IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI (Special Original Jurisdiction) TUESDAY, THE TWENTY EIGHTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HON’BLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 1659 OF 2025 Between: Vidyanjali Educational Society, 10-84/B, Kaikaluru Village and Mandal, Eluru District Rep. by its Secretary and correspondent Syed Jameel Ahmad, S/o. ..^yed Baaji Age 56 years, Kaikaluru Town and Mandal, Eluru District. ...PETITIONER AND I. Employees State Insurance Corporation (ESIC), Rep by its Revenue / Recovery Officer Regional Office, Panchadeep Bhawan, ESIC Road Gunadala Vijayawada Krishna District 520 004. 2. Employees State Insurance Corporation (ESIC), Rep by its Assistant / Director, Regional Office, Panchadeep Bhawan, ESIC Road Gunadala Vijayawada Krishna District 520 004. 3^ Employees State Insurance Corporation(ESIC), Rep by its Regional Director, Regional Office, Panchadeep Bhawan, ESIC Road Gunadala Vijayawada Krishna District 520 004. 4. Union of India, Represented by its Secretary Department of Ministry of ./Labour and Employment New Delhi. / ...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, Order or direction more particularly one in the nature of WRIT OF MANDAMUS to declare the action of the Respondent No.2 in trying to evict and seize the petitioner property for recovery of amount Rs. 2,74,627/- out of Rs.5,71,627/- in view of order No. Ap/RoA/JA/INS 111/62000353200001303/12132023457/408 dt 13.12.2023 and further issuing notice Ref.No. 62000353200001303/CP/603324 dated 09.07.2024 for recovery of the arrears Rs.5,71,627/- is arbitrary and incorrect and consequently permit the Petitioner to clear the entire due amounts of ESI claimed within Stipulated time. 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 not to proceed for recovery of balance due amounts of ESIC with respect to petitioner educational society, pending disposal of the above writ petition, in the interest of justice. lA NO: 2 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 not to disturb and interfere with petitioner educational society, pending disposal of the above writ petition, in the interest of justice. Counsel for the Petitioner: SRI K. V. ADITYA CHOWDARY Counsel for the Respondent Nos.1 to 3 : SRI P. RAJASEKHAR Counsel for the Respondent No.4 : SRI P. PONNA RAO, DEPUTY SOLICITOR GENERAL OF INDIA The Court made the following: ORDER APHC010031462025 IN THE HIGH COURT OF ANDHRA PRADESH ip AT AMARAVATI [3329] (Special Original Jurisdiction) TUESDAY ,THE TWENTY EIGHTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION NO: 1659/2025 Between: Vidyanjali Educational Society ...PETITIONER AND Employees State Insurance Corporation Esic and Others ...RESPONDENT(S) Counsel for the Petitioner: 1. K V ADITYA CHOWDARY Counsel for the Respondent(S): 1.P RAJASEKHAR The Court made the following: THE HON’BLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION No.1659 OF 2025 ORDER:- This writ petition is filed under Article 226 of the Constitution of the India seeking the following reliefs;- to issue a Writ Order or direction more particularly one In the nature of WRIT OF MANDAMUS to declare the action of the Respondent No. 2 in trying to evict and seize the petitioner property for recovery of amount Rs.2,74,627/- out of Rs.5,71,627/- 111/62000353200001303/12132023457/408 dt.13.12. 2023 and further in view of order No.Ap/Ro/VJ/VINS notice Ref issuing No.62000353200001303/CP/603324, dated 09.07.2024 for recovery of the arrears Rs. 5,71,627/- is arbitrary and incorrect and consequently permit the Petitioner to clear the entire due amounts of ESI claimed within Stipulated time and pass such other order or orders... ’’ 2. Heard learned counsel for petitioner and learned Standing Counsel for the respondents. The case of the petitioner in brief is that the petitioner herein is an educational society imparting education through educational institution i.e., “Vidyanjali degree and PG college”. The petitioner college is consisting of only five permanent employees. Therefore, the society did not come under the provisions of Employees’ State Insurance Act, 1948. While so, the respondent No.2 issued recovery order dated 13.12.2023 under section 45-A of the ESI Act demanding an amount of Rs.4,13,952/- as on 30.09.2023. Thereafter, 09.07.2024, the petitioner was also issued consequential proceedings for recovery of amount of Rs. 5,71,627/-. Pursuant to which, the petitioner paid amount of Rs.2,00,000/- on 25.09.2024 and Rs.97,00,00/- on 18.12.2024 and 3. on an requested further time in order to make the balance payment. Even though more than 50% amount was already paid by the petitioner and requested further time, the respondents did not consider the request of the petitioner. On the other hand, the respondents are proceedings further with the recovery proceedings. Hence, the writ petition. 