Citation : 2021 Latest Caselaw 233 Kant
Judgement Date : 6 January, 2021
IN THE HIGH COURT OF KARNATAKA
DHARWAD BENCH
DATED THIS THE 6TH DAY OF JANUARY 2021
BEFORE
THE HON'BLE MR.JUSTICE RAVI V.HOSMANI
M.F.A No.103615/2016 (WC)
BETWEEN:
The Director,
Sandur Udyog Private Limited,
Sandur Post, Ballari District.
... Appellant
(By Sri. Ravi Hegde, Advocate)
AND
1) T. Chidanandappa,
S/o. T. Tayappa,
Aged about 32 years,
Occ: Mechanic/Operator in
SUPL Company Sandur,
R/o. Subbarayanahalli,
Sandur Taluk,
Ballari District.
2) M/s. United India Insurance Co., Ltd.,
By its Branch Manager,
Ballari. . . . Respondents
(By Sri. Amaregouda, Advocate for R1; Sri. S.K. Kayakamath,
Advocate for R2)
2
This appeal is fired under Section 30(1) of the Employees
Compensation Act, 1923, against the judgment and award dated
26.04.2016, passed in ECA No.101/2014, on the file of the I
Additional Senior Civil Judge and Member, MACT -V, Ballari
awarding compensation of Rs.74,872/- with interest at 12% p.a.
from the date of accident till its realization.
This MFA coming on for Admission, this day, the Court
delivered the following:
JUDGMENT
Heard the learned counsel.
2. This appeal is filed challenging the award dated
26.04.2016 passed by the Additional Senior Civil Judge
and MACT-V at Ballari in ECA No.101/2014.
3. Brief facts leading to filing of this appeal are
that respondent No.1, who was working as a Mechanic
cum Operator under the appellant, on 24.09.1999 while he
was so working, due to slip of compressor which hit him,
sustained injuries to his trunk and pelvic region.
Immediately, thereafter he took treatment at VIMS
Hospital, Bellari. However, despite treatment, he
sustained permanent disability. Hence, he filed application
No.791/1999 under Section 10 of Workmen's
Compensation Act, 1923 (hereinafter referred to as 'W.C.
Act' for short) seeking compensation from the employer
and insurer. After consideration an award dated
23.02.2004 came to be passed determining the
compensation of Rs.74,872/- with interest @ 12% per
annum against the appellant herein. Respondent No.2
insurer was absolved of its liability as there was no
insurance coverage.
4. Challenging the said award the appellant had
earlier filed MFA No.10155/2006 contending that due to
incorrect description of name of appellant Company, it
was denied an opportunity of participation in the
proceedings. The appeal was allowed on 29.11.2010 and
matter was remanded for passing fresh award after giving
an opportunity to appellant to cross examine workman
witnesses and also to lead evidence.
5. Subsequent to remand, claimant has got himself
examined as PW-1 and marked exhibits P.1 to P.6. The
Doctor who assessed the disability of the claimant is
examined as PW.2. Thereafter, appellant examined one of
its Officials as RW-1. RW-1 in his evidence disputed the
incident on the ground that there was no drizzling as
alleged by petitioner in application, during May 1999 and
contended that the accident did not occur during the
course of employment and it was not arising out of
employment. However, RW-1 admitted the employment of
the claimant on a monthly salary of Rs.975/- and
subsidized ration. But disputed the payment of bhata of
Rs.20/- per day.
6. On consideration, Tribunal was pleased to take
age of claimant as 30 years based on Exs.P.2 and P.3-
medical records, considering disability of 30% as assessed
by PW-2-Doctor, and by considering his monthly income
as Rs.2,000/-, the minimum wages prevailing on date of
accident, determined total compensation of Rs.74,872/-
with interest at the rate of 12% from the date of accident
till realization. Challenging the same the employer is in
appeal.
7. Learned counsel Sri. Ravi Hegde submitted that
even after remand by this Court, there was absolutely no
application or any measures taken by claimants to amend
the claim petition, but there was an amendment in the
claim petition not supported by any application or order of
the Tribunal and hence the award passed against the
appellant would be illegal. Apart from said contention, it
was submitted that claimant did not establish that
accident in question occurred during employment and
arose out of employment and that the Tribunal was not
justified in holding that accident occurred during course of
employment and out of employment.
8. Learned counsel further submitted that the
impugned award is contrary to judgment of Hon'ble
Supreme Court in Oriental Insurance Company Limited
Vs. Siby George and others reported in (2012) 12 SCC
540, insofar as award of interest from date of accident
and same is also required to be considered in this appeal.
Learned counsel submitted that the following substantial
questions of law arose for consideration in this appeal.
(1) Whether the trial Judge was justified in permitting to change name of appellant in impugned judgment without any specific orders passed on any application for correction?
(2) Whether the impugned award is/was sustainable without the trial Court recording a finding that the accident arose during the course of and out of employment?
(3) Whether the trial Judge was justified in accepting the extent of disability assessed by PW-2 - Doctor without any corroboration?
(4) Whether the impugned award is justified in directing payment of interest from date of accident instead of ordering it payable from 30 days after date of award?
9. On the other hand, Sri. Amaregouda, learned
counsel submitted that claimants had led evidence and
produced copy of the MLC report as Ex.P.1, copy of
discharge summary issued by hospital as Exs.P.2 and P.3
respectively, Ration card issued by the employer for
subsidized ration as Ex.P.4, Disability certificate issued by
Doctor as Ex.P.5 and X.ray as Ex.P.6. The said documents
establish that the workman sustained injuries due to an
accident that had occurred during employment and
therefore the assessment made by the doctor was just and
proper and no substantial question of law arose for
consideration of this appeal.
10. Learned counsel for respondent No.2 - insurer
submitted that he was a formal party in this appeal, as
there was no liability and no insurance policy issued to
cover the risk of accident in question.
11. Heard the learned counsel appearing for the
parties and perused the impugned order.
12. From the above it is seen that the appellant is
disputing relationship of employer and employee, and the
injuries suffered by claimant caused during the course of
employment and out of employment. It is also disputing
the extent of disability and the date from which it is liable
to pay interest.
13. Though the appellant has contended that the
name of the appellant was changed without any orders, it
is seen from the records that the Commissioner for
Workmen's Compensation had on an earlier occasion
passed an award in W.C.No.791/1999 against the
Director, Skand Udyog Pvt., Ltd., Sandur. The appellant
challenged the same in M.F.A.No.10155/2006 on the
ground that the description of the appellant was not
correct and it had succeeded in getting the matter
remanded back to the Commissioner. Pursuant to order
passed in M.F.A.No.10155/2006, the appellant had
entered appearance and contested the matter before the
trial Court. No objection was raised about correction of its
name. The appellant, in any case, availed opportunity
before the trial Court. The above contention is purely
technical and not substantive, therefore, the same does
not merit consideration.
14. The claimant in the application and in his
evidence has stated that he was working with the
appellant as an operator. In order to establish his
employment, he has produced Ex.P.4 - the Ration Card
issued by the employer to avail subsidized grains to its
employees. It bears the name of the claimant. Even
Ex.P.1 MLC report mentions history of injury as fall while
working in Sandur Udyog Pvt., Ltd., Sandur. The medical
records Ex.P.2 and P.3 corroborate the treatment taken to
the injury mentioned in Ex.P.1. Hence, from Ex.P.1 to P.4,
it can be ascertained that the claimant was an employee
of the appellant and suffered injury during course of
employment. Though a feeble attempt is made to contend
that the accident did not occur out of employment as the
claimant stated that he was injured by compressor hitting
him while he was blowing air into the tyres of lorry, the
fact that the said work was being undertaken by the
claimant during employment presumes the same to be on
instructions of the employer. The incident occurred inside
the premises belonging to appellant. In the absence of
any specific evidence on the part of the appellant, the
finding of the trial Judge on this aspect does not call for
any interference.
15. Insofar as the percentage of disability, Ex.P.5
mentions claimant sustained following injuries:
1) Scar (operated) on the back in the
midline.
2) Spasm of muscles of back.
3) Paresis of both lower limbs IV to V.
4) Restriction of movements of back.
5) Difficulty in carrying heavy objects.
6) X-ray shows compression of L3 with
instill mentalins (implants).
16. The Doctor examined as PW-2 certified that
disability suffered by claimant due to above injuries as
permanent in nature to the extent of 30% to the limb. The
same is supported by the X-ray film produced as Ex.P.6.
The appellant has utterly failed to establish that the
percentage of disability assessed by PW-2 as not being
supported by the facts or being excessive. Therefore,
assessment of compensation by Tribunal is just and
proper. In view of the fact that there is no insurance
coverage, fastening of the liability to pay compensation on
the appellant is also just and proper.
17. In view of the above, it is held that the
proposed substantial questions of law with regard to
relationship of employer and employee, alteration of name
of appellant, assessment of disability do not arise for
consideration in this appeal.
18. However, insofar as the award of interest from
the date of accident, the Hon'ble Supreme Court in Siby
George's case (supra) has held that the same would be
payable from 30 days after the accident, referring to sub-
section (3) of Section 4 of the Workmen's Compensation
Act, 1923. In the case on hand, the trial Judge has
ordered the same to be payable from the date of accident.
The same is contrary to the provision of law and also the
judgment of the Hon'ble Supreme Court. Hence, the
substantial question of law proposed for consideration
with regard to interest only is held arising for
consideration in this appeal. Referring to Siby George
(supra), it is answered in favour of the appellant.
19. In the result, appeal is allowed in part only
insofar as interest on the award. It is held that interest on
the compensation is payable from 30 days after the date
of accident.
No order as to costs.
The amount in deposit, if any, is ordered to be
transferred to the trial Court for payment.
Sd/-
JUDGE
BVK
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