EMP.STATE INSURANCE CORPORATION vs A.K.ABDUL SAMAD

The Supreme Court addressed the interpretation of Section 85(a)(i)(b) of the Employees’ State Insurance Corporation Act, which mandates a minimum imprisonment of six months and a fine of five thousand rupees for failure to pay contributions. The Court held that while the judiciary has discretion to reduce the term of imprisonment, it does not extend to reducing the fine amount below the statutory minimum. Consequently, the High Court's decision to impose a lesser fine was overturned, reinforcing the mandatory nature of the fine stipulated by the Act.