High Court of Karnataka Dismisses Review Petition in ESI Damages Case — No Error Apparent on Record. Review petition under Order 47 Rule 1 CPC dismissed as the petitioner failed to establish any error apparent on the face of the record in the order dated 19.11.2024 passed in MFA No.3185/2017.

High Court: Karnataka High Court Bench: BENGALURU
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Case Note & Summary

The review petition was filed by M/s Renram Fashions India Pvt Ltd under Order 47 Rule 1 of the Code of Civil Procedure, 1908, seeking review of an order dated 19.11.2024 passed by the High Court of Karnataka in MFA No.3185/2017. The factual background is that the respondent, the Employees' State Insurance Corporation (ESIC), passed an order on 13.06.2014 under Section 85-B of the Employees' State Insurance Act, 1948, directing the petitioner to pay Rs.26,34,569/- as damages for delay in payment of contributions for the period from January 2009 to June 2013. The petitioner challenged this order before the Employees' State Insurance Court, Bengaluru, in ESI No.27/2014. The ESI Court, by order dated 13.06.2014, allowed the petition in part and reduced the damages from Rs.26,34,569/- to Rs.6,00,000/-. The respondent ESIC challenged the ESI Court's order before the High Court in MFA No.3185/2017. The High Court, by order dated 19.11.2024, dismissed the appeal and upheld the ESI Court's order reducing the damages. The petitioner then filed the present review petition, contending that the High Court had not considered the fact that the ESI Court had already reduced the damages. The High Court heard the learned counsel for both parties. The Court observed that the review petition did not disclose any error apparent on the face of the record. The grounds raised by the petitioner were not within the scope of review under Order 47 Rule 1 CPC. The Court found no merit in the petition and dismissed it. The decision was that the review petition was dismissed, and no order as to costs.

Headnote

A) Civil Procedure - Review - Error Apparent on Face of Record - Order 47 Rule 1 Code of Civil Procedure, 1908 - The review petitioner sought review of an order passed in MFA No.3185/2017, contending that the court had not considered the fact that the ESI Court had already reduced damages from Rs.26,34,569/- to Rs.6,00,000/-. The High Court held that the review petition did not disclose any error apparent on the face of the record and that the grounds raised were not within the scope of review. The petition was dismissed. (Paras 1-4)

B) Employees' State Insurance - Damages for Delayed Contribution - Section 85-B Employees' State Insurance Act, 1948 - The respondent ESI Corporation passed an order under Section 85-B directing the petitioner to pay Rs.26,34,569/- as damages for delay in payment of contributions from January 2009 to June 2013. The ESI Court reduced the damages to Rs.6,00,000/-. The High Court, in the original appeal, upheld the ESI Court's order. The review petition against that order was dismissed. (Paras 3-4)

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Issue of Consideration

Whether the order dated 19.11.2024 passed in MFA No.3185/2017 suffers from any error apparent on the face of the record warranting review under Order 47 Rule 1 CPC.

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Final Decision

The review petition is dismissed. No order as to costs.

Law Points

  • Review jurisdiction
  • Error apparent on the face of the record
  • Order 47 Rule 1 CPC
  • Section 85-B Employees' State Insurance Act
  • 1948
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Case Details

2025 LawText (KAR) (01) 23

Review Petition No.598 of 2024 in Miscellaneous First Appeal No.3185 of 2017

2025-01-22

H.P.Sandesh

NC: 2025:KHC:2767

Sri Joseph Kanikaraj (for petitioner), Sri C Shashikantha (for respondent)

M/s Renram Fashions India Pvt Ltd

The ESI Corporation

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Nature of Litigation

Review petition against an order in a miscellaneous first appeal under the Employees' State Insurance Act.

Remedy Sought

The petitioner sought review of the High Court's order dated 19.11.2024 in MFA No.3185/2017.

Filing Reason

The petitioner contended that the High Court had not considered the fact that the ESI Court had already reduced the damages.

Previous Decisions

The ESI Court reduced damages from Rs.26,34,569/- to Rs.6,00,000/-. The High Court in MFA No.3185/2017 upheld that reduction.

Issues

Whether the order dated 19.11.2024 suffers from any error apparent on the face of the record.

Submissions/Arguments

The petitioner argued that the High Court did not consider the fact that the ESI Court had already reduced the damages. The respondent opposed the review petition.

Ratio Decidendi

A review petition under Order 47 Rule 1 CPC is maintainable only if there is an error apparent on the face of the record. The grounds raised by the petitioner did not disclose any such error, and therefore the petition was dismissed.

Judgment Excerpts

This review petition is filed praying this Court to review the order dated 19.11.2024 passed in MFA No.3185/2017. The factual matrix of the case is that the respondent passed an order on 13.06.2014 under Section 85-B of the Employees State Insurance Corporation Act directing the petitioner to pay a sum of Rs.26,34,569/- towards damages for the delay in payment of contribution for the period from January 2009 to June 2013. The review petition does not disclose any error apparent on the face of the record and the grounds urged are not within the scope of review.

Procedural History

The respondent ESIC passed an order under Section 85-B ESI Act on 13.06.2014. The petitioner challenged it before the ESI Court in ESI No.27/2014, which reduced damages to Rs.6,00,000/-. The respondent appealed to the High Court in MFA No.3185/2017, which was dismissed on 19.11.2024. The petitioner then filed this review petition on 22.01.2025.

Acts & Sections

  • Code of Civil Procedure, 1908: Order 47 Rule 1
  • Employees' State Insurance Act, 1948: Section 85-B
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