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1997 (11) TMI 514 - SUPREME COURTWhether the Managing Director of the respondent-company is not an employee as defined in Section 2(9) of the Employees’ State Insurance Corporation Act, 1948? Held that:- The Division Bench of the High Court in the impugned judgment had erred in taking the view, on the facts of the present case, that Shri Dhanwate as Managing Director of the company was not an employee within the meaning of Section 2 sub-section (9) of the Act. On the other hand it must be held that he was an employee of the company and as such could be added to the list of remaining 19 employees so as to make a total of 20 for covering the establishment under Section 2 sub-section (12) of the Act which defines "factory) to mean, "any premises including the precincts thereof (a) ........; or (b) whereon twenty or more persons are employed or were employed for wages on any day of the proceeding twelve months, and in any part of which a manufacturing process in being carried on without the aid of power or is ordinarily so carried carried on". Appeal allowed.
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