Chennai's Metropolitan Magistrate Court has handed down a six-month simple imprisonment sentence to renowned actor and former Member of Parliament (MP) Jayaprada. The ruling comes as a consequence of her failure to comply with the legal obligation to remit contributions owed to the Employees State Insurance Corporation (ESIC) in connection with employees serving at a cinema theater owned by her.
The court's verdict emerged subsequent to a complaint filed by the ESIC. The Corporation asserted that despite the cinema theater, previously under Jayaprada's ownership, deducting the requisite ESI amounts from workers' wages, these funds were not remitted to the state insurance entity.
A decade ago, Jayaprada and her siblings, Ramkumar and Raj Babu, were partners in the operation of Jayaprada Cinema, which subsequently ceased operations.
As per Section 40 of the ESI Act, the primary employer is obligated to disburse contributions encompassing both the employer's and employees' shares. The principal employer possesses the right to recoup the employees' share of contribution from their earnings.
In response to their plea for clemency, the Court dismissed their request, citing the Employees State Insurance Act's status as a "crucial piece of social welfare legislation" primarily enacted for the well-being of employees. Consequently, any contravention of its provisions is deemed a "regrettable offense" and a "socio-economic transgression," warranting punitive action against the wrongdoer.
Metropolitan Magistrate C Sundarapandian elucidated, "The nature of the offense is rooted in socio-economic misconduct. Thus, the offense committed is grave and unfortunate. Consequently, I affirm the conviction of the Defendant under Section 85 (1) (b) of the Employees State Insurance Act. Therefore, the Defendant's pleas are rejected. Considering the aforementioned deliberation and the balanced assessment of aggravating and mitigating factors, it is my view that this case does not fall within the purview warranting leniency. It is an appropriate scenario necessitating the imposition of a sentence, given the seriousness of the offense and the absence of grounds for leniency."
The Court additionally stipulated that Jayaprada and her two siblings are liable to pay an individual fine of ₹5,000 each.
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TAGS: Chennai court six-month imprisonment actor Jayaprada Employees State Insurance Corporation (ESIC) non-payment contributions cinema theatre Metropolitan Magistrate Court complaint ESIC deduction workers' dues state insurance corporation Jayaprada Cinema partners Section 40 ESI Act principal employer fines ₹5 000 socio-economic offense social welfare legislation conviction plea clemency gravity of offense punitive action wrongdoing.
