BCCI is a 'shop,' provisions of ESI Act applicable: Supreme Court
New Delhi(PTI): The activities of the Board of Control for Cricket in India (BCCI) are commercial in nature and can be termed as a "shop" for the purposes of attracting the provisions of the Employees State Insurance Act, the Supreme Court has said.
The top court said ESI Act is welfare legislation enacted by the Centre and a narrow meaning should not be attached to the words used in the Act as it seeks to insure the employees of covered establishments against various risks to their life, health, and well-being and places the charge upon the employer.
A bench of Justices M R Shah and P S Narasimha said no error has been committed by the ESI Court and/or the High Court in treating and considering the BCCI as a shop for applicability of the ESI Act.
"Considering the systematic activities being carried out by the BCCI namely, selling of tickets of cricket matches; providing entertainment; rendering the services for a price; receiving the income from international tours and the income from the Indian Premier League, the ESI Court, as well as the High Court, have rightly concluded that the BCCI is carrying out systematic economic commercial activities and, therefore, the BCCI can be said to be 'shop' for the purposes of attracting the provisions of ESI Act," the bench said.
The top court was dealing with the question of whether the BCCI can be said to be a shop as per the notification dated September 18, 1978, and if the provisions of the ESI Act shall be applicable to the BCCI or not.
The Bombay High Court had said that BCCI is covered within the meaning of shop as per notification dated September 18, 1978, issued by the Government of Maharashtra under the provisions of Section 1(5) of the Employees State Insurance Act, 1948.
The top court said the term shop should not be understood and interpreted in its traditional sense as the same would not serve the purpose of the ESI Act.
It said an expansive meaning may be assigned to the word shop for the purposes of the ESI Act.
The apex court said submission on behalf of the BCCI that its predominant activity is to encourage cricket/sports and, therefore, the same shall not be brought within the definition of shop for the purposes of applying the ESI Act, has no substance.
"It is also required to be noted that while holding so, the High Court has also taken into consideration the relevant clauses of the Memorandum of Association of the BCCI to come to the conclusion that the activities of the BCCI can be said to be systematic commercial activities providing entertainment by selling tickets, etc. The Memorandum of Association as a whole is required to be considered.
"In view of the above and for the reasons stated above, we see no reason to interfere with the impugned judgement and order passed by the High Court as well as the ESI Court. As such, we are in complete agreement with the view taken by the High Court. The special leave petitions stand dismissed accordingly," the bench said.
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Trump says EU has until July 4 to approve last year's trade deal or it will face higher tariffs
Washington (AP): President Donald Trump has said in a social media post that goods from the European Union would face higher tariff rates if the 27-member bloc fails to approve last year's trade framework by July 4.
The announcement on Thursday appeared to be a deadline extension after the president said last Friday that EU autos would face a higher 25 per cent tariff starting this week. Trump made the updated announcement after what he described as a "great call" with European Commission President Ursula von der Leyen.
Still, the US president was displeased that the European Parliament had yet to finalize the trade arrangement reached last year, which was further complicated in February by the US Supreme Court ruling that Trump lacked the legal authority to declare an economic emergency to impose the initial tariffs used to pressure the EU into talks.
"A promise was made that the EU would deliver their side of the Deal and, as per Agreement, cut their Tariffs to ZERO!" Trump posted. "I agreed to give her until our Country's 250th Birthday or, unfortunately, their Tariffs would immediately jump to much higher levels."
It was unclear from the post whether Trump was implying that the tariff rates would jump on all EU goods or the increase would only apply to autos.
His latest statement indicates he might be backing away from his earlier threat on EU autos by giving the European Parliament several more weeks to approve the agreement.
Under the original terms of the framework, the US would charge a 15 per cent tax on most goods imported from the EU.
But since the Supreme Court ruling, the administration has levied a 10 per cent tariff while investigating trade imbalances and national security issues, aiming to put in new tariffs to make up for lost revenues.
