M/S FORTUNE SERVICES THROUGH PARTNER BHUPENDRA RANAversusTHE CENTRAL BOARD OF TRUSTEES, EMPLOYEES PROVIDENT FUND ORGANISATION

     C/SCA/2670/2026                                 JUDGMENT DATED: 27/02/2026




             IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

               R/SPECIAL CIVIL APPLICATION NO. 2670 of 2026


FOR APPROVAL AND SIGNATURE:


HONOURABLE MR. JUSTICE HEMANT M. PRACHCHHAK
================================================================

            Approved for Reporting                  Yes          No

================================================================
 M/S FORTUNE SERVICES THROUGH PARTNER BHUPENDRA RANA
                         Versus
THE CENTRAL BOARD OF TRUSTEES, EMPLOYEES PROVIDENT FUND
                  ORGANISATION & ANR.
================================================================
Appearance:
MR KARAN R SHAH(11501) for the Petitioner(s) No. 1
MR NISARG J DESAI(13298) for the Petitioner(s) No. 1
================================================================

 CORAM:HONOURABLE MR. JUSTICE HEMANT M.
       PRACHCHHAK

                              Date : 27/02/2026

                                JUDGMENT


1.      Present petition is     led by the petitioner – Firm under
Articles 226 & 227 of the Constitution of India read with the
provisions of the Employees Provident Funds & Mics. Provisions
Act, 1952 (hereinafter be referred to as “the Act”) challenging
the order dated 21.12.2023 passed by the learned Assistant
Provident         Fund   Commissioner,          Vadodara,     whereby,        the
proceedings under Section 7A was conducted and an amount of
Rs.51,76,860/- was determined by the learned Commissioner to
be recovered from the petitioner herein.


2.       Brief facts giving rise to the present petition are that, the


                                  Page 1 of 4
     C/SCA/2670/2026                                 JUDGMENT DATED: 27/02/2026




present petitioner is a registered rm under the Partnership Act,
1932 and was engaged with the work of Manpower Supply to
various Organizations. That, the respondent department had
initiated a 7A proceedings against the present petitioner
establishment on 24.11.2022, and in response thereof, the
petitioner rm had submitted the records on 02.05.2023. That,
the Enforcement O;cer of the respondent department had
submitted the deposition report (Dues Assessment Statement)
based on the records submitted by the petitioner                         rm on
20.11.2023, copy of which was to be served to the Petitioner
Firm, however, the same was never served to the Petitioner Firm.
That, the respondent department, based on the report submitted
by the Enforcement O;cer on 20.11.2023, reserved the matter
for order on 04.12.2023. That, the Assistant Provident Fund
Commissioner           based   on    the      deposition    report      by    the
Enforcement O;cer passed an Order on 21.12.2023, pursuant to
which, the respondent department has issued a Recovery
Certi cate dated 02.04.2024. That, the respondent department
has recovered INR 3,68,865/- from the bank account of the
petitioner rm on 06.06.2024.


3. Being aggrieved by and having dissatis ed with the order
passed under section 7A by the respondent, petitioner Firm has
preferred this petition.


4.      Heard Mr. Karan Shah, learned counsel appearing for the
petitioner Firm.


5.      Learned counsel Mr. Shah has submitted that the
impugned order passed by the authority is illegal, unjust,

                                    Page 2 of 4
     C/SCA/2670/2026                                JUDGMENT DATED: 27/02/2026




arbitrary, erroneous and contrary to the facts and material on
record and the provisions of the Act and therefore, the same is
required to be quashed and set aside. He has submitted that the
Honorable Supreme Court of India in Food Corporation of India
versus Provident Fund Commissioner and Others, SCC-1990-1-68
clari ed that it is the duty of the Commissioner to nd out the
actual      bene ciaries,   however,     in   the    present       case,     the
respondent department has failed to identify the actual
bene ciaries to whose account the EPF shall be credited. He has
submitted that despite submission of the salary sheets and
averments that the Principal Employers have failed to pay the
Employer share of EPF, the respondent department failed to call
the Principal Employers to the 7A proceedings and has fastened
the EPF liability to the Contractor illegally. He has submitted that
the department has without going into the actual default
fastened the liability to the contractor without his default. He
has submitted that the Department has not taken into
consideration the amount paid by the Petitioner Firm and has
shown payment NIL despite of payment of INR 10,25,209/-. Over
and above the grounds agitated in the memo of petition, learned
counsel Mr. Shah has urged that the impugned order is required
to be quashed and set aside and the present petition is required
to be allowed.


6.      I have heard the learned counsel appearing for the
petitioner and perused the material placed on record. I have also
gone through the impugned order passed by the authority. The
petitioner has challenged the order passed by the authority
under Section 7A of the Act, against which, a statutory remedy of
preferring an appeal is already provided under the law, however,

                                Page 3 of 4
          C/SCA/2670/2026                                                      JUDGMENT DATED: 27/02/2026




  to avoid the delay, the petitioner has directly approached this
  Court by way of ling present petition, and therefore, this Court
  is not inclined to entertain the present petition.


  7.         In the result, the present petition being devoid of any
  merits deserves to be dismissed and it is accordingly, dismissed.
  There shall be no order as to costs.



                                                                     (HEMANT M. PRACHCHHAK,J)

  Dolly




Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: DOLLYBEN CHETANBHAI VADUKAR(HC01392), PRIVATE SECRETARY, at High Court of Gujarat on 27/02/2026 17:01:46

                                                      Page 4 of 4