Withdrawal of prosecutions cases related to non-submission of KYC

Regarding non-submission of KYC

EPFO, HEAD OFFICE
MINISTRY OF LABOUR & EMPLOYMENT,
GOVERNMENT OF INDIA
BHAVISHYA NIDHI BHAWAN,
14, BHIKAUJI CAMA PLACE, NEW DELHI 110066

26 SEP 2022

To,

The ACC (HQ)/ACC (Zones)
The RPFCs-in-charge of Regional Offices

Sub: Withdrawal of prosecutions cases related to non-submission of KYC- Reg.

Sir/Madam,

The deliberations of sub-committee of CBT, EPF on Coverage and Related Litigation were placed and approved by the CBT in its 230th and 231st meeting held on 12.03.2022 and 30.07.2022 respectively.

2. In pursuance to above recommendation Head Office circular no B-II/38(5)75/Vol.II dated 31.01.1983 is partially modified and the Central Provident Fund Commissioner hereby authorizes the Regional Provident Fund Commissioner in-charge of a Regional Office to consider application for withdrawal of such prosecutions on following terms and conditions:

a. the employer should request for withdrawal of prosecution by application before the RPFC/Competent court as he deem fit;
b. the application shall be only for prosecution filed for non-filing/non-submission of KYC document(s) of the member(s) under the Scheme;
c. subsequent to filing of the said prosecution case the employer must have made necessary compliance for the concerned employees’ required KYC document(s); and
d. the employer shall submit an undertaking to comply with the statutory provisions for filing/submission of KYC document(s) in future.

3. Further, the cost of legal and other expenses incurred during the course of such prosecution should not be demanded.

(This issues with the approval of CPFC)

Yours faithfully,

(Jag Mohan)
Addl. CPFC (HQ)(Compliance)

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