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Initiation of recovery action u/s 8F of the PF Act


Contents News/Article Date: 30th May 2023

Relating to which Act: The Employees Provident Funds & Miscellaneous Provisions Act, 1952; The Employees’ State Insurance (ESI) Act, 1948          

Penalty under the Act: Whoever, for the purpose of avoiding any payment to be made by himself under this Act [the Scheme, the [Pension] Scheme] or the Insurance Scheme] or of enabling any other person to avoid such payment knowingly makes or causes to be made any false statement or false representation shall be punishable with imprisonment for a term which may extend to one year, or with fine of five thousand rupees, or with both].

Applicable to which State: All the States and Establishments to be covered by these Acts 

Type: EPFO Circular No. Compliance/SLP37088/2022/57328/1258 dated 30/5/2023 issued by Additional CPFC(HQ)(Compliance) 

Pertains to: PF registered establishments and members

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And in the previous instance: Hon’ble Bombay High Court in its judgment dated 22.02.2022 in WP No 7814/2022 (Bhiwandi Nizampur Municipal Corporation Vs the Regional Provident Fund Commissioner II, Regional Office, Thane) has held as under: –

“9(b). The respondents are ordered that henceforth, in any matters u/s. 7A, there shall be no order directing the assesse to deposit the amount within the appeal period since it creates an embargo on the rights of the assesse to avail of the remedies permissible under the EPF and MP Act, 1952.

9(c). The respondent authorities are hereby directed that henceforth in all matters u/s. 7A Assessment, steps u/s.8F shall not be initiated until the Appeal period as prescribed u/s. 7-1 is exhausted.

  1. The leamed Registrar (Judicial) is directed to circulate this order to all the Regional Provident Fund Commissioners in India and the directions should be followed scrupulously.”

Subject: Initiation of recovery action u/s 8F of the PF Act


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