High Court of KeralaSingle JudgeWrit petitions allowed; EPF Amendment 2014 set ...
WP(C).No.1948 of 2018 (P)
Case / Petition Number:WP(C).No.1948 OF 2018(P)
Case Details & Bench
- Court
- High Court of Kerala
- Hon'ble Judges
- RAJA VIJAYARAGHAVAN V
- Judgment Date
- 2020-02-25
- Court Decision / Holding
- The writ petitions are allowed. The Employee’s Pension (Amendment) Scheme, 2014, as evidenced by GSR 609(E) dated 22/08/2014, is set aside. Consequential orders and proceedings issued by Provident Fund authorities based on the impugned amendments shall be set aside. Petitioners shall be entitled to exercise the option stipulated by paragraph 26 of the EPF Scheme without restriction by a fixed date. Employers and employees may adjust arrears and transfers accordingly. The petitioners are entitled to succeed with no order as to costs; appropriate orders to be passed by respondents within four months, subject to pending Supreme Court orders.
- Final Disposition
- Writ petitions allowed; EPF Amendment 2014 set aside; petitioners to exercise option under EPF Scheme; no costs; four months for implementation; subject to Supreme Court orders.
Parties to the Case
Appellants / Petitioners
- B.JYOTHISH KUMARI AGED 50 YEARS
- V.VIJAYAKUMAR
- K.VENUGOPALAN NAIR
- K.P.LEELA
- PRABHA E.
- A.JAYANTHI DEVI
- K.P.RAVEENDRAN NAIR
- A.MURALEEDHARAN NAIR
- INDUCHOODAN A.P.
- K.S.SASIKALA
- JOHNSON CLEETUS
- LAILA SAROJAM
- M.S.JAYALEEKHA
- SHERLY JASMINE
- C.P.SUMA DEVI
- S.RADHIKA KUMARI
- S.V.AMBIKA KUMARI
- N.ANITHAKUMARI
- C.P.BINDUMOL
- S.MADHAVIKUTTY
- K.S.SATHEESH KUMAR
- D.BABURAJ
- D.LEKHA
- K.V.ANIL KUMAR
- P.J.THOMAS
- K.VINOD KUMAR
- V.S.AMPILI KUMAR
- ANNIE GEORGE E.
- N.V.DAVIS
- K.AYYAPPAN
- JACKSON LAZWER
- Y.T.KUMARAN NAIR
- P.ANIL KUMAR
- G.S.AJITH KUMAR
- C.M.JOSHY
- JOHNY
- SREEKUMAR BABU
- RESHMI P.R.
- L.RAMESH KUMAR
- SHAMSUDEEN S.
- P.G.HAREESH KUMAR
- RAJESH M.
- KOUSALAYA
- R.V.JAYAKUMAR
- S.VIJAYAKUMAR
- SHAJAHAN A.
- ANILKUMAR S.R.
- JOBIN T.
- MAHESH KUMAR M.
- SAJU RAVI
- K.J.HARIKUMAR
- K.JAYAKUMAR
- S.RAJESH KUMAR
- C.S.JIJITH KUMAR
- P.SANTHOSH KUMAR
- UNNIKRISHNAN M.
- R.RATHEESH KUMAR
- SHIVAPRASAD S.
- PRASAD P.
- NIBIN RAJ
- KRISHNA KUMAR M.P.
- A.SHAMEER
- ARUN KUMAR C.
- VINU V.S.
- SHALU D.C.
- DAVIDSON S.G.
- GIREESH M.V.
- SHIBU S.L.
- PRASAD C.S.
- JAYADEV D.
- SAJIN J.V.
- RAJESH KUMAR G.
- SHIBU G.
- AJITH S.
- BIJU P.C.
- AJI T.DAS
- PRAVEEN S.L.
- SAJITH KUMAR S.
- VIPIN KUMAR
- DAISY R.
- GIRILAL V.
- PRAVEEN GEORGE G.V.
- K.S.SURESH KUMAR
- ANOOP A.K.
- HIRAN BABU
- DEEPAK RAM V.
- GEETHA KUMARI J.
- SINDHU M.
- PRIJITH R.S.
- VISHNU MOHAN M.
- GIREESH R.S.
- DEEPU C.S.
- JUSTIN JOSE J.S.
- VIPINDAS Y.
- SURESH RAJ M.L.
- ABILASH C.
- SANJU KRISHNAN K.
- LALU D.C.
- AJITHKUMAR U.
