Provident fund act
simran singh
(Querist) 17 October 2013
This query is : Resolved
Hi i wanted to know that are there any kind of recourse fr an employee from paying of the PF of his employee who has commited any kind of fraud act?
Ms.Nirmala P.Rao
(Expert) 18 October 2013
Yes! If the employee breaches his service contract you can take ANY DISCIPLINARY ACTION INCLUDING withholding his PF under Provident Fund Act.Please press the Thank you button on my profile.
Anirudh
(Expert) 18 October 2013
Dear Ms. Nirmala,
Can you please quote the relevant provisions in the Act, to support your above views.
simran singh
(Querist) 18 October 2013
ya i want to know the provisions in the act. not able to find it!!!!
Raj Kumar Makkad
(Expert) 18 October 2013
Payment made in lieu of notice for termination of service cannot in any sense be regarded as representing “emoluments earned while on duty” and do not constitute `basic wages’and it do not form part of EPF liability.
AIR 1960 Bom. 203.
Rajendra K Goyal
(Expert) 24 October 2013
Well advised by the experts, nothing more to add.
Ms.Nirmala P.Rao
(Expert) 24 October 2013
Dear Mr.Aniruddh,
Please read any good commentary book on Domestic/Departmental enquUIRY=WHEREIN by way of Disciplinary Action, the employer can withhold Pension or PF etc of the errant employee. Please log on to Indiakanoon.com , The Supreme Court and other Indian websites for relevant case laws. Please do your own research on this subject.
Ms.Nirmala P.Rao
(Expert) 24 October 2013
If the employee is found guilty of fraud Or misconduct either in Departmental Proceedings Or Criminal trial or both resulting in financial loss to the employers, the employer can withhold the employees Provident fund and Pension etc to the extent of financial loss from out of his/employers contribution- if the Service Rules provide for withholding the same. You must be aware of the media hyped Ruchika Mehrotra's case-wherein for some time the government witheld the pension of the guilty Police /chief's pension for some time due to public pressure- but, ultimately,had succumbed to the clout he'd enjoyed on account of his being in Top Cop Position and released his pension.
