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           IN THE SUPREME COURT OF INDIA              CIVIL APPELLATE JURISDICTION

 CIVIL APPEAL NO.6928 OF 2002  

REGIONAL PROVIDENT FUND COMMNR. & ORS.                .....APPELLANT(S)

VERSUS

ABS SPINNING ORISSA LTD. & ANR.                       ....RESPONDENT(S)

O  R  D  E  R

This  appeal  is  directed  against  the  judgment  and final  order  dated 9th October,  2001

passed by the High Court of Orissa at Cuttack in OJC No.2851/2001 allowing the Writ Petition

partly on the ground that the holding company cannot be held liable for the recovery of provident

fund dues of its subsidiary company.  Admittedly, there is nothing on record to show that the

respondent No.2 being holding company of respondent No.1 is liable to pay the provident funds

dues outstanding against its subsidiary company i.e. respondent No.1. However, Mr.B.B.Singh,

learned counsel appearing on behalf of the appellant submits that respondent No.2  being holding

company of respondent No.1 is liable to pay the provident funds dues outstanding against its

subsidiary company i.e. respondent No.1.  We are not in agreement with the same as we are of the

view that the subsidiary company has an independent existence as against the holding company

and, therefore, the respondent No.2 is not liable to clear the provident funds dues of its subsidiary

company, namely, the respondent No.1.  The appeal is accordingly dismissed.  There will be no

order as to costs.

However,  it  will  be  open  for  the  appellants  to  proceed  against   respondent  No.1   in

accordance with law.       

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                   .............................J.                               ( TARUN CHATTERJEE )

                   .............................J.                               ( AFTAB ALAM )

NEW DELHI; OCTOBER 1, 2008.