Partly allowed

The Divisional Manager, v. Sri. Veerabhadrayya S/O Kumarappa

Karnataka HC3 Oct 2023MFA/24545/2011

Case brief

AI extract

What is this about?

Six miscellaneous first appeals filed by an insurance company challenging workmen's compensation awards. The High Court held the insurer liable for the driver and cleaner but not for hamalis traveling between cities, as their risk is not covered. Compensation quantum was affirmed for the non-covered employees, and the award was modified to exempt the insurer from their liability.

What did the court decide?

MFA Nos. 24544/2011, 24545/2011, 24546/2011, and 24547/2011 allowed; MFA Nos. 24543/2011 and 24548/2011 dismissed. The impugned awards were modified to remove insurer liability for hamalis.

The Divisional Manager, Vs Sri… — Pension and Retirement Benefits | Karnataka HC (2023)

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NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH

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DATED THIS THE 3^RD DAY OF OCTOBER, 2023

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BEFORE

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THE HON'BLE MR JUSTICE HANCHATE SANJEEVKUMAR

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MISCELLANEOUS FIRST APPEAL NO.24548/2011(WC) C/W MISCELLANEOUS FIRST APPEAL NO.24543/2011(WC) MISCELLANEOUS FIRST APPEAL NO.24544/2011(WC) MISCELLANEOUS FIRST APPEAL NO.24545/2011(WC) MISCELLANEOUS FIRST APPEAL NO.24546/2011(WC) MISCELLANEOUS FIRST APPEAL NO.24547/2011(WC)

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IN MFA.NO.24548/2011:

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BETWEEN:

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THE DIVISIONAL MANAGER, THE NEW INDIA ASSURANCE COMPANY LIMITED BELLARY DISTRICT, REPRESENTED BY ITS ASSISTANT MANAGER, REGIONAL OFFICE, TP HUB, II FLOOR, SRINATH COMPLEX, NEW COTTON MARKET, HUBBALLI - 580 029.

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Digitally signed by ROHAN HADIMANI T

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(BY SRI G. N. RAICHUR, ADVOCATE)

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AND:

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…APPELLANT

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SRI OBALESH S/O. MARIYAPPA, AGE: MAJOR, OCC: EX-CLEANER, R/O: HANDIHAL VILLAGE, TQ AND DIST: BELLARY.

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SRI SIDDAPPA S/O. PENNAYYA, AGE: MAJOR, OCC: OWNER OF LORRY NO.AP-04/T3009, 6^TH WARD, BANDIMOTTA, BANGALORE ROAD, DIST: BELLARY.

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…RESPONDENTS

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(NOTICE TO R1 AND R2 ARE HELD SUFFICIENT)

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NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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THIS MFA IS FILED UNDER SECTION 30(1) OF WORKMENS COMPENSATION ACT 1923, PRAYING TO CALL FOR THE RECORDS IN WC/CR NO.116/2008 ON THE FILE OF THE LABOUR OFFICER AND COMMISSIONER FOR WORKMEN’S COMPENSATION SUB-DIVISION-I, BELLARI AND PERUSE THE SAME AND SET ASIDE THE JUDGMENT DATED 15.06.2011.

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IN MFA.NO.24543/2011:

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BETWEEN:

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THE DIVISIONAL MANAGER, THE NEW INDIA ASSURANCE COMPANY LIMITED BELLARI DISTRICT, REPRESENTED BY ITS ASSISTANT MANAGER, REGIONAL OFFICE, TP HUB, II FLOOR, SRINATH COMPLEX, NEW COTTON MARKET, HUBBALLI - 580 029.

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…APPELLANT

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(BY SRI G. N. RAICHUR, ADVOCATE)

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AND:

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SRI JILAN BASHA S/O ALLAHBAKSH, AGE: MAJOR, OCC: EX-DRIVER, R/O: DEVI NAGAR, BELLARI, DIST: BELLARI.

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SRI SIDDAPPA S/O. PENNAYYA, AGE: MAJOR, OCC: OWNER OF LORRY NO.AP-04/T3009, 6^TH WARD, BANDIMOTTA, BANGALORE ROAD, DIST: BELLARI.

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…RESPONDENTS

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(NOTICE TO R1 AND R2 ARE HELD SUFFICIENT)

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THIS MFA IS FILED UNDER SECTION 30(1) OF WORKMENS COMPENSATION ACT 1923, PRAYING TO CALL FOR THE RECORDS IN WC/CR NO.115/2008 ON THE FILE OF THE LABOUR OFFICER AND COMMISSIONER FOR WORKMEN’S COMPENSATION SUB-DIVISION-I, BELLARI AND PERUSE THE SAME AND SET ASIDE THE JUDGMENT DATED 15.06.2011.

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NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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IN MFA.NO.24544/2011:

BETWEEN:

…APPELLANT

(BY SRI G. N. RAICHUR, ADVOCATE)

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AND:

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SRI SHEENU S/O RAMESH, AGE: MAJOR, OCC: EX-HAMALI, R/O: HANDIHAL VILLAGE, TQ AND DIST: BELLARI.

