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Employer held for default of Provident Fund payment

Staff Reporter


  • PF dues to the tune of Rs.2,46,814 for the period from September 1987 to August 1995
  • Employer has refused to pay the amount in spite of repeated advises

    KANNUR: An employer was arrested and imprisoned in civil prison in the Central Jail for default in payment of Provident Fund (PF) dues.

    P.K. Kerala Varma, Managing Director of Narniat Pharmaceuticals and Chemicals Pvt. Ltd., Kozhikode, was arrested on Tuesday by K. Prasant, Recovery Officer of the Employees' Provident Fund Office, Kozhikode, and sent to the civil prison for defaulting payment of PF dues to the tune of Rs.2,46,814 for the period from September 1987 to August 1995. The employer had refused to pay the amount in spite of repeated advises and action taken by the department, Mr. Prasant said here in a press note.

    A show cause notice had been served on Mr. Varma as part of the recovery certificate pending against him, according to EPF officials. Following a hearing on December 27 last, he had been granted 30 days time to pay the amount. He was sent to the civil prison as he failed to pay the amount within the one-month period, they said.

    Under the EPF and Miscellaneous Provision Act, 1952, Recovery Officers are given extensive powers for recovery of PF dues. As per section 8B of the Act, Recovery Officers are empowered to recover the dues from defaulting employees by attaching and selling movable or immovable property of the establishment, arrest the employer and appoint a receiver for the management of the movable or immovable properties.

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