Citation : 2023 Latest Caselaw 13456 Mad
Judgement Date : 4 October, 2023
C.M.A.No.1382 of 2015
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 04.10.2023
CORAM
THE HONOURABLE MR.JUSTICE M.DHANDAPANI
C.M.A.No.1382 of 2015
And
C.M.P.No.15668 of 2023
The Management
Southern Tree Farms Ltd. ... Appellant
Vs.
1.Tmt.Savithri
2.Santhosh Kumar
3.Sajitha
4.The Manager,
M/s.United India Insurance Co.,
Ramchand Square,
Kothagiri,
Nilgiris District. ... Respondents
Prayer:
Civil Miscellaneous Appeal filed under Section 30 of the
Employees Compensation Act, 1923, against the order dated
25.04.2013 passed by the Hon'ble Deputy Labour Commissioner,
Coonoor in W.C.No.11 of 2011 under The Employee's Compensation
Act, 1923, (received by the appellant on 27.07.2013) seeking to set
aside the same.
1/10
https://www.mhc.tn.gov.in/judis
C.M.A.No.1382 of 2015
For Appellant : Mr.C.A.Diwakar
For Respondents : Mr.L.Mouli for R1 to R3
Mr.J.Chandran for R4
JUDGMENT
The first respondent Management before the Deputy Labour
Commissioner, Coonoor, is the appellant herein. This appeal has been
filed seeking to set aside the order dated 25.04.2013 passed by the
Court of Commissioner for Workmen Compensation/ Deputy Labour
Commissioner, Coonoor in W.C.No.11 of 2011 under The Employee's
Compensation Act, 1923, (received by the appellant on 27.07.2013).
2.The brief facts of the case is that the husband of the first
respondent namely, A.Mani was working in the appellant's Tea Factory
as Factory Mechanic. On 22.11.1996 at around 10.30 a.m., when he
was working in the tea factory a machine fell down on the back of his
body and he sustained serious injuries. He was immediately referred
to PSG Hospital, Coimbatore, where he was diagnosed to have
'postero-lateral disc prolase'. He underwent surgery and was
discharged on 04.12.1996. After the said treatment, the deceased
joined duty on 29.12.1996.
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
3.Thereafter, since the first respondent's husband was getting
regular pain on his back, he got treatment at the estate Hospital and
during the month of August, 2004 since his back pain was very
serious, he was referred to PSG Hospital, Coimbatore. On 29.04.2006
the first respondent's husband was examined by the PSG Hospital
Doctors and they certified that he suffer from Motor Neuron Disease –
amyotrophic lateral sclerosis and he was certified as 75% physical
disability and the same will increase over the period of time. On
27.12.2006 the first respondent's husband died.
4.Thereafter, respondents 1 to 3, who are the dependants of the
deceased A.Mani filed claim petition before the Court of Commissioner
for Workmen Compensation at Coonoor, claiming compensation of
Rs.6 Lakhs, in which, the appellant filed counter statement stating that
the accident took place due to the negligence of the deceased Mani
who failed to adhere to the standing instructions of the appellant
company during the course of employment and that the appellant has
taken policy for all the workers of the company for any accident and
the policy number is 170502/D/D/41/01/50/29/95 and if any claim has
to be made against the appellant, the United India Insurance
Company, Kotagiri is liable.
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
5.The fourth respondent United India Insurance Company had
filed counter statement before the Court of Commissioner for
Workmen Compensation contending that the deceased A.Mani died
only due to natural causes, due to disease and not due to any injuries
sustained by him in the accident on 22.11.1996 and hence, the
claimants are not entitled to any compensation.
6.After adjudication, the Court of Commissioner for Workmen
Compensation/ Deputy Labour Commissioner, Coonoor fixed a sum of
Rs.3,12,940/- + Rs.2,500/- for funeral expenses as compensation and
directed the appellant to deposit a sum of Rs.2,34,705/- and directed
the fourth respondent Insurance Company to deposit a sum of
Rs.80,735/- [Rs.78,235/- + Rs.2,500/- for funeral expenses] before
the Court of Commissioner for Workmen Compensation, by way of
demand draft, within a period of 30 days and also observed that in
default of such deposit, interest at the rate of 12% from the date of
the incident till the date of deposit will be recovered. Aggrieved by the
same, the appellant Management has filed this appeal.
7.The learned counsel appearing for the appellant submitted that
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
the appellant has taken policy for all the workers of the company for
any accident with the fourth respondent and continuously paid the
premium amount for all the workers. The Insurance Company did not
raise the plea before the Deputy Labour Commissioner that the policy
is limited policy.
