Divisional Manager, Oic Ltd. Vs Jamal Rangita — Orissa HC (2025) — LawSathi Research

Divisional Manager, Oic Ltd. Vs Jamal Rangita — Orissa HC (2025) — LawSathi Research

What the court decided

AI extract

Outcome

Compromise recorded: Claimants-Respondents to receive Rs.4,30,000/- with interest @ 6% per annum from the date of application; penal interest @ 8% waived; Appellant-Insurer to deposit the amount before the Tribunal within eight (8) weeks of receipt of the order; Tribunal to disburse proportionately per judgment dtd.20.11.2016; statutory deposit before the High Court to be refunded to the Appellant with accrued interest on proper identification; compromise petition kept on record.

Issue for consideration

Whether the compensation payable under the Tribunal's award dated 20.11.2016 in M.A.C No.391 of 2011, challenged by the Appellant-Insurer in MACA No.241 of 2018, could be settled by compromise between the parties as to amount and interest.

Court's answer

The parties settled that the Claimants-Respondents will receive compensation of Rs.4,30,000/- along with interest @ 6% per annum as awarded by the Tribunal.

Ratio / Principle

The settled compensation shall be deposited by the appellant-Insurer before the Tribunal within a period of eight (8) weeks from the date of receipt of the order.

Key takeaways

It was agreed between the parties that the penal interest allowed by the Tribunal @ 8% be waived.ratio¶17
In view of the compromise effected, the Court waived the penal interest @ 8% and directed the Appellant-Company to deposit compensation of Rs.4,30,000/- with interest @ 6% per annum from the date of application till payment, within eight weeks of receipt of the order.ratio¶18
On such deposit, the Tribunal shall disburse the amount in favour of the Claimants-Respondents proportionately in terms of the judgment dated 20.11.2016.

Detailed headnote1 paragraphs

Motor Accident Claims Appeal (MACA No.241 of 2018, High Court of Orissa at Cuttack) by Divisional Manager, OIC Ltd. (Insurer) against the award dated 20.11.2016 of the 2nd MACT (SD), Berhampur, Ganjam in M.A.C No.391 of 2011 (compensation of Rs.4,32,000/- with interest @ 6% per annum), was taken up in the 2nd National Level Lok Adalat and disposed of on compromise: the Claimants-Respondents (Jamal Rangita & Ors.) to receive Rs.4,30,000/- with interest @ 6% per annum from the date of application; penal interest @ 8% waived; Appellant-Insurer to deposit the amount before the Tribunal within eight (8) weeks of receipt of the order; Tribunal to disburse proportionately in terms of the judgment dtd.20.11.2016; statutory deposit before the High Court to be refunded to the Appellant with accrued interest on proper identification. (Biraja Prasanna Satapathy, J; order dated 10.05.2025.)

IN THE HIGH COURT OF ORISSA AT CUTTACK MACA No.241 of 2018

Divisional Manager, OIC Ltd.

..... Appellant

Mr. G.P. Dutta, Advocate

-versus-

Jamal Rangita & Ors. ..... Respondents Mr. D. Nahak, Advocate on behalf of Mr. M. Mishra, Advocate (Respondent Nos. 1 to 3)

CORAM:

THE HON'BLE MR. JUSTICE BIRAJA PRASANNA SATAPATHY ORDER

10.05.2025

Order No.04

This appeal is taken up in the 2^nd National Level Lok Adalat through Virtual/Physical Mode in presence of the Advocates/Representatives of both the Parties.

Heard.

This appeal has been filed by the Appellant-Company (Insurer) challenging the award passed by the learned 2^nd MACT (SD), Berhampur, Ganjam in M.A.C No.391 of 2011 vide judgment dated 20.11.2016.

Vide the said judgment, the Tribunal allowed the claim of the Claimants-Respondents with a direction on the AppellantCompany to pay compensation amount of Rs.4,32,000/- along with interest @ 6 % per annum payable from the date of application till its realization.

However, in course of deliberation, it is settled in between the Parties that the Claimants-Respondents will receive compensation

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amount of Rs.4,30,000/- along with interest @ 6% per annum as awarded by the Tribunal and the same shall be deposited by the appellant-Insurer before the Tribunal within a period of eight (8) weeks from the date of receipt of the order. It is also agreed in between the Parties that the penal interest so allowed by the Tribunal @ 8% be waved out.

In view of such compromise so effected, this Court while waiving out the penal interest @ 8%, directed the AppellantCompany to deposit compensation amount of Rs.4,30,000/- along with interest @ 6% per annum payable from the date of application till its payment within a period of eight (8) weeks from the date of receipt of this order. On such deposit of the amount, the Tribunal shall disburse the same in favour of the ClaimantsRespondents proportionately in terms of judgment dtd.20.11.2016. On such deposit of the compensation amount along with interest, the statutory deposit made before this Court be refunded along with accrued interest, if any, thereon to the Appellant on proper identification.

The compromise petition filed by both the Parties be kept on record.

The MACA is accordingly disposed of.

Biraja Prasanna Satapathy, J (2^nd National Lok Adalat)

Signature Not Verified

Sneha

Digitally Signed Sneha Signed by: SNEHANJALI PARIDA Reason: Authentication Location: High Court of Orissa, C utta ck Date: 15-Jul-2025 17:42:09

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