Sunday, 10, May, 2026
 
 
 
Expand O P Jindal Global University
 
  
  
 
 
 

M/S.Bajaj Allianz General ... vs K.Alagesan
2021 Latest Caselaw 24226 Mad

Citation : 2021 Latest Caselaw 24226 Mad
Judgement Date : 9 December, 2021

Madras High Court
M/S.Bajaj Allianz General ... vs K.Alagesan on 9 December, 2021
                                                                                  CMA No.719 of 2020

                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                 DATED: 09.12.2021

                                                      CORAM:

                                  THE HONOURABLE MR.JUSTICE R.SUBRAMANIAN

                                               C.M.A.No.719 of 2020
                                                       and
                                               C.M.P.No.4391 of 2020

                     M/s.Bajaj Allianz General Insurance Company Ltd.,
                     'Prince Towers', IV Floor, No.25/26, College Road,
                     Nungambakkam, Chennai – 600 006.
                                                                                  ... Appellant


                                                          Vs

                     1.K.Alagesan

                     2.G.Kesavan                                                  ... Respondents

                     Prayer:       Civil Miscellaneous Appeal filed under Section 30 of the
                     Employees Compensation Act, 1923, praying to set aside the final award
                     dated 30th August, 2017, passed in E.C.No.334 of 2006, by the learned
                     Commissioner for Employees Compensation, (Deputy Commissioner of
                     Labour – I), at Chennai and to dismiss the claim petition.




                     1/12


https://www.mhc.tn.gov.in/judis
                                                                                     CMA No.719 of 2020

                                  For Appellant     : Mr.J.Michael Visuvasam

                                  For Respondents : Mrs.M.Salim Fathima for R1
                                                        R2 – No appearance

                                                       *********
                                                     JUDGMENT

The Insurance Company challenges the award of a sum of

Rs.2,16,821/- towards loss of earning capacity to the 1st respondent who laid

a claim before the Commissioner for Employees Compensation in

W.C.No.334 of 2006.

2. According to the claimant, while he was travelling as a cleaner,

in the mini load auto bearing Reg.No.TN-04-S-3070, owned and driven by

the 2nd respondent, due to the rash and negligent driving of the 2 nd

respondent, the vehicle capsized and the 1st respondent suffered very

grievous injuries. He was taken to Rajiv Gandhi Government General

Hospital, Chennai, where he was treated as inpatient between 18.03.2006

and 11.04.2006. Contending that the injuries had resulted in loss of earning

capacity, the 1st respondent sought for compensation.

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

3. The claim was resisted by the Insurance Company contending

that the claimant was not an employee of the 2nd respondent herein and that

he was a gratuitous passenger. Realizing that he will not be favoured with

an award before the Motor Accidents Claims Tribunal, the claimant had

chosen to approach the Commissioner for Employees Compensation,

claiming to have been employed as a cleaner in the vehicle. It was also

contended that the loss of earning capacity is exaggerated and thus, the

compensation claimed is on the higher side.

4. At trial, the claimant examined himself as PW1 and

Dr.J.R.R.Thiyagarajan was examined as PW2. Ex.P1 to Ex.P10 were

marked. While one Anandhan and one Suresh were examined as RW1 and

RW2. Kesavan, the owner of the vehicle was examined as RW3.

5. The Tribunal upon consideration of the evidence, dis-believed

the evidence of RW3, who deposed that the injured was not employed under

him and held that the Insurance Company would be liable to pay the

compensation. The evidence of RW3 was disbelieved on the ground that

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

RW3 had not sent a reply to the notice sent by the claimant, RW3 had in

Ex.R3 admitted that he had taken the claimant to the hospital and taken care

of the medical expenses and had paid an ex-gratia of Rs.5,000/-.

6. The contents of the FIR which describes the claimant/ 1st

respondent as the employee of RW3 was also relied upon by the Tribunal to

buttress its conclusion that the evidence of RW3 to the effect that the

claimant was not his employee is incorrect. The fact that the said letter

emanated on 15.03.2007 after the filing of the original petition was also

taken note of by the Tribunal.

7. On the quantum, the Tribunal concluded that the percentage of

disability or loss of earning capacity caused by this injuries would be 45%.

Taking the age of the petitioner into account, the Tribunal adopted the age

factor at 224 and took the monthly income at Rs.3,585/-. Applying the

formula, the Tribunal awarded a compensation of Rs.2,16,821/-.

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

8. Mr.J.Michael Visuvasam, learned counsel appearing for the

Insurance Company would vehemently contend that the Tribunal was not

right in taking the disability at 45%. He would point out that the Doctor,

who was examined had not treated the claimant. He would also rely upon

the discharge summary, to show that though there were two fractures in the

left leg both of them were treated and considering the age of the injured/

claimant the possibility of permanent disability, which would have impact

on the earning capacity, is less. He would also point out that the discharge

summary itself shows that Skin grafting was also done, therefore there is no

possibility of there being any disfigurement. Taking me through the

discharge summary Mr.J.Michael Visuvasam would submit that considering

the nature of the injuries, surgeries done and the age of the 1st respondent at

the time of the accident, the Commissioner was not right in fixing 45% as

disability. He would add that the Tribunal was not justified in dis-believing

the evidence of RW3, the owner of the vehicle. Mere payment of medical

expenses and some amount as exgratia would not confer the status of

employee on the injured.