- SUDHEESH M.N.
- SHAIJU DENNISON
- BINU C.
- ARAVIND K.G.
- BAIJUMON G.
- RAJESH C.
- ANILKUMAR R.
- SHARON KUMAR P.S.
- SHARI GURUNATH
- MANJU P.S.
Respondents
- M/S TERUMO PENPOL PRIVATE LIMITED BLOOD BAG FACTORY, PULIYARKONAM P.O, THIRUVANANTHAPURAM, REPRESENTED BY ITS MANAGING DIRECTOR
- UNION OF INDIA REPRESENTED BY THE SECRETARY, MINISTRY OF LABOUR AND EMPLOYMENT, GOVERNMENT OF INDIA, SHRAM SAKTHI BHAVAN, RAFI MARGH, NEW DELHI-110 001
- CENTRAL EMPLOYEES PROVIDENT FUND COMMISSIONER, EMPLOYEES PROVIDENT FUND ORGANIZATION, BHAVISHYANIDHI BHAVAN, 14- BHIKHAJI CAMA PLACE, NEW DELHI-110066
- REGIONAL PROVIDENT FUND COMMISSIONER, EMPLOYEES PROVIDENT FUND ORGANIZATION, REGIONAL OFFICE, BHAVISHYANIDHI BHAVAN, PATTOM, THIRUVANANTHAPURAM-695004
Legal Representation & Advocates
Counsels for Petitioners
- • Smt. A.K.PREETHA
Counsels for Respondents
- • Sri.RAJESH NAIR
- • Sri.BIJOY CHANDRAN
- • Smt.PREMLATHA K. NAIR, CGC
- • Sri.S.SUJIN
Case Synopsis & Summary
The petitioners are employees of M/s Terumo Penpol Private Limited, a Blood Bag Factory in Thiruvananthapuram, challenging the amended provisions of the Employees’ Pension Scheme, 1995 as amended by the Employees’ Pension (Amendment) Scheme, 2014 (GSR 609(E) dated 22 August 2014). They contend that the contributions were remitted on their actual salaries rather than the salary ceiling of Rs. 6500, and seek full pension benefits under the Pension Scheme without the ceiling. They also seek quashing of para 4(a)-(d) and 5 of GSR 609(E) and a direction to confer all benefits envisaged under the Scheme from the date of contribution, without reference to the ceiling. The petition relies on Ext.P2 judgment (dated 4.11.2011 in W.P.(C) No. 9929/2007) which held the proviso to Clause 11(3) retrospective and that a joint employee-employer option could not be denied, and on Supreme Court precedents including RC Gupta and Sasikumar P that the 2014 amendments are vulnerable. The Union of India and EPFO defended the amendments as valid. The Kerala High Court ultimately held that the 2014 amendments must be set aside, that petitioners may exercise the option under paragraph 26 of the Provident Fund Scheme without a restrictive date, and that arrears should be adjusted accordingly, with no costs, while noting pending Supreme Court orders.
Provisions of Law Cited
Employees' Provident Fund and Miscellaneous Provisions Act, 1952Employees' Pension Scheme, 1995Employees Pension (Amendment) Scheme, 2014 (GSR 609(E))GSR 609(E) dated 22/08/2014Clause 11(3) of the Employees' Pension SchemeProviso to Clause 11(3)Paragraph 26 of the Provident Fund SchemeParagraph 26(6) of the Provident Fund SchemeProvident Fund SchemeEPF Scheme
Legal Doctrines & Maxims
- Ultra vires doctrine
- Arbitrary legislation
- Retroactivity of provisos in statutory schemes
Submissions & Arguments
Contentions of Appellants / Petitioners
The petitioners contend that they are entitled to the full protection and benefits of the Employees’ Pension Scheme (EPF) without the ceiling restrictions introduced by the 2014 amendments. They argue that the proviso to Clause 11(3) of the Pension Scheme and para 26 of the Provident Fund Scheme allow a joint option for employees and employers to contribute based on actual salaries, and that the cut-off date fixed by the authorities is without jurisdiction. They rely on Ext.P2 (2011) judgment recognizing the retrospective nature of the proviso and on precedents such as RC Gupta and Sasikumar P to claim entitlement to arrears and to set aside the 2014 amendments.
