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M/S.The New India Assurance vs Thiru.P.Elangovan
2021 Latest Caselaw 2922 Mad

Citation : 2021 Latest Caselaw 2922 Mad
Judgement Date : 8 February, 2021

Madras High Court
M/S.The New India Assurance vs Thiru.P.Elangovan on 8 February, 2021
                                                                               C.M.A.No.2007 of 2017

                                   IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                 DATED : 08.02.2021

                                                      CORAM

                            THE HONOURABLE MR.JUSTICE S.M.SUBRAMANIAM

                                               C.M.A.No.2007 of 2017
                                                        and
                                               C.M.P.No.10820 of 2017

                     M/s.The New India Assurance
                     Company Ltd.,
                     'Motor Third' Party Claims Hub',
                     No.45, Moore Street,
                     Chennai – 600 001
                     ..Appellant

                                                          Vs.
                     1.Thiru.P.Elangovan
                     2.M/s.T.S.M.Cargo Movers,
                       No.25/1, Dr.Ambedkar Nagar,
                       100 feet Road,
                       Kolathur,
                       Chennai – 600 009
                     ..Respondents

                     Prayer : Civil Miscellaneous Appeal filed under Section 30 of the
                     Employees Compensation Act, against the Final Award dated 20th
                     September, 2016, (received on 16.03.2017), passed by the
                     Commissioner for Employees Compensation (Deputy Commissioner of
                     Labour-II, Chennai), in E.C.No.331 of 2013.

                                      For Appellant   :         Mr.J.Michael Visuvasam
                                      For Respondents :         Mr.K.Varadhakamaraj
                                                                [For R1]

                     1/6
https://www.mhc.tn.gov.in/judis/
                                                                               C.M.A.No.2007 of 2017

                                                              Mr.G.David
                                                              [For R2]

                                                JUDGMENT

The Award dated 20.09.2016 passed in E.C.No.331 of 2013 is

under challenge in the present Civil Miscellaneous Appeal.

2. M/s. The New India Assurance Company Limited is the

appellant and the Substantial Question of law raised is that whether the

Learned Deputy Commissioner of Labour was correct in determining the

loss of earning capacity of the I Respondent at 75%, when the medical

practitioner examined as Aw2 has not assessed the functional

disablement and the resultant loss of earning capacity in terms of

Section.4 (1)(c)(ii) of the WC Act; whether the Learned Deputy

Commissioner was right in determining the loss of earning capacity at

75%, when the PW2 – Doctor had failed to follow Explanation II to

Section.4(1)(c)(ii) of the Employees Compensation Act, 1923.

3. The learned counsel appearing on behalf of the appellant mainly

contended that the respondent/claimant suffered two accidents. The First

Accident occurred and in respect of the first accident, the appellant/New

https://www.mhc.tn.gov.in/judis/ C.M.A.No.2007 of 2017

India Assurance Company is liable to pay compensation. Thereafter, the

second accident occurred within a short span of time and therefore, the

loss of earning capacity of 75% is no way connected with the accident

occurred in a vehicle, which was insured with the appellant/New India

Assurance Company. In other words, the learned counsel for the

appellant is of an opinion that as far as the first accident is concerned,

the claimant sustained injuries, which is not so serious. During the

second accident, he sustained further injuries, which became grievous

and therefore, the fixation of 75% towards loss of earning capacity by

taking into consideration the second accident is improper and therefore,

the appellant/Insurance company is constrained to move the present

appeal. When the respondent/claimant met with two accidents and the

overall loss of earning capacity is 75%, the Insurance company is not

liable to pay the entire percentage of earning capacity as the appellant

company is liable to pay compensation in respect of the first accident

and they are not liable to pay compensation with reference to the second

accident suffered by the claimant.

https://www.mhc.tn.gov.in/judis/ C.M.A.No.2007 of 2017

4. The learned counsel for the appellant is of an opinion that 50%

of the loss of earning capacity may be appropriate, this Court is of an

opinion that 50% of loss of earning capacity is just and reasonable.

Thus, the same is to be accepted.

5. In this view of this matter, the award dated 20.09.2016 passed

in E.C.No.331 of 2013 is to be modified and 75% of loss of earning

capacity fixed by the Deputy Commissioner of Labour is modified as

50% and accordingly, the first respondent/claimant is entitled for 50%

towards the loss of earning capacity. Thus, the respondent/claimant is

entitled for a total compensation of Rs.2,65,646/-(Rupees Two Lakhs

Sixty Five Thousand Six Hundred and Forty Six only) along with the

interest at the rate of 12% per annum on expiry of 30 days from the date

of accident.

6. Thus, the Award dated 20.09.2016 passed in E.C.No.331 of

2013 is modified and the Civil Miscellaneous Appeal No.2007 of 2017

stands allowed in part. The respondent/claimant is permitted to withdraw

the balance amount along with the interest at the rate of 12% from the

https://www.mhc.tn.gov.in/judis/ C.M.A.No.2007 of 2017

date of expiry of 30 days from the date of accident and the balance

deposit, if any, is to be returned to the appellant/New India Assurance

company and the respective parties are bound to file appropriate

application and the payments are to be made through RTGS. No costs.

Consequently, connected miscellaneous petition is closed.

08.02.2021

kak Index: Yes/No Internet:Yes/No

To The Commissioner for Employees Compensation, (Deputy Commissioner of Labour-II) Chennai.

https://www.mhc.tn.gov.in/judis/ C.M.A.No.2007 of 2017

S.M.SUBRAMANIAM, J.

kak

C.M.A.No.2007 of 2017

08.02.2021

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

 
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