Srini Sattva Solutions Vs Regional Provident Fund… — Writ and Judicial Review | Telangana HC (2025)

Srini Sattva Solutions Vs Regional Provident Fund… — Writ and Judicial Review | Telangana HC (2025)

What the court decided

AI extract

Outcome

Writ petition disposed of on consent, without costs: petitioner to submit a representation proposing instalment payment of the admitted amount under the prohibitory order dated 15.01.2025; respondents to consider it and pass appropriate orders; upon acceptance, prohibitory orders dated 15.01.2025 to be released for four (4) weeks; pending miscellaneous petitions (incl. IA No. 1 of 2025 seeking stay/defreezing) closed.

Issue for consideration

Whether the orders dated 12.06.2024 passed by respondent No. 2 under Sections 148 and 7Q of the Act, 1952, and the consequent impugned prohibitory order dated 15.01.2025 passed under Section 8F of that Act (freezing the petitioner's bank accounts), are illegal/arbitrary and violative of principles of natural justice. +1 more

Court's answer

With the consent of learned counsel on either side, and recording the petitioner's submissions, the writ petition is disposed of: the petitioner shall make a representation proposing to pay the admitted amount in terms of the prohibitory order dated 15.01.2025, and respondents may consider the same and pass appropriate orders.

Ratio / Principle

It is made clear that if the respondent authorities accept the petitioner's proposal, immediately the prohibitory orders dated 15.01.2025 shall be released for a period of four (4) weeks enabling the petitioner to put forward his proposal; the passing of appropriate orders is left open to the respondent authorities.

Detailed headnote1 paragraphs

W.P. No. 7631 of 2025 (High Court for the State of Telangana at Hyderabad, decided 12-03-2025, Justice N.V. Shravan Kumar): A Vijayawada-based small-scale man-power services employer (petitioner's name illegible in the source) sought a writ of mandamus under Article 226 to set aside EPFO orders dated 12.06.2024 (No. TS/HYD-II/1064659/PD-16/T-2/148/2024-25/163 under Section 148 and No. TS/HYD-II/1064659/PD-516/T-2/7Q/2024-25/164 under Section 7Q of the Act, 1952) and the consequent impugned prohibitory order dated 15.01.2025 (No. TS/RO/HYD-II/1064659/C-516(2)/PD/8F/2024-25/424) passed by respondent No. 2 (Assistant PF Commissioner and Recovery Officer) under Section 8F of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952, which froze its bank accounts with respondent No. 3 (ICICI Bank, Vijayawada) and respondent No. 4 (State Bank of India, Banjara Hills, Hyderabad); IA No. 1 of 2025 sought stay and defreezing. The court, with the consent of counsel on either side, did not adjudicate the legality of the orders; it disposed of the petition directing that the petitioner make a representation proposing to pay the admitted amount in instalments in terms of the prohibitory order dated 15.01.2025, that respondents consider it and pass appropriate orders, and that, if the proposal is accepted, the prohibitory orders dated 15.01.2025 be released for four (4) weeks enabling the petitioner to put forward his proposal. Miscellaneous petitions were closed and no costs were awarded.

[^325s I

HIGH COURT FOR THE^{STATEOF TELANGANA} AT HYDERABAD (Special Original Jurisdiction)

WEDNESDAY,^{THE TWELFTH DAY OF MARCH} TWO THOUSAND^{AND TWENTYFIVE}

PRESENT

THE HONOURABLE^{SRI JUSTICE N.V.SHRAVAN KUMAR}

WRIT PETI TION^NO:7631OF 25

Between:

;sil'3*"3t"?'5ifi SleEi8l-:lff r'lrrt"i r,^{Xunuru, Viiayawada - 520 007'}

Rep. by its Managing^{Partner M'V'S} "lH.5"Ti:l'H.$,,t1fl"'^{HariPrasad'Ri/o' Vii} a^{yawada' A P'} g""qtts""':R3S

...PETITIONER

AND

'^{B?fl?llij.J,.f"'$3![,I"t,.t,,?yT[i3li,[i,ii]Elil"Jf;ff;,.?1"""'l'1"t'.5'iJ"1} Ba"rkathPura,^HYderabad'

,f ::1.,:,"?l?""#s?l j#lj.ff H:i::flf 5ft *lft?Ji"#,?ffi :'6.:"[i3],?"?",:; HYoeraoad'

bi;ff NVLN^{Pr aza' o aza' o o rd}

NVLN^{Pr aza' o aza' o o rd}

"b;*itrPtira,

. tn3:-'#fbff,% %1,f; ^: K:3:,51,ffi*,';l ,lili'

State^{Bank of lndia' Baniara Hills Branch' Hyderabad'}

...RES'ONDENTS

Petition^{under Article 226 of lhe Constitutionof lndia praying that in the} circumstances^{statedin the affrdavit filedtherewith' the High Court may be} pleased^{to issue a Writ' order or Direction more particularlyone in the natureof} Writ of^{Mandamusdirecting the 2nd Respondentto call for the recordsof the} lnquiry^{Proceedings'to} "^{a""" the Order No' TS/HYD-|I/1064659/PD-16/T-} 21141312O24-2S/toS'^{Oated t 2'O6'2[24under Section148 of Act' 1952and Order} No.^{S/HYD-tl/1064ossfPo-sf} -p""0^{on- 2t7Ql2o24-251164'daledl2'o6'2024under} by 2nd^{Respondentandconsequentlypassed} Section^{7Q of Act' fS52'} lmpugnedordervide*o.is,*oruvDll/1064659/C-516(2yPD/8F/2o24.251424,

dated 15.0't.2025, passed by the 2nd Respondent under Section gF of the Act, '1952 is arbitrary, irregar, unjustified and vioration of principres of naturar justice.

