(a) If a person (the mandatory) in the course of or for the purposes of his business enters into an agreement with
any other person (the contractor) for the execution by or under the supervision of the contractor of the whole
or any part of any work undertaken by the mandatory, the contractor shall, in respect of his employees
employed in the execution of the work concerned, register as an employer in accordance with the provisions
of this Act and pay the necessary assessments.
(b) If a contractor fails so to register or pay any assessment, the said employees of the contractor shall be
deemed to be the employees of the mandatory, and the mandatory shall pay the assessments in respect of
those employees.
