The union labour ministry has initiated action against
all companies that have defaulted in paying their provident
fund (PF) dues as part of its Compliance 2004 programme.
to the ministry''s plans, all PF defaulters will be given
a month''s time to clear their dues failing which, all
the nodal ministries will be asked to blacklist the defaulting
companies. Simultaneously, banks and financial institutions
will also be instructed to freeze their respective credit
Minister Sahib Singh Verma says the Compliance 2004 programme
will include attachment of property and bank accounts
of defaulters, launch of prosecution proceedings in criminal
courts, arrest of defaulters and appointment of receivers.
As of now, the Employees Provident Fund Organisation has
arrears totalling Rs 1,511 crore.
says the multi-pronged campaign will target defaulting
establishments, including exempted ones, which had misappropriated
workers'' dues or had failed to pay them their money and
meet legal obligations voluntarily.