company to the High Court by way of writ petition under Article 226 of the Constitution of India. The learned Single Judge of the High Court after hearing the parties came to the conclusion in the light of the evidence led before him by way of documentary evidence consisting of affidavits and supporting material that Roha factory was a separate establishment and only because it was also owned by the same respondent-Company which had already established since 1921 its Ambarnath factory it could not be said that Roha factory was a part and parcel of Ambarnath factory or that it was not entitled to any infancy as a new establishment. In order to come to this conclusion various salient features of the case which were well established on record were noted by the learned Judge. The salient features noted by the learned Judge in this connection read as under :

"As indicated, the Ambarnath Factory was established as long back as in the year 1921 or thereabout while the Roha factory was established as late as in July 1977. The Ambarnath factory manufactures heavy inorganic chemicals and mainly fertilizers while the Roha factory manufactures only organic chemicals. The products manufactured at these two factories are thus separate, distinct and different. The workers of these two factories are also separate. Though at the time when the Roha factory was established or set up, about 5 or 6 employees of the Ambarnath factory were sent to Roha factory to take advantage of their expertise and experience and help set up the Roha factory, this circumstance by itself has hardly any significance in deciding as to whether in law the two factories constitute one or separate establishments. In the very nature of things when a new factory is sought to be set up, the benefit of such expertise and experience is and surely can be availed of. This by no stretch can be considered to conclude that the two factories, therefore, constitute one establishment.

4. Other facts and circumstances also militate against the contention on behalf of the respondents that the two factories are indeed one for the purpose of the Act. Thus, the two factories, have separa