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CS Professional · Labour Laws and Practice · Social Security Legislations

Mehta Textiles Ltd challenges an order passed by a Social Security Organisation, arguing that the organisation's decision is invalid because two seats on it were vacant when the order was made. Under the Code on Social Security, 2020, what is the legal position?

The order stands. Under Section 9(3) of the Code on Social Security, 2020, no act or proceeding of a Social Security Organisation or its Committee can be questioned merely because of a vacancy or a defect in its constitution, so the company's objection fails.

  1. AThe order is void because a Social Security Organisation cannot act while any seat is vacant
  2. BThe order cannot be questioned merely because of a vacancy or a defect in the constitution of the OrganisationCorrect
  3. CThe order is valid only if the vacancies are filled within three months
  4. DThe order is valid only if the Central Government ratifies it

Explanation

Section 9(3) provides that no act done or proceeding taken by a Social Security Organisation or its Committee can be questioned merely on the ground of a vacancy or a defect in its constitution. So the vacancies alone do not invalidate the order. The other options add conditions that the section does not contain.

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