coverage of the policy for the employees under the Act by submitting Form-I on 19.03.1987. Petitioner – corporation by its letter, dated 15.04.1987, informed respondent No.1 that it is neither a factory nor an establishment, and hence, it is not coverable under the Act. Thereafter, survey is conducted by the ESI Inspector and came to the conclusion that respondent No.1 would fall under the Act and respondent No.1 - establishment has to pay the contribution for the period from 01.11.1990 to 31.03.1995 vide its letter, dated 17.08.1994, followed by show-cause notice, dated 18.10.1995, demanding respondent No.1 to pay contribution from 01.11.1990 to 31.03.1995. Respondent No.1 – establishment gave a reply on 14.11.1995 informing the petitioner that in its earlier letter dated 15.04.1987 the petitioner intimated to respondent No.1 that it is neither a factory nor an establishment comes under the purview of the Act and hence, it is not coverable under the Act. Thereafter, the ESI Inspector again visited the establishment and submitted his report. Basing on his report, the petitioner – corporation demanded respondent No.1 to pay a sum of Rs.1,14,225/- towards contribution for the period from 01.01.1990 to 31.08.1994 and further a sum of Rs.81,044/- towards interest up to 30.09.1997 vide its letter, dated 04.12.1997. Challenging the recovery proceedings, respondent No.1 herein filed the case before the trial Court.