Contentions of Respondents
The respondents urge that the EPF reforms, including the 2014 amendment, are valid and that contributions and benefits should be governed by the amended scheme. They rely on previous orders and judgments including the Division Bench decision in Sasikumar P (which upheld the amendments) and the Supreme Court’s dismissal of related SLPs. They contend that the petitioners’ pleas to extend benefits beyond the ceiling would undermine the statutory architecture and the clear policy of the Pension Scheme. They argue that the authorities acted within their powers under the EPF Act and the Pension Scheme, and that the earlier orders cannot override the amended framework without explicit Supreme Court guidance.
Cited Precedents (5)
| Case Name | Citation | Treatment | Explanation |
|---|---|---|---|
| R.C. Gupta & Others v. Regional Provident Fund Commissioner & Others | 2018 (14) SCC 809 | Positive | Supreme Court held that the deposit of 8.33% of actual salary in the Pension Fund is permissible irrespective of salary ceiling; cited to support employees’ entitlement. |
| Sasikumar P v Union of India and others | ILR 2019 (1) ILR 614 | Positive | Division Bench held the 2014 EPF amendments arbitrary/ultra vires; SLP dismissed; supports positions of petitioners. |
| W.P.(C) No. 13120 of 2015 | W.P.(C) No. 13120 of 2015 | Positive | Judgment dated 12.10.2018 set aside the 2014 amendments and directed relief consistent with petitioners’ contentions. |
| Division Bench in Sasikumar P v Union of India | W.A. No.568 of 2012 (Division Bench, 5.3.2013) | Positive | Division Bench decision relied upon; upheld by Supreme Court; reinforces the petitioners’ position. |
| Ext.P2 judgment dated 4.11.2011 in W.P.(C) No. 9929/2007 | W.P.(C) No. 9929/2007 | Mentioned Only | Cited as prior HC decision relevant to proviso to Clause 11(3); not a controlling Supreme Court authority. |
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Extracted Judgment Text
Exact text extracted from official judgment records.
## **IN THE HIGH COURT OF KERALA AT ERNAKULAM**
## **PRESENT**
## **THE HONOURABLE MR. JUSTICE RAJA VIJAYARAGHAVAN V**
**TUESDAY, THE 25TH DAY OF FEBRUARY 2020 / 6TH PHALGUNA, 1941**
## **WP(C).No.1948 OF 2018(P)**
## **PETITIONERS:**
- **1 B.JYOTHISH KUMARI AGED 50 YEARS**
- **TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **2 V.VIJAYAKUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **3 K.VENUGOPALAN NAIR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **4 K.P.LEELA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **5 PRABHA E. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **6 A.JAYANTHI DEVI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **7 K.P.RAVEENDRAN NAIR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **8 A.MURALEEDHARAN NAIR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **9 INDUCHOODAN A.P. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **10 K.S.SASIKALA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
**WP(C).No.1948 OF 2018(P)**
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- **11 JOHNSON CLEETUS TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **12 LAILA SAROJAM TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **13 I.REHMATH BEEVI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **14 G.I.SHAILAJA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **15 R.RAJEEV TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **16 SHYJA V.DAS TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **17 K.R.SATHEESAN TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **18 S.SUBHA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **19 B.SATHI KUMARI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **20 N.CHRISTU PRASANNA RETNAM TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **21 L.LATHA KUMARI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **22 S.SREEKALA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
**WP(C).No.1948 OF 2018(P)**
**3**
- **23 M.S.JAYALEEKHA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **24 SHERLY JASMINE TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **25 C.P.SUMA DEVI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **26 S.RADHIKA KUMARI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **27 S.V.AMBIKA KUMARI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **28 N.ANITHAKUMARI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **29 C.P.BINDUMOL TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **30 S.MADHAVIKUTTY TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **31 K.S.SATHEESH KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **32 D.BABURAJ TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **33 D.LEKHA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **34 K.V.ANIL KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG**
**WP(C).No.1948 OF 2018(P)**
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## **FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **35 P.J.THOMAS**
- **TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **36 K.VINOD KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **37 V.S.AMPILI KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **38 ANNIE GEORGE E. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **39 N.V.DAVIS TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **40 K.AYYAPPAN TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY PULIYARKONAM P.O., THIRUVANANTHAPURAM.**
- **41 JACKSON LAZWER TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY PULIYARKONAM P.O., THIRUVANANTHAPURAM.**
- **42 Y.T.KUMARAN NAIR TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY PULIYARKONAM P.O., THIRUVANANTHAPURAM.**
- **43 P.ANIL KUMAR TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY PULIYARKONAM P.O., THIRUVANANTHAPURAM.**
- **44 G.S.AJITH KUMAR**
- **TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY PULIYARKONAM P.O., THIRUVANANTHAPURAM.**
- **45 C.M.JOSHY TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY PULIYARKONAM P.O., THIRUVANANTHAPURAM.**
**WP(C).No.1948 OF 2018(P)**
**5**
- **46 JOHNY TERUMO PENPOL PRIVATE LIMITED, BLOOD BAG FACTORY, PULIYARKONAM P.O., THIRUVANANTHAPURAM.**
- **47 SREEKUMAR BABU TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **48 RESHMI P.R. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **49 L.RAMESH KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **50 SHAMSUDEEN S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **51 P.G.HAREESH KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **52 RAJESH M. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **53 KOUSALAYA TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **54 R.V.JAYAKUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **55 S.VIJAYAKUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **56 SHAJAHAN A. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **57 ANILKUMAR S.R. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
