The Court granted interim protection against coercive recovery steps for damages and interest under the EPF Act because the statutory appellate forum (CGIT) was unavailable due to the absence of a Presiding Officer.

ORAL ORDER

1. Learned advocate Mrs. Nisha M. Parikh seeks permission to file her Vakalatnama on behalf of respondents. Permission as prayed for, is granted. Registry to accept the same and place it on record.

2. Rule returnable forthwith. Learned advocate Mrs. Nisha M. Parikh waives service of notice of rule on behalf of respondents.

3. By the present petition, the petitioner is praying for the following reliefs :-

“A. Hon'ble Court may kindly be pleased to pass an appropriate writ, order and/or direction and thereby issue a writ of mandamus to quash and set aside impugned order dated 30.3.2026 passed by Regional Provident Fund Commissioner I, Rajkot; whereby it has passed the order directing to deposit Rs. 80,24,509 (Rupees Eighty Lakh Twenty Four Thousand Five Hundred and Nine) towards levy of damages u/. 14-B and Rs. 1,39,569/- (Rupees One Lakh Thirty Nine Thousand Five Hundred and Sixty Nine Only) towards levy of interest u/s. 7-Q of the Employees' Provident Funds & Misc. Provisions Act, 1952; (Annexure-A) for alleged belated remittance made for the period from 01.04.1996 to 21.5.2024.

B. Hon'ble Court may kindly be pleased to grant Ad-interim-relief by granting stay on implementation and execution of impugned order (Annexure-A) including further attachment of bank account and/or any coercive action till the matter is heard on merits.

C. Pending hearing and final disposal of the petition, Hon'ble Court may kindly be pleased to stay implementation, operation and execution of the impugned orders dated 30.03.2026 at Annexure-A.

D. Pending admission and final disposal of this petition, Hon'ble Court may kindly be pleased to restrain the respondents from taking any coercive measures for recovery of the amount or any other steps and/or may kindly be pleased to pass order as per Annexure-B.

E. Your Lordships be pleased to pass such other and further order which deem fit in the interest of justice.”

4. It is the case of the petitioner that the petitioner is a Section 8 non-profit company incorporated under the Companies Act and was covered under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952. That under the Government of India’s Employees’ Enrollment Campaign, 2017, permitting voluntary enrollment of previously uncovered employees for the period 01.04.2009 to 31.12.2016 on nominal damages of Re.1 per annum, the petitioner undertook an exercise across 32 project sites and more than 700 villages, obtained internal approval on 23.02.2017, completed 346 employee enrollments before 31.03.2017, and generated 227 provident fund challans totaling Rs.1,46,50,133/-, including contributions of Rs.1,26,69,249/-. That payments were thereafter processed by the petitioner and a further sum of Rs.44,53,703/- towards interest and damages was paid by the petitioner in July 2017 in three instalments. That a show cause notice dated 22.05.2024 was issued to the petitioner under Sections 14-B and 7-Q claiming damages and interest for the period 01.04.1996 to 21.05.2024, while the proceedings also referred to the period from April 2009 to June 2023. That replies were filed by the petitioner on 11.02.2025 and 24.02.2026 and hearings were attended by the petitioner during the inquiry. That the Regional Provident Fund Commissioner-I, Rajkot passed orders dated 30.03.2026 against the petitioner directing payment of Rs.80,24,509/- as damages under Section 14B and Rs.1,39,569/- as interest under Section 7-Q . That an appeal has been filed by the petitioner before the Central Government Industrial Tribunal under Se