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Rajasthan High Court · body

2022 DIGILAW 1863 (RAJ)

Municipal Corporation v. Regional Provident Fund Commissioner-ii

2022-06-23

REKHA BORANA

body2022
JUDGMENT Rekha Borana, J. - The present petitions have been filed against the impugned orders dated 13.04.2022 passed by the respondent No.1 Regional Provident Fund Commissioner-II, whereby, the petitioner Municipal Corporation has been directed to deposit an amount of Rs.30,17,36,311 (Rupees Thirty Crore Seventeen Lakh Thirty Six Thousand Three Hundred Eleven Only) and Rs.2,78,74,321/-(Rupees Two Crore Seventy Eight Lakh Seventy Four Thousand Three Hundred Twenty One Only) respectively qua the due PF amount. It has been directed by the order that if the said amount is not deposited within a period of 15 days the same would be recoverable in terms of the provisions of the Employees' Provident Fund & Miscellaneous Provisions Act, 1952. When the amount was not deposited within the requisite time, two orders dated 20.06.2022 have been issued by the authority in terms of whereby the respondents HDFC Bank and Canara Bank have been directed to pay to the bank the due amount and freeze the bank accounts of the petitioner Municipal Corporation for all other purposes. 2. Aggrieved against the said orders, the present writ petition has been filed. It has been submitted by the counsel for the petitioner that in pursuance to the order dated 13.04.2022, an amount of Rs.4,92,00,000/- (Rupees Four Crore Ninety Two Lakh Only) has already been deposited with the authority by the Canara Bank on the directions of the petitioner Municipal Corporation. 3. The counsel further submits that in view of the fact that the Municipal Corporation has been bifurcated into two offices, that is, Municipal Corporation (South) and the Municipal Corporation (North), the complete liability cannot be fastened on the Municipal Corporation (South), that is, the petitioner only. He further submits that in terms of the guidelines as framed at the time of bifurcation of the Municipal Corporation, it had been decided that a Committee would be constituted to decide financial liabilities of both the new offices of the Corporation. But the issue of the division of financial liabilities could not be taken up till date. He undertakes that the meeting would now be convened within a period of two weeks and the final decision as to the financial liability as imposed by the impugned order would be taken up in the said meeting within a period of four weeks. He further submits that the petitioner would be bound to comply with the decision as taken by the Committee. 4. He further submits that the petitioner would be bound to comply with the decision as taken by the Committee. 4. In view of the submissions made, Issue notice. Notices be made returnable on 25.07.2022. 5. Meanwhile, the execution of the impugned orders dated 13.04.2022 and 20.06.2022 shall remain stayed subject to the condition that the petitioner Municipal Corporation deposits a further amount of Rs.1,50,00,000/- (Rupees One Crore Fifty lakhs Only) within a period of three weeks with the PF authority. It is made clear that if the meeting of the Committee as aforementioned is not convened and a final decision is not taken within a period of four weeks, the present order would not remain in operation.