IANo:1 OF 2025

Petition under section 1s1 cpc praying that in the circumstances stated in the affidavit fired in support of the petition, the High court may be preased to grant stay and suspension of imprementation and operation of impugned or depressed by the 2nd Respondenr vide order No. TS/Ro/HyD- il/1064659/C-516(2)lporSFr 2024-251424, dated 15.01.2025 under section gF of the Emproyees, provident Funds and Misceilaneous provisions Act, 1g52, consequenfly to direct the 3rd and 4thRespondents to defreeze the petitioner Bank Accounts.

Counsel for the petitioner: DR. B. MANOJ KUMAR

Counsel for the Respondent Nos.1 and 2: SRI G. VENKATESHWARLU. S.C. FOR EPFO

Counsel for the Respondent Nos.3 and 4: _

The Court made the following: ORDER

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I I

I I I

THE HON^,BLE SRI JUS TICE r[.v. VAN Writ Petitio n No. 7631 of202s

ORDER

The present writ petition is frled for the following

relief:

,,directing respond.ent No.2 and to call for the records of inquiry proceedings, to set asid e the Order No.TS/HyD_II/ 1064659/pD_16/f_ 2/ 148/ 2024-25/ 163, d.ated. 12.O6.2024 under Section 148 of Act, 1952 and Ord.er No.TS/HyD_ rr/ 10646s9/ pD_s16/ T_2/7Q /2024_2s/164 dated 12.06.2O24 under Ze of Act, tgs2, passed bg respondent No.2 and_ consequen g passed impugned order uid.e No.TS/RO/HyD_II/ 1 O 64 65 9 / C-S I 6(2 ) / pD/ B F/ 2 O2 4_ 2 S/ 4 2 4 d.ated. 15.O1.2025 passed. bg respondent No.2 under Section BF of tLLe Act, 1952 as illegat and arbitrary."

Learned counsel for the petitioner submits that petitioner is maintaining bank accounts in respondent Nos.3 and 4 - Banks, however, would fairly submit that there is a balance to be paid as per the demand made in the prohibitory order dated 15.01.2025. Accordingly, petitioner proposed to pay in terms of instalments as the

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petitioner is a small scale employer providing man-power sernces.

Learned Standing Counsel for respondent Nos. 1 and 2 submits that if the petitioner makes any representation detailing the proposal to pay the pending admitted amounts, the same would be considered by respondent authorities and pray that appropriate orders may be passed.,jn that regatd

4t With the consent of learned counsel on either side, and recording the submissions of learned counsel for the petitioner, this writ petition 1S disposed of and the petitioner shall make a representation proposing to pay the admitted amount in terms of prohibitory. order dated 15.d1:2O25 ald respondents may consider the same ald pass appropriate orders. It is rnade clear that if the respondent authorities accept the said proposal of the petitioner, immediately, the prohibitory orders dated L5.OL2O25 be released for a period of four (4) weeks enabling the petitioner to put forward his prc'posal. It is left

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/ / /,

/i^., open to the respondent authorities to pass appropriate orders.

With the above observations, writ petition is disposed of, accordingly.

Miscellaneous petitions, pending, if any, shall stand closed. However, there shall be no order as to costs.

Sd/. K. SREE RAI'A MURTHY PUTY REGISTRAR

//TRUE COPY//

S N OFFICER

To, 1. The Regional Provident Fund Commissioner-l, loyees' Provident Fund Organization, Regional Office -Madhapur (ll), avishyanidi Bhavan, Barkathpura, H yderabad.

1. The Assistant Provident Fund Commi ssroner and Recovery Officer, Employees' ' Provident Fund Organization, Regional Office Madhapur (ll), Bhavishyan idi Bhavan, Barka thpura, Hyderabad

1. The Branch Mana ger, D.No . 74-1-1 NVLN Plaza, Old Check Post Centre, Krishna Nagar, lClcl BANK, Vija yawada - 520 007.

1. The State Bank of lndia, Banjara H|IIS Branch, Hyderabad 5. One CC to Sri B. Manoj Kumar, Advocate loPUcl 6. One CC to Sri Venkateshwadu, S.C. for EPFO [OPUcl 7. Two CD Copies

TJ GJP/MPw

)

HIGH COURT

DATED:1210312025

ORDER

WP.No.7631 of 2025

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DISPOSING OF THE WRIT PETITION WITHOUT COSTS

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