Complaint filed on: 17-07-2021

                                                      Disposed on: 16-08-2022

BEFORE THE DISTRICT CONSUMER DISPUTES

REDRESSAL COMMISSION, TUMAKURU

#201, 202, 1^st Floor, Indian Red Cross Building Complex,

Ashoka Road, Tumakuru-572 101. 

DATED THIS THE 16^th DAY OF August, 2022

PRESENT

SMT.G.T.VIJAYALAKSHMI, B.Com., LLM., PRESIDENT

SRI.KUMARA.N, B.Sc. (Agri), LLB., MBA., MEMBER

SMT.NIVEDITA RAVISH, B.A., LLB. (Spl)., LADY MEMBER

CC.No.57/2021

Sri. Nagesha .M S/o Muniyappa,

Aged about 33 years,

R/at Kachanahalli Village,

Nelamangala Taluk, Bangalore Rural

………Complainant

(By Sri.Prasannakumar K.S, Advocate)

V/s

1.       The Regional P.F.Commissioner,

          15^th Cross, SIT Extension,

          Tumakuru.

2.       M/s Vachi Partners,

          Situated at Sy.No.84/1,

          Kallanayakanahalli,

          Anchepalya, Kunigal Tauk,

          Tumakuru District,

          By its Managing Director.

………Opposite Party

 (OP1 By Sri. T.K.Jayaram, Advocate)

(OP2 – Served absent)

 :ORDER:

SRI.KUMARA.N., MEMBER

This complaint was filed U/s Section 35 of the Consumer Protection Act 2019 to direct the OP No.1 to pay the entire P.F. Amount which was accumulated in the complainant’s P.F. Account bearing No. 1 PYPNY/1966284/10001with interest @ 12% PA and further direct the OP No.1 to pay a sum of Rs.5,00,000/- towards mental pain, communication expenses with interest @ 12% PA.

2.  The OPs are the Regional PF Commissioner, 15^th Cross; SIT Extension, Tumakuru, and M/s VAchi Partners, Kallanayakanahalli, Anchepalya, Kunigal Taluk, Tumkur District, represented by its Managing Partner (hereinafter called as OP Nos. 1 & 2 respectively)

3. It is the case of the complaint that, complainant was worked with OP No.2 as a Senior Employee and OP No.2 was paying his salary regularly, On 29.02.2020, the complainant was terminated from the service. The complainant submitted that he worked in Vijaya Steels Ltd for about 11 years and later he also worked in Vikat Alloys Private Ltd., both were subsidiary companies of the OP No.2. The complainant having the P.F. Account number bearing No. 1 PYPNY/1966284/10001 with the OP No 1 and the OP No.2 transferred regularly his P.F. amount along with Employer and employees shares and the complainant after the termination from the service, he approached the OP No.1 for the settlement of his P.F. amount, but the OP No.1 has not settled the amount, and refused the claim by giving reason as “Father name is differs”. , the complainant issued legal notice on 22.09.2020, In spite of it the OP No.1 has not settled the P.F. Amount.  Hence, this complaint.  

4.        After the complaint registered, the OP No.1 appeared through his counsel and filed the version. Though notice served to the OP No.2, remained absent. 

5.      The OP No.1 in his version admitted the fact that the complainant had said P.F. Account with them and contended that the contributions need to be transferred to P.F. accounts shall be as per the Provisions of E.P.F. and MP Act 1952 and the schemes framed there under and PF account cannot be used to remit the funds other than PF transferred amount in irregular manner and PF accounts are not to make use of such type of funds.   The OP counsel further submitted that they received irregular contribution from the OP No.2 and surprisingly they received Rs.35,34,200/-.  Accordingly, the OP No.1 informed the same to the OP No.2 and in-turn, they received letter from the OP No.2 stating that one of our Senior Accountant mis-appropriated and mis-handled the account and transferred the huge amount with malefic interest and requested the OP No 1 to not to settle the claim and thereby OP No 1 returned the said amount to the OP No 2 account and prays to dismiss the complaint.

6.       The complainant filed affidavit evidence and marked the documents as Ex.P1 to P7.  One Mr, J.Hari, Asst. P.F. Commissioner, Tumakuru on behalf of OP No.1 filed affidavit evidence and marked the documents as Ex.R1 to R12.

7.       We have heard the arguments of both side counsels.

8.       The points that would arise for determination are as under:

1)      Whether the complainant proves that there is a

Deficiency in service / unfair trade practice on the

part of OPs?

2)      Is complainant entitled to the reliefs sought for?  