8.The learned counsel appearing for the appellant further
submitted that the accident occurred on 22.11.1996 and the first
respondent's husband sustained serious injuries. Thereafter he
underwent surgery and was discharged on 04.12.1996 and he joined
duty on 29.12.1996. Thereafter, after taking continuous treatment,
the first respondent's husband died on 27.12.2006. Hence, the
Deputy Labour Commissioner rightly passed the order, but the Deputy
Labour Commissioner ought to have directed the Insurance Company
to deposit the entire compensation amount however, directed the
appellant to deposit a sum of Rs.2,34,705/-, which is not sustainable
one. The learned counsel further submitted that as ordered by the
Deputy Labour Commissioner, Coonoor, the appellant has deposited
the entire amount and pursuant to the order of this Court dated
08.07.2015 made in C.M.A.No.1382 of 2015, the claimants have
withdrawn the deposited amount.
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
9.The learned counsel appearing for the fourth respondent
Insurance Company fairly submitted that no such plea was taken by
the Insurance Company before the Deputy Labour Commissioner,
however, the policy was marked by the Insurance Company as Ex.R1
before the Deputy Labour Commissioner and after perusal of the
policy, the Deputy Labour Commissioner arrived at the conclusion and
directed the appellant to deposit a sum of Rs.80,735/-, which warrants
no interference.
10.Heard the arguments advanced on either side and perused
the materials available on record.
11.Admittedly, the first respondent's husband was working in the
appellant's Tea Factory as Factory Mechanic. On 22.11.1996 at around
10.30 a.m., when he was working in the tea factory a machine fell
down on the back of his body and he sustained serious injuries. He
was immediately referred to PSG Hospital, Coimbatore, where he was
diagnosed to have 'postero-lateral disc prolase'. He underwent
surgery and was discharged on 04.12.1996. After the said treatment,
the deceased joined duty on 29.12.1996.
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
12.Thereafter, since the first respondent's husband was getting
regular pain on his back, he got treatment at the estate Hospital and
during the month of August, 2004 since his back pain was very
serious, he was referred to PSG Hospital, Coimbatore. On 29.04.2006
the first respondent's husband was examined by the PSG Hospital
Doctors and they certified that he suffer from Motor Neuron Disease –
amyotrophic lateral sclerosis and he was certified as 75% physical
disability and the same will increase over the period of time. On
27.12.2006 the first respondent's husband died.
13.Thereafter, respondents 1 to 3, who are the Dependants of
the deceased A.Mani filed claim petition before the Court of
Commissioner for Workmen Compensation/ Deputy Labour
Commissioner, Coonoor, claiming compensation of Rs.6 Lakhs and the
Deputy Labour Commissioner vide order dated 25.04.2013 fixed a sum
of Rs.3,12,940/- + Rs.2,500/- for funeral expenses as compensation
and directed the appellant to deposit a sum of Rs.2,34,705/- and
directed the fourth respondent Insurance Company to deposit a sum of
Rs.80,735/- [Rs.78,235/- + Rs.2,500/- for funeral expenses] before
the Court of Commissioner for Workmen Compensation, by way of
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
demand draft.
14.This Court perused the counter statement filed by the fourth
respondent Insurance Company before the Court of Commissioner for
Workmen Compensation and it reveals that the Insurance Company
has not raised the plea that the policy is a limited policy. This Court
also perused the policy and it makes it clear that if any person in
service sustain injury in accident or death arrived out of the course of
employment. The appellant has taken the policy from 01.01.1996 to
31.12.1996.
15.In the present case, the accident took place on 22.11.1996.
The appellant Management has insured with the fourth respondent and
has paid the premium regularly. The first respondent's husband died
on 27.12.2006. Perusal of the entire policy disclose that the policy
was in force at the time of the death of the first respondent's husband.
Therefore, the fourth respondent cannot deny the payment of
compensation to the deceased family. Whatever claim raised by the
Dependants has to be adjudicated properly and the adjudicated
amount has to be necessarily paid by the fourth respondent. Hence
the impugned order is perverse and warrants interference.
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
16.This Court holds that the fourth respondent Insurance
Company is liable to pay the entire compensation. Since the appellant
has deposited the amount of Rs.2,34,705/- as ordered by the Deputy
Labour Commissioner, Coonoor and the claimants have withdrawn the
said amount, the fourth respondent Insurance Company is directed to
pay the amount of Rs.2,34,705/- (Rupees Two Lakhs Thirty Four
Thousand Seven Hundred and Five Only) to the appellant, within a
period of eight weeks from the date of receipt of a copy of this order
along with interest at the rate of 12% per annum from the date of
award till the date of realization.
17.The civil miscellaneous appeal is allowed on the above terms.
No costs. Consequently, the connected miscellaneous petition is
closed.
04.10.2023 pri
Speaking Order/ Non Speaking Order Index: Yes/ No Internet: Yes/ No
To
1.The Deputy Labour Commissioner, Coonoor.
https://www.mhc.tn.gov.in/judis C.M.A.No.1382 of 2015
M.DHANDAPANI,J.
pri
C.M.A.No.1382 of 2015 And C.M.P.No.15668 of 2023
04.10.2023
https://www.mhc.tn.gov.in/judis
Publish Your Article
Campus Ambassador
Media Partner
Campus Buzz
LatestLaws.com presents: Lexidem Offline Internship Program, 2026
LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!