Merger and provident fund
abhijit majumder
(Querist) 27 November 2020
This query is : Resolved
To
The respected and senior experts
One Company(Fisheries Development Corp Ltd) Merged with State Fisheries Dev Corp Ltd(SFDC Ltd) on 10.10.2019.
Fisheries Development Corp Ltd)(FDC Ltd) have 100 employees whose Provident Fund Account maintained under FDC Ltd.
Now after merger as FDC Ltd.dissolved without liquidation, as per scheme of merger all those 100 employees of FDC Ltd. will be the employees of SFDC ltd. So from the date of merger their employer is SFDC Ltd.
But when we visited to Regional Provident Fund office they simply refused to accept court order on merger. And states that all those employees have to submit Form 13(change of company by the employees)..
My 1st query before the expert(s) is " As the scheme of merger states on and from the date of merger all the employees of transferor Company will be treated as employees of transferee company without any further action then why employees will have to submit Form 13?
My 2nd query is can we move to Provident Fund head Office at New Delhi
Placed for your kind opinion and suggestion.
Abhijit Majumder
9831660072
Isaac Gabriel
(Expert) 27 November 2020
Is there any disadvatage due to the merger? State full facts.
Sudhir Kumar, Advocate
(Expert) 28 November 2020
what is the problem in your submitting F/13.
The company whose employees you were has ceased to exist. You stated that past company was maintaining the PF that means it was an exempted establishment and having its won trust approved by EPFO.
In such case on submission of your F/13 the funds will be transferred from the trust to EPFO and the entire period will be counted towards pension and other entitlements.
Apparently the views of RPFC are correct.
Hemant Agarwal
(Expert) 29 November 2020
AGREE with opinion of above Experts.
Keep Smiling .... Hemant Agarwal
VISIT: www.chshelpforum.com
Dr J C Vashista
(Expert) 30 November 2020
Merged corporation is maintaining complete records of PF of its employees, which has to submit regular reports to EPFO /RPFC.
Hence balance in the account of all 100 employees of absorbed corporation has to be accounted for by the new corporation.
.
Consult and engage a local prudent lawyer for better appreciation of facts/ documents, professional advise and necessary proceeding.
abhijit majumder
(Querist) 01 December 2020
To
All the respected Senior Professional(s)
First I must provide my sincere gratitude to all the experts(Particularly Mr Isaac Gabriel, Sri Sudhir Kumar, Sri Rajendra K Goyal, Dr. J.C.Vashista) for providing their valuable suggestions. .
The scheme of merger is so large that cause it very difficult for me to place the entire scheme and NCLT order in the communication.
Regarding Filing of Form 13, employees view is that as the change of employer's status was by operation of law(ie NCLT order which inter alia states all the employees of the transferor company was employees of the transferee company from the date of NCLT order) the employees are not bound to file Form 13 as they are not by their volition change the organisation.
However If we have to approach Central Provident Fund Commissioner, New Delhi to solve the matter I may place request through this website for an appropriate consultant/advocate to resolve the issue.
Regards
Abhijit Majumder
9831660072
Sudhir Kumar, Advocate
(Expert) 03 December 2020
If the employees are not willing to avail the benefit of already existing procedure and have fanciful ideas then let them suffer.
The fact is that they were employees of "X" company and now they are employees of "Y" company. They have a right to seek transfer of funds and nothing else. NOTHING MORE THAN THAT.
or
wait for the money to be swindled by any scam (prevalent).
