Bombay High Court
Arjun Mahadev Chougule vs Union Of India Through The General ... on 23 January, 2025
2025:BHC-AS:3807
14 Fa(St)-23993-2022.doc
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
FIRST APPEAL (St.) NO. 23993 OF 2022.
Arjun Mahadev Chougule ]
Aged - 56 ]
Occ: Teacher ]
Residing at, B/203, Ramkrishna Hari Society, ]
Kopar Road, Above BSNL Office, ]
Dombivali West, Kalyan, ]
Vishnunagar, Thane - 4210202 ]
State - Maharashtra. ] ...Appellant.
Versus
Union of India, ]
Through the General Manager, ]
Central Railway, CST Station Building, ]
Mumbai: 400001. ] ...Respondent.
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Mr. Sainand Chaugule for Appellant.
Ms. Leena Patil for Respondent.
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Coram : Sharmila U. Deshmukh, J.
Date : January 23, 2025.
Oral Judgment :
1. First Appeal has been preferred by original Claimants being
aggrieved by the judgment dated 27th January, 2022 to the extent that
it does not grant any interest on the amount of compensation from the
date of accident till the date of payment.
2. Learned counsel appearing for the Appellant relies upon the
decision in the case of Union of India v. Rina Devi1 and would submit
1 [2018] 4 S.C.R. 417.
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that the Apex Court has held that interest can be awarded from the
date of accident itself when the liability of railways arises up to the
date of payment without any difference in the stages.
3. Learned counsel appearing for Respondent fairly does not
oppose the Appeal in view of the settled position as laid down in the
case of Rina Devi (supra).
4. The following point arises for determination:
(i) Whether the Claimant-Appellant is entitled to interest from the date
of accident, i.e. from 30th July, 2018 till the date of payment by
Railways.
As to Point No. (i) :
5. The accident in the present case has taken place on 30 th July,
2018 at 18:30 hours when the Appellant was injured by accidental
falling from a train. The Tribunal after consideration of evidence held
that Appellant was a bona fide passenger and had met with an
untoward incident as defined under Section 123 (c) (2) of the Railways
Act, 1989. The provisions of Section 124A provides for payment of
compensation on account of 'no fault liability' regardless of any
negligence or default on part of the administration for compensating
the loss occasioned by the death of, or injury to a bona fide passenger
as a result of such untoward incident. Considering the extent of
injuries, the Tribunal had directed the Railways to pay compensation of
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Rs.6,40,000/-. There is no appeal which has been filed by the Railways
challenging the amount of compensation and therefore, the only
aspect which needs to be considered is whether interest is liable to be
paid. The issue has been settled by decision of Apex Court in the case
of Rina Devi (supra), where the Apex Court held in Paragraph 18 as
under:-
"18. As already observed, though this Court in Thazhathe
Purayil Sarabi (supra) held that rate of interest has to be at
the rate of 6% from the date of application till the date of the
award and 9% thereafter and 9% rate of interest was awarded
from the date of application in Mohamadi (supra), rate of
interest has to be reasonable rate at par with accident claim
cases. We are of the view that in absence of any specific
statutory provision, interest can be awarded from the date of
accident itself when the liability of the Railways arises upto the
date of payment, without any difference in the stages. Legal
position in this regard is at par with the cases of accident
claims under the Motor Vehicles Act, 1988. Conflicting views
stand resolved in this manner."
6. In view of the settled position of law, the Appellant will be
entitled to interest at the rate of 6% p.a. from the date of accident till
the date of payment. The interest to be paid by the Railways within a
period of 8 weeks from today, failing which the Railways will be liable
to pay interest at the rate of 6% p.a. till the payment or realization.
Accordingly, the issue is decided in favor of Appellant. The following
Order is passed :
:ORDER:
(a) First Appeal is allowed.
(b) The Respondent-Railways is directed to pay interest
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@ 6% p.a. on compensation of Rs.6,40,000/- from
date of accident i.e. 30th July, 2018 within period of
eight weeks from the date of uploading of this order
on official website.
(c) In event of failure to pay the amount within 8 weeks
as directed by clause (b), the Railways will be liable to
pay interest @ 6% p.a. till payment or realisation.
[Sharmila U. Deshmukh, J.]
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