High Court of Kerala
C.N. RAMACHANDRAN NAIR & C.K. ABDUL REHIM, JJ.
The Kerala State Co-Operative Employees Pension Board, Rep. By Its Secretary, Additional Registrar Of Co-Operative Societies
Versus
C.D. Udayakumar & Others
W.A. Nos. 1019, 1034, 1038, 1049, 1050, 1066, 1087, 1094, 1099, 1125, 1159, 1160, 1191, 1193 , 1203, 1204, 1205, 1206, 1207, 1208, 1209, 1210, 1211, 1212, 1213, 1214, 1215, 1216, 1217, 1218, 1219 of 2012
Decided on: 27-06-2012
Ramachandran Nair, J.
1. All the connected Writ Appeals are filed by the Kerala State Co-operative Employees Pension Board challenging the judgment of the learned Single Judge declaring entitlement of the employees, who are already members of the Employees Provident Fund Scheme, 1952 and also members of the Employees Pension Scheme, 1995 to continue with the said Organisations even after formation of the Pension Fund under the appellant by the State Government for the employees of the Co-operative Banks in Kerala.
2. We have heard Shri. P. Ravindran, learned Senior counsel, along with Shri. K.R. Sunil, learned Standing Counsel for the appellant, Shri. Abraham Vakanal, learned Senior Counsel, Shri. Koshi George, Shri. P.N. Mohanan for the party respondents and also learned Special Government Pleader for the State.
3. There is no dispute on the applicability of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 (hereinafter called as the EPF Act for short) to the employees of District Co-operative Banks and State Co-operative Bank because in all these Banks the employee strength is above the statutory limit of 50. Further Section 61 of the Kerala Co-operative Societies Act, 1969 (hereinafter referred to as the KCS Act for short) makes it mandatory for establishment of provident fund for the employees either by the Society itself or by making contribution to the Employees Provident Fund if it is found more beneficial to the employees. Admittedly, the employees of the District Co-operative Banks and the State Co-operative Bank have joined under the Employees Provident Fund Scheme, 1952 and Employees Pension Scheme, 1995 for provident fund and pension respectively. While so, Section 80A was introduced to the KCS Act with effect from 20/08/1993 creating Self Financing Pension Scheme for establishment of Pension Fund under which the appellant was constituted. Even though the Self Financing Pension Scheme was established in the year 1993, the employees of both the District Co-operative Banks and the State Co-operative Bank continued to be members of the Employees Provident Fund Scheme, 1952 and the Employees Pension Scheme, 1995, and the members who have made or are making contributions are getting pension and other benefits from the said Schemes. However, in 2009, based on the request from the Co-operative Banks and the State Government, the EPF Commissioner proposed to transfer the funds of the members of the District Cooperative Banks as well as the State Co-operative Bank to the appellant Board, which was challenged in Writ Petitions filed by retired employees as well as serving employees of both these categories of Banks. Before the learned Single Judge, the question raised was whether the retired employees as well as the employees already continuing as members of the Employees Provident Fund Scheme, 1952 and the Employees Pension Scheme, 1995 could be compulsorily transferred by transfer of fund to the appellant Board. The learned Single Judge without considering the question as to whether the Employees Provident Fund Scheme, 1952 and the Employees Pension Scheme, 1995 or the appellant Board is more beneficial to the employees, held that the fund of those employees who are retired from service cannot be compulsorily transferred to the appellant Board. The position is same with regard to the existing employees, who are members of the Employees Provident Fund Scheme, 1952 and the Employees Pension Scheme, 1995. It is against this common judgment of the learned Single Judge, these Writ Appeals are filed by the State Cooperative Employees Pension Board.
4. After hearing both sides, we do not think the appellant has any justification even to file appeals against the judgment of the learned Single Judge because what is stated in Section 61(1) of the KCS Act and Section 17 of the EPF Act is that employees are free to join whichever is the Provident Fund Organisation which gives them better benefits. Ther
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