This appeal is filed under Section 82(2) of the Employees State Insurance Act, 1948 (for short, `the ESI Act) by the ESI Corporation against the order dated 4-9-2004 passed by the Presiding Officer, Labour-cum-ESI Court, Mangalore in ESI Application No. 7 of 2003 allowing the said application filed by the respondent herein under Section 75(1)(g.) of the ESI Act and declaring that the provisions of ESI Act are not applicable to the establishment of the respondent herein and therefore the respondent herein is not liable to pay the demands made by the Corporation in its various demand notices.

.2. The respondent herein is Anantha Padmanabha Mills, Kulshekar, Mangalore, a partnership firm. It is undisputed facts that on 12-1-1996 the Inspector attached to the ESI Corporation in exercise of his powers under Section 45 of the ESI Act inspected the respondent-establishment. According to the Inspector, at the time of inspection, he found 10 persons working in the establishment. The perusal of records, according to the Inspector, indicated that during the month of May 1990, there were 10 employees working in the establishment. Thereafter, one of the partners of the respondent-firm