ESIC local office is claiming that if his wages are more than Rs 21,000/- this person is not eligible for ESIC coverage

We have paid our employee wages more than Rs 21,000/- after including his monthly production incentive (payable every month) and have also paid ESI for the full amount (this person has been covered under ESI for more than last 10 years). But the ESIC local office is claiming that if his wages are more than Rs 21,000/- this person is not eligible for ESIC coverage even though this person's basic+DA+HRA is less than Rs 21,000/-. Only for the past few months after giving an increment and increase in the incentive percentage has this person crossed this amount. Now at the time of treatment he has been thrown out of ESIC and is being refused allowance. What should be done??

It would be good to take the opinion of another ESI officer from a different branch.
This is because it seems quite strange to deny ESI coverage. From what I understand, the employee is eligible for ESI coverage. The production incentive as per the govt's ESI website is not considered under the definition of wages, but the monthly ESI deduction percentage can include the amount paid as production incentive. Then again even if the 21K limit has been crossed it is true that till the end of the contribution period of Sep'19, the ESI deductions should continue, giving the employee benefit coverage ( except accident coverage) till Jun 2020, without contributions from Oct'19.
So, this seems really confusing. I'm sorry if I have misinterpreted the situation, but I think it would really be good if an ESI officer for any other branch could be consulted for a second opinion.