Citation : 2024 Latest Caselaw 697 Tel
Judgement Date : 20 February, 2024
THE HONOURABLE SMT. JUSTICE M.G.PRIYADARSINI
CIVIL MISCELLANEOUS APPEAL No.338 of 2014
JUDGMENT:
1. The Civil Miscellaneous Appeal is directed against order
dated 01.09.2012 in W.C.No.117 of 2003 (NF) on the file of the
Commissioner for Employees' Compensation-cum-Deputy
Commissioner of Labour, Nizamabad (hereinafter referred to as
'the Commissioner'). The said claim application was filed by the
applicant therein seeking compensation for injuries sustained by
him in an accident that occurred on 12.03.2002 and the same was
partly allowed by the Commissioner granting compensation of
Rs.1,52,502/-. Dissatisfied with the same, the present Civil
Miscellaneous Appeal is filed at the instance of the applicant
before the Commissioner seeking enhancement of compensation
and grant of interest.
2. The appellant herein is applicant and respondents herein are
opposite parties before the Commissioner. For the sake of
convenience, the parties are hereinafter referred to as they were
arrayed before the Commissioner.
3. The brief facts of the case of the applicant are that he was
working as labour on tractor and trolley bearing Nos.AP 25 G
MGP,J CMA_338_2014
5316 and AP 25 G 9410 under the employment of opposite party
No.1. On 12.03.2002, while the applicant was traveling on the
said tractor and trolley along with other labourers after loading
the cow dung from Keshpally village to Wesleynagar to unload the
cow dung in agricultural lands, at about 07:00 PM, when the
tractor and trolley reached Keshpally X road in the limits of
Sikindrapur village at the turning of National Highway No.7 road,
the driver of the tractor and trolley lost control over the same and
the tractor and trolley turned turtle and went off the road and fell
in a ditch by the road side. Due to the said accident, the
labourers and driver of the said tractor and trolley sustained
multiple fractures and grievous injuries. The applicant sustained
fracture to left ankle of both malliular, injuries to left knee and left
leg. Immediately, the applicant and others were shifted to a
hospital in Nizamabad and later, the applicant took treatment in
various hospital and incurred a sum of Rs.1,00,000/- towards
medical expenditure. In this regard, a case was registered in
Crime No.24 of 2002 by Jakranpally Police against the driver of
the tractor and trolley.
4. It is further the case of the applicant that the said accident
occurred during the course and out of his employment as labourer
MGP,J CMA_338_2014
under opposite party No.1. According to the applicant, he was
aged about 19 years as on the date of the accident and he was
being paid an amount of Rs.3,000/- per month towards wages and
Rs.30/- per day towards batha by opposite party No.1. Opposite
party No.1 being the owner and opposite party No.2 being insurer
of the vehicle involved in the accident are liable to pay
compensation. Hence, the present claim application is filed by the
applicant seeking compensation of Rs.2,00,000/- for the injuries
sustained by him.
5. Opposite party No.1 filed his written statement and admitted
the employment of applicant under him. He also admitted that he
was owner of the tractor and trolley bearing Nos.AP 25 G 5136
and AP 25 G 9410 and stated that the said vehicle was insured
with opposite party No.2 under valid and effective policy as on the
date of the accident. He admitted that the applicant was being
paid an amount of Rs.3,000/- towards monthly wages and
Rs.30/- towards batha per day. He also contended that the
tractor and trolley involved in the accident was insured with
opposite party No.2, as such, if there is any liability opposite party
No.2 alone is liable to pay. Therefore, prayed to dismiss case
against him.
MGP,J CMA_338_2014
6. Opposite party No.2 filed its written statement denying the
averments of the claim application such as age, wages,
employment of the applicant under opposite party No.1,
occurrence of the accident and also injuries sustained by the
applicant. It is also contended that the driver of the vehicle
involved in the accident was not having valid driving license as on
the date of the accident. Opposite party No.2 prayed to dismiss
the claim application as the compensation claimed by the
applicant is excess and exorbitant.
7. In support of his case, the applicant got examined himself as
A.W.1 and also examined A.W.2 and got marked Exs.A-1 to A-9.
No oral or documentary evidence was adduced by opposite party
No.1. On behalf of opposite party No.2, R.W.1 was examined and
Exs.B-1 to B-3 were got marked.
8. On the basis of the above pleadings and evidence, the
Commissioner framed the following issues:
"1. Whether the injured/applicant Korra Narender met with an accident on 12-03-2002 during the course and out of his employment as Labour on the tractor and trolley bearing Nos.AP 25 G 5316 and AP 25 G 9410 under the employment of 1 opposite party and sustained injuries? st
MGP,J CMA_338_2014
2. If yes, what is the percentage of the physical disability and consequent loss of earning capacity suffered by the applicant?