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SRI SIDDAPPA S/O. PENNAYYA, AGE: MAJOR, OCC: OWNER OF LORRY NO.AP-04/T3009, 6^TH WARD, BANDIMOTTA, BANGALORE ROAD, BELLARI, DIST: BELLARI.

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…RESPONDENTS

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(NOTICE TO R1 AND R2 ARE HELD SUFFICIENT)

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THIS MFA IS FILED UNDER SECTION 30(1) OF WORKMENS COMPENSATION ACT 1923, PRAYING TO CALL FOR THE RECORDS IN WC/CR NO.117/2008 ON THE FILE OF THE LABOUR OFFICER AND COMMISSIONER FOR WORKMEN’S COMPENSATION SUB-DIVISION-I, BELLARI AND PERUSE THE SAME AND SET ASIDE THE JUDGMENT DATED 15.06.2011.

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IN MFA.NO.24545/2011:

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BETWEEN:

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THE DIVISIONAL MANAGER, THE NEW INDIA ASSURANCE COMPANY LIMITED BELLARI DISTRICT, REPRESENTED BY ITS ASSISTANT MANAGER, REGIONAL OFFICE, TP HUB,

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NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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II FLOOR, SRINATH COMPLEX, NEW COTTON MARKET, HUBBALLI - 580 029.

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…APPELLANT

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(BY SRI G. N. RAICHUR, ADVOCATE)

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AND:

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SRI VEERABHADRAYYA S/O KUMARAPPA, AGE: MAJOR, OCC:EX-HAMALI, R/O: HANDIHAL VILLAGE, TQ AND DIST: BELLARI.

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SRI SIDDAPPA S/O. PENNAYYA, AGE: MAJOR, OCC: OWNER OF LORRY NO.AP-04/T3009, 6^TH WARD, BANDIMOTTA, BANGALORE ROAD, BELLARI, DIST: BELLARI.

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…RESPONDENTS

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(NOTICE TO R1 AND R2 ARE HELD SUFFICIENT)

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THIS MFA IS FILED UNDER SECTION 30(1) OF WORKMENS COMPENSATION ACT 1923, PRAYING TO CALL FOR THE RECORDS IN WC/CR NO.119/2008 ON THE FILE OF THE LABOUR OFFICER AND COMMISSIONER FOR WORKMEN’S COMPENSATION SUB-DIVISION-I, BELLARI AND PERUSE THE SAME AND SET ASIDE THE JUDGMENT DATED 15.06.2011.

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IN MFA.NO.24546/2011:

BETWEEN:

…APPELLANT

(BY SRI G. N. RAICHUR, ADVOCATE)

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AND:

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SRI IRANNA S/O YELLAPPA, AGE: MAJOR, OCC:EX-HAMALI, R/O: HANDIHAL VILLAGE, TQ AND DIST: BELLARI.

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NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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SRI SIDDAPPA S/O. PENNAYYA, AGE: MAJOR, OCC: OWNER OF LORRY NO.AP-04/T3009, 6^TH WARD, BANDIMOTTA, BANGALORE ROAD, BELLARI, DIST: BELLARI.

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…RESPONDENTS

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(NOTICE TO R1 AND R2 ARE HELD SUFFICIENT)

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THIS MFA IS FILED UNDER SECTION 30(1) OF WORKMENS COMPENSATION ACT 1923, PRAYING TO CALL FOR THE RECORDS IN WC/CR NO.118/2008 ON THE FILE OF THE LABOUR OFFICER AND COMMISSIONER FOR WORKMEN’S COMPENSATION SUB-DIVISION-I, BELLARI AND PERUSE THE SAME AND SET ASIDE THE JUDGMENT DATED 15.06.2011.

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IN MFA.NO.24547/2011:

BETWEEN:

…APPELLANT

(BY SRI G. N. RAICHUR, ADVOCATE)

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AND:

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SRI TIPPESWAMY S/O. RAMANNA, AGE: MAJOR, OCC:EX-HAMALI, R/O: HANDIHAL VILLAGE, TQ AND DIST: BELLARI.

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SRI SIDDAPPA S/O. PENNAYYA, AGE: MAJOR, OCC: OWNER OF LORRY NO.AP-04/T3009, 6^TH WARD, BANDIMOTTA, BANGALORE ROAD, BELLARI, DIST: BELLARI.

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…RESPONDENTS

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(NOTICE TO R1 AND R2 ARE HELD SUFFICIENT)

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THIS MFA IS FILED UNDER SECTION 30(1) OF WORKMENS COMPENSATION ACT 1923, PRAYING TO CALL FOR THE RECORDS IN WC/CR NO.120/2008 ON THE FILE OF THE LABOUR OFFICER AND COMMISSIONER FOR WORKMEN’S COMPENSATION SUB-DIVISION-I,

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6 - NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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BELLARI AND PERUSE THE SAME AND SET ASIDE THE JUDGMENT DATED 15.06.2011.

