https://www.taxtmi.com/caselaws?id=467500 Amounts deducted from employees' wages towards ESI contributions are treated as funds entrusted to the employer for remittance, not as the employer's own asset. On that basis, such deductions fall within assets held in trust for a third party and are excluded from the liquidation estate under section 36(4)(a)(i) of the Insolvency and Bankruptcy Code, 2016. The Employees State Insurance Act, 1948 also supports this protected status by recognising priority for ESI dues in company winding-up distributions. Accordingly, the attachment raised by the ESI Corporation was held to lie outside the liquidation estate and was not legally infirm. en-us Thu, 18 Jul 2024 00:00:00 +0530 Fri, 20 Mar 2026 17:24:23 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=467500 Amounts deducted from employees' wages towards ESI contributions are treated as funds entrusted to the employer for remittance, not as the employer's own asset. On that basis, such deductions fall within assets held in trust for a third party and are excluded from the liquidation estate under section 36(4)(a)(i) of the Insolvency and Bankruptcy Code, 2016. The Employees State Insurance Act, 1948 also supports this protected status by recognising priority for ESI dues in company winding-up distributions. Accordingly, the attachment raised by the ESI Corporation was held to lie outside the liquidation estate and was not legally infirm. Case-Laws IBC Thu, 18 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=467500