INDIAN OIL CORPORATION
CHIEF INSPECTOR OF FACTORIES AND OTHERS
Decided on July 14, 1998, [Last Heard on: 14.07.1998]
The case involves a dispute over determining the “occupier” of a government-owned factory under the Factories Act, 1948. Indian Oil Corporation Limited (IOCL), a government company, manages storage facilities. The question is whether IOCL should be deemed as the occupier through its directors (clause ii) or if the government-appointed person should be considered the occupier (clause iii) under Section 2(n) of the Act. The High Court favored IOCL’s separate entity status, while the Supreme Court stressed “ultimate control” to establish IOCL’s government control. The supreme court ruled in favour of Fox & Mandal that IOCL’s factories fall under clause iii, directing the government-appointed individuals as occupiers for accountability. The decision underscores examining ownership and control to determine clause applicability.