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EPF is justified in auction of Sugar for Recovery of dues

Raj Kumar Makkad ,
  26 April 2010       Share Bookmark

Court :
Bombay High Court
Brief :
Maharashtra State Co-Operative Bank Ltd v. Assistant Provident Fund Commissioner and Ors. (Decided on 03.03.2010) MANU/MH/0166/2010 Constitution - Recovery of Provident Fund dues - Auction Notice issued under Employees of the Provident Funds and Miscellaneous Provisions Act, 1952 - Auction of sugar bags was sought to effectuate recovery of dues Validity thereof questioned as illegal and violative of Article 14 of the Constitution of India, 1950 as well as under Section 11(2) of the 1952 Act, Essential Commodities Act, 1955 and the Sugar (Control) Order, 1966 - Petitioner has sought for quashing and setting aside of auction notice - Determination of question of Priority against the claim
Citation :
Maharashtra State Co-Operative Bank Ltd v. Assistant Provident Fund Commissioner and Ors. (Decided on 03.03.2010) MANU/MH/0166/2010


Held, there was nothing on record to hold that the sale of sugar exceeded the limits of quota allotted to sugar factory by the Central Government. Constitutional validity of Section 11(2) of the 1952 Act was not challenged by the Petitioner. Provisions of Act of 1955 do not prohibit the action founded on the provisions of Act of 1952. Argument regarding overriding effect due to subsequent legislation held to be of no avail, as this question would arise for consideration only if it were to be held that the provisions of 1955 Act postulate total or absolute prohibition for sale of sugar by PFC in exercise of powers under the 1952 Act. Petition dismissed.



 


 
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Published in Labour & Service Law
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