**WP(C).No.1948 OF 2018(P)**
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- **58 JOBIN T.**
- **TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **59 MAHESH KUMAR M. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **60 SAJU RAVI TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **61 K.J.HARIKUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **62 K.JAYAKUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **63 S.RAJESH KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **64 C.S.JIJITH KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **65 P.SANTHOSH KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **66 UNNIKRISHNAN M. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **67 R.RATHEESH KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **68 SHIVAPRASAD S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
**WP(C).No.1948 OF 2018(P)**
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- **69 PRASAD P. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **70 NIBIN RAJ TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **71 KRISHNA KUMAR M.P. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **72 A.SHAMEER TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **73 ARUN KUMAR C. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **74 VINU V.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **75 SHALU D.C. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **76 DAVIDSON S.G. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **77 GIREESH M.V. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **78 SHIBU S.L. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **79 PRASAD C.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **80 JAYADEV D. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
**WP(C).No.1948 OF 2018(P)**
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- **81 SAJIN J.V. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **82 RAJESH KUMAR G. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **83 SHIBU G. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **84 AJITH S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **85 BIJU P.C. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **86 AJI T.DAS TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **87 PRAVEEN S.L. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **88 SAJITH KUMAR S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **89 VIPIN KUMAR TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **90 DAISY R. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **91 GIRILAL V. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **92 PRAVEEN GEORGE G.V. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG**
**WP(C).No.1948 OF 2018(P)**
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## **FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **93 K.S.SURESH KUMAR**
**TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **94 ANOOP A.K. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **95 HIRAN BABU TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **96 DEEPAK RAM V. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **97 GEETHA KUMARI J. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **98 SINDHU M. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **99 PRIJITH R.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **100 VISHNU MOHAN M. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **101 GIREESH R.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **102 DEEPU C.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **103 JUSTIN JOSE J.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
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- **104 VIPINDAS Y. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **105 SURESH RAJ M.L. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **106 ABILASH C. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **107 SANJU KRISHNAN K. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **108 LALU D.C. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **109 AJITHKUMAR U. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **110 SUDHEESH M.N. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **111 SHAIJU DENNISON TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **112 BINU C. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **113 ARAVIND K.G. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **114 BAIJUMON G. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **115 RAJESH C. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
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- **116 ANILKUMAR R. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **117 SHARON KUMAR P.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **118 SHARI GURUNATH**
- **TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **119 MANJU P.S. TERUMO PENPOL PRIVATE LIMITED,BLOOD BAG FACTORY, PULIYARKONAM P.O.,THIRUVANANTHAPURAM.**
- **BY ADV. SMT.A.K.PREETHA**
## **RESPONDENTS:**
- **1 M/S TERUMO PENPOL PRIVATE LIMITED BLOOD BAG FACTORY, PULIYARKONAM P.O, THIRUVANANTHAPURAM,REPRESENTED BY ITS MANAGING DIRECTOR.**
- **2 UNION OF INDIA REPRESENTED BY THE SECRETARY, MINISTRY OF LABOUR AND EMPLOYMENT, GOVERNMENT OF INDIA, SHRAM SAKTHI BHAVAN, RAFI MARGH, NEW DELHI-110 001.**
- **3 THE CENTRAL EMPLOYEES PROVIDENT FUND COMMISSIONER**
- **EMPLOYEES PROVIDENT FUND ORGANIZATION, BHAVISHYANIDHI BHAVAN, 14- BHIKHAJI CAMA PLACE, NEW DELHI-110066.**
- **4 REGIONAL PROVIDENT FUND COMMISSIONER EMPLOYEES PROVIDENT FUND ORGANIZATION, REGIONAL OFFICE, BHAVISHYANIDHI BHAVAN, PATTOM, THIRUVANANTHAPURAM-695004.**
- **R1 BY ADV. SRI.RAJESH NAIR**
- **R1 BY ADV. SRI.BIJOY CHANDRAN**
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**R2 BY ADV. SMT.PREMLATHA K. NAIR, CGC**
**R3-4 BY ADV. SRI.S.SUJIN**
**THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 25.02.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:**
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## **JUDGMENT**
The petitioners herein are employees of M/s. Terumo Penpol Pvt. Ltd., the 1[st] respondent herein. The said establishment is covered under the Employees’ Provident Fund and Miscellaneous Provisions Act, 1952 and the schemes framed thereunder. In terms of para 26(6) of the Provident Fund Scheme, 1952, the petitioners as well as the 1[st] respondent are stated to have exercised their option and they have been remitting the contribution on their actual salary without limiting it to the ceiling of Rs.6500/-.