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

9. Contending contra Mrs.Salim Fathima, learned counsel

appearing for the 1st respondent/claimant would submit that the reasons

assigned by the Commissioner for Employees Compensation for dis-

believing the evidence of RW3 are sound and as such, the findings does not

call for any interference. She would also point out that Ex.R3 letter has

been obtained after filing of the claim petition and therefore the evidenciary

value of the same is very meager. The learned counsel would also further

contend that the conduct of the 2nd respondent in not replying to the notice

and admitting that he had spent for the medical expenses and he has also

made ex-gratia payment would show that the injured was actually employed

with him. On the quantum, the learned counsel would submit that the

Doctor has fixed the disability at 50%, when it is taken at 45%, therefore the

award actually does not call for any interference.

10. I have considered the rival submission. On the question of

liability, I do not think I can concur with the contentions of Mr.J.Michael

Visuvasam. No doubt, the Insurance Company was able to create a doubt in

the mind of the Commissioner or the mind of the Court regarding the

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

capacity under which the injure had travelled in the vehicle on the fateful

day. But, the same cannot be a ground to completely absolve the Insurance

Company from liability.

11. The accident had occurred between 1.00 a.m. and 2.00 a.m. in

the morning. A person as a gratuitous passenger, in a goods vehicle, at such

odd hours itself is improbable, unless, the person is connected with the

business or the purpose for which the trip is undertaken. It is also seen from

the records that the owner of the vehicle had taken both the injured persons

to the hospital and he had also stated that he has taken care of the medical

expenses of both the injured persons and paid certain amount as ex gratia to

both the persons. While he admitted the employment of one, denies the

employment of the other.

12. The fact that 2nd respondent has not replied to the notice sent

by the 1st respondent claiming compensation raises very serious doubts

about the reliability of his deposition made before the Commissioner. When

there is no direct evidence available, the Court has to go by preponderance

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

of probabilities. If we are to go by preponderance of probabilities in the

case on hand, the scale definitely tilts in favour of the 1 st respondent/ injured

employee. I therefore do not see any reason to interfere with the findings of

the Commissioner on the question of liability.

13. On the quantum, I find some force in the contention of the

counsel for the Insurance Company. No doubt, there were two fractures of

the bones in leg viz., fibula and tibia. It is seen from the discharge summary

that the necessary treatment or necessary surgeries required to set right the

fractures have been done. The age of the injured was also only 20 years at

the time of the accident. Therefore, the healing process would be much

faster and there is possibility of complete healing also.

14. Though Dr.J.R.R.Thiyagarajan has spoken about the

functional disability to the effect that he is unable to stretch his legs or fold

his legs, I am unable to agree with the said evidence. Looking at the

discharge summary, the fractures were in the fibula and tibia, which had

nothing to do with the knee. Therefore the claim of the Doctor that he

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

cannot fold his legs beyond 80 degrees or stretch his legs cannot be

accepted. The Doctor also accepts that there is no shortening of limb due to

the accident. These factors put together would show that the Doctor has

attempted to enhance the percentage of disability, in order to enhance the

quantum of compensation. I am therefore of the opinion that the percentage

of disability or the percentage of loss of earning capacity has to be reduced.

15. Considering the nature of the injuries that are reflected by the

discharge summary, I am of the opinion that the permanent disability can be

fixed at 30%. If the loss of earning capacity is fixed at 30%, the

compensation payable would be as follows:-

---- x 3585 x 224 x ----- = 1,44,547.20/=

16. The appeal is therefore allowed in part. The compensation

payable is fixed at Rs.1,44,547.20/- and the same is rounded off to

Rs.1,44,500/-. The interest awarded by the Commissioner is confirmed. No

costs. Consequently, connected miscellaneous petition is closed. It is stated

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

that the Insurance Company has deposited the entire amount with interest.

The amount remaining after disbursement of the compensation fixed herein,

shall be paid over to the Insurance Company.

09.12.2021 Index: No Speaking order dsa

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

To

The Commissioner for Employees Compensation, Deputy Commissioner of Labour – I, Chennai.

https://www.mhc.tn.gov.in/judis CMA No.719 of 2020

R.SUBRAMANIAN, J.

dsa

CMA No.719 of 2020

09.12.2021

https://www.mhc.tn.gov.in/judis

 
Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 

LatestLaws Partner Event : IJJ

 

LatestLaws Partner Event : Smt. Nirmala Devi Bam Memorial International Moot Court Competition

 
 
Latestlaws Newsletter