https://www.taxtmi.com/caselaws?id=168462 A statutory transfer of unpaid accumulations to a Labour Welfare Fund was held unconstitutional because the employer's liability to employees was not extinguished, the debt remained outstanding despite limitation, and the scheme deprived the employer of property without compensation. The argument based on frustration and abandoned property also failed, as there was no mechanism to protect the true owners' claims before vesting. By contrast, the provision requiring fines realised from employees to be paid into the Fund was upheld because those sums were already impressed with a trust for employees and the employer had no beneficial interest in them. en-us Fri, 20 Dec 1957 00:00:00 +0530 Fri, 10 May 2024 10:09:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=168462 A statutory transfer of unpaid accumulations to a Labour Welfare Fund was held unconstitutional because the employer's liability to employees was not extinguished, the debt remained outstanding despite limitation, and the scheme deprived the employer of property without compensation. The argument based on frustration and abandoned property also failed, as there was no mechanism to protect the true owners' claims before vesting. By contrast, the provision requiring fines realised from employees to be paid into the Fund was upheld because those sums were already impressed with a trust for employees and the employer had no beneficial interest in them. Case-Laws Indian Laws Fri, 20 Dec 1957 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=168462