This appeal sought reduction of compensation awarded under the Workmen's Compensation Act due to high income assessment. The High Court allowed the appeal in part, modifying the award based on recalculated loss of dependency.
Compensation reduced from Rs.10,71,000 to Rs.7,13,960 and the judgment of the Tribunal is modified accordingly.
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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IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 23rd DAY OF NOVEMBER, 2022
BEFORE
THE HON’BLE MR.JUSTICE HANCHATE SANJEEVKUMAR
M.F.A.No.8975 OF 2018 (WC)
BETWEEN:
THE BRANCH MANAGER THE NATIONAL INSURANCE CO. LTD., BRANCH OFFICE: SHARDA COMPLEX OPP. KSRTC BUS STAND P.B. ROAD, CHITRADURGA TOWN,
BY ITS REGIONAL MANAGER THE NATIONAL INSURANCE CO. LTD., REGIONAL OFFICE, SUBHARAM COMPLEX 2ND FLOOR, NO.144, M.G. ROAD BANGALORE-560 001.
… APPELLANT
(BY SRI. P.B. RAJU, ADVOCATE)
AND:
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RESPONDENT NO.3 IS MINOR REPRESENTED BY HIS NATURAL GUARDIAN MOTHER SMT. SHAHINA RESPONDENT NO.1
ALL ARE R/O. INDIRA COLONY BHARAMASAGARA CHITRADURGA TALUK-577 522.
(BY SRI. S.S. KOTE, ADVOCATE FOR R1 TO R3, SRI. H.B. NAGARAJA, ADVOCATE FOR R4)
THIS APPEAL IS FILED UNDER SECTION 30(1) OF W.C. ACT AGAINST THE JUDGMENT AND AWARD DATED 19.05.2018 PASSED IN ECA NO.27/2017, ON THE FILE OF PRINCIPAL SENIOR CIVIL JUDGE AND CHIEF JUDICIAL MAGISTRATE, CHITRADURGA, AWARDING COMPENSATION OF RS.10,71,000/- WITH INTEREST AT THE RATE OF 12% P.A., AFTER ONE MONTH FROM THE DATE OF ACCIDENT TILL ITS REALIZATION.
THIS APPEAL COMING ON FOR ADMISSION, THIS DAY, THE COURT DELIVERED THE FOLLOWING:
JUDGMENT
This appeal is filed by the Insurance Company under Section 30(1) of the Employees' Compensation Act, seeking reduction of compensation awarded by the
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Prl. Senior Civil Judge and CJM, Chitradurga passed in ECA No.27/2017 dated 19.05.2018, on the ground that the income assessed by the Tribunal is on the higher side.
2. Brief facts of the case are as follows:
The deceased Akram Pasha was the driver of the
bus bearing registration No.KA-01/AA-5514 under the employment of respondent No.1, who is the owner of the said bus, since two years and he was earning a sum of Rs.15,000/- per month as salary and Rs.200/- per day as batta.
On 24.04.2017, as per the instruction of respondent No.1, deceased Akram Basha was driving the bus bearing registration No.KA-01/AA-5514 from Davanagere to Dabaspet, when the said bus was proceeding near Hiriyuru - Sira Road, Tavarekere, Sira Taluk, Tumakuru District, the said bus met with accident, due to which, Akram Basha sustained severe
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injuries and died on 30.04.2017 during treatment at NIMHANS, Bengaluru.
3. Heard the learned counsel for appellant-
/Insurance Company and the learned counsel for the respondents/claimants and perused the records.
and circumstances and evidence on record, has granted compensation of Rs.10,71,000/- with interest at the rate of 12% p.a. from the date of accident till the date of realization.
compensation, the present appeal is filed by the Insurance Company seeking reduction of the compensation, on the ground that the income of the deceased assessed by the Tribunal is on the higher side.
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between the deceased and respondent No.4 is not disputed. The deceased was working as a driver under the employment of respondent No.4. The accident was occurred on 24.04.2017. The Tribunal has taken the income of the deceased as Rs.12,000/- which is on the higher side and the Tribunal has committed an error. Therefore, the income of the deceased has to be reduced to Rs.8,000/- as per Section 4 of the Workmen Compensation Act. The deceased was aged about 42 years as on the date of the accident. Therefore, the relevant factor applicable to his age is 178.49. 50% of his income has to be deducted as per Section 4 of the ECA Act. Accordingly, the loss of dependency would be calculated as under: Rs.8,000x50x178.49/100 = Rs.7,13,960/-
The same is awarded under the head 'Loss of dependency'.
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ORDER
Insurance Company is allowed-in-part .
ii. The judgment and award passed in ECA No.27/2017 dated 19.05.2017 by the Prl. Senior Civil Judge and CJM, Chitradurga is hereby modified .
iii. The claimants are entitled for compensation of Rs.7,13,960/- as against Rs.10,71,000/- awarded by the Tribunal with interest @ 12% p.a., from the date of accident till its realization.
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vi. Ordered accordingly.
Sd/JUDGE
snc
2 issues framed by the court
Whether the income of the deceased assessed by the Tribunal was on the higher side and required reduction.
Whether the quantum of compensation awarded by the Tribunal should be modified.
2 provisions across 1 enactments
The Branch Manager The National Insurance Co. Ltd.
Smt. Shahina W/o. Late Akram Basha
Sri. A. Siddik S/o. Late Akram Basha
Sri. A. Nijamuddin S/o. Late Akram Basha
Sri. A. Sanjay Kumar S/o. D. Ambanna
Hanchate Sanjeevkumar
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
