JUDGEMENT
AMARESHWAR SAHAY, J. -
(1.) Though this writ petition was tagged with
W.P.(C) No. 2857/2001 for hearing, but on
perusal of the records, it appears that the point
in issue in both the writ applications are not the
same and similar and therefore, this writ
application is being heard and disposed of
separately. In this writ application, the
petitioner has prayed for quashing of the Order
dated September 26, 2000 as contained in
Annexure-6 to the writ application issued by
the Government of Bihar, whereby, the prayer
of the petitioner for grant of exemption as
provided under Section 87 of the Employees'
State Insurance Act for the period October 1,
1996 to September 30, 1997 and October 1,
1997 to September 30, 1998 has been rejected.
(2.) The facts which are not in dispute are
as follows:
The petitioner Tata Iron and Steel Co.
Ltd. (hereinafter referred to as TISCO in short)
has its principal office at Jamshedpur and one
of its work is situated at Adityapur. Employees
State Insurance Act, 1948, a Central Act, was
enacted for providing certain benefits to the
employees in case of sickness, maternity and
employment injuries and for certain other
matters in relation thereto. Section 87 of the
Employees' State Insurance Act provides that
the appropriate Government may by
Notification in the official Gazette exempt any
factory or establishment or class of factories or
establishment in any special area or the
operation of this Act for a period not exceeding
one year and may from time to time by like
Notification renew any such exemption for a
period not exceeding one year at a time. By
issuance of letter dated January 9, 1985
(Annexure-3) the Central Government,
Ministry of Labour, informed the General
Manager (Operations) of TISCO that since
there was no intention of the Government to
apply the provisions of the Employees State
Insurance Act to the Units of
petitioner-Company and as such, the Employees
State Insurance Corporation, vide letter dated
August 2, 1982 has advised the Government of
Bihar to grant exemption from operation of the
provisions of the Act to the Units of the TISCO
located in the area of Adityapur upto September
30, 1984 and the Corporation was also advised
to recommend the continuation of exemption
beyond September 30, 1984 on year to year basis.
There is no dispute that the petitioner's-Unit was
being given exemption from the application of
the Act as provided under Section 87 of the
said Act from 1982 to 1996. For subsequent
years i. e. for the period October 1, 1996 to
September 30, 1997 and October 1, 1997 to
September 30, 1998, the applications were
made by the petitioner to the State of Bihar for
renewal of the aforesaid exemption under
Section 87 of the Act. The said application for
renewal of the exemption was rejected by issue
of order as contained in Annexure-6 to the writ
application which has been challenged in this
writ application.
(3.) Mr. Rajiv Ranjan, learned counsel
appearing for the petitioner has submitted that
the impugned order as contained in Annexure-6
to the writ application has been passed in
complete violation of the principles of natural
justice since before issuing such order, no
notice to show-cause or a chance of being heard
was given to the petitioner and, as it appears
from the said impugned order that only on the
basis of a letter issued by the Employees' State
Insurance Corporation, without application of
mind, the State of Bihar has rejected the claim
for exemption under Section 87 of the Act,
which is illegal.;
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