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Unit 11: Employees’ Provident Fund Act, 1952

(b) which shall not be less than six months and a fine of five thousand rupees, in any Notes
other case:
Provided that the Court may, for any adequate and special reasons to be recorded in the judgment,
impose a sentence of imprisonment for a lesser term.
(1B) An employer who contravenes, or makes default in complying with, the provisions of
section 6C, or clause (a) of sub-section (3A) of section 17 in so far as it relates to the payment
of inspection charges, shall be punishable with imprisonment for a term which may extend
to one year but which shall not be less than six months and shall also be liable to fine which
may extend to five thousand rupees:
Provided that the Court may, for any adequate and special reasons to be recorded in the judgment,
impose a sentence of imprisonment for a lesser term.
(2) Subject to the provisions of this Act, the Scheme, the Pension Scheme or the Insurance
Scheme may provide that any person who contravenes, or makes default in complying
with, any of the provisions thereof shall be punishable with imprisonment for a term which
may extend to one year, or with fine which may extend to four thousand rupees, or with
both.
(2A) Whoever contravenes or makes default in complying with any provision of this Act or
of any condition subject to which exemption was granted under section 17 shall, if no
other penalty is elsewhere provided by or under this Act for such contravention or
noncompliance, be punishable with imprisonment which may extend to six months, but
which shall not be less than one month, and shall also be liable to fine which may extend to
five thousand rupees.
Self Assessment

State whether the following statements are true or false:
19. When an employer fails to remit the dues under the Scheme within 15 (20 days with 5 days
grace period) days of the close of each month the employer will be liable, to pay penal
damages as maybe determined by the Regional Commissioner (RC) not exceeding 37% of
the arrears.
20. An employer who contravenes, or makes default in complying with, the provisions of
section 6 or clause (a) of sub-section 3 of section 17 in so far as it relates to the payment of
inspection charges.

21. Whoever contravenes or makes default in complying with any provision of this Act or of
any condition subject to which exemption was granted under section 19 shall.

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Case Study Union of India & Anr vs Ogale Glass Works on 1
September, 1971
mployees’ Provident Fund Act, 1952 – Scope of s. 19A of the Act – Whether
decision under s. 19A of the Act by the Central Government is final in the facts
Eand circumstances of the case. The respondent company was manufacturing various
articles including Lantern and Safety Stoves etc. In November 1952, Employees Provident
Fund Act, was passed and the company was making regular contributions to the Provident
Fund for all employees. After sometime, another establishment which was carrying on
similar business, filed a writ petition in Bombay High Court contesting the claim of the
Contd...

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