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NON-REPORTABLE IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL NO. 96-97 OF 2017

[@ SPECIAL LEAVE PETITION (C) NOs. 1879-1880 OF 2015] ASSISTANT PROVIDENT FUND COMMISSIONER,  EPFO AND ANR. Appellant(s)

                               VERSUS THE MANAGEMENT OF RSL TEXTILES INDIA PVT. LTD.  THR. ITS DIRECTOR. Respondent(s)

J U D G M E N T KURIAN, J.

Leave granted.   1. The appellants are before this Court, aggrieved by  the  final  impugned  Judgment  and  order  dated 13.11.2013 in Writ Appeal No. 1639 of 2011 in Writ Petition No. 9850 of 2010 and Writ Appeal No. 1640 of 2011 in Writ Petition No. 26957 of 2010 passed by the High Court of judicature at Madras.   

2. The  High  Court  has  taken  a  view  that  in  the absence of a finding regarding mens rea/actus reus on the part of the employer, action under Section 14B of the  Employee's  Provident  Fund  and  Miscellaneous Provisions Act, 1952 cannot be sustained.   

3. This  issue  is  now  wholly  covered  against  the appellants in the decision rendered by this Court in Mcleod  Russel  India  Limited  Vs.  Regional  Provident

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Fund Commissioner, Jalpaiguri and Others, reported in (2014)  15  SCC  263,  wherein  it  has  been  held  in paragraph 11 that ".....the presence or absence of mens rea and/or actus reus would be a determinative

factor in imposing damages under Section 14-B,  as

also the quantum thereof since it is not inflexible

that 100 per cent of the arrears have to be imposed

in all the cases.  Alternatively stated, if damages

have been imposed under Section 14-B, it will be only

logical  that  mens  rea  and/or  actus  reus  was

prevailing at the relevant time."  

4. In the impugned Judgment, at paragraph 23, it has been specifically held by the High Court that  "In this  case,  there  is  no  finding  rendered  by  the

original  authority  or  the  appellate  authority  with

regard  to  mens  rea  or  actus  reus,  except  saying

financial crises cannot be a reason to escape."

5. In  view  of  the  above,  these  appeals  are dismissed.  

No costs.      .......................J.

             [ KURIAN JOSEPH ]  

.......................J.               [ ROHINTON FALI NARIMAN ]  New Delhi; January 03, 2017.