EPFO recovers ₹61 crore dues from SpiceJet

New Delhi: The Employees' Provident Fund Organisation (EPFO) has recovered ₹61 crore of provident fund dues from debt-laden airline SpiceJet out of the total dues of ₹73 crore for the period March 2020 to May 2021. The retirement fund body is also assessing the dues for the period after January 2022, including penal damages and interest on late payment.

A senior government official aware of the matter told ET that the company is cooperating and clearing dues, though with a time lag.

"Notwithstanding this, the retirement fund body has initiated inquiry under Section 14B of the Employees' Provident Fund & Miscellaneous Provisions Act, 1952 for levy of penal damages and recovery of interest for the delayed payments," the official said.


Besides, the process of assessment and recovery for the remaining period (till date) under Section 7A of the Act is currently underway, the official added. SpiceJet refuted the EPFO's claim of part recovery of earlier dues. "This information is completely incorrect. All PF dues for the mentioned period have already been deposited," the company said in response to queries from ET.

On the allegations that the low-cost airline had not contributed the provident fund share of over 11,000 employees since January 2022, it said, "the company has already cleared part of the PF dues for the period post-January 2022". "However, as stated earlier, there has been a lag in some deposits. Clearing these dues remains our top priority," it said.

All establishments covered under EPFO have to file their returns by the 15th of every month for the preceding month, failing which interest is levied on late filing at the rate of 12% per annum from the date on which the amount has become so due till the date of its actual payment.