The High Court of Madras has issued notice on a petition filed by actor Jayaprada challenging a Magistrate court order, which sentenced her to six months imprisonment for failing to pay contributions due to the Employees State Insurance Corporation (ESIC) with respect to employees working in the now-defunct cinema theatre owned by her.
The single-judge Bench of Justice G. Jayachandran on Friday directed the ESIC to file a counter affidavit in response to Jayaprada’s petition within a week and listed the matter for further hearing on October 11.
It further asked the counsel representing Jayaprada to clarify whether the outstanding amount of Rs 37.68 lakh could be paid within a week.
The Metropolitan Magistrate Court in Chennai had sentenced Jayaprada and co-accused in the case on August 10 this year, after taking cognisance of a complaint by the ESIC.
The complainant alleged that while the management of the now defunct cinema theatre owned by Jayaprada had been deducting ESI amount dues from the workers’ dues, it had not been paying the same to the State Insurance Corporation.
The actor and her brothers Ramkumar and Raj Babu were partners of Jayaprada Cinema, which went defunct around 10 years ago.
As per Section 40 of the ESI Act, the principal employer was required to pay towards the employer’s share of contribution, and the employees’ share of contribution. The principal employer was entitled to recover from the employees, their share of contribution from their wages.
Jayaprada was represented by Senior Counsel Abdul Hameed and Advocate Revathi Manivannan.