High Court allowed an appeal under the Employees Compensation Act against an award that failed to grant interest on the compensation amount. The court held interest at 12% per annum was mandatory from the accident date.
Award modified to carry interest @ 12% per annum from date of accident till realization; accrued interest to be released to claimant.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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NAFR
HIGH COURT OF CHHATTISGARH AT BILASPUR
MAC No. 182 of 2018
Ghana Ram Sahu S/o Purshottam Sahu, aged about 50 years, R/o Near Panchmukhi Hanuman Mandir, Shastri Chowk, Camp-1, Bhilai, Tahsil and District Durg (C.G.) (Claimant).
---Appellant
Versus
---Respondents
| For appellant/claimant | : Shri P.R.Patanker, Advocate. |
|---|---|
| For resp.Nos.1 & 2 | : Shri Abhijeet Mishra, Advocate. |
| For resp.No.3 | : Shri Vinod Deshmukh along with Shri |
| Abhishek Deshmukh, Advocates. |
Hon ' ble Shri Justice P. Sam Koshy
Order on Board
06/03/2018
Employees Compensation Act, 1923 assailing the award dated 05/10/2017
passed by the learned Commissioner, Employees Compensation, Labour
Court, Durg (C.G.) in Case No.9/EC Act/2016 (Fatal).
law:-
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“ Whether the appellant herein would be entitle for interest on the awarded amount from the date of accident as per the provision of Section 4-A of Employees Compensation Act? ”
appellant in the instant case is that, the learned Commissioner has not granted any interest on the awarded amount, but has only made an observation that in case if the awarded amount is not deposited by the Insurance Company within a period of 45 days from the date of award, the amount shall carry interest.
ground that, the award seems to be fair and reasonable. The claimant would be entitled for interest only in case if the respondents did not honour the
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award within time specified by the Labour Court and thus prayed for rejection of the appeal.
“ 4A. Compensation to be paid, when due and penalty for default.-
(1) Compensation under section 4 shall be paid as soon as it falls due.
(2) In cases where the employer does not accept the liability for compensation to the extent claimed, he shall be bound to make provisional payment based on the extent of liability which he accepts, and, such payment shall be deposited with the Commissioner or made to the workman as the case may be, without prejudice to the right of the workman to make any further claim.
(3) Where any employer is in default in paying the compensation due under this Act within one month from the date it fell due, the Commissioner shall-
(a) direct that the employer shall, in addition to the amount of the arrears, pay simple interest thereon at the rate of twelve per cent per annum or at such higher rate not exceeding the maximum of the lending rates of any scheduled bank as may
be specified by the Central Government, by notification in the Official Gazette on the amount due; ”
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Sd/-
Sumit
1 issue framed by the court
Whether the appellant is entitled to interest on the awarded compensation amount from the date of accident as per Section 4-A of the Employees Compensation Act, 1923?
1 provisions across 1 enactments
Ghana Ram Sahu
Lokesh Kumar
Kedar Sao
National Insurance Co. Ltd.
P. Sam Koshy
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