2. The petitioners are aggrieved by the refusal of the respondents to extend the provisions of the Employees’ Pension Scheme, 1995 in all its vigour to the petitioners and also to the changes brought about by the Employees’ Pension (Amendment) Scheme, 2014. They have approached this Court seeking to quash para No.4 (a), (b), (c), ii, (d) and 5 of GSR 609 (E) published as per notification dated 22.8.2014 and also for a further direction to confer on them all the benefits envisaged under the Scheme without reference to the Employees’ Pension (Amendment) Scheme, 2014. They have also sought for a direction to the
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respondents to accept the contribution paid without insisting for a ceiling limit from the date of contribution.
3. Heard Smt.A.K.Preetha, the learned counsel appearing for the petitioners, Sri.C.Padmakumar, the learned counsel appearing for the 1[st] respondent and Sri.S.Sujin, the learned Standing counsel appearing for respondents 3 and 4.
4. The 1[st] respondent has filed a counter affidavit that the respondent has been remitting provident fund for the actual salary of the employees.
5. I have considered the submissions.
6. A learned Single Judge of this Court, by Ext.P2 judgment dated 04.11.2011, in W.P.(C) No.6643 of 2007 and connected cases, has held that the proviso which was added with effect from 16.03.1996 was retrospective and is operative from the date of commencement of the scheme which was on 16.11.1995. It was further held that the cut off date fixed by the organization as 01.12.2004 is clearly without jurisdiction. It was also held that, if a joint application is filed by the employee as well as the employer at any time, the benefits of the proviso to Clause 11(3) of the Employees’ Pension Scheme cannot be denied to the employees. The
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operative part of the order is extracted below for easy reference.
'In the above circumstances, I allow these writ petitions quashing the orders impugned in these two writ petitions. It is declared that the fixation of cut off date of 1.12.2004 is without jurisdiction and despite the fact that the petitioners have filed the applications for benefit under the proviso to clause 11(3), after the cut off date so fixed, the petitioners are entitled to avail of the benefit under the proviso to clause 11(3) of the Employees' Pension Scheme. As such I declare that the benefits was rightly given to the petitioners. Consequently, the arrears of contributions payable by the petitioners for availing of the benefit of the said proviso shall again to be transferred from the Provident Fund account of the petitioners to the Employers' Pension Fund account of the petitioners. Orders in this regard shall be passed, as expeditiously as possible, at any rate, within one month from the date of receipt of a copy of this judgment. '
7. The said judgment was taken in appeal by the Union of India
as well as the EPF Organisation. A Division Bench of this Court by judgment dated 5.3.2013 in W.A. No.568 of 2012 dismissed the appeals. Though the judgment of the Division Bench was challenged before the Hon'ble Supreme Court, the same was dismissed, finding that there was no valid ground for interference.
## 8. In **R.C. Gupta & Others. v. Regional Provident Fund**
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## **Commissioner Employees Provident Fund Organization & Others[1]**
[Civil Appeal Nos.10013-10014 of 2016 (arising out of SLP(C) Nos.3303233030 of 2015] the Hon'ble Supreme Court had occasion to consider the question as to whether the employees would be entitled to the benefit of deposit of 8.33% of their actual salary in the pension fund irrespective of the ceiling limit. The Hon'ble Supreme Court has held thus in the report.
