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TMI Blog2015 (6) TMI 752X X X X Extracts X X X X X X X X Extracts X X X X ..... loitation by ensuring full and proper payments of wages due to them and provide security of work. (ii) Ensure that the guards are employed properly. (iii) Ensure benefits to the guards in the form of Provident fund, gratuity, bonus, compensation for injury, medical benefits, etc. (iv) Ensure welfare and safety measures such as housing for the guards, providing scholarships to the wards of the guards, providing full fledge Hospitalization facility, maternity benefits and free medical treatment to the guards, etc." 3. The claim of the assessee was that its activities are falling within the purview of section 2(15) of the Act, which defines 'charitable purpose', as its activities are towards advancement of an object of general public utility. The Commissioner has denied the registration to the assessee by way of the impugned order. 4. As per the Commissioner, the benefit of the scheme is available only those employees and employers after payment of registration fee as per clause 17 of the Scheme. It was, therefore, contended by the Commissioner that the object of the assessee Board is not of general public utility and the benefit does not extend to those security guards to whom t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ctives of the applicant trust are for general public utility, the registration cannot be declined on the ground that the manner in which these objects are being pursued may invite disqualification from exemption. As evident from the preamble of the Maharashtra Private Security Guards (Regulation of Employment and Welfare) Act, 1981, under which the applicant Board is set-up, the objects of the Board are clearly of general public utility. The said preamble, inter-alia, provides as follow:- "An Act for regulating the employment of private Security Guards employed in factories and establishments in the State of Maharashtra and for making better provisions for their terms and conditions of employment and welfare, through the establishment of a Board therefor and for matters connected therewith. WHEREAS both Houses of the State legislature were not in session; AND WHEREAS, the Governor of Maharashtra was satisfied that circumstances existed which rendered it necessary for him to take ITA No.1379/PN/2010 immediate action to make a law for regulating the employment of Private Security Guards employed in factories and establishment in the State of Maharashtra and for making better provis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tegory of security guards are excluded from the scope of the benefit of assessee Board, it cannot be said that the Board is constituted for a particular section of general public. It was pointed out that assessee Board is a Government run organization and its activities cannot be doubted. The Tribunal also referred to the decision of the Co-ordinate Bench in the case of Agarwal Mitra Mandal Trust (supra) to say that in case of an organization carrying on object of general public utility, it is not necessary that the object should be to benefit whole of the mankind or all persons in a country or state. In our considered opinion, the aforesaid decision of the Mumbai Bench of the Tribunal, clearly covers the objection raised by the Commissioner in the present case. 8. Further, the Commissioner has referred to the first proviso to section 2(15) of the Act which has been inserted by the Finance (No.2) Act, 2009 w.r.e.f. 01.04.2009. In terms of the said proviso where the object is of advancement of general public utility, it shall not be a charitable purpose if it involves the carrying on of any activities in the nature of trade, commerce or business or any activity of rendering any ser ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r the said statute. We are enumerating the aforesaid clauses of the Maharashtra Private Security Guards (Regulation of Employment and Welfare) Act, 1981 only to point out that the legislature has enacted the aforesaid statute not with the purpose of carrying out of any trade, commerce or business or any activity of rendering any services in relation to any trade, commerce or business. Ostensibly, the said objectives are for regulating the employment of private security guards employed in factories and establishments in the State of Maharashtra and for making better provision for terms and conditions of their employment and welfare. Clearly, it is a welfare measure of the Government of Maharashtra and in our view, the activities of the Board cannot be said to be falling foul of the proviso to section 2(15) of the Act, as contended by the Commissioner. We are unable to affirm the aforesaid stand of the Commissioner. 10. At the time of hearing, the Ld. Representative pointed out that similar to the Maharashtra Private Security Guards (Regulation of Employment and Welfare) Act, 1981, the State of Maharashtra also enacted the Maharashtra Mathadi, Hamal and Other Manual Workers (Regulat ..... X X X X Extracts X X X X X X X X Extracts X X X X
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