THE HON’BLE SHRI JUSTICE ANIL KUMAR JUKANTI CIVIL MISCELLANEOUS APPEAL No.418 of 2014

JUDGMENT:

This Civil Miscellaneous Appeal is filed aggrieved by the order dated 05.08.2011 passed in E.I.C.No.21 of 2006 on the file of the Employees Insurance Court and Chairman, Industrial Tribunal-I, Hyderabad.

2. Heard Mr. P.Venugopal Reddy, learned counsel representing Mr. B.G.Ravindra Reddy, learned counsel for appellants, and Mr. C.Niranjan Rao, learned counsel for respondent.

3. The substantial question of law which falls for consideration is as follows:

A) Whether the fixed amount of Conveyance Allowance paid to the employees in terms of the Settlement irrespective of the expenditure incurred by the employees, is a wage within the meaning of Section 2(2) of the ESI Act.

4. Learned counsel for appellants/respondent Nos.1 and 2 contended that respondent/petitioner has not responded to the notice issued by the Corporation, the other facts are not in dispute. It is the contention of learned counsel for appellants that the company is liable to pay the contribution towards the conveyance allowance for the period 2004-2006 that C-18 notices were issued and 45-A orders were passed for an amount of Rs.