The High Court of Kerala set aside an interim stay order passed by the Employees Insurance Court that waived part of the statutory deposit under Section 75(2B) of the ESI Act, 1948, noting the absence of recorded reasons mandated by the statute.
Ext.P1 set aside; direction to re-consider stay application after hearing both parties within three months.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE BECHU KURIAN THOMAS
MONDAY, THE 14TH DAY OF DECEMBER 2020 / 23RD AGRAHAYANA, 1942
OP(LC).No.4 OF 2020
AGAINST THE INTERIM ORDER DATED 16-04-2019 IN I.C. NO.06/2019 PASSED BY THE EMPLOYEES INSURANCE COURT, THIRUVANANTHAPURAM
PETITIONER/OPPOSITE PARTY NO.1:
THE DEPUTY DIRECTOR EMPLOYEES STATE INSURANCE CORPORATION, SUB-REGIONAL OFFICE, PANCHADEEP BHAVAN, THYCAUD, THIRUVANANTHAPURAM - 695 014.
BY ADVS. SRI.ADARSH KUMAR SRI.SHASHANK DEVAN
RESPONDENTS/APPLICANT & OPPOSITE PARTIES 2 & 3:
1 MANAGING DIRECTOR
M/S. NIMS HOSPITAL, ARALUMOODU P.O, NEYYATTINKARA, THIRUVANANTHAPURAM - 695 123.
2 MR. MURALI, NIMS HOSPITAL, ARALUMOODU P.O, NEYYATTINKARA, THIRUVANANTHAPURAM - 695 013.
3 MR. RAJESH, NIMS HOSPITAL, ARALUMOODU P.O, NEYYATTINKARA, THIRUVANANTHAPURAM - 695 013.
R1 TO R3 BY ADVS. SRI.P.RAMAKRISHNAN SMT.PREETHI RAMAKRISHNAN SRI.T.C.KRISHNA SRI.C.ANIL KUMAR SMT. ASHA K SHENOY SRI. PRATAP ABRAHAM VARGHESE
THIS OP (LABOUR COURT) HAVING BEEN FINALLY HEARD ON 14.12.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
OP(LC).No.4 OF 2020
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JUDGMENT
Dated this the 14th day of December 2020
The only relief claimed in this original petition is to set aside Ext.P1 as being without authority or jurisdiction.
“Interim stay granted with a condition to deposit an amount of Rs.10,0000,00/with this court within two months from the date of the order and produce the receipt on or before 20.06.2019”
Sri. Shashank Devan submits that this Court has already considered the issue involved in this writ petition, whether the Insurance Court has power to pass interim orders waiving in whole or in part the statutory deposit under Section 75(2B) of the ESI Act, 1948 (in short 'the Act) without recording any reasons. The decision in OP (LC)No.23 of 2019 dated 11.02.2020 as well as the decision in OP (LC)No.14 of 2019 dated 16.10.2019 are pressed into service for the aforesaid proposition.
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Court was justified in passing Ext.P1 order, since the Court was satisfied with the need to grant an interim stay as prayed for and in fact an amount has also been directed to be deposited. He, further canvased that, since the assessment under challenge in I.C.No.6/2019 was only regarding the omitted wages for a period and not for contribution, as such the Court was justified in passing Ext.P1 order.
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after hearing both parties and in accordance with law. The ESI Court shall pass appropriate orders as directed above, within a period of three months from the date of receipt of a copy of this judgment. Needless to say that no coercive action pursuant to the order impugned in I.C.No.6/2019 shall be initiated by the petitioner till a decision has taken by the Insurance Court, as directed above.
The original petition is allowed as above.
Sd/-
BECHU KURIAN THOMAS
JUDGE
DK
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APPENDIX
PETITIONER'S EXHIBITS:
EXHIBIT P1 TRUE COPY OF THE INTERIM ORDER DATED 16-04-2019 IN I.C NO.06/2019 AS PASSED BY THE EMPLOYEES INSURANCE COURT
EXHIBIT P2 TRUE COPY OF THE C-18(ACTUAL) NOTICE DATED 20-03-2019 BEARING NO. 78000305540001401/REV/SROT ISSUED TO THE 1ST RESPONDENT AND THE CHAIRMAN AND THE MANAGING DIRECTOR OF M/S. NOORUL ISLAM EDUCATIONAL TRUST BY THE PETITIONER CORPORATION. EXHIBIT P3 TRUE COPY OF THE SUMMONS DATD 02-072019 ISSUED BY THE SAID EMPLOYEES INSURANCE COURT, THIRUVANANTHAPURAM TO THE DEPUTY DIRECTOR, ESI CORPORATION EXHIBIT P4 TRUE COPY OF THE INTERIM ORDER PASSED BY THE EI COURT, THIRUVANANTHAPURAM IN IC NO. 35/2018 EXHIBIT P4A TRUE COPY OF THE INTERIM ORDER PASSED BY THE EI COURT, THIRUVNANTHAPURAM IN IC NO. 39/2018 EXHIBIT P4B TRUE COPY OF THE INTERIM ORDER PASSED BY THE EI COURT, THIRUVANANTHAPURAM IN IC NO. 31/2018 EXHIBIT P4C TRUE COPY OF THE INTERIM ORDER PASSED BY THE EI COURT, THIRUVANANTHAPURAM IN IC NO. 29/2018 EXHIBIT P4D TRUE COPY OF THE INTERIM ORDER PASSED BY THE EI COURT, THIRUVANNATHAPURAM IN IC NO. 30/2018 EXHIBIT P4E TRUE COPY OF THE INTERIM ORDER PASSED BY THE EI COURT, THIRUVANANTHAPURAM IN IC NO. 32/2018 EXHIBIT P4F TRUE COPY OF THE INTERIM ORDER PASSED BY THE EI COURT, THIRUVANANTHAPURAM IN IC NO. 38/2018
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EXHIBIT P5 TRUE COPY OF THE JUDGMENT DATED 16-102019 PASSED BY THIS HON'BLE COURT IN OP(LC) NO. 14/2019
RESPONDENTS' EXHIBITS: NIL
//TRUE COPY//
PA TO JUDGE
3 issues framed by the court
Whether an interim order waiving part of the statutory deposit under Section 75(2B) of the ESI Act, 1948 without recording reasons can be legally sustained.
Whether the Learned Insurance Court was justified in reducing the deposit amount without recording reasons.
What relief is appropriate when a stay order under the Employees State Insurance Act lacks recorded reasons.
1 provisions across 1 enactments
THE DEPUTY DIRECTOR EMPLOYEES STATE INSURANCE CORPORATION, SUB-REGIONAL OFFICE, PANCHADEEP BHAVAN, THYCAUD, THIRUVANANTHAPURAM
1 MANAGING DIRECTOR M/S. NIMS HOSPITAL, ARALUMOODU P.O, NEYYATTINKARA, THIRUVANANTHAPURAM
2 MR. MURALI, NIMS HOSPITAL, ARALUMOODU P.O, NEYYATTINKARA, THIRUVANANTHAPURAM
3 MR. RAJESH, NIMS HOSPITAL, ARALUMOODU P.O, NEYYATTINKARA, THIRUVANANTHAPURAM
BECHU KURIAN THOMAS
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
