EPFO is filing Court cases left, right and centre

This is a post from G. Srinivasa Rao, A Senior EOS 95 Analyst.

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“EPFO is filing Court cases “left, right and centre”

EPFO collects Administrative and Inspection Charges from both Exempted and Un exempted Establishments @ 0.09% and 0.65% respectively.

These charges have been collected since 01-11=1992 i.e., the appointed day of EPFO. Right from the beginning there were/are surplus income in this way after meeting the administrative expenditure.

If interest is added right from 01-11-1952 as per the rates declared by EPFO from year to year, the amount may cross “one lakh crores”. Instead of utilising the amount for the members of Employees’ Provident Fund Scheme, 1952 as well as Employees’ Pension Scheme, 1995, the above amount is kept as investment and interest is derived every year by EPFO.

The details of the surplus were never revealed by EPFO in their Annual Reports. But it publishes annual interest declared every year from 01-11-1952 in their Annual reports every year. From this surplus amount EPFO is filing court cases left, right and centre. One such case is moving the Hon’ble Supreme Court regarding “Exempted Trust rules”.

When, EPFO through its first affidavit in connection with the judgement of 4th November, 2022, submitted summary of expenditure involved in granting Higher Pension to those who are on rolls with the number of employees indicated as on 31-03-2017, why EPFO is “shy” of submitting the breakup for the above figure of 92,55,580 employees when asked through RTI.

Are EPS,’95 Pensioners who are getting 1,552/- as average monthly Pension even after 30 years since the scheme implemented w.e.f., 16-11-1995 forced to move the Courts in the case of Exempted Trust rules.

RTI, 2005 is a gift of Congress Government at the Centre to the people as an easy way to resolve their problems without spending lots of money towards moving courts. Why should we not utilise this opportunity (RTI) in this regard instead of moving courts by spending lakhs of rupees.

As per Page No. 1 of Ad-hoc Committee report submitted in 2022, there are 31,000 cases in various courts of which in 73% cases EPFO is respondent and in 27% the petitioners.

The above figure of 31,000 cases indicates the need for creation of Special Courts to resolve the disputes it seems.
Hence it is advisable to utilise the RTI route first before moving Courts by the Employees and Pension.

This is the reply to the critics of yesterday’s “Pod Cast” with regard to “Exempted Trust rules”.

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