This appeal is directed against the judgment and final order dated 9th October, 2001
passed by the High Court of Orissa at Cuttack in OJC No.2851/2001 allowing the Writ Petition
partly on the ground that the holding company cannot be held liable for the recovery of provident
fund dues of its subsidiary company. Admittedly, there is nothing on record to show that the
respondent No.2 being holding company of respondent No.1 is liable to pay the provident funds
dues outstanding against its subsidiary company i.e. respondent No.1. However, Mr.B.B.Singh,
learned counsel appearing on behalf of the appellant submits that respondent No.2 being holding
company of respondent No.1 is liable to pay the provident funds dues outstanding against its
subsidiary company i.e. respondent No.1. We are not in agreement with the same as we are of the
view that the subsidiary company has an independent existence as against the holding company
and, therefore, the respondent No.2 is not liable to clear the provident funds dues of its subsidiary
company, namely, the respondent No.1. The appeal is accordingly dismissed. There will be no
order as to costs.
However, it will be open for the appellants to proceed against respondent No.1 in
accordance with law.