Manager vs Sobhagini Nayak And Others
2023 Latest Caselaw 13324 Ori

                        IN THE HIGH COURT OF ORISSA AT CUTTACK

                                     FAO No.141 of 2023
                 Manager, M/s.National Insurance
                 Company Ltd., represented through its
                 Divisional Manager, Hanuman Bazar, ....              Appellant
                 Angul
                                                    Mr. P.K. Mahali, Advocate
                                            -versus-
                 Sobhagini Nayak and Others               ....        Respondents
                                Mr. P.K. Mishra, counsel for Respondents 1 to 5

                           CORAM:
                           SHRI JUSTICE B. P. ROUTRAY
                                         ORDER

30.10.2023 Order No.

03. 1. The matter is taken up through hybrid mode.

2. Heard Mr. P.K. Mahali, learned counsel for the insurer - Appellant and Mr. P.K. Mishra, learned counsel for the claimant - Respondents.

3. Present appeal by the insurer is directed against the impugned judgment dated 23rd December, 2022 of learned Commissioner for Employee's Compensation-cum-Joint Labour Commissioner, Angul passed in E.C. Case No.8 of 2020, wherein compensation to the tune of Rs.7,97,600/- along with interest @ 12% per annum from the date of accident till the date of order has been granted on account of death of deceased Gopal Nayak arising out of and in course of his employment as driver in the Truck bearing registration number OD- 33-U-3142.

4. Mr. Mahali, learned counsel submits on behalf of the insurer that the deceased did not have a valid driving licence on the date of accident. He thus submitted that the insurer is not liable to indemnify the compensation amount. In support of his submission he relies on the decision of Hon'ble Supreme Court in the case of Beli Ram v. Rajinder Kumar and Another, AIR 2020 SC 4453.

5. The facts of the case are that the deceased workman - driver was employed as such since long in respect of truck bearing registration number OD-33-U-3142 which met the accident with another truck having registration number OD-09-K-9351. The accident took place on 12th September 2019. The deceased though had transport as well as non-transport driving licence, but the transport licence was expired on 1st May 2019 and the same was not renewed thereafter. The non-transport licence was valid till 24th February, 2025. These are the admitted facts on record.

6. In the case of Beli Ram (supra) the claimant was the injured victim. In the present case the claimants are the dependent legal representatives of the deceased driver. It is true that his licence in respect of the transport vehicle was though not renewed after 1 st May 2019, even beyond the grace period of 30 days, but the accident took place within few months thereafter. Further, the poor claimants are dependents of the deceased employee who died in course of his employment. At the same time, it also remains undisputed that the driving licence of the deceased in respect of non-transport vehicle was still valid on the date of accident though the vehicle was a truck. Taking all such factors into consideration, particularly in view of death of the employee in the accident, the submissions made by the insurer to disown the liability on the ground of invalidity of transport

licence is rejected. It is held that the present Appellant being the valid insurer of the truck in question covering the risk, is liable to indemnify the compensation amount on behalf of the owner.

7. With regard to quantum of compensation, keeping in view the age of the deceased as 38 years, the applicable factor would be 189.56 instead of 199.40. This aspect is agreed by Mr. Mishra, learned counsel for claimant - Respondents. As such, the compensation amount is modified to Rs.7,58,240/- without disturbing the income aspect. The compensation amount is payable along with interest @ 12% per annum as per direction of the learned Commissioner.

8. Since the amount of compensation in terms of direction of the Commissioner has already been deposited, the modified amount of Rs.7,58,240/- (seven lakhs fifty-eight thousand two hundred forty) along with interest @ 12% per annum from the date of accident till the date of deposit plus accrued interest thereon till the date of payment, shall be disbursed in favour of the claimant - Respondents within a period of two months from today. The balance amount along with proportionate accrued interest shall be refunded to the insurer - Appellant.

9. The appeal is disposed of accordingly.

10. An urgent certified copy of this order be issued as per rules.

( B.P. Routray) Judge M.K.Panda

Signature Not Verified Digitally Signed Signed by: MANAS KUMAR PANDA Designation: Senior Steno

Reason: Authentication Location: OHC, Cuttack Date: 01-Nov-2023 16:50:16