MANAGEMENT OF M/S ACFOLI INC vs SURENDER NARAYAN SINGH

Judgment text excerpt

$~25 * IN THE HIGH COURT OF DELHI AT NEW DELHI % Date of Decision: 22.07.2025 + W.P.(C) 2728/2021 MANAGEMENT OF M/S ACFOLI INC .....Petitioner Through: Mr. Vinay Sabharwal and Mr. Karunesh Shah, Advocates. versus SURENDER NARAYAN SINGH .....Respondent Through: Mr. Sumit Kumar, Advocate. CORAM: HON'BLE MS. JUSTICE TARA VITASTA GANJU TARA VITASTA GANJU, J.: (Oral) 1. The present Petition has been filed under Article 226 of the Constitution of India to challenge an Award dated 31.10.2018 passed by the learned Presiding Officer, Labour Court, South-West District, Dwarka Courts, New Delhi in LIR No. 2194/2016 captioned Sh. Surender Narayan Singh v. Management of M/s Acfolinc [hereinafter referred to as “Impugned Award”]. By the Impugned Award, the learned Labour Court has awarded a lump-sum compensation in the sum of Rs.2.5 lacs to the Respondent/Workman along with default interest of 8% p.a. 2. The principal challenge that has been raised by the learned Counsel for the Petitioner/firm is on the fact that the provisions of Chapter V-B of Industrial Disputes Act, 1947 [hereinafter referred to as “ID Act”] does not apply to the Petitioner/firm and that no issue with respect to the same was Signature Not Verified Digitally Signed W.P.(C) 2728/2021 Page 1 of 9 By:RAHUL Signing Date:26.07.2025 06:35:23 made by the Respondent/Workman before the learned Labour Court, despite which a detailed finding of “closure” has been given by the learned Labour Court. 3. Learned Counsel for the Petitioner submits that the Petitioner/firm came into existence on 01.04.1996, however on account of unavoidable reasons and pursuant to an order passed by the Haryana State Pollution Control Board, Panchkula on 28.07.2008, the Petitioner/firm had to be closed with effect from 01.08.2008. It is contended