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THESE APPEALS, COMING ON FOR FINAL HEARING, THIS DAY, THE COURT DELIVERED THE FOLLOWING:

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JUDGMENT

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MFA No.24548/2011, 24543/2011, 24544/2011,

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24545/2011, 24546/2011 and 24547/2011 are filed by the Insurance Company challenging the Judgment and Award dated 15.06.2011 passed in ¸ÀA.PÁC§- 1 /¹Dgï- 115 jAzÀ

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120/2008, respectively, by the Labour Officer and Commissioner for Workmen's Compensation, Sub-DivisionI, Bellary, saddling the liability on the Insurance Company to indemnify the owner and to pay compensation.

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The factum of accident is that the claimants being Driver, Hamalis and Coolie, when they were travelling in Lorry No.AP-04/T-3099 met with an accident and sustained injuries out of and during the course of employment are not disputed. The dispute is regarding

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NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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liability of Insurance Company to indemnify the owner of the lorry.

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Heard the arguments from both sides and perused the records.

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MFA No.24543/2011:

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Learned counsel for the appellant-Insurance Company submitted that the Insurance Policy issued in respect of Lorry No.AP-04/T-3099 is Liability Only Policy/Act Policy and under this policy, only risk of Driver is covered, but not Hamalis and Cleaner. Therefore, the liability fastened on the Insurance Company so far as claimant/employee of Hamalis and Cleaner is not correct. Therefore, prays to allow the appeals.

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Ex.R2(1) is Insurance Policy which is issued in respect of Lorry No.AP-04/T-3099 is Liability Only Policy/Act Policy, under which premium of Rs.25/- is collected for Driver. Whether the Insurance Policy is

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8 - NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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Liability Only Policy, risk of coverage is as per Section 147 of the Motor Vehicles Act (in short 'M.V Act'). Section 147 of M.V.Act mandatorily covers the risk of the persons stated in the said section, according to which, the risk of driver of lorry is compulsorily covered. Also, as per Section 147 of the M.V.Act, Insurance Policy premium of Rs.25/- is collected for driver. Therefore, the risk so far as driver of lorry is concerned is covered. Therefore, the Insurance Company is liable to indemnify so far as the driver of lorry is concerned. Therefore, the appeal filed so far as involvement of driver is concerned, is liable to be dismissed.

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Therefore, MFA No.24543/2010 is dismissed.

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MFA No.24548/2011:

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The claimant is a Cleaner by profession in the

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said lorry. As per sub-clause ‘c’ clause (i) of proviso to Caluse ‘B’ sub-section (1) of Section 147 of the Motor

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9 - NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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Vehicles Act, the one employee is compulsorily covered whether premium towards Cleaner is paid or not. Even though there is no express term for collection of premium in respect of Cleaner is concerned, but as per Section 147 of the Act, the risk of an employee is compulsorily covered. Therefore, the driver and cleaner are essential persons while travelling in the lorry from one city to another city. Therefore, the risk of cleaner is also covered.

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Hence, MFA No.24548/2011 is hereby

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dismissed.

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MFA Nos.24544/2011, 24545/2011, 24546/2011 &

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24547/2011:

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So far as other appeals MFA Nos.24544/2011, 24545/2011, 24546/2011 & 24547/2011 are concerned, the claimants were working as Hamalis in the lorry. Their risk is not covered as per Section 147 of the Motor Vehicles Act. Admittedly, the lorry is proceeding from

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10 - NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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Challakere to Bellary. That means from one city to another city. Hence, as per Rule 100 of KMV Rules, the risk of these Hamalis are not covered. Therefore, so far as these employees who were working as Hamalis are concerned, Insurance Company is not liable to indemnify and to pay compensation. Therefore, the Insurance Company is liable to be exonerated and hence, the owner of the Lorry No.AP-04/T-3099 is made liable to pay compensation so far as these Hamalis are concerned.

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So far as quantum of compensation is concerned, the Commissioner has correctly assessed all the parameters and accordingly, determined compensation and granted, which needs no interference. Hence, the appeals in MFA No.24544/2011, 24545/2011, 24546/2011 and 24547/2011 are allowed.

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In the result, I pass the following:

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11 - NC: 2023:KHC-D:11634 MFA No. 24548 of 2011 C/W MFA No. 24543 of 2011 MFA No. 24544 of 2011 MFA No. 24545 of 2011 MFA No. 24546 of 2011 MFA No. 24547 of 2011

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ORDER

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i) MFA No.24543/2011 and MFA No.24548/2011 are dismissed .

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ii) MFA Nos.24544/2011, 24545/2011, 24546/2011 and 24547/2011 are allowed .

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iii) The Judgment and Award dated 15.06.2011 passed in ¸ÀA.PÁC§- 1 /¹Dgï- 115 jAzÀ 120/2008 by the Labour Officer and Commissioner for Workmen's Compensation, Sub-Division-I, Bellary, are modified accordingly in terms above.

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iv) No order as to costs.

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v) Amount in deposit is transmitted to the Tribunal for disbursement.

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SD/JUDGE

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BNV CT-ASC

The Divisional Manager, v. Sri. Veerabhadrayya S/O Kumarappa

Case brief

What is this about?

What did the court decide?

The Divisional Manager, v. Sri. Veerabhadrayya S/O Kumarappa

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

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