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Section 25R of Industrial Disputes Act 1947: Penalty for Closure

Section 25R (Penalty for closure) under the Chapter VB (Special Provisions relating to Lay-off, Retrenchment and Closure in certain Establishments) of the Industrial Disputes Act 1947

❝(1) Any employer who closes down an undertaking without complying with the provisions of sub-section (1) of section 25-O shall be punishable with imprisonment for a term which may extend to six months, or with fine which may extend to five thousand rupees, or with both.

(2) Any employer, who contravenes an order refusing to grant permission to close down an undertaking under sub-section (2) of section 25-O or a direction given under section 25P, shall be punishable with imprisonment for a term which may extend to one year, or with fine which may extend to five thousand rupees, or with both, and where the contravention is a continuing one, with a further fine which may extend to two thousand rupees for every day during which the contravention continues after the conviction.❞




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Notes:

The Industrial Disputes Act, 1947 has been amended several times since its enactment.
The latest amendments were by the Industrial Disputes (Amendment) Act, 2010 (24 of 2010) and the Finance Act, 2017 (7 of 2017).

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