PF dues: Vellore Aavin withholds wages of SHG workers

According to GM V Kothandaraman, the lapse was brought to his notice by the accounts’ department citing the non-payment of EPF for the past two months.

“My predecessor, KS Murali Prasad, instead of appointing workers on a regular contract basis approved and appointed members of a local SHG for a one-year term, in last July. As per norms, anybody working on contract should register themselves with the EPF organisation and the labour department. But, the SHG did neither. They were also not guided by the officials to do so,” he added.

It may be recalled that during state-wide raids on various government offices, the vigilance and anti-corruption sleuths seized unaccounted cash to the tune of Rs 14.85 lakh from the Vellore Aavin office, of which Rs11 lakh was seized from the former GM Murali Prasad’s official car.

After offering excuses, the SHG members drew their August and September wages, but for October it was held back due to the EPF arrears. EPF dues for 40 members amount to Rs 1.70 lakh for two months, officials said.

When the matter was brought to Kothandaraman’s notice, he told the protesting members, “Aavin will pay all your dues, when you remit and show the receipts for at least one month’s settlement of EPF dues,” following which they dispersed.

Enquiries by officials revealed that the SHG leader Bayamma (40) had defaulted on EPF payments. When members demanded an explanation, she left the office. However, work for the day resumed.