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2021 Supreme(Online)(KER) 32688
HIGH COURT OF KERALA
BECHU KURIAN THOMAS, J
HANDICRAFTS DEVELOPMENT CORPORATION OF KERALA LIMITED - HDCK LTD. – Appellant
Versus
THE BOARD OF TRUSTEES EMPLOYEES PROVIDENT FUND ORGANIZATION – Respondent
WP(C)/25807/2021
LATHA ANAND, M.N.RADHAKRISHNA MENON, K.R.PRAMOTH KUMAR, S.VISHNU (ARIKKATTIL), RADHAKRISHNA PILLAI, B SIDHARTH, P.S.ROHITH MOHAN, ARJUN VARMA
The court has discretionary power under Article 226 to modify payment obligations in the interest of supporting traditional artisans.
Headnote:
Instalment - Government Company - Employees Provident Fund Act Section 7Q - The court granted an instalment repayment facility to a government company in arrears for EPF payments under Section 7Q, emphasizing a lenient approach to support traditional artisans.
Fact of the Case:
The petitioner, a government company, had outstanding arrears for the Employees Provident Fund payments and sought an instalment facility for repayment of a quantified amount under Section 7Q.
Finding of the Court:
The court acknowledged the nature of the petitioner’s work supporting traditional artisans and deemed that granting an instalment facility would not harm the respondents while aiding the petitioner.
Issues: Whether the court should allow an instalment facility for repayment of the interest quantified under Section 7Q.
Ratio Decidendi: The court decided that a lenient approach could be taken, allowing for an instalment payment structure given the petitioner's supportive function towards artisans.
Final Decision: The petitioner may repay the amount in 12 monthly instalments.
JUDGMENT
Petitioner is a Government company. It has fallen in arrears for payment of the Employees Provident Fund. By Ext.P1 order interest payable under Section 7Q was quantified and issued against the petitioner demanding an amount of Rs.13,49,621/-. Petitioner has no challenge on the merits of the impugned order. However, the only relief sought for is to grant an instalment facility for repayment of the amount quantified under Section 7Q .
2. I have heard Adv. Nita N.S, the learned Standing Counsel for the Employees Provident Fund Organisation (EPFO).
3. Though circumstances do not warrant, any grant of instalment facility, especially since the order under Section7Q itself is a quantification of the interest payable, I am of the view that the nature of organization of the petitioner which gives prime focus for providing a platform for traditional artisans of Kerala, calls for a lenient approach to be adopted. An instalment facility to pay the amount will not cause prejudice to the respondent, while it may provide a platform for the petitioner to support the artisans. The present situation also warrants a different approach to be adopted. Hence it is necessary that this Court exercise its jurisdiction under Article 226 of the Constitution of India to grant an instalment facility to the petitioner.
4. Accordingly, the amount quantified under Section 7Q as imposed against the petitioner by virtue of Ext.P1 shall be repaid by the petitioner in 12 monthly instalments, the first of which shall be paid on or before 30.11.2021. In the event of default of a single instalment, the respondents shall be free to proceed against the petitioner for enforcement of the same.
The writ petition is disposed of as above.
