Citation : 2025 Latest Caselaw 1135 Ori
Judgement Date : 11 July, 2025
IN THE HIGH COURT OF ORISSA AT CUTTACK
MACA No.393 of 2025
D.M., M/s. Oriental Insurance ..... Appellant
Co. Ltd. Mr. P. Sinha, Advocate
-versus-
Shashmita Nayak & Ors. ..... Respondents
Mr. K.C. Nayak, Advocate
(Respondent Nos. 1 to 4)
CORAM:
THE HON'BLE MR. JUSTICE BIRAJA PRASANNA SATAPATHY
ORDER
11.07.2025
Order No.03 I.A. No. 791 of 2025
1. This matter is taken up through hybrid mode.
2. Heard.
3. Since the dispute is with regard to quantum only, this Court is inclined to condone the delay in filing the application.
4. I.A. accordingly stands disposed of.
(BIRAJA PRASANNA SATAPATHY) Judge
04. MACA No. 393 of 2025
1. Heard Mr. P. Sinha, learned counsel appearing for the Appellant- Company and Mr. K.C. Nayak, learned counsel appearing for the Claimants-Respondent Nos. 1 to 4.
2. The present appeal has been filed by the Appellant-Company challenging Judgment dtd.04.11.2024 so passed by the learned 1st
Addl. District Judge-cum-1st MACT, Cuttack in MAC Case No. 1261 of 2017. Vide the said Judgment the Tribunal assessed the compensation at Rs.39,17,536/- along with interest @ 6% per annum payable from the date of filing of the claim application till its realization. The Tribunal also awarded default interest @ 12%, if the compensation so assessed is not deposited within the stipulated time period.
3. Learned counsel appearing for the Appellant-Company in support of the appeal contended that since the deceased without any head gear was driving the motor cycle by carrying three (3) pillion riders and due to negligent on his part, the accident occurred, it comes under the ambit of contributory negligence and the compensation amount should have been deducted @ 50%.
3.1. It is also contended that since deductions have not been made towards income tax, professional tax and other allowances, the Tribunal should have calculated the net income of the deceased accordingly. It is also contended that award of default interest @ 12% per annum is on the higher side. It is accordingly contended that the impugned award is not sustainable in the eye of law and requires interference of this Court.
4. Mr. K.C. Nayak, learned counsel appearing for the Claimants- Respondent Nos. 1 to 4 though on the other hand supported the impugned Judgment, but in course of hearing contended that the Claimants-Respondents will be fully satisfied, if this Court will assess the compensation amount at Rs.35,00,000/- along with interest @ 6% per annum payable from the date of filing of the claim application till its realization. With regard to award of 12%
default interest, learned counsel appearing for the Respondents- Claimants contended that this Court can pass appropriate order in that regard.
5. Learned counsel appearing for the Appellant-Company left the aforesaid proposition made by the learned counsel for the Claimants-Respondent Nos. 1 to 4 to the discretion of this Court.
6. Having heard learned counsel appearing for the Parties and considering the submissions made, this Court while waiving out the default interest levied @ 12% per annum, is inclined to held the Claimants-Respondent Nos. 1 to 4 entitled to get compensation amount of Rs.35,00,000/- along with interest @ 6% per annum payable from the date of application till its realization. While holding so, this Court directs the Appellant-Company to deposit the compensation amount of Rs.35,00,000/- along with interest @ 6% interest per annum payable from the date of filing of the claim application till its realization before the Tribunal within a period of eight (8) weeks from the date of receipt of this order. On such deposit of the amount, the Tribunal shall disburse the same in favour of the Claimants-Respondent Nos. 1 to 4 proportionately in terms of the Judgement dtd.04.11.2024.
6.1. However, it is observed that if the amount as directed is not deposited within the aforesaid time period of eight (8) weeks, the compensation amount of Rs.35,00,000/- shall carry interest @ 7% starting from the expiry of the period of eight (8) weeks till the amount is so deposited.
6.2. On such deposit of the amount, the Appellant-Company shall be permitted to take back the statutory deposit along with accrued interest if any from the Registry on proper identification.
7. The appeal is disposed of accordingly.
(BIRAJA PRASANNA SATAPATHY) Judge Sneha
Location: High Court of Orissa, Cuttack
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