Trust governed under the ID Act
Legal Eagle
(Querist) 09 November 2009
This query is : Resolved
As per sac. 2 (J) sub cl. 4 a trust is not governed by the ID Act. However, as per the Bangalore Water supply & Sewerage Board, & Ors. a charitable institution who only gives grants is governed under the ID Act.
What has to be considered, the Act or the judgment?
My query is, I am working for a charitable institution which grants to other NGOs or Trust. We have certain employees who do the field work. All employees are paid as per the payment of wages Act. We are also given leave as per the Act. We are also governed under the Employees Provident Fund Act.
In such a situation are we governed by the ID Act. If so can you please give me the relevant Jugment other than the Bangalore Water supply. As this judgment was of 1978, the Act is still not amended.
Its very urgent.
Manish Singh
(Expert) 09 November 2009
Dear Ms Kashmira,
your institution will be governed by the ID Act as per the ruling under the Bangalore water case bt not as per the definitione given under the amended secion 2j(4) for the very reason that the said amendment still has not been notified by the government.
bt if the employees are working volauntary without wages, it shall not fall under the ambit of industry.
Legal Eagle
(Querist) 10 November 2009
Thank You Mr. Manish and Mr. Raj Kumar.
However,please tell me the locus standi of such judgment which is not notified since 1978. There have been amendments in the act, then why is this proviso not amended.
I have been informed that the Madras Hight Court has also passed another judgment, taking an NGO into the perview of ID Act.
Manish Singh
(Expert) 10 November 2009
Dear Ms Kahsmira,
a judgment need not be notified to be given its due effect. its the Act/ rule/ amendment etc which must be notified and be published in official gazette to come into operation. the amendment act under which sec 2j(4) excludes a charitable organisation from the purview of ID act has not yet come into effect and no body knows when the said amendment shall be given effect by the legislature.
Suresh C Mishra
(Expert) 10 November 2009
I am also agree with Sri Raj Kumar JI and Manish Ji. Banglore Water supply case is still in existence and it is not challenged on this issue.
Manish Singh
(Expert) 11 November 2009
Dear Mr. Suresh,
its not about challenging the water supply case since the same can not be challenged on the ground of said amendment act as the said amendment act is still not a law but a mere proposal to be enacted as a law bt since the govt feels that there is no specific protection for ngos/hospitals etc which are supposed to be excluded fom the purview of the ID act, thus it didnt notify the said amendment in the interest f the employees/workmen of those organisations.
so please dont confuse the query vide these comments.
Legal Eagle
(Querist) 11 November 2009
Dear Manish,
I agree to what you have said. However, it would be more comfortable for all the Trustees or Committe Members of the Trust or Society to know the laws which are governed. Hence, if the government wants to protect the employees, they should bring the Trust and NGOs within the perview of the ID Act. Or else it would be at the discretion of each Trust or NGO to decide whether or not to give the employees the privilages which a normal employee is governed.
Manish Singh
(Expert) 12 November 2009
yes, the government firstly wishes to make a didderent framwwork of sttautes for these kind of organisation and then only it will notify thes said amendment bt due to laxity of the govt, nothing is done so far.
