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Non-issuance of PCC due to pendency of FIR constitutes unreasonable restriction: Delhi HC

Case Law Details

TaxGuru Citation
2024 taxguru.in 5624
Case Name
Amardeep Singh Bedi Vs Union of India & Anr. (Delhi High Court)
Date of Judgement/Order
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Amardeep Singh Bedi Vs Union of India & Anr. (Delhi High Court)

Delhi High Court held that non-issuance of Police Clearance Certificate [PCC] merely due to pendency of FIR, without any conviction or finding of guilt, constitutes an unreasonable restriction.  Accordingly, court directed to issue PCC.

Facts- The Petitioner is an Indian national having a valid Indian passport issued by the Regional Passport Office in Delhi, India. The Petitioner, along with his proprietary concern, M/s Bedi & Bedi Associates, is currently facing two FIRs. These FIRs were filed based on complaints from Enforcement Officers of the Employees Provident Fund Organization, alleging that while the Petitioner deducted Provident Fund contributions from the wages of employees working at DMRC and NPL sites, he failed to deposit the same in accordance with the provisions of the Employees Provident Funds and Miscellaneous Provisions Act, 19522.

Post registration of the FIRs, a quasi-judicial enquiry u/s. 7A of the EPF Act was conducted by the Regional Provident Fund Commissioner, Delhi (North). This inquiry culminated in an order dated 28th September, 2019 u/s. 7A of the EPF Act to the effect that both the Petitioner and the Principal Employer were jointly and severally liable to deposit the PF contributions as mandated by the EPF Act. Consequently, the Petitioner was directed to deposit a sum of INR 7,485,753/- as assessed by the RPFC. This amount was duly paid by the Petitioner through a demand draft dated 20th March, 2019.

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