9.       Our findings aforesaid points are as under:

Point No.1: In the Negative

Point No.2: As per the final order

:R E A S O N S:

Point Nos.1 and 2:  

10. The Complainant counsel argued that the complainant worked in the OP 2, from 01-05-2019 to 29-02-2020 and also worked more than 11 years with the subsidiary companies of the OP No 2, and after the separation i.e. the termination of service from the OP No 2, the OP No 2 transferred the entire PF amount and other benefits to the OP No 1, Complainant PF account No 1 PYPNY/1966284/10001, the complainant requested the OP No 1 to settle the said amount , but the OP No 1 denied , in spite of legal notice (Ex P/C 1) dated 22-09-2020. The complainant produced Ex P/C 2, Bank statement of the complainant from 01-05-2019 to 31-07-2020, Ex P/C 3 to 6, which were letters of the OP No 2 to the complainant stating that the complainant worked, Ex P/C 7 copy of the email letter dated 12-06-2020 of the OP No 2 to the complainant, where in its stated as Rs 3534200/ towards Settlement, including 8 years balance salary, salary bonus and VRS.
11.       The OP No 1 counsel argued that, The OP No 1 rejected the PF claim due to irregular remittances of the OP No 2 and violated Sec 6, read with para 29 of the EPF and MP Act 1952. The OP No 2 credited contribution of Rs 4200000=00(Nine months) for the period August 2019 to April 2020. On verification it’s found that received the contributions on some month’s extremely high, i.e.  August 2019, November 2019, December 2019 and March 2020 both employee shares of contribution were Rs 28576/, Rs 35214/, Rs 155000/, Rs 3404000/ and Rs 233800/ for employee shares of 2^nd time contribution of November2019, December of 2019, Feb 2020, March2020 and April 2020 respectively. Even employees / employer shares also was uneven during Feb 2020 at Rs 4750/ + Rs 1250/, March 2020 at Rs 118750/ + Rs 1250 and April 2020 at Rs 8350/ + Rs 1250/,  and by considering uneven and excess contribution remitted to  the PF account , the OP No 1 informed in writing to the OP No 2. In turn the OP No 2 replied / written letter dated 14-09-2020 and 12-10-2020 to the OP No 1, not to settle the complainant PF Claim and requested the OP No 1 to refund the said amount, and furnished the police complaint against the complainant registered against such act of fraudulently transferred amount to PF account, with supporting documents accordingly the OP No 1 returned the said amount to the OP No 2.The OP No 1 produced documents R1, Copy of the application submitted by the OP No 2 for allotment of registration number, Ex R2, statement, Ex R3, OP No 1 letter dated 09-09-2020 to the OP No 2 regarding received Rs 1015000/ without any statutory limit, Ex R4, the Op No 1 reply letter dated 25-09-2020 to the complainant counsel,  Ex R5 and Ex R6 were OP No 2 letters dated 14-09-2020, 12-10-2020 to the OP No 1, Ex R7 Police acknowledgement, where OP No 2 filed complaint against the complainant, Ex R8and Ex R9 were complainant affidavit and apology letter, accepting fraudulently transferred said amount to the complainant PF account Number, EX R10 and Ex R11 were, the OP No 2 official letter correspondence and Ex R12 was indemnity bond of the complainant.
12.       The document produced by the complainant EX P2 i.e. bank statement of the complainant, revels, that the OP No 2 transferred Rs 50000/, Rs 162693/, and Rs 132000/ on 22-06-2020, 06-07-2020 and 09-07-2020 respectively to the complainant account, which proves that, the OP No 2 settled the complainant account i.e. salary dues and other benefits paid by the OP No 2 to the complainant.
13.       The documents produced by the OP No 1, Ex R1 to Ex R7, prove that the complainant fraudulently transferred the above said amount to his PF account with malefic interest. Even though the complainant on 10-10-2020 accepted the wrong act in police station and given affidavit, indemnity bond and apology letter for such act and the OP No 2 settled the account on 09-07-2020 and paid all benefits / dues, the complainant filed this complaint on 07-07-2021. Normally 12% of the employee’s salary goes towards contribution to Provident Fund. Also, Employee State Insurance Corporation (ESIC) is deducted on gross salary which is 1.75% from the employee contribution & 4.75% from the employer contribution. But in this case, the complainant not produced any documents to prove his salary details like, Basic salary, HRA and other allowances paid. In the above discussions, we are in the opinion of there was no deficiency on the part of OP No 1 and OP No 2, in the result, we proceed to pass the following;

                                             :O R D E R:

The complaint against the OP No 1 & OP No 2 is dismissed with No costs.

Furnish copy of order to both parties with free of costs immediately.