Central Board of Trustees v. M/S Indore Composite Pvt. Ltd.
ABHAY MANOHAR SAPRE, J. 1. Leave granted.
2. This appeal is filed against the final judgment and order dated
01.08.2017 passed by the High Court of Madhya Pradesh, Bench at
Indore in Writ Petition No.1046 of 2017 whereby the Division Bench of
the High Court dismissed the writ petition filed by the appellant herein
and affirmed the order dated 06.09.2016 passed by the Emp loyees
Provident Fund Appellate Tribunal, New Delhi in ATA No.214(8) of 2015.
CENTRAL BOARD OF TRUSTEES v. M/S INDORE
COMPOSITE PVT. LTD.
3. The facts of the case lie in a narrow compass and it would be
clear from the facts stated hereinbelow.
4. On 19.05.2008, the appellant-Central Board of Trustees issued
summons under Section 7A of the Employees Provident Fu nd and
Miscellaneous Provisions Act, 1952 (hereinafter referred to as “the Act”)
to the respondent-M/s Indore Composite Pvt. Ltd. for non-payment of
the Provident Fund contribution in the year 2005-2006 on the wages
lesser than the minimum wages prescribed for the employees under the
category of semi-skilled. The representative of the respondent attended
the enquiry and submitted that the Department has not considered non-
working days of the employees already furnished in Form 3A for the
year 2005-2006 and there are some employees under the cate gory of
unskilled whereas the Department has treated all of them as semi-skilled.
The appellant, after considering the aforesaid, by order dated 15.04.2010,
directed the respondent to deposit Rs.87,204/- within 15 days from the
receipt of that order. It was also stated that the above order under
Section 7A is without prejudice to any action under Sections 7C, 7Q and
14B of the Act.
5. On 21.01.2015, the appellant, in exercise of the power under
Section 14B of the Act, ordered the respondent to pay damage s and
allied dues of Rs.91,585/- for the delayed payments from 01/2007 to 02/
2006 to 05/2013.
6. Challenging the said order, the respondent filed an appeal being
ATA No.214 (8) of 2015 before the Employees Provident Fund Appellate
Tribunal, New Delhi. Vide order dated 06.09.2016, the Tribunal allowed
the appeal and set aside the order dated 21.01.2015 p assed by the
appellant.
7. Felt aggrieved, the appellant filed writ petition being Writ Petition
No.1046 of 2017 before the High Court. The High Court, by the impugned
order, dismissed the petition.
8. The appellant felt aggrieved and filed the present appeal by
way of special leave before this Court.
9. The short question, which arises for consideration in this appeal,
is whether the Division Bench of the High Court was justified in dismissing
the appellant’s writ petition.
10. Heard learned counsel for the parties.
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11. Having heard the learned counsel for the parties and on perusal
of the record of the case, we are constrained to allow the appea l, set
aside the impugned order and remand the case to the Division Bench of
the High Court for deciding the writ petition afresh on merits in
accordance with law.
12. After setting out the facts, the Division Bench proceeded to
disposed of the writ petition with the following obse rvations in its
concluding paras which read as under:
“On due consideration of the aforesaid on the basis of the
fresh documents and affidavit for taking additional
documents on record, we cannot direct the establishment
to pay damages for the period from March 2006-April 2010
when all these objections were not taken before the lear ned
Tribunal.
Considering the aforesaid, we are of the view that the order
passed by the learned Tribunal is just and proper and no
case for interference with the impugned order is warranted.
The writ petition filed by the petitioner has no merit and is
accordingly dismissed.”
(emphasis supplied)
13. In our opinion, the need to remand the case to the High Court
has occasioned for the reason that the Division Bench dismissed t he
writ petition filed by the appellant (petitioner) cursorily without dealing
with any of the issues arising in the case as also the arguments urged by
the parties in support of their case.
14. Indeed, in the absence of any application of judicial mind to
the factual and legal controversy involved in the appeal and w ithout
there being any discussion, appreciation, reasoning and ca tegorical
findings on the issues and why the findings impugned in the writ petition
deserve to be upheld or reversed, while dealing with the arguments of
the parties in the light of legal principles applicable to the case, it is
difficult for this Court to sustain such order of the Division Bench. The
only expression used by the Division Bench in disposing of the appeal is
“on due consideration”. It is not clear to us as to what wa s that due
consideration which persuaded the Division Bench to dispose of the writ
petition because we find that in the earlier paras only facts are set out.
CENTRAL BOARD OF TRUSTEES v. M/S INDORE
COMPOSITE PVT. LTD. [ABHAY MANOHAR SAPRE, J.]
15. Time and again, this Court has emphasized on the Courts the
need to pass reasoned order in every case which must contain the
narration of the bare facts of the case of the parties to the lis, the issues
arising in the case, the submissions urged by the parties, the legal principles
applicable to the issues involved and the reasons in support of the findings
on all the issues arising in the case and urged by the learned counsel for
the parties in support of its conclusion. It is really unfortunate that the
Division Bench failed to keep in mind these principles while disposing of
the writ petition. Such order, in our view, has undoubtedly caused prejudice
to the parties because it deprived them to know the reas ons as to why
one party has won and other has lost. We can never countenance the
manner in which such order was passed by the High Court w hich has
compelled us to remand the matter to the High Court for dec iding the
writ petition afresh on merits.
16. In the light of the foregoing discussion, we allow the appeal,
set aside the impugned order and remand the case to the Division Bench
of the High Court for deciding the writ petition afresh on meri ts in
accordance with law keeping in view our observations made supra.
17. We, however, make it clear that we have refrained from making
any observation on merits of the controversy having formed an opinion
to remand the case to the High Court for the reasons mentioned above.
The High Court would, therefore, decide the writ petition, uninfluenced
by any of our observations, strictly in accordance with law.
18. With the aforesaid directions, the appeal is accordingly allowed
and the impugned order is set aside.
Divya Pandey Appeal allowed.