YASHWANT VARMA,J. - (1.) Heard Sri Manish Goyal learned Senior Counsel in support of this petition and Sri Brijesh Kumar Singh who has appeared for the respondents.
(2.) The Life Insurance Corporation [hereinafter for the sake of brevity to be referred to as "LIC"] has impugned the order dated 26 June 2008 as also the notice of 23 September 2008 issued by the respondents under Section 7-A of the Employees Provident Fund And Miscellaneous Provisions Act, 1952 ["the 1952 Act"]. A jurisdictional challenge is raised to the initiation of action under the 1952 Act on the ground that LIC shall not stand covered under the notification issued under Section 1(3)(b) of the 1952 Act. This submission is addressed in light of the notification itself extending the coverage of the 1952 Act to companies engaged in "general insurance" business. The notification extending the applicability of the 1952 Act to establishments engaged in insurance business reads thus: - "As respects establishments which are exclusively or principally engaged in general insurance business come into force on the 31st day of January 1970" According to Sri Goyal since LIC is not engaged in the general insurance business, it cannot be subjected to proceedings initiated by the respondents under the 1952 Act.
(3.) It becomes pertinent to note that under Section 2 (6-B) of the Insurance Act 1938, the expression "general insurance business" has been defined as under: - "2 (6-B) "general insurance business" means fire, marine or miscellaneous insurance business, whether carried on singly or in combination with one or more of them;]" "Life insurance business" is defined in Section 2 (11) of that Act in the following terms:- "2 (11) "life insurance business" means the business of effecting contracts of insurance upon human life, including any contract whereby the payment of money is assured on death (except death by accident only) or the happening of any contingency dependent on human life, and any contract which is subject to payment of premiums for a term dependent on human life and shall be deemed to include- (a) the granting of disability and double or triple indemnity accident benefits, if so provided in the contract of insurance; (b) the granting of annuities upon human life ; and (c) the granting of superannuation allowances and [benefit payable out of any fund] applicable solely to the relief and maintenance of persons engaged or who have been engaged in any particular profession, trade or employment or of the dependants of such persons;]";