The Company Application taken out by the Applicant – Regional Provident Fund Commissioner - challenges an adjudication order of the Official Liquidator, by which a claim filed by the Applicant in respect of PF dues was rejected. The controversy in the matter mainly pertains to damages and interest payable by the employer – Zadona Electronics Ltd. (in liquidation) – respectively under Sections 14B and 7Q of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (“PF Act”) on delayed payments of PF dues.

2. Zadona Electronics Ltd. (in Liqn.) (“Company”) was wound up by an order passed by this Court on 20 June 2007. The Applicant lodged a claim before the Liquidator of the Company for payment of PF dues of employees of the Company in the aggregate sum of Rs. 22,35,38,083/-. These dues included employer's contribution (12% of wages), employees' contribution (12%), administrative charges and insurance charges as well as damages and interest towards delay in payment of PF dues. By his order dated 6 August 2013, the Official Liquidator admitted an amount of Rs. 8,34,90,485/- towards the dues of 423 employees of the Company (417 workmen and 6 supervisors or office