4. On the other hand, learned Standing Counsel appearing for the respondents submits that the proceedings issued under Section 45-A dated 13.12.2023 is appeallable before the appellate authority under Section 45-AA of the Act and the appellate authority can enquire into the matter whether the petitioner institution comes under the purview of the Act or not. He further submits that since the petitioner already paid 50% of the amount, the Appeal can be entertained by the appellate authority and enquiry into the matter without insisting any payment for filing Appeal. 5. In support of his contention, learned Standing Counsel for the respondents also placed reliance on the order rendered by this Court in W.P.No. 10566 of 2021 dated 16.06.2021, wherein the operative portion of the said order reads as follows: “ Writ Petition is disposed of, giving liberty to the petitioner herein to avail the remedy of preferring statutory appeal under Section 45AA of the ESI Act, 1948 against the Impugned order, within a period of one week from the date of receipt of a copy of this order. On filing such appeal within the time stipulated, condition of pre- deposit of 25% of the amount, as contemplated under Section 45AA of the ESI Act, 1948, is dispensed with. It is made clear that if any such appeal Is preferred within the time stipulated above, the same be considered and appropriate St orders be passed by 1 respondent on merits strictly in accordance with law. It is also made clear that for a period of two weeks from the date of filing of such appeal, no coercive action pursuant to the impugned order shall be taken by the respondents. It is further made clear that the benefit of this order would not enure to the petitioner if the petitioner fails to prefer the appeal within the time stipulated above, and if no appeal Is preferred within the stipulated time. It is open for the respondent-authorities to take further action In the matter in accordance with law. It is also made clear that the appeal shall be disposed of within a period of three months from the date of filing of the appeal. ’’ On perusal of the said order, the petitioner is available with alternative remedy of filing an appeal before the appellate authority. Therefore, invoking of extraordinary jurisdiction under Article 226 of the Constitution of India is contrary to the principle laid down by this Court referred supra. Having considered the submissions made by the learned counsel for the petitioner and learned Standing Counsel for the respondents and on perusal of the material placed on record and in view of the order dated 16.06.2021 referred supra, this Court is of the considered opinion that the present writ petition can be disposed of, directing the petitioner to invoke/ initiate appropriate legal proceedings much less by way of an Appeal before the appeallate authority under Section 45-AA of the Act, within the time as prescribed under the Scheme of the Act from the date of receipt of a copy of this order. After such submission, the appellate authority shall consider the interim application moved by the petitioner at the earliest. In the meanwhile, the respondents are restrained from taking 6. 7. coercive action against the petitioner pursuant to the recovery proceedings dated 09.07.2024. With the above direction, the writ petition is disposed of. There shall be 8. no order as to costs. Miscellaneous petitions, if any pending, in this case, shall stand closed. Sd/- A. VIJAYA BABU assistant registrar //TRUE COPY// % SECTION OFFICER To. 1. The Revenue Recovery Officer Employees State Insurance Corporation (ESIC), Regional Office, Panchadeep Bhawan, ESIC Road Gunadala Vijayawada Krishna District 520 004. 2. The Assistant Director, Employees State Insurance Corporation (ESIC), Rep by its Regional Office, Panchadeep Bhawan, ESIC Road Gunadala Vijayawada Krishna District 520 004. 3. The Regional Director, Employees State Insurance Corporation(ESIC) Regional Office, Panchadeep Bhawan, ESIC Road Gunadala Vijayawada Krishna District 520 004. 4. The Secretary, Union of India, Department of Ministry of Labour and ^ Employment New Delhi. 5T bne CC to Sri K. V. Aditya Chowdary, Advocate [OPUC] 6. One CC to Sri P. Rajasekhar, Advocate [OPUC] 7. One CC to Sri P. Ponna Rao, Deputy Solicitor General of India (OPUC) 8. Jhree C.D. Copies. Cnr « HIGH COURT DATED:28/01/2025 ORDER WP.No.1659 of 2025 2 2 5 FEB 2C25 . Current Section DISPOSING OF THE W.P. WITHOUT COSTS