Chapter: 7.1 The Modes in the Employees Provident Fund and Miscellaneous Provisions Act

•    The Modes are

1. attachment and sale of the immovable as well as movable property of the establishment
2. arrest of the employer and detention in prison.
3. appointment of a receiver for the immovable and movable properties of the employer.

The authorized officer may forward the said certificate to the Recovery officer within whose jurisdiction the employer carries on the business or profession or resides or any of the movable or immovable properties are situated.
Where the establishment or the employer has property within the jurisdiction of more than one recovery officer and the recovery officer to whom the certificate is sent is not able to recover the entire amount by sale of the property or is in the opinion for the purpose of expediating the recovery of the whole or any part of the amount, it is necessary for him to send the certificate. If only a part of the amount is to be recovered, a copy of the certificate certified in the prescribed manner and specifying the amount to be recovered is sent to the recovery officer within whose jurisdiction the establishment or property resides.
Under section 11 of the Act where the employer is adjudicated insolvent or being a company an order for winding up is made the amount due from the employer in relation to which any scheme applies in respect of any contribution payable under the fund damages recoverable under section 14 B accumulations required to be transferred or charges payable by him under any other provision of this act or from the exempted establishment in respect of the contributions shall when the liability arises before the order of adjudication is made, be deemed to be included in the debts.
No employer can reduce the wages either directly or indirectly to which the scheme of the fund is applicable.
The appropriate government shall appoint by notification, inspectors for the purpose of this act or scheme. The inspector appointed will inquire into the correctness of the information furnished by the employer and whether the provisions of the act have been complied with.
Further in case of an exempted establishment the employer may require to furnish the information as may be necessary.
At any reasonable time, he may ask the employer to furnish the accounts books, registers and other documents relating to the employment of the persons.
He may examine the said records for the purpose of coverage of the establishment and make copies of the said extracts and documents maintained by the establishment and if he deems fit may seize the said documents to consider the relevancy of the offence and to exercise the powers under the scheme.
Any employer failing to make payment of contributions or makes a false statement or false representation shall be punished with imprisonment for a term of 1 year or with a fine of Rs. 5000/- or both.
Any employer who makes a default of payment of administrative charges shall be fined with Rs. 10,000/- and imprisonment of a year or both.
Where an offence has been committed under the act by a company or is attributable to any neglect on the part of any director or manager or any other officer, shall be deemed to be guilty of that offence and shall be liable to be produced against and punished accordingly.
Every employee who is the subscriber to any provident fund to which the act applies, shall continue to be entitled to the benefits accrued to him under the act.