ORDER Anjani Kumar, J.
1. Heard learned counsel appearing on behalf of the parties.
2. The petitioners aggrieved by an order passed by the Joint Regional Director dated 7th April, 1982, under Section 85B of the Employees' State Insurance Corporation Act, 1948 (in short the 'Act'), with regard to the damages for delayed payment of amount of contribution under the scheme approached this Court by means of present writ petition under Article 226 of the Constitution of India. So far as the question of grant of delayed payment is concerned, it has not been disputed. Now the only question is as submitted by learned counsel appearing on behalf of the petitioners that the petitioners are not liable to pay the damages on the delayed payment of contribution.
3. I have gone through the order impugned in the present writ petition. The provision of Section 85B of the Act. read with Regulations Employees' State Insurance (Gen.) Regulations, 1950, Regulation 31C, which is relevant, is produced below :
"85B. Power to recover damages.-(1) Where an employer falls to pay the amount due in respect of contribution or any other amount payable under this Act, the Corporation may recover from the employer by way of penalty such damages not exceeding the amount of arrears as may be specified in the regulations :
Provided that before recovering such damages, the employer shall be given a reasonable opportunity of being heard :
Provided further that Corporation may reduce or waive the damages recoverable under this section in relation to an establishment which is a sick industrial company in respect of which a scheme for rehabilitation has been sanctioned by the Board for industrial and Financial Reconstruction established under Section 4 of the Stock industrial Companies'. (Special Provisions) Act, 1985, subject to such terms and conditions as may be specified in regulations."
(2) Any damages recoverable under sub-section (1) may be recovered as an arrear of land revenue or under Sections 45Cto45-1.
Regulation 31C. Damages or contributions or any other amount due, but not paid in time.-An employer who fails to pay contribution within the periods specified under Regulation 31, or any other amount payable under the Act, shall be liable to pay damages as under :
4. It is admitted by the employers-petitioners in reply to the show cause notice that the amount of contribution was paid with delay. The show cause notice was towards the damages for the delayed payment amounting to Rs. 13,695. Learned counsel appearing on behalf of the petitioners-employers asserts that once the employers have paid the contribution amount to the Corporation, they cannot be subjected to the damages for the delay. This in my opinion, is contrary to the Regulation 31C, read with Section 85B of the Act. No other point was argued on behalf of learned counsel for the petitioners.
5. In this view of the matter, this writ petition has no force and is accordingly dismissed. The interim order if any, stands vacated. However, the parties shall bear their own costs.