High Court Punjab-Haryana High Court

Employees State Insurance … vs Satish Bajaj And Another on 12 August, 2009

Punjab-Haryana High Court
Employees State Insurance … vs Satish Bajaj And Another on 12 August, 2009
           IN THE HIGH COURT OF PUNJAB AND HARYANA
                         AT CHANDIGARH


                 Criminal Appeal No. 1145-SBA of 2000
                    Date of decision: 12th August, 2009


Employees State Insurance Corporation

                                                                 ... Appellant

                                  Versus

Satish Bajaj and another
                                                             ... Respondents


CORAM:       HON'BLE MR. JUSTICE KANWALJIT SINGH AHLUWALIA


Present:     Mr. B.S. Bhalla, Advocate for the appellant.


KANWALJIT SINGH AHLUWALIA, J. (ORAL)

Employees State Insurance Corporation had filed a complaint

against Satish Bajaj, Proprietor/ Principal Employer of M/s Ganesh Timber

Merchants and M/s Ganesh Timber Merchants, with a prayer that they are

liable to be convicted under Section 85 (a) of the Employees State

Insurance Act, 1948 (hereinafter referred to as, ‘the Act’). In the complaint,

it was stated that accused Satish Bajaj is the Principal Employer of M/s

Ganesh Timber Merchants, Ludhiana and the said establishment is

covered under Section 2(17) of the Act. It was stated that the accused had

failed to pay the contribution to the Corporation as required under Sections

39, 40(1) and 43 of the Act read with Regulation 31 of the ESI Act (General

Regulations), 1950. For the wage period from October 1994 to March

1995, the contribution was due to be deposited in the accounts of the

Corporation on 21st day of each following month. The complainant

examined only J.C. Dhingra, Inspector ESI. The trial Court came to the

conclusion that the solitary witness examined by the complainant has
Criminal Appeal No. 1145-SBA of 2000 2

admitted that whether the establishment of the accused is covered under

ESI Act or not, was already under challenge. Furthermore, the trial Court

appreciated the evidence and relied upon the admission made by PW-1

J.C.Dhingra that only 2/3 persons are employed in handling the timber

business. Therefore, an inference was drawn that the accused

establishment is not covered under the ESI Act. Furthermore, the trial

Court came to the conclusion that the witness has failed to prove

necessary ingredients of the offence whether any contribution was

deducted by the employer or not. The prosecution also failed to prove

issuance and service of notice, Ex.P-1, upon the accused. Furthermore,

notice Ex.P-1 was having blank columns and was not properly filled.

Therefore, it was held that the accused cannot be held guilty of the

offence. Furthermore, the trial Court held that from the testimony of DW-1

Narain Dass Sharma, it stands established that there are notings on the

file regarding grant of sanction, but no sanction was granted by the

competent authority. The Employees State Insurance Corporation,

complainant had filed present appeal against the judgment of acquittal

rendered by the Judicial Magistrate (1st Class), Ludhiana on 24th

December, 1999.

I have heard Mr. B.S. Bhalla, counsel appearing for the

appellant. He has not been able to dislodge the finding of fact recorded by

the trial Court regarding number of employees, contribution deducted and

service of notice upon the accused. Furthermore, on the legal issue that

there was no sanction by the competent authority despite various efforts

made, Mr. Bhalla failed to show any document, which can reveal that any

sanction was granted to prosecute the accused. Therefore, taking totality

of circumstances noticed by the trial Court, I am of the view that it is not a
Criminal Appeal No. 1145-SBA of 2000 3

case where interference is warranted in appeal against acquittal, as the

impugned judgment suffers from no infirmity.

Hence, present appeal is dismissed.

[KANWALJIT SINGH AHLUWALIA]
JUDGE
August 12, 2009
rps