Delhi High Court
M/S. Personage Security Services ... vs Rajwati & Ors. on 26 July, 2017
$~25
* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Date of Decision:26th July, 2017
+ FAO 365/2016 and C.M. Appl. 28056/2016
M/S. PERSONAGE SECURITY SERVICES & ORS...... Appellants
Through: Ms.Anjali Rajput, Advocate
versus
RAJWATI & ORS. ..... Respondents
Through: Ms. Suman Chauhan, Advocate
Ms. Pratishtha Vij, Advocate for
Mr.Sanjoy Gose, Advocate as amicus
curiae.
CORAM:
HON'BLE MR. JUSTICE J.R. MIDHA
JUDGMENT (ORAL)
1. The accident dated 2nd June, 2013 resulted in the death of Gajey
Singh. Under Section 4A of the Employee's Compensation Act, the
compensation amount had to be deposited by the appellants immediately
when it fell due. However, the appellant defaulted in depositing
compensation amount with the Commissioner, Employees' Compensation.
2. Respondents no.1 and 2 filed a claim application before the
Commissioner, Employees' Compensation which was allowed on 26 th May,
2017 in pursuance to which the compensation amount was deposited by the
appellants on 2nd August, 2016 and the same was disbursed by this Court
vide order dated 27th February, 2017.
3. Vide order dated 27th February, 2017, show cause notice was issued to
the appellant to show cause as to why the penalty be not imposed under the
proviso to Section 4A(3)(b) of the Employee's Compensation Act.
4. Learned counsel for the appellant submits that the appellant deposited
the compensation amount in terms of the order dated 26 th May, 2016. It is
further submitted that the appellant incurred Rs.70,000/- towards the medical
expenses as well as the expenses for transporting the dead body of the
deceased to his home town after the accident. Learned counsel for the
appellant submits that a lenient view be taken in imposing the penalty.
5. Respondents no.1 and 2 are present in Court and they submit that they
received only Rs.5,000/- towards the expenses for transportation of the dead
body.
6. Under the proviso to Section 4A(3)(b) of the Employee's
Compensation Act, this Court is empowered to impose penalty upto 50% of
the compensation amount i.e. Rs.2,30,050/-.
7. In the facts and circumstances of this case, the penalty of Rs.2 lakh is
imposed on the appellants under the proviso to Section 4A(3)(b) of the
Employee's Compensation Act. The appellants are granted four weeks time
to deposit the penalty amount of Rs.2 lakh with State Bank of India, Pushp
Vihar Branch by means of a cheque drawn in the name of State Bank of
India A/c Rajwati.
8. Upon the aforesaid amount being deposited, State Bank of India,
Pushp Vihar Branch shall release Rs.25,000/- to Rajwati by transferring the
same to her savings bank A/c No.1211000100789495 with Punjab National
Bank, Branch Babri (UP), Village and P.O.: Babri, Distt. Muzaffarnagar-
251305 (IFSC Code: PUNB0121100).
9. The balance amount of Rs.1,75,000/- be kept in 7 FDRs of
Rs.25,000/- each for the period 1 year to 7 years respectively with
cumulative interest.
10. The original FDRs shall remain with State Bank of India, Pushp Vihar
Branch. However, the statement giving the particulars of the FDR number,
amount, date of maturity and maturity amount be furnished to respondent
No.1.
11. The maturity amount of each FDR be transferred to the savings bank
account of respondent No.1 along with interest thereon.
12. No loan or advance or pre-mature discharge of FDR be permitted to
respondent No. 1 without permission of this Court.
13. No cheque book or debit card be issued to the respondent No.1
without permission of this Court. However, in case the debit card and/or
cheque book have already been issued, the Punjab National Bank, Branch
Babri (UP), Village and P.O.: Babri, Distt. Muzaffarnagar-251305 is
directed to cancel them.
14. Learned counsel for respondent no.1 submits that State Bank of India,
Pushp Vihar Branch has not issued the statement containing the particulars
of 120 FDRs number, amount, date of maturity and maturity amount to
respondent no.1 in terms of para 12 of the order dated 27th February, 2017.
State Bank of India, Pushp Vihar Branch is again directed to furnish the
statement containing the particulars of 120 FDRs as well as 7 FDRs directed
to be issued today namely, FDR number, FDR amount, date of maturity and
maturity amount to respondent no.1 within a period of one week from today.
Copy of the statement be also sent to this Court before the next date of
hearing.
15. The appeal is disposed of in the above terms. The pending application
is disposed of.
16. List for reporting compliance on 13th September, 2017.
17. Copy of this order be given dasti to counsel for the parties under the
signature of the Court Master.
18. Copy of this order as well as order dated 27th July, 2017 be sent to
State Bank of India, Pushp Vihar Branch for compliance.
JULY 26, 2017 J.R. MIDHA, J.
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