- 1 - HC-KAR NC: 2025:KHC-D:12591 WP No. 67037 of 2011 IN THE HIGH COURT OF KARNATAKA,AT DHARWAD DATED THIS THE 18TH DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE C.M. POONACHA WRIT PETITION NO. 67037 OF 2011 (L-PF) BETWEEN: THE REGIONAL PROVIDENT FUND COMMISSIONER, SUB REGIONAL OFFICE, 4TH FLOOR, SRINATH COMPLEX, NEW COTTON MARKET, HUBLI-580 029. …PETITIONER (BY SRI. P.V. GUNJAL, ADVOCATE) AND: THE FARMERS CO-OPERATIVE SPINNING MILLS LIMITED, HULKOTI-582 205, GADAG DISTRICT BY ITS SECRETARY. …RESPONDENT (BY SRI. K.L. PATIL, ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO CALL FOR RECORDS ON THE FILE OF EPF APPELLATE TRIBUNAL IN APPEAL NO.ATA.90(6)/2007 AND ISSUE A WRIT OF CERTIORARI AND SET ASIDE THE ORDER DATED 8TH APRIL, 2011 (ANNEXURE-D); DECLARE THAT THE EPF APPELLATE TRIBUNAL HAS NO AUTHORITY TO REDUCE THE PENAL DAMAGES IMPOSED UNDER SECTION 14-B OF THE ACT BY THE PETITIONER UNDER SECTION 7-1 OF THE ACT. THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN ‘B’ GROUP, THIS DAY, THE ORDER WAS MADE THEREIN AS UNDER: CORAM: THE HON'BLE MR. JUSTICE C.M. POONACHA YASHAVANT NARAYANKAR Digitally signed by YASHAVANT NARAYANKAR Location: HIGHCOURT OF KARNATAKA DHARWAD BENCH DHARWAD - 2 - HC-KAR NC: 2025:KHC-D:12591 WP No. 67037 of 2011 ORAL ORDER The present writ petition is filed calling in question the order dated 08.04.2011 passed in ATA No.90(6)/2007 by the Employees Provident Fund Appellate Tribunal, New Delhi. 2. The relevant facts are that the petitioner- Commissioner issued a notice dated 21.11.2006 under Section 7Q of the Employees Provident Fund and Miscellaneous Provisions Act, 19521, claiming interest and notice dated 21.11.2006 under Section 14B of the PF Act, claiming damages from the respondent for delayed remittance of provident fund, consequent to which a damages of ₹16,64,340/- was ordered to be paid, which was the subject matter of challenge by the respondent in appeal No.ATA-90(6)/2007 before the Appellate Tribunal. The Appellate Tribunal considering the appeal of the respondent, partly allowed the same and remanded the 1 Hereinafter for short ‘PF Act’ - 3 - HC-KAR NC: 2025:KHC-D:12591 WP No. 67037 of 2011 matter to the petitioner to assess the liability at 22%(inclusive of interest) Being aggrieved, the petitioner is before this Court. 3. It is pertinent to note that the Appellate Tribunal, while considering the case of the respondent, noticed that the respondent faced financial problems and became a sick establishment and hence recorded a finding that the delay in depositing the contribution does not seems to be an intentional one. 4. Noticing the legal position, the Appellate Tribunal having exercised its discretion to assess the damages at 22%(inclusive of interest), this Court does not deem it appropriate to interfere with the said order of the Appellate Tribunal in exercise of its extraordinary discretionary jurisdiction contained under Article 226 of the Constitution of India. - 4 - HC-KAR NC: 2025:KHC-D:12591 WP No. 67037 of 2011 5. In view of the aforementioned, the writ petition stands disposed of. Sd/- (C.M. POONACHA) JUDGE HMB CT-MCK List No.: 1 Sl No.: 15