10. We do not see how exercise of option under paragraph 26 of the Provident Fund Scheme can be construed to estop the employees from exercising a similar option under paragraph 11(3). If both the employer and the employee opt for deposit against the actual salary and not the ceiling amount, exercise of option under paragraph 26 of the Provident Scheme is inevitable. Exercise of the option under paragraph 26(6) is a necessary precursor to the exercise of option under Clause 11(3). Exercise of such option, therefore, would not foreclose the exercise of a further option under Clause 11(3) of the Pension Scheme unless the circumstances warranting such foreclosure are clearly indicated.
11. The above part in a situation where the deposit of the employer's share at 12% has been on the actual salary and not the ceiling amount, we do not see how the Provident Fund Commissioner could have been aggrieved to file the LPA before the Division Bench of the High Court. All that the Provident Fund Commissioner is required to do in the case is an adjustment of accounts which in turn would have
1 [2018 (14) SCC 809]
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benefited some of the employees. At best what the Provident Commissioner could do and which we permit him to do under the present order is to seek a return of all such amounts that the concerned employees may have taken or withdrawn from their Provident Fund Account before granting them the benefit of the proviso to Clause 11(3) of the Pension Scheme. Once such a return is made in whichever cases such return is due, consequential benefits in terms of this order will be granted to the said employees.
12. Consequently and in light of the above, we allow these appeals and set aside the order of the Division Bench of the High Court.
9. The amendment to the EPF Scheme GSR 609(E) dated 22.8.2014 w.e.f 1.9.2014 omitting proviso to para 11 (3) of the Scheme which provides for the exercise of the option were challenged before this Court by several of the employees affected by the same. A Division Bench of this Court in **Sasikumar P v Union of India and others[2]** held that the impugned amendments are arbitrary, ultra vires the EPF Act and are unsustainable and allowed the writ petition.
10. Though the EPF organization challenged the judgment before the Hon’ble Supreme Court, the SLP was dismissed by order dated 1.4.2019 in S.L.P.(Civil) No. 9610 of 2019.
2 ( I.L.R. 2019 (1) ILR 614)
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11. Having gone through the records, it is luculent that the issues raised by the petitioners are covered by Ext.P2 judgment which is confirmed by the Apex Court and also the judgment of the Division Bench in **Sasikumar** (supra). In that view of the matter, this Writ Petition is allowed in terms of the judgment dated 12.10.2018 in W.P.(C) No.13120 of 2015 and connected cases, the operative portion of which is extracted below for easy reference.
For the foregoing reasons, the petitioners are entitled to succeed. The writ petitions are all allowed as follows:
i) The Employee's Pension (Amendment) Scheme, 2014 brought into force by Notification No. GSR. 609(E) dated 22/08/2014 evidenced by Ext.P8 in W.P.(C) No. 13120 of 2015 is set aside;
ii) All consequential orders and proceedings issued by the Provident Fund authorities / respondents on the basis of the impugned amendments shall also stand set aside.
iii) The various proceedings issued by the Employees Provident Fund Organization declining to grant opportunities to the petitioners to exercise a joint option along with other employees to remit contributions to the Employees Pension Scheme on the basis of the actual salaries drawn by them are set aside.
iv) The employees shall be entitled to exercise the option
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stipulated by paragraph 26 of the EPF Scheme without being restricted in doing so by the insistence on a date.
v) There will be no order as to costs.
The respondents 3 and 4 shall take expeditious steps to permit the petitioners to exercise their option in terms of the directions above. Appropriate orders shall be passed expeditiously, at any rate, within a period of four months from the date of receipt of a copy of this judgment. Before parting, it is made clear that the above order shall be subject to the orders of the Hon’ble Supreme Court in the pending matters.
**Sd/-**
**RAJA VIJAYARAGHAVAN V JUDGE**
SR
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## **APPENDIX**
## **PETITIONER'S/S EXHIBITS:**
**EXHIBIT P1**
**TRUE COPY OF CIRCULAR NO. PENSION/MISC/2005 DATED NIL, ISSUED FROM THE OFFICE OF THE 3RD RESPONDENT.**
**EXHIBIT P2 TRUE COPY OF JUDGMENT DATED 4.11.2011 IN W.P.(C) NO.9929/2007.**
**EXHIBIT P3**
**TRUE COPY OF NOTIFICATIONS DATED 22.8.2014 PUBLISHED IN THE GAZETTE OF INDIA, MINISTRY OF LABOUR AND EMPLOYMENT.**