IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
RAJANI DUBEY, AMITENDRA KISHORE PRASAD
Adarsh Vidyalay Higher Secondary School – Appellant
Versus
State of Chhattisgarh – Respondent
JUDGMENT :
AMITENDRA KISHORE PRASAD, J.
1. In these bunch of cases, the petitioners have challenged the notification dated 27.10.2005 (Annexure P-1) published in Chhattisgarh Gazette under section 1 (5) of the Employees State Insurance Act, 1948 and the entire proceedings initiated by respondent no. 2 by its notice dated 27/28.01.2011 (Annexure P-2).
2. Heard Mr. K.R. Nair, Mr. Sourabh Sharma & Mr. Vinod Deshmukh, Counsel for the petitioners. Mr. Atanu Ghosh, Dy. G.A. for the State and Mr. Pranav Saxena, Counsel for the respondent-Employees State Insurance Corporation.
3. The petitioners, educational institutions operated by a registered society, challenge the applicability of the Employees State Insurance Act, 1948 (ESI Act) to its establishment following a notification issued by the State Government under Section 1(5) of the Act, published on 28.11.2005, making the Act applicable to educational institutions from 01.04.2006. Pursuant to this, a demand notice dated 27/28.01.2011 was issued by the authorities seeking contribution amounting to Rs. 13,83,168/- for specified periods between 2008 and 2010. The petitioners contend that the said notification is arbitrary, illegal, and beyond


Educational institutions qualify as 'establishments' under the Employees State Insurance Act, ensuring employee social security benefits, regardless of their non-commercial status.
The Employees State Insurance Act, 1948 applies to educational institutions, affirming their classification as 'establishments' to provide social security benefits to employees, regardless of the ins....
Educational institutions are liable to ESI contributions, but interest for certain periods can be waived due to interim stays and delays caused by litigation.
An appeal against recovery proceedings under the E.S.I. Act is not maintainable without first challenging the correctness of the preceding order under Section 45-A.
(1) ESI Act should be given liberal interpretation and should be interpreted in such a manner so that social security can be given to employees.(2) ESI contributions – For demand notices for period a....
The main legal point established in the judgment is the entitlement to exemption under Section 16(1)(b) of the Act of 1952, based on the recognition of educational institutions by the State Governmen....
The interpretation of statutory notifications and the principle of giving full effect to every word in the notification were central to the judgment.
Coverage of establishments under Employees’ State Insurance Act, 1948 can be expanded by State Notification.
The duty of the Principal Employer to ensure compliance with the ESI Act for contract workers and the Corporation's right to proceed in accordance with the law if the employer fails to comply.
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