3. Who are liable to pay compensation? And
4. What is quantum of compensation entitled by the applicant?"
9. After considering the evidence and documents filed by both
sides, the Commissioner awarded an amount of Rs.1,52,502/-
towards compensation to the applicant. Dissatisfied with the
same, the present appeal is filed seeking enhancement of
compensation by the applicant.
10. Heard, the learned counsel for the appellant and the learned
standing counsel for respondent No.2.
11. The main contention of the learned counsel for the
applicant/appellant is that the Commissioner erred in not
granting interest at 12% per annum from the date of accident on
the compensation amount. Hence, prayed to modify the impugned
order by allowing the appeal and granting interest.
12. Per contra, the learned counsel for respondent No.2/opposite
party No.2 i.e., the insurance company contended that the
Commissioner after considering all the aspects has awarded
MGP,J CMA_338_2014
reasonable compensation and interest and interference of this
Court is not necessary.
13. Now the point for determination is as follows:
"Whether the findings of the Commissioner with regard to determination of interest suffer from any illegality?"
Point:
14. This Court has perused the entire evidence and material
placed on record. The applicant got examined himself as A.W.1
reiterating the contents of his claim application. Though, he was
cross-examined nothing contrary was elicited in the same. In
order to prove the injuries sustained by him, he got examined
A.W.2, who is an Orthopedic Surgeon. A.W.2 deposed that he
examined the applicant and also verified the previous medical
record and found fracture of left ankle both malliular, abrasion left
knee and laceration left leg. He issued disability certificate by
assessing the disability at 60% being partial and permanent in
nature and determined the loss of earning capacity at 60%. In the
cross-examination, he denied all the suggestions, which were put
to him by opposite party No.2.
MGP,J CMA_338_2014
15. Opposite party No.2 got examined its employee as R.W.1.
R.W.1 reiterated the contents of the written statement. The
evidence of R.W.1 shows that opposite party No.1 got insured the
vehicle involved in the accident with them and the policy was valid
and effective as on the date of accident. He stated that no
additional premium was paid to cover the risk of labourer by
opposite party No.1. He also stated that the tractor and trolley
involved in the accident was goods carrying vehicle and traveling
of applicant in the said vehicle is violation of terms of policy. In
the cross-examination, he denied the suggestion that opposite
party No.2 is liable to pay compensation to the labour.
16. The Commissioner after considering both oral and
documentary evidence placed on record by both the sides has
rightly came to the conclusion that the applicant was employed
under opposite party No.1 and the accident occurred during the
course and out of his employment. Based on the evidence of
A.W.2 and documentary evidence placed on record by the
applicant, the Commissioner rightly assessed the loss of earning
capacity at 60%. Further, as R.W.1 admitted that the policy was
in force as on the date of the accident, the Commissioner held that
MGP,J CMA_338_2014
both the opposite parties are jointly and severally liable to pay
compensation to the applicant.
17. Coming to the quantum of compensation, the Commissioner
based on the documentary evidence on record has rightly
determined the age of the applicant as 19 years. Further, though,
the applicant claimed that he was being paid an amount of
Rs.3,000/- per month towards wages and Rs.30/- per day towards
batha, as the applicant has not adduced any cogent and
convincing evidence, the Commissioner has rightly taken
minimum wages prevailing as on the date of accident for
computing the compensation. Hence, this Court is of the
considered opinion that the Commissioner has awarded just and
reasonable compensation. Therefore, interference of this Court
into the said aspect is unwarranted.
18. Insofar as rate of interest is concerned, it is apt to refer to
the decision of the Hon'ble Supreme Court in the case of Shobha
v. The Chairman, Vithalrao Shinde Sahakari Sakhar Karkhana
Ltd, wherein it is held as follows:
"6. In view of the above and for the reasons stated above, the present appeal succeeds. The impugned judgment and order passed by the High Court insofar as awarding the interest @ 12% p.a. after the period of expiry of one month from 25.01.2017, is hereby quashed and set aside and it is
MGP,J CMA_338_2014
observed and held that the appellants herein-original claimants shall be entitled to the interest @ 12% p.a. on the amount of compensation as awarded by the Commissioner from the date of the incident i.e., 29.11.2009.
Present appeal is allowed accordingly. However, in the facts and circumstances of the case, there shall be no order as to costs."
19. In view of the principle laid down in the above said case, it is
evident that the applicant is entitled for interest at 12% per
annum on the compensation amount from the date of accident.
Hence, this Court is inclined to award interest at 12% per annum
on the compensation amount granted by the Commissioner from
the date of accident.
20. In the result, the Civil Miscellaneous Appeal is partly allowed
by modifying the impugned order passed by the Commissioner to
the extent of granting interest at 12% per annum from the date of
accident. In all other aspects, the order of the Commissioner
stands confirmed. There shall be no order as to costs.
Miscellaