P. N. BHAGWATI, N. G. SHELAT, J.

( 1 ) THIS petition raises the question of validity of certain provisions of the Bombay Labour Welfare Fund Act 1953 as amended by the Bombay Labour Welfare Fund (Gujarat Extension and Amendment) Act 1961 and the Bombay Labour Welfare Fund (Gujarat Amendment) Act 1962

( 2 ) THE petitioner is a Limited Company incorporated under the Indian Companies Act 1913 It is carrying on business of manufacturing cotton textiles and owns a factory situate in Ahmedabad. In its balance-sheet for the year 1961 it showed as one of its liabilities sum of Rs. 4 38 987 under the heading Sundry Creditors. This amount included Rs. 2 37 863 np which was made up of wages earned by the workmen in the factory but remaining undrawn by them and bonus for which no claim was made by the workmen within the prescribed time to earn the same under the condition of eligibility laid down in the relevant bonus agreements or awards and represented the total of such assumed liability from year to year ever since the inception of the company in 1932. The dispute in this petition relates to this amount of Rs. 2 37 863 np.

( 3 ) IN 1953 the Legislature of the then State of Bombay enacted an A

Click Here to Read the rest of this document