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Iffco Tokyo General Insurance vs Chellam
2024 Latest Caselaw 312 Mad

Citation : 2024 Latest Caselaw 312 Mad
Judgement Date : 5 January, 2024

Madras High Court

Iffco Tokyo General Insurance vs Chellam on 5 January, 2024

                                                                         C.M.A.(MD).No.836 of 2011




                       BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

                                        RESERVED ON           : 06.12.2023

                                        PRONOUNCED ON : 05.01.2024

                                                    CORAM:

                           THE HONOURABLE MRS.JUSTICE L.VICTORIA GOWRI

                                           C.M.A.(MD)No.836 of 2011


                     Iffco Tokyo General Insurance
                     Co. Ltd.,
                     No.28 (old No.195) 1st & 2nd Floor,
                     North Usman Road, T.Nagar,
                     Chennai 600017.
                     Through its Manager.                             ... Appellant

                                                     Vs.


                     1.Chellam
                     2.S.Baladevi
                     3.S.Rajakumari
                     4.Minor.S.Rajasekar
                       (Minor 4th respondent is rep. By his mother
                        and next friend, the first respondent)
                     5.S.Jennath Begam                                ... Respondents

                     PRAYER : Civil Miscellaneous Appeal filed under Section 30 of
                     Workmen Compensation Act, to set aside the award dated 14.03.2011
                     received on 16.03.2011 made in W.C.No.165 of 2007 on the file of the


                     1/16

https://www.mhc.tn.gov.in/judis
                                                                                C.M.A.(MD).No.836 of 2011


                     Commissioner of Workmen Compensation (Deputy Commissioner of
                     Labour), Madurai.
                                  For Appellant           : Mr.S.Srinivasa Raghavan
                                  For R1 to R4            : Mr.P.Thiagarajan
                                  For R5                  : No Appearance


                                                        JUDGMENT

This Civil Miscellaneous Appeal is filed as against the judgment

and award passed by the Commissioner of Workmen's Compensation

(Deputy Commissioner of Labour), Madurai in W.C.No.165 of 2007

dated 14.03.2011 by the appellant insurance company.

2.For the sake of convenience, the parties are addressed herein as

per the rank in W.C.No.165 of 2007.

3.The brief facts leading to the filing of the Civil Miscellaneous

Appeal is as follows:-

The petitioners are the legal heirs I.e. wife and children of the

deceased workman namely Sundaram. The first respondent is the

employer of the deceased workman and the second respondent is the

insurance company. On 03.06.2006, the deceased was travelling in a van-

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

goods carrier belonging to the first respondent bearing registration

No.TN-63-Y-6060. On 03.06.2006 at about 11.45 p.m., while the said

van was plied from Puduvayal to Madurai, along with rice bags, the first

respondent driver drove the van in a rash and negligent manner and

dashed the van as against a tamarind tree. As a result of which, the

deceased who travelled in the said van sustained grievous injuries and

died on the spot and he was 53 years old at the time of death. The

deceased person was engaged by the first respondent as loadman and also

for the purpose of collecting the charges for transporting goods and for

canvassing loads. A criminal case was registered by Nachiyapuram

Police Station under Section 304A of IPC in Crime No.56 of 2006 as

against the driver of the first respondent. In view of the death of the

deceased, the petitioners have filed a claim petition seeking

compensation of Rs.2,85,360/-.

4.The second respondent had filed a counter and emphatically

denied that there was no employer and employee relationship between

the first respondent and the deceased and hence the claim itself is not

maintainable before the Commissioner of Workmen Compensation. It is

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

further contended that the deceased actually travelled in a goods carrier

as an unauthorized/gratuitous passenger only and in view of the fact that

such a class of passenger is not covered by the policy a claim under the

Motor Vehicles Act is not maintainable. Further this claim is filed

fraudulently under the Workmen's Compensation Act by stating that the

deceased was actually working under the first respondent. It is also

contended that there is no negligence on the part of the driver of the

goods carrier bearing Registration No.TN-63-Y-6060 and the accident

had occurred only due to the negligence of the deceased himself. Having

travelled in the said vehicle as unauthorized passenger without following

the traffic rules in any event the claim of Rs.2,85,360/- though restricted,

is not tenable for the death of the deceased without concrete proof of

employment with the first respondent.

5.However, the learned Commissioner had admitted the case in

W.C.No.165 of 2007 and framed four issues and examined P.W.1 and

marked Ex.P1 to Ex.P5 on the side of the petitioners and on the side of

the respondents, examined R.W.1 and R.W.2 and marked Ex.R1 to

Ex.R5. The learned Tribunal having scrutinize various documents

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

produced before it and also considering the evidence deposed before the

same and on the basis of arguments putforth by both the parties, came to

a conclusion that the deceased was the workman of the first respondent

and he died only during the course of employment. That apart, on the

basis of G.O.Ms.No.47 Labour and Employment Department dated

01.08.2003 the learned Tribunal fixed the monthly salary of the deceased

equivalent to that of loadman at Rs.3,104 + monthly batta of Rs.585/-

and fixed the monthly salary as Rs.3,689/-. The Compensation was

calculated by considering the age of the deceased I.e., 53 years and fixing

the relevant factor as 142.88 and the compensation was arrived is as

under:-

                           Head                               Compensation awarded
                           (I)Monthly Salary:                 Rs.3,689/-
                           (ii)Age and Relevant Factor:       53, 142.88

(iii)Compensation Calculation: Rs.3,689x50%x142.88 = Rs.2,63,173/-

                           (iv)Funeral Expenses:              Rs.2,500/-
                           Total compensation awarded:        Rs.2,65,173/- with interest @
                                                              12% from the date of the claim
                                                              until the realization and costs.



6.That apart the learned Commissioner concluded that since the

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

van involved in the accident was insured with the second respondent

insurance company on behalf of the first respondent, the compensation

should be paid by the second respondent.

7.Challenging the same, the second respondent/insurance company

has filed this Civil Miscellaneous Appeal contending that the deceased

could never be considered as workman under the provision of Workmen

Compensation Act as the deceased happened to be an Accountant under

the first respondent and such a class of person cannot be deemed to be a

workman under Section 2(1)(n) of the Workmen Compensation Act and

the schedule therein. It is also submitted by the learned counsel

Mr.S.Srinivasa Raghavan appearing for the appellant/second respondent

that even in the First Information Report and other criminal court

records, the deceased was stated to be an Accountant only and hence, the

learned Tribunal ought to have concluded that he is an Accountant and

ought to have arrived at a decision that he is not at all workman of the

first respondent. It is emphatically contended by the learned counsel for

the appellant/second respondent that Section 147 of Motor Vehicles Act

is very clear that except driver, cleaner, loadman and owners or

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

authorized representative of the goods confined in the goods carrier, no

one is permitted to travel in the goods carrier and the insurance company

need not indemnify the first respondent. It is further argued that the

authorities under the Motor Vehicles Act, 1988 especially those under

Section 147 and 149 of the Act, are competent authorities to deal with the

issue. The claimants ought not to have invoked the provisions of

Workmen's Compensation Act, 1923. It is further contended by the

learned counsel for the appellant/second respondent that the seating

capacity of the vehicle involved in the accident is 1+1 and hence, the

Accountant of the first respondent is not permitted to travel as a

passenger in the goods vehicle. Thereby, he sought for allowing the

appeal.

8.Per contra the learned counsel appearing for the respondents 1 to

4, Mr.P.Thiagarajan submitted that the appellants failed to prove that the

deceased person was not a workman of the first respondent. That apart

the second respondent insurance company have taken the defence that

the deceased person was an Accountant under the first respondent and

such a class of persons cannot be deemed to be a workman under Section

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

2(1)(n) of Workman's Compensation Act and schedule therein and that

such an argument is not sustainable. He further submitted that the second

respondent's arguments that the learned Tribunal erred by considering an

Accountant who had travelled in the goods vehicle as loadman will not

hold good for the reason that if the second respondent wanted the learned

Tribunal to have considered the deceased as the Accountant of the first

respondent then the second respondent ought to have proved the same in

terms of Section 101 of the Indian Evidence Act, 1872. On failing to

prove the same in accordance with law, the second respondent's

arguments that the deceased person was only an Accountant not a

loadman cannot be sustained. He further submitted that though the first

respondent employer was set exparte before the learned Tribunal nothing

prevented the second respondent from examining the first respondent as

respondent side witness to prove that the deceased had never been either

a workman or a loadman in terms of the counter filed before the learned

Tribunal or that the deceased worked only as the Accountant in terms of

ground of appeal preferred by the second respondent. But such an

exercise has not been done by the second respondent and on that ground

alone, this appeal is liable to be dismissed.

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

9.In the instant case, the pertinent question which has to be

decided is whether the learned Tribunal is justified in compensating the

petitioner by holding that the deceased namely Sundaram had been the

loadman of the first respondent vehicle bearing Registration No.TN-33-

Y-6060, when he died in an accident on 03.06.2006 at about 11.45 p.m.,

while he was travelling in the aforesaid vehicle and when the same

dashed against the tamarind tree at the negligent driving of the driver

who drove vehicle ?

10.This claim petition has been filed before the Commissioner of

Workman Compensation under the Workmen's Compensation Act under

Section 22 of the aforesaid Act. The liability to pay compensation under

Workman's Compensation Act, 1923 herein after called as 'the Act' arises

in the event of accidents during the course of employment of a workman.

For the purposes of this Act, the term 'workman' has been defined under

Section 2(1)(n) of the Act and as per Section 2(1)(n) of the Act, a person

who is employed in casual basis and who is employed otherwise than for

the purposes of the employer's trade or business is not a workman within

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

the meaning of the Workman Compensation Act. Thus the two

ingredients which disentitle a person to be termed as a workman are:

(i)he must be employed on actual basis;

(ii)he must be employed otherwise than for the purposes of

employer's trade or business. On a careful scrutiny of the language

employed in the proviso even if one of the two ingredients is absent, such

a person can be termed as a workman.

11.In the instant case, the deceased Sundaram died while he was

travelling in a goods carrier/van bearing registration No.TN-33-Y-6060

carrying rice bags from Pondicherry to Madurai. The first respondent

employer had remained conspicuously exparte before the learned

Tribunal and before this Court. The second respondent insurance

company which took the defence before the learned Tribunal that there

were never been a employer and employee relationship between the first

respondent and deceased Sundaram had taken a U turn has filed this

appeal and has admitted that the deceased was an Accountant with the

first respondent.

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

12.However, a critical perusal of the award passed by the learned

Tribunal would reveal that the second respondent had miserably failed to

prove neither the deceased Sundaram was not at all an employee of the

first respondent nor that he served only as an Accountant with the first

respondent. Whoever wants any Court to give judgment on the existence

of any fact which he asserts, they must proved that facts exists. However,

the second respondent who wanted this Court to give judgment on his

submission that the deceased Sundaram has been was only the

Accountant never took any diligent steps either by examining the first

respondent employer or any other person before the learned Tribunal to

prove that the deceased had never been an employee or had been just an

Accountant with the first respondent. That apart having admitted the fact

that the deceased person had been the Accountant in the grounds of

appeal. I find no irregularities in the presumption made by the learned

Tribunal that had the deceased being an Accountant, he would have

served only by sitting in the office and there would not have been any

occasion to travel in the goods carrier in which rice bags were

transported. The fact that the deceased Sundaram travelled from

Pondicherry to Madurai in the goods carrier carrying rice bags at the time

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

of accident would suffice to prove that the deceased not only looked into

the matter of accounts but also he served as the loadman who normally

loaded and unloaded the goods but also who got engaged in canvassing

loads for the purpose of business of the first respondent on the basis of

the proof affidavit of P.W.1.

13.That apart the argument of the learned counsel for the appellant

herein is that the avocation of the Accountant will not be covered under

the definition of 'employee' under Section 2(d)(d) of Employees

Compensation Act, 1923 and those covered under schedule 2 of the

aforesaid Act. Section 2(1)(d)(d) and 2(c) is extracted as follows:-

“[(d)(d) “employee” means a person, who is -

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

14.The deceased Sundaram had travelled in the goods carrier

belonging to the first respondent employer and in accordance with

evidence deposed by P.W.1, he travelled as the loadman, who would be

covered under the category of helper in connection with the motor

vehicle who died in the course of journey from Puducherry to Madurai

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

carrying rice bags. Even assuming that the deceased Sundaram would not

be covered under the category of employee as defined under Section 2(1)

(d)(d) and (c), it is pertinent to mention that the aforesaid Section has

been inserted by Act 45 of 2009 with effect from 18.01.2010. Before

18.01.2010, the definition of Workman was covered under the

Workmen's Compensation Act, 1923.

15.On careful perusal of definition of workman as provided under

Section 2(1)(n) of Workmen's Compensation Act, the words “other than

the person whose employment is of casual in nature or who is employed

otherwise than for the purposes of the employers trade or business” stood

omitted by the amendment Act 2000 with effect from 08.12.2000, where

after the workman's definition came to be enlarged and the person

employed in any such capacity as specified in schedule 2 has to be

termed as workman. The alleged accident took place on 03.06.2006 and

the definition of workman as given in Section 2(1)(n) reads as under:-

“(n) ‘workman’ means any person who is-

(I)…………………………………………..

(ia)(a)…………………………………..

(b)…………………………………..

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

(c)…………………………………..

(c)…………………………………..

(ii)employed in any such capacity as is specified in Scheduled 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 a workman who has been injured shall, where the workman is dead, include a reference to his dependants or any of them.”

16.No doubt vide amendment Act, 2000, definition of “workman”

came to be amended, thereby words “other than the persons whose

employment is of casual in nature or who is employed otherwise than for

the purposes of the employers trade or business” were deleted, meaning

thereby at the time of alleged accident, the deceased Sundaram was the

workman and as such, the respondents/claimants/legal heirs/dependants

rightly filed petition under Section 22 of Workmen Compensation Act

and it cannot be said that the learned Tribunal below misconstrued and

misinterpreted the provisions of Section 2(1)(n) of the Act.

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

17.Hence, I have no hesitation to hold that there is no illegality and

infirmity in the award passed by the learned Tribunal.

18.In view of the same, this Court is no inclined to interfere with

the award by the learned Tribunal. Accordingly, this Civil Miscellaneous

Appeal stands dismissed. There shall be no order as to costs.





                                                                                            05.01.2024
                     NCC      : Yes / No
                     Index    : Yes / No
                     Internet : Yes
                     Mrn

                     To

                     1.The Commissioner of Workmen Compensation,
                       (Deputy Commissioner of Labour), Madurai.

                     2.The Section Officer,
                       V.R. Section,
                       Madurai Bench of Madras High Court,
                       Madurai.






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



                                   L.VICTORIA GOWRI, J.

                                                            Mrn









                                                    05.01.2024






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

 
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