2016 Supreme(All) 4
ALLAHABAD HIGH COURT
BEFORE : DR. DHANANJAYA YESHWANT CHANDRACHUD, C.J. AND YASHWANT VARMA, J.
PRADESHIK COOPERATIVE DAIRY FEDERATION LTD. ....Appellant
Versus
AUTHORITY UNDER MINIMUM WAGES ACT AND OTHERS .....Respondents
(Special Appeal No. 898 of 2015, decided on 5th January, 2016)
Counsel :
Jamal Ahmad Khan for the Appellant; C.S.C. for the Respondents.
Headnote:Minimum Wages Act, 1948 – Section 20(2) – Minimum Wages (Central) Rules, 1950 – Rule 29 – Limitation Act, 1963 – Sections 5 and 14 – Minimum Wages – Contractor paying wages lower than minimum wages fixed by State Government – Recovery order passed by Prescribed Authority – Restoration of application – Applicability of Limitation Act, 1963 – Held, order passed by Prescribed Authority under Minimum Wages Act upon the expiry of period of one month warrants the infusion of the principles underlying Sections 5 and 14 and into Rule 29(4) of the Act – It would be proper for Prescribed Authority to recall its order upon subjecting the appellant to condition of a fair deposit. [Paras 9 to 13]
Result; Order Accordingly.
By the Court.—This special appeal has arisen from a judgment of the learned Single Judge dated 5 November 2015 by which the writ petition that was filed by the appellant for challenging the orders passed by the Prescribed Authority under the Minimum Wages Act, 1948 (Act) has been dismissed.
2. The appellant is a unit of the Pradeshik Cooperative Dairy Federation Limited. A survey was conducted by the Labour Enforcement Officer under the Act. According to the appellant, it was observed during the course of the survey and in the inspection note prepared by the Labour Enforcement Officer that in the establishment of the appellant certain employees engaged by the contractor were working and that the contractor was paying wages lower than the minimum wages fixed by the State Government. The Labour Enforcement Officer filed a claim petition under Section 20(2) of the Act against the appellant which was registered as M.W. Case No. 442 of 2001. The appellant was made a party to the case as the principal employer. According to the appellant, it was only on 3 May 2015 when the Collection Amin visited the establishment on behalf of the Collector and demanded an amount of Rs. 27,00,156/- together with the collection charges on the basis of an order of the Prescribed Authority dated 16 July 2003 (in pursuance of an ex parte order dated 27 March 2002) that the appellant obtained knowledge of the proceedings. A recovery citation has been issued by the Collector on 29 April 2015. According to the appellant, it was upon the service of the recovery citation that the appellant obtained knowledge of the fact that an ex parte order had been passed by the Prescribed Authority on 27 March 2002. The appellant moved an application for recalling the ex parte order on 15 May 2015. A reply was filed to the application by the Labour Enforcement Officer stating that the notice of the proceedings was remitted to the appellant through the process server and by registered post and since it had not been returned back, there was a presumption of service. In pursuance of an order passed by this Court, in another writ proceeding instituted by the appellant, the Prescribed Authority passed an order dated 18 September 2015 rejecting the recall application. Aggrieved, the appellant instituted a writ petition to challenge both the orders, being the order on the recall application and the original order of the Prescribed Authority. The writ petition was dismissed by the learned Single Judge on 5 November 2015. The learned Single Judge has held that the restoration application does not mention that any efforts were made by the appellant for searching in its office as to whether the notice has been served and that the appellant had not produced its receipt and dispatch registers before the Prescribed Authority. Moreover, it was held that since the award of the Prescribed Authority was passed on 27 March 2002, the restoration application which was filed in 2015 was beyond the period prescribed by Rule 29 of the Minimum Wages (Central) Rules, 1950 (Rules) and since the rule did not provide for any relaxation of the period of limitation, the provisions of the Limitation Act, 1963 stood ousted. The writ petition challenging the order of 27 March 2002 has been held not to be maintainable on the ground of an unexplained delay of thirteen years.
3. The learned counsel appearing on behalf of the appellant submits that in the present case the contention of the appellant all along has been that there was no notice by the Prescribed Authority. As a matter of fact, the Labour Enforcement Officer merely relied upon a general presumption that since the notice has been dispatched by registered post, it should be presumed to have been served on the appellant and there was no need of actual service. Further, it was also urged that the learned Single Judge was in error in coming to the conclusion that the application which was filed by the appellant upon obtaining knowledge of th