- 1 - HC-KAR NC: 2025:KHC:26614 WP No. 4603 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF JULY, 2025 BEFORE THE HON'BLE MR. JUSTICE ANANT RAMANATH HEGDE WRIT PETITION NO. 4603 OF 2024 (L-PF) BETWEEN: M/S. NATIONAL SERVICES BEHIND T.B, INDIRANAGAR STREET, CHIKKABALLAPURA, CHIKKABALLAPURA DISTRICT - 562 107, REP BY ITS PROP. VASEEM, 37 YEARS. …PETITIONER (BY SRI. NAVEEN J.N, ADVOCATE) AND: 1. THE EMPLOYEES PROVIDENT FUND ORGANIZATION, F-28, NSU BLOCK, ITI LAYOUT, DOORAVANINAGAR, BENGALURU - 560 016, REP. BY ITS COMMISSIONER. 2. THE REGIONAL PROVIDENT FUND COMMISSIONER -II, REGIONAL OFFICE, K.R. PURAM, OFFICE AT F-28, NSU BLOCK, ITI LAYOUT, DOORAVANINAGAR, BENGALURU - 560 016, REP. BY ITS COMMISSIONER. Digitally signed by C HONNUR SAB Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:26614 WP No. 4603 of 2024 3. THE RECOVERY OFFICER REGIONAL OFFICE K.R. PURAM (WHITEFIELD), NO.F-28, NSU BLOCK, ITI LAYOUT DOORAVANINAGAR, BENGALURU - 560 016. 4. THE BRANCH MANAGER, HDFC BANK, SRI BHAVANI ARCADE, 1ST FLOOR, BESIDE SHANTHI SAGAR, B.B. ROAD, CHIKKABALLAPUR - 562 101. …RESPONDENTS (BY SRI. M. PRADEEP, ADVOCATE FOR R1 TO R3; SRI. S. VISWESWARIAH, ADVOCATE FOR R4) THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ORDERS IN NO. PY/KRP/403RECOVERY CELL/52411/403 DATED 02/02/2024 MARKED AT ANNEXURE-L PASSED BY THE R2 AND ETC., THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE ANANT RAMANATH HEGDE - 3 - HC-KAR NC: 2025:KHC:26614 WP No. 4603 of 2024 ORAL ORDER Heard the learned counsel appearing for the petitioner and learned counsel appearing for the respondents. 2. This petition is filed assailing the order dated 02.02.2024 at Annexure-L passed by respondent No.2. 3. In terms of the said order, respondent No.2 has directed the petitioner to pay Rs.11,67,627/-. It is noticed that the said order is passed under Sections 8G and 14B of the Employees' Provident Funds Act and Miscellaneous Provisions Act, 1952 (for short, the 'Act' of 1952). 4. The order at Annexure-E would also provide the breakup of the aforementioned figure of Rs.11,67,627/-. It is noticed in the order dated 26.05.2022 at Annexure-E that, Rs.5,61,084/- is the interest payable on account of delayed payment and the balance amount of Rs.6,05,993/- is the damages awarded under Section 14B of the Act of 1952 as per Annexure - F. - 4 - HC-KAR NC: 2025:KHC:26614 WP No. 4603 of 2024 5. Learned counsel for the petitioner would submit that the petitioner is ready to pay the interest component and he would contest the award of damages, as there was no willfull default or delay on the part of the petitioner and the delay in paying the provident fund dues is on account of unavoidable circumstances beyond the control of the petitioner. 6. Learned counsel for the respondents, on the other hand, would submit that the petitioner has to file an appeal under Section 7(I) of the Act of 1952, and the writ petition is not maintainable. 7. This Court has considered the contentions raised at the Bar. Since the petitioner undertakes to pay the interest component of Rs.5,61,084/-, the Court has to direct the petitioner to pay the said amount. 8. Learned counsel for the petitioner submits that Rs.2,80,600/- is already deposited before this Court and - 5 - HC-KAR NC: 2025:KHC:26614 WP No. 4603 of 2024 the balance interest component be deposited before respondent No.2 within five working days from today. 9. Submission is placed on record. 10. The Registry of this Court is directed to transmit the amount deposited before this Court, to respondent No.2. On transfer of said amount and the amount to be deposited by the petitioner, in all amount to Rs.5,61,084/-, the amount payable by the petitioner towards interest stands discharged. 11. The next question is damages. As has been rightly contended by the learned counsel for the respondents, the petitioner has to file an appeal under Section 7(I) of the Act of 1952. No exceptional case is made out to bypass the statutory remedy. Under these circumstances, reserving liberty to file an appeal as provided under law before the Appellate Authority, the writ petition is to be dismissed. - 6 - HC-KAR NC: 2025:KHC:26614 WP No. 4603 of 2024 12. In case the appeal is filed before the Appellate Authority in the manner provided by law, the same shall be considered by taking into consideration all contentions available for both parties. 13. The time spent in prosecuting the present writ petition from 21.02.2024 till today be excluded in computing the limitation. 14. Since there is an attachment order directing the petitioner's bankers to freeze the amount to the tune of Rs.11,68,627/-, this Court has to modify the said order, subject to the petitioner depositing interest component before respondent No.2 within five working days from today. 15. On such deposit, the petitioner shall maintain the minimum balance of Rs.6,06,993/- in account bearing No.50200033523726 in HDFC Bank, Chikkaballapura Branch. The HDFC Bank shall defreeze the aforementioned account subject to the aforesaid compliance. The - 7 - HC-KAR NC: 2025:KHC:26614 WP No. 4603 of 2024 petitioner shall always maintain the minimum balance of Rs.6,06,993/-. 16. Accordingly, the writ petition is disposed of. 17. All contentions relating to damages are kept open to be decided by the Appellate Authority. Sd/- (ANANT RAMANATH HEGDE) JUDGE rv List No.: 1 Sl No.: 39 CT: BHK