Amendment status not verified — confirm the current text below against the official source.
Sub- section (7) ins. by Act 25 of 1984, sec.3 and omitted by Act 34 of 1994 (w.e.f. 24-5-1994). (xv) An employee who is given the benefit of probation under section 3 of the Probation of Offenders Act, 1958, cannot be disqualified to receive the an amount of his gratuity; S.N. Sunderson(Minerals) Ltd. v. Appellate Authority -cum -Deputy Labour Commissioner, (1990) 60 FLR 6 (Summary ) (Mp). (xvi) Theft amounts to moral turpitude; Bharat Gold Mines Ltd., v. regional Labour Commissioner, (1987) 1 LLN 308 (Karn). (xvii) The nominee of an employee can make an application for gratuity without producing a succession certificate; Nagar Palika v. Appellate authority, (1989) lab IC 173 (All). (xviii) An employee who is re-employed without any break in service will be eligible for gratuity; Jeevan Lal (1929) Ltd. v. controlling Authority; (1982) 1 LLN 217. 1[4A compulsory insurance.- (1) with effect from such date as may be notified by the appropriate Government in this behalf, every employer, other than an employer or an establishment belong- ing to, or under the control of the Central Government or a State Government, shall, subject to the provisions of sub-section (2), obtain an insurance in the manner prescribed, for his liability for payments toward the gratuity under this Act, from the Life Insurance Corporation of India established under the Life Insurance Company of India Act, 1956 (31 of 1956) or any other prescribed insurer: Provided that different dates may be appointed for different establishment, or class of establishments or for different areas. (2) The appropriate Government may, subject to such conditions as may be prescribed, exempt every employer who had already established an approved gratuity fund in respect of his employees and who desires to continue such agreement, and every employer employing five hundred or more per- sons who establishes an approved gratuity fund in the manner prescribed from the provisions of sub- section (1). (3) For the purpose of effectively implementing the provisions of this section, every employer shall within such time as may be prescribed get his establishment registered with the controlling authority in the prescribed manner and no employer shall be registered under the provisions of this section unless he has taken an insurance referred to in sub-section (1) or has established an approved gratuity fund referred to in sub-section (2). (4) The appropriate Government may by notification, make rules to give effect to the provisions of this section and such rules may provide for the compensation of the Board of Trustees of the approved gratuity fund and for the recovery by the controlling authority of the amount of gratuity payable to an employee from the Life Insurance Corporation of India or any other insurer with whom an insurance has been taken under sub-section (1), or as the case may be, the Board of Trustees of the approved gratuity fund. (5) Where an employer fails to make any payment by way of premium to the insurance referred to in sub-section (1) or by way of contribution to an approved gratuity fund referred to in sub-section (2), he shall be liable to pay the amount of gratuity due under this Act (including interest, if any, for delayed payments) to the controlling authority. (6) Whoever contravenes the provisions of sub-section (5) shall be punishable with fine which may extend to ten thousand rupees and in the case of a continuing offence with a further fine which may extend to one thousand rupees for each day during which the offence continues.