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The Chairman And Managing Director vs Smt. Kalyani
2024 Latest Caselaw 10086 Kant

Citation : 2024 Latest Caselaw 10086 Kant
Judgement Date : 8 April, 2024

Karnataka High Court

The Chairman And Managing Director vs Smt. Kalyani on 8 April, 2024

                                                  -1-
                                                              NC: 2024:KHC:14770
                                                            MFA No. 164 of 2017




                          IN THE HIGH COURT OF KARNATAKA AT BENGALURU

                                 DATED THIS THE 8TH DAY OF APRIL, 2024

                                                BEFORE
                             THE HON'BLE MR JUSTICE VENKATESH NAIK T
                        MISCELLANEOUS FIRST APPEAL NO.164 OF 2017(WC-SJ)
                      BETWEEN:

                         THE CHAIRMAN AND MANAGING DIRECTOR
                         M/S PVS BEEDIES PVT LTD.,
                         PVS SADAN, KODIALBAIL
                         MANGALORE-575 003
                         D.K.DISTRICT.
                                                                     ...APPELLANT
                         (BY SRI HARSHA G., ADVOCATE FOR
                             SRI SACHIN B.S., ADVOCATE)

                      AND:

                         SMT. KALYANI
                         W/O. VENKAPPA MOOLYA
                         AGED ABOUT 55 YEARS
                         MITHAPARARI, MODANKAPU POST
                         BANTWAL TALUK-574 219
                         D.K.DISTRICT.
                                                                   ...RESPONDENT
Digitally signed by
MOUNESHWARAPPA
NAGARATHNA               (BY SRI ABHISHEK SHETTY., ADVOCATE FOR
Location: HIGH
COURT OF
                             SRI DHANANJAY KUMAR., ADVOCATE)
KARNATAKA

                           THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER
                      SECTION 30(1) OF W.C. ACT AGAINST THE JUDGMENT AND AWARD
                      DATED 24.08.2016 PASSED IN ECA.NO.10/2014 ON THE FILE OF
                      THE PRINCIPAL SENIOR CIVIL JUDGE AND J.M.F.C., BANTWAL,
                      D.K, AWARDING COMPENSATION OF RS. 3,73,351.80/- WITH
                      INTEREST AT 12% P.A. FROM THE DATE OF DEATH TILL
                      REALIZATION.

                           THIS MISCELLANEOUS FIRST APPEAL IS COMING ON FOR
                      FINAL HEARING, THIS DAY, THE COURT DELIVERED THE
                      FOLLOWING:
                               -2-
                                           NC: 2024:KHC:14770
                                         MFA No. 164 of 2017




                          JUDGMENT

This appeal is filed by the appellant-The Chairman and

Managing Director, M/s. PVS Beedies Pvt. Ltd., Mangaluru,

aggrieved by the judgment and award dated 24.08.2016

passed in ECA.No.10/2014 by MACT-IX and Prl. Senior Civil

Judge & JMFC, Bantwal, Dakshina Kannada.

2. The claim petition was filed before the tribunal under

Rules 8 to 21 of Karnataka Workmen's Compensation Rules,

1966 and Section 22 of Employees Compensation Act,1923 by

the wife of deceased Venkappa Moolya seeking compensation

on account of death of her husband, Venkappa Moolya. The

present appeal is filed under section 30(1) of Workmen

Compensation Act, 1923.

3. Respondent Smt. Kalyani, wife of deceased Venkappa

Moolya filed a petition before MACT, Bantwal, Dakshina

Kannada contending that she is the wife of deceased Venkappa

Moolya and deceased Venkappa Moolya was entrusted with the

work of mixing tobacco for the preparation of beedi and other

allied work. Prior to his death, deceased was hale and healthy.

On 14.11.2010, deceased suffered heart disease and was

NC: 2024:KHC:14770

treated in Omega Hospital (P) Ltd., as inpatient till 19.11.2011.

After surgery, he was discharged and was working in the

factory. On 28.02.2011, he tendered resignation and

thereafter, he was again admitted to Kshema Hospital,

Deralakatte on 18.03.2011 as inpatient and he succumbed to

the injuries on 09.04.2011. Hence, the claimant, being the

dependent of deceased Venkappa Moolya filed a petition before

the tribunal. The tribunal considering the material available on

record granted compensation of Rs.3,73,353,80/- to the

claimant with 12 @ p.a. from the date of death till realization.

4. Being aggrieved by the award passed by the tribunal,

the Chairman & Managing Director, M/s. PVS Beedies (P) Ltd.,

filed this appeal contending that the award passed by the

tribunal is contrary to law. The tribunal has considered

irrelevant material and inspite of there being dispute as to

employee and employer relationship, when the claim petition

itself was not maintainable, the tribunal has erred in

entertaining the petition filed by the respondent. Under such

circumstances, the impugned judgment and award passed by

the tribunal is without jurisdiction. The respondent has not

placed any evidence to substantiate that deceased Venkappa

NC: 2024:KHC:14770

Moolya was suffering from occupational disease and there is no

connection between his death and employment. The

respondent has not examined the doctor to prove the fact that

Venkappa Moolya was suffering from occupational disease. The

tribunal came to conclusion that the death of Venkappa Moolya

was not an accident that had taken place during the course of

his employment and his death was due to occupational disease.

It is contended that deceased was suffering from lungs

problem. Hence, the claimant is not eligible for any

compensation. However, the tribunal has awarded

compensation which requires interference of this Court.

5. Learned counsel for the respondent/claimant

contended that deceased Venkappa Moolya was entrusted with

mixing of tobacco and other allied work. The deceased died on

09.04.2011 due to inhalation of tobacco dust during his service

to the appellant Factory. Therefore, the tribunal based on oral

and documentary evidence on record has rightly granted

compensation to the claimant. Hence, prayed to dismiss the

appeal.

NC: 2024:KHC:14770

6. Heard learned counsel appearing for the claimant and

learned counsel for the respondent and perused the judgment

and award of the tribunal.

7. As there is no dispute regarding the death of deceased

Venkappa Moolya, the only dispute by the appellant-company is

that death of deceased was not due to inhalation of tobacco

dust. Hence, the only point that arises for Court's consideration

in this appeal is:-

1. Whether the claimant proves that there was

employee-employer relationship as on the date

of death of deceased Venkappa Moolya?

2. Whether the appellant proves that the judgment

and award passed by the tribunal requires

interference?

8. After hearing learned counsel appearing for the parties

and perusing the judgment and award by the tribunal, the first

point that arises for consideration is deceased Venkappa Moolya

was working in the factory of the appellant of mixing of tobacco

for the purpose of rolling beedies and this fact has been

NC: 2024:KHC:14770

admitted by the appellant in Ex-P9 reply notice given by it. The

contents of para Nos.1 and 4(a) of Ex.P9 is as under:

"1. The averments regarding period of service of your client in the Company of my client, and the nature of work performed by him are not disputed.

4(a). In the company of my client, Mr. Venkappa Moolya along with other workers were doing the work of mixing tobacco. He and other workers were provided with safety guards while doing their work."

In view of the admission made by appellant/factory in

Ex.P9, it is just and necessary to analyse the term 'employee'.

The term 'employee' has been defined under Section 2(1) (dd)

of Employees' Compensation Act, which reads as under:

2. xxxxxx

2. (dd)"Employee" means a person, who is--

(i)a railway servant as defined in clause (34) of section 2 of the Railways Act, 1989 (24 of 1989), not permanently employed in any administrative district or sub-divisional office of a railway and not employed in any such capacity as is specified in Schedule II; or

(ii)(a) a master, seaman or other members of the crew of a ship,

(b) a captain or other member of the crew of an aircraft,

NC: 2024:KHC:14770

(c) a person recruited as driver, helper, mechanic, cleaner or in any other capacity in connection with a motor vehicle,

(d)a person recruited for work abroad by a company, and who is employed outside India in any such capacity as is specified in Schedule II and the ship, aircraft or motor vehicle, or company, as the case may be, is registered in India; or

(iii)employed in any such capacity as is specified in Schedule II, whether the contract of employment was made before or after the passing of this Act and whether such contract is expressed or implied, oral or in writing; but does not include any person working in the capacity of a member of the Armed Forces of the Union; and any reference to any employee who has been injured shall, where the employee is dead, include a reference to his dependants or any of them;

Therefore, in view of the admissions made in Ex-P9 and

Section 2(1)(dd) of the Act, it clearly establishes that deceased

Venkappa Moolya was working in the factory of the appellant

for the purpose of mixing of tobacco.

9. From the perusal of the material available on record, it

establishes that before the death of deceased Venkappa

Moolya, he was working in the factory of the appellant for more

than 21 years and the deceased was entrusted with work of

mixing tobacco for the preparation of Beedi and other allied

work and thus, he developed heart disease five months prior to

his death. As per Ex.P3- discharge summary, the deceased

NC: 2024:KHC:14770

underwent heart surgery at Omega Hospital (P) Ltd, Mangaluru

and as per Exs.P4 and P5, discharge summaries, the deceased

took treatments at Justice K.S. Hegde Charitable Hospital,

Medical Sciences Complex, Deralakatte. Deceased was

discharged from Omega hospital on 19.11.2010 and he was

admitted to Justice K.S. Hedge Charitable Hospital, Mangaluru

on 18.03.2011 and discharged on 09.04.2011 and he retired

from service w.e.f. 28.02.2011. He died on 09.04.2011.

10. Learned counsel for the respondent-claimant

contended that before superannuation of deceased Venkappa

Moolya, he had already suffered heart disease and underwent

surgery due to tobacco mixing in the appellant's factory,

therefore, the employer is liable to pay the compensation if any

injury has occurred on account of employment under Section 3

of the Employees' Compensation Act and said injury is due to

inhalation of organic dust as per Sl.No.4 of PART C Schedule

III, for which, the employer is liable to pay the compensation.

Further, inhalation of tobacco dust for more than 21 years

leads to occupational disease and death of deceased Venkappa

Moolya has nexus with his earlier employment. From the

perusal of oral evidence at PW.1 and PW.2 and oral evidence of

NC: 2024:KHC:14770

RW-1, it clearly establishes that deceased Venkappa Moolya

was employee of appellant's factory. He worked for almost 21

years in the factory. As per the discharge summaries, during

the course of employment, the deceased underwent heart

surgery, which shows that there was nexus with his ill-health

and his work i.e., inhalation of tobacco dust.

11. In view of proviso to Section 3(1) (b) of the Act, if

the disease had direct nexus with other disease after

retirement, it has direct nexus with his employment and the

disease comes within PART C of Schedule III of the Act and the

alleged work of mixing tobacco would lead to inhalation of

organic dust and even after cessation of the said work, there

will be latent effect on the health of the employee. Further, the

deceased has worked for 21 years and he has consumed

organic dust in the factory, under such circumstances certainly,

the deceased becomes passive smoker and would affect his

health. Further, as per Ex-P5, deceased was suffering from

following disease i.e., 1. Septicaemia -b/c bronchopneumonia,

2. Metabolic encephalopathy-hyponatremia and 3. Acute IWM1-

Old IWMI thrombosis and post PTCA and as per Ex-P6-death

report, deceased Venkappa Moolya died due to bilateral

- 10 -

NC: 2024:KHC:14770

broncho-Pneumonia-Cepsis respiratory failure, Ischaemic Heart

disease-Acute Inferior wall Myocardial Infarction and Metabolic

encephalopathy and Chronic Obstructive pulmonary disease

and other disease, which occurred after retirement and

ultimately deceased died due to heart attack, which has got

direct nexus with inhalation of dust in the appellant factory.

12. In this case, the Tribunal considering Ex.P1- letter of

appellant and Ex.P2- the application of Smt. Kalyani, the

respondent, has held that, the appellant settled the pension of

respondent on 17.6.2011. As per Exs.P1 and P2, the age of

deceased was 58 years as on the date of his death and his

salary was at Rs.5,989/-. Therefore, the salary of deceased at

Rs.5,989/- can be taken into consideration as on 28.02.2011.

As per Schedule IV, the relevant factor which is applicable is

124.70 and 50% of the salary comes to Rs.2,994.5, which was

monthly wages of deceased workman multiplied by the relevant

factor or an amount of Rs.1,20,000/- whichever is more. This

implies that, his family received Rs.3,73,414.15(124.7 X

2,994.5).

13. Learned counsel for the appellant further contended

that all employees were provided with safety guards while

- 11 -

NC: 2024:KHC:14770

doing their work and they were provided with masks for

protection of the face from organic dust. But, from the perusal

of the material available on record, it appears that, no material

is produced by the appellant before the trial court as well

before this Court to prove the said fact.

14. As far as entitlement of compensation is concerned

based on Ex-P1 and P2 and the service tenure of deceased

Venkappa Moolya, relevant factor as shown in Schedule IV of

the Act and multiplier, the tribunal granted compensation of

Rs.3,73,353/- with interest at 12% p.a. from the date of death

till its realization, for which, no interference is called for. As

the appellant has not made out any grounds to set-aside the

judgment and award passed by the tribunal, I proceed to pass

the following:

ORDER The appeal is dismissed.

No order as to costs.

Sd/-

JUDGE

 
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