M/S. Hotel New Nalanda vs Regional Director, E.S.I. Corpn

The Supreme Court upheld the decision of the Employees' Insurance Court, which found that M/s. Hotel New Nalanda did not qualify as a factory under Section 2(12) of the Employees' State Insurance Act, 1948. The Court noted that the establishment employed 14 persons, but there was insufficient evidence of a manufacturing process involving power, as required by the Act. Consequently, the Court ruled that the appellant was not obligated to comply with the provisions of the ESI Act, affirming the lower court's judgment.