2026:MHC:268 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 20.01.2026 CORAM :

THE HON’BLE MR.JUSTICE D.BHARATHA CHAKRAVARTHY W.P.No.5229 of 2021 and W.P.(MD).No.7452 of 2021 & W.M.P.Nos.5793 and 5794 of 2021; W.M.P.(MD).Nos.5628 and 5629 of 2021 In W.P.No.5229 of 2021:-

The Radhamangalam Primary Agricultural Cooperative Bank, Rep. by President, Thevur Post, Kilvalur Taluk, Nagapattinam District, Pin – 611 109. .. Petitioner Versus The Assistant Provident Fund Commissioner, Employees Provident Fund Organisation, Sub-Regional Office, P.B.No.588, Shree Complex, D-Block, 18, Madurai Road, Trichirapalli – 620 008. .. Respondent In W.P.(MD).No.7452 of 2021:-

The Assistant Provident Fund Commissioner, Employees’ Provident Fund Organisation, P.B.No.588, Sree Complex “D” Block, No.18, Madurai Road, Trichirapalli. .. Petitioner Versus M/s.The Radhamangalam Primary Agricultural Co-operative Credit Society Ltd., Thevur Post, Kivalur Taluk, Nagapattinam District - 611 109. .. Respondent Prayer in W.P.No.5229 of 2021 : Writ Petition filed under Article 226 of the Constitution of India seeking a Writ of Certiorari calling for the records of the respondent relating to his order No.SDC/TN/TRY/27545/Circle:33/SRO-TRY/2013, dated 17.07.2013 and also of the Employees Provident Fund Appellate Tribunal, Chennai No.EPFA/367/2017 ATA No.464(13) 2014, dated 07.08.2020 and quash both the orders in so far as the levy of penal damages under Section 14B of the Employees Provident Funds and Miscellaneous Provisions Act, 1952.

Prayer in W.P.(MD).No.7452 of 2021 : Writ Petition filed under Article 226 of the Constitution of India seeking a Writ of Certiorari to call for the records relating to the order passed by the Employees Provident Fund Appellate Tribunal, Chennai in EPFA No.367 of 2017, dated 07.08.2020 and quash the same as illegal.

In W.P.No.5229 of 2021:-

For Petitioner : Mr.A.Praveen Kumar For Respondents : Ms.R.Meenakshi For Petitioner : Ms.R.Meenakshi For Respondents : Mr.A.Praveen Kumar

COMMON ORDER

These two Writ Petitions are filed challenging the self-same order of the Appellate Tribunal under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 (hereinafter referred to as ‘the Act’) made in E.P.F.A.No.367 of 2017, dated 07.08.2020 and as such, are taken up and disposed of by this common order.

2. The brief facts leading to the filing of the Writ Petitions are that the Radhamangalam Primary Agricultural Co-operative Bank (hereinafter referred to as the ‘society’) is a Co-operative Society registered under the Co-operative Societies Act, 1912. While so, it received a show-cause notice, dated 10.05.2013 directing it to show cause as to why a sum of Rs.5,75,162/- should not be recovered from it as damages. After considering the explanation submitted on behalf of the society, an order was passed on 17.07.2013 levying damages of Rs.5,75,162/- and a sum of Rs.3,12,262/- as the interest. Though the society initially filed a Writ Petition, ultimately, the said order came to be challenged by way of an appeal and by the order impugned in the Writ Petitions, the Appellate Tribunal, while confirming the interest under Section 7Q of the Act that was imposed against the society, reduced the damages to an extent of 30% of the total sum, determined under Section 14B of the Act. Aggrieved thereby, both the society as well as the Provident Fund authorities have filed these Writ Petitions.

3. Learned Counsel for the society would submit that the society, being a Co-operative Society, is exempt from the provisions of the Act and would rely upon Section 16 of the Act which reads as under:-

“16. Act not to apply to certain establishments.—(1) This Act shall not apply—

(a) to any establishment registered under the Co-operative Societies Act, 1912 (2 of 1912), or under any other law for the time being in force in any State relating to co-operative societies, employing less than fifty persons and working without the aid of power; or (b) to any other estab