IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI (Special Original Jurisdiction) WEDNESDAY, THE TWENTY SECOND DAY OF JANUARMlo m TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 1506 OF 2025 Or// \ 3 S 4’, Between; M/s. Seva Social Education for Village Action Association, D.No.4-338, Bobbilivari Street, Jangareddugudem, Elur District, Rep by its Correspondent Sri K.J.Mathew. ...PETITIONER AND 1. The Union of India, Rep. by Secretary to Government, Ministry of Labour and Employment, New Delhi. 2. The Employees State Insurance Corporation, Regional Office, ESI Road, Gunadala, Vijayawada, NTR District, Rep by its Assistant Director/Authdrized Officer. 3. The Revenue Recovery Officer, ESI Corporation, ESI Road, Gunadala Vijayawada, NTR District. ...RESPONDENTS Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a Writ of Mandamus, or any other appropriate writ, order or direction, declaring the action of the respondents 2 & 3 in sealing/locking the Loyola English Medium High School run by the petitioner society on the ground of defaulting payment of contributions as illegal, arbitrary and violation of Articles 14, 19, 21 and 300-A of the Constitution of India and also violation of principles of natural justice and consequently direct the respondents to remove the seal of the Loyola English Medium High School forthwith. i5Sr * lA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to direct the respondents to remove the seal of the Loyola English Medium High School forthwith, pending disposal of the above writ petition. Counsel for the Petitioner: SRI B. V. ANJANEYULU Counsel for the Respondent No.1: SRI PASALA PONNA RAO, DEPUTY SOLICITOR GENERAL OF INDIA Counsel for the Respondent Nos.2 & 3: SRI K. SANGHAM NAIDU, SC FOR ESI The Court made the following: ORDER APHC010029722025 Sj^S HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) WEDNESDAY ,THE TWENTY SECOND DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT JUSTICE VENKATESWARLU NIMMAGADDA VA/PIT PFTITION NO: 1506/2025 IN THE [3329] THE HONOURABLE SRI Between: ...PETITIONER Social Education For Village Action Association AND Seva ...RESPONDENT(S) The Union Of India and Others Counsel for the Petitioner: 1.B V ANJANEYULU Counsel for the Respondent(S): 1. The Court made the following: ORDER:- This writ petition is filed claiming the foiiowing relief: • To issue a Writ of Mandamus, or any other appropriate Respondents to remove the seal of the School forthwith and pass such 1. India and also violation consequently direct the Loyola English Mediurn High other order or orders...’’ 2 2. The case of the petitioner is as follows; 3. The petitioner herein is an association imparting education by establishing a school under the School’ at Jangareddygudem. since 1991 onwards, recognized by the Government of Andhra Pradesh and it has been imparting education to the rural students up to Class-X. name and style of ‘Loyala English Medium The said school was 4. The further case of the petitioner is that after the institution the jurisdiction of the Respondent Corporation, the petitioner herein paying regular contributions as contemplated under the Employees’ Insurance Act, 1948. (for short “the ESI Act, 1948”) comes within has been State 5. Learned counsel for the petitioner submits that due to the Covid pandemic, the petitioner was unable to pay the contributions till 2023 demanded by the Respondent Corporation. He further submits that the inability of the petitioner in complying the demand of the Respondent Authorities issued proceedings dated as in view of Respondents, the 30.12.2024 and further putting under lock and key to the institution and thereby denying the education to the students at no fault of them is contrary to law and without jurisdiction. Hence the writ petition. 6. On the other hand, learned Standing Counsel for the submits that pursuant to the instructions, the under the jurisdiction for Respondent’s Corporation Respondents petitioner’s institution comes and even though the Respondent Cotpe^ation has been issuing demand notice one after the other 3 the petitioner did not choose to pay a single paise/penny from the year 2017 Finally, the Respondent Authorities passed final orders on to till date. 27.09.2023 under Section 45-A of the E.S.I. Act 1948 and imposed interest against the arrears to be payable by the petitioner. But, even after serving the order under Section 45-A of the E.S.I. Act, 1948, the petitioner neither paid the demanded amount nor challenged the said order before the Appellate Authority under Section 45-AA of the E.S.I. Act, 1948. He further submits that it is a clear case of intentional violation on part of the petitioner regarding the provisions of the Act. Therefore, the petitioner is not entitled for any relief. much less as prayed. Heard learned counsel for the petitioner and learned Standing Counsel 7. for the Respondents and perused the material placed on record. It is observed that, admittedly the petitioner’s institution comes under the purview and jurisdiction of the provisions of the E.S.I. Act, 1948. As per the scheme of the Act, it is a mandatory procedure that the petitioner shall contribute its portion in respect of its employees, once the institution comes under the jurisdiction and under the provisions of the Act. 8. Admittedly, the institution has to make contributions on behalf of its employees since 2017 but till today nothing was contributed as contemplated under the Act. Having no other option, the Respondents issued impugned proceedings dated 30.12.2024 for recovery of the contribution total amount which is meant for welfare of the employees of the petitioner’s institution. 9. 4 In view of the reasons stated above, this Court is of the considered view 10. that the present writ petition can be disposed of, directing the petitioner to rd of the demanded amount of Rs.2,96,835/- vide proceedings deposit 1/3 dated 27.09.2023 issued under Section 45-A of the E.S.I. Act, 1948, with immediate effect. Upon receipt of such payment, the petitioner is entitled to prefer an appeal before the Appellate Authority under Section 45-AA of the E.S.I. Act, 1948. After filing an appeal by the petitioner, the Respondents shall receive the same and consider in accordance with law, without insisting any further payment from the petitioner. In the meanwhile, the Respondents are directed to reopen the seal / lock of the petitioner’s institution and enable the petitioner to run the institution as usual, with immediate effect. 11. Accordingly, with the above direction, the writ petition is disposed of, at the stage of admission, with the consent of both the parties. There shall be no 12. order as to costs. Consequently, miscellaneous applications pending if any, shall stand closed. Sd/- N. NAGAMMA ASSISTANT REGISTRAR / //TRUE COPY// SEC N OFFICER To, 1 The Secretary to Government, Ministry of Labour and Employment, Union of India, New Delhi. 2. The Assistant Director/Authorized Officer, Employees State Insurance Regional Office, ESI Road, Gunadala, Vijayawada, NTR Corporation, District. 3. The Revenue Viiavawada, NTR District. Recovery Officer, ESI Corporation, ESI Road, Gunadala One CC to Sri B. V.Anjaneyulu, Advocate [OPUC] One CC to Sri Sangham Naidu, SC for ESI[OPUC] One CC to Sri Pasala Ponna Rao, Deputy Solicitor General of India High Court of A.P. [OPUC] Three CD Copies. 4. 5. 6. 7. ssb HIGH COURT DATED:22/01/2025 ORDER §5^ f . Curreiu oeciion . V^spatch^ WP.No.1506 of 2025 2 9 ,I*N 2025 69 DISPOSING OF THE W.P. AT THE STAGE OF ADMISSION WITHOUT COSTS