w w w . L a w y e r S e r v i c e s . i n

Section 8

Unpaid accumulations transferred to the Fund and claims thereto

(1) All unpaid accumulations shall, subject to other provisions of this section, be deemed to be abandoned property and be transferred to the control and administration of the Board and shall vest in the Board.

(2) Any unpaid accumulations transferred to the Board in accordance with the provisions of this Act shall, on such transfer, discharge an employer of the liability to make payment to an employee in respect thereof, but to the extent only of the amount transferred to the Board; and the liability to make payment to the employee to the extent aforesaid shall be deemed to be transferred to the Board.

(3) As soon as possible, after the transfer of any unpaid accumulations to the Board, the Board shall publish a notice, containing such particulars as may be prescribed, in the following manner:

(a) by exhibiting on the notice board of the establishment in which the unpaid accumulations were earned;

(b) by publishing in the Andhra Pradesh Gazette;and

(c) by publishing in any two newspapers having wide circulation, and in the language commonly understood, in the area in which the establishment in which the unpaid accumulations were earned, is situate, or in such other manner as may be prescribed, regard being had to the amount of the claim; and shall invite claims by employees for any payment due to them. The notice shall be so published ordinarily in the months of June and December or every year, for a period of three years, from the date of the transfer to the unpaid accumulations to the Board.

(4) Where any question arises whether the notice referred to in sub section (3) was given publicity as referred to in sub section (3) was given publicity as effect given by the Board shall be conclusive proof of such publication.

(5) Where a claim is received whether in pursuance of the notice aforesaid or otherwise, within a period of four years from the date of first publication of the notice in respect of such claim, the Board shall transfer such claim to the authority appointed under Section 15 of the Payment of Wages Act. 1936, having jurisdiction in the area in which the establishment is situate, and the said authority shall proceed to adjudicate upon, and decide such claim; and in hearing such claim, the said authority shall have the same powers conferred by and follow the same procedure, in so far as it is applicable as laid down by or under the provisions of that Act.

(6) If the said authority, after making the enquiry into the validity of any claim, is satisfied that any such claim is valid and the employee is entitled to receive payment, it shall pass an order directing that the unpaid accumulation or any part thereof in relation to which the claim is made shall cease to be deemed to be abandoned property and to be transferred to the Board and that the Board shall pay the whole or such part of the accumulation as the authority decides to be property due, to the employee; and the Board shall make the payment accordingly:

Provided that the Board shall not be liable pay any sum in excess of that transferred under sub section (1) of Section 3 to the Board as unpaid accumulations in respect of the claim.

(7) Where a claim for payment is refused by the said authority, the employee shall have a right of appeal in the cities of Hyderabad and Secunderabad, to the Court of Small Causes, and elsewhere, to the District Court, and the Board shall comply with any order made by the Court in such appeal. Every appeal under this sub section shall lie within sixty days from the date of communication of the order of refusal of the said authority.

(8) The decision of the said authority if no appeal is filed, and the decision of the Court in appeal, shall be final and conclusive as to the right to receive payment, as to the liability of the Board to pay and also as to the amount, if any, so payable.

(9) Where no claim is made within the time specified in sub section (5) or a claim made has been refused as aforesaid by the said authority and no appeal has been filed within the time allowed for such appeal or an appeal filed has been dismissed by the court, as the case may be, then the unpaid accumulations in respect of such claim shall accrue to, and vest in, the State as bona vacantia , and shall thereafter, without further enquiry and declaration, be deemed to be transferred to, and form part of the Fund.