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2025 Supreme(Online)(Ker) 58446

IN THE HIGH COURT OF KERALA AT ERNAKULAM
N.NAGARESH, J
KERALA PAPER PRODUCTS LIMITED (KPPL) – Appellant
Versus
MATHEW E.K – Respondent
RP NO. 24 OF 2025|WP(C) NO.16786 OF 2023



Advocates:
For the Appellants/Petitioners: SRI.D.PREM KAMATH, SRI.ABEL TOM BENNY, SRI.TOM THOMAS (KAKKUZHIYIL)
For the Respondents: SRI.JOY THATTIL ITTOOP, SRI.SAJEEV KUMAR K. GOPAL, SRI.R. SANJITH KUMAR, SMT.NITA N.S, SRI. S. JUSTUS

Endorsement of joint option forms for pension benefits does not establish employer status for liability regarding employees who retired prior to the company's takeover.

Headnote:(A) Employees Provident Funds and Miscellaneous Provisions Act, 1952 - The review petition concerning endorsement of joint option forms for provident fund pension benefits raised issues of employer-employee relations and potential liabilities under existing legal interpretations.

(B) Employment - Employer liability - The court clarified that the review petitioner must endorse joint option forms for the petitioners to secure their entitled pension benefits, while making clear that such endorsement does not establish employer status or liability for pre-2021 employees.

(C) Judiciary - The court's orders aim to facilitate pension arrangements without affecting the ongoing litigation regarding employer liability. Factors of hardship and legal standing were weighed. (Paras 2, 3, 7, 8)

Facts of the case:
The review petition was filed by a government undertaking in response to a directive from the court requiring it to endorse joint option forms for employees entitled to pension benefits from the former employer, Hindustan Newsprint Limited (HNL). The petitioners, former HNL employees, sought to secure enhanced pension provisions following a Supreme Court judgment.

Findings of Court:
The court found no apparent error in the original directive and emphasized that endorsement of joint option forms is solely for the facilitation of pension benefits without influencing the employer liability dispute.

Issues: Whether the review petitioner's endorsement of joint option forms would implicitly recognize it as the employer for former HNL employees, potentially affecting existing litigation.

Ratio Decidendi: The court ruled that endorsing forms for the pension benefits does not confer recognized employer status or liability on the review petitioner for employees who retired before the takeover of HNL, ensuring no prejudicial impact on pending litigation.

Result: Review petition dismissed.

Table of Content
1. facts and procedural history of the case. (Para 1 , 2)
2. review petitioner's arguments against joint option endorsement. (Para 3 , 4)
3. court's reasoning regarding employer-employee relationship. (Para 5 , 6 , 7 , 8)

ORDER

~ ~ ~ ~ ~ ~

The 5th respondent-Company in W.P.(C) No.16786/2023 is the review petitioner.

2. The writ petition was disposed of with the following directions:

10. The writ petition is accordingly disposed of with the following directions:

(i) If the petitioners tender joint option forms before the 5th respondent, then the 5th respondent shall endorse the joint option forms on the petitioners satisfying other requirements, if any. The 5th respondent shall endorse and return such joint option forms given by the petitioners within a period of four weeks from the date of tendering such forms by the petitioners.

(ii) It is made clear that the above direction is given only to enable the petitioners to avail the benefit of PF pension to which they are entitled to. This direction will not in any manner affect the legal issue whether the 5th respondent KPPL is the employer of HNL employees who retired prior to 2021.

(iii) This order shall not in any manner affect or influence any other pending or future litigation or proceedings between the EPFO and the 5th respondent before any other Court, Tribunal or Forum.

(iv) If the petitioners submit joint option forms in physical forms duly endorsed by the 5th respondent, the 3rd respondent shall accept and process the same.

(v) On receipt of joint option forms of the petitioners, the 3rd respondent shall process the joint options on the basis of the available documents provided by the 5th respondent and finalise the matter within a period of six months from the date of receipt of joint option.

(vi) A decision in this regard shall be taken in the light of the judgment of the Hon’ble Apex Court in Employees Provident Fund Organisation and another (supra)

(vii) The issue whether the 5th respondent has any liability towards employees like the petitioners who retired from service prior to the take over of HNL, would depend on and would be subject to the decision to be taken by the Hon’ble Apex Court in Civil Appeal No.31624/2023 .

3. The review petitioner submits that the direction of this Court given to the review petitioner to endorse the joint option forms on the petitioners satisfying other requirements would cause undue hardship to the review petitioner. Once the review petitioner endorses joint option forms, the EPFO authorities would treat the petitioners as employer of the petitioners, which would cause hardship to the review petitioner.

4. As the issue is pending before the Hon’ble Apex Court, it would also affect the outcome of the case pending before the Hon’ble Apex Court. The relief granted by this Court is not in accordance with the prayers made by the petitioners. These are errors apparent on the face of the records of the case, contended the review petitioner.

5. I have heard the learned counsel for the review petitioner and the respondents in the review petition.

6. The judgment was delivered by this Court as the original employer of the petitioners, HNL, is no more in the picture and it would be harsh if pensioners like the writ petitioners are denied the benefit of revision of pension flowing from the judgment of the Hon’ble Apex Court.

7. While directing the review petitioner who has taken over the erstwhile company to endorse joint options given by the writ petitioners, this Court has made it clear that the direction will not in any manner affect the legal issue whether the review petitioner is employer of HNL employees who retired prior to 2021.

8. This Court also made clear that the issue whether the review petitioner has any liability towards employees like the writ petitioners who retired from service prior to the take over of HNL, would depend on and would be subject to the decision to be taken by the Hon’ble Apex Court in Civil Appeal No.31624/2023 .

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