National Insurance Company Ltd vs Baleshwar Jha & Ors
2012 Latest Caselaw 1390 Del

*       IN THE HIGH COURT OF DELHI AT NEW DELHI

                                  Date of decision: 28th February, 2012

+       MAC.APP. 626/2011

        NATIONAL INSURANCE COMPANY LTD ..... Appellant
                     Through: Mr.S.N.Parashar, Advocate.

                    versus

        BALESHWAR JHA & ORS              ..... Respondents
                     Through: Mr.Sunil Ahlawat
        CORAM:
        HON'BLE MR. JUSTICE G.P.MITTAL

                             JUDGMENT

G. P. MITTAL, J. (ORAL)

1. The grievance of the Appellant/Insurance Company is that the dispute between the parties was settled on payment of a sum of Rs.3,75,000/- in full and final settlement as recorded in para 1 of the award.

2. Once the settlement was reached the Claims Tribunal could not have awarded interest beyond the settlement as stated in para 3 of the impugned judgment.

3. I have perused the record, I agree with the submissions made on the part of the Appellant. Since the matter was decided on the basis of the settlement, the Claims Tribunal could not have awarded interest @ 8.5% per annum. The order granting interest is accordingly set aside.

The amount of Rs.3,75,000/- has been deposited with the Registrar General of this Court. The amount along with interest accrued, if any, during the pendency of the Appeal shall be released in favour of Respondents No. 1 and 2 in equal proportion. The 50% of the amount shall be held in Fixed Deposit for a period of three years.

4. The Appeal is allowed in above terms.

5. The statutory amount shall be released to the Appellant through counsel.

(G.P. MITTAL) JUDGE FEBRUARY 28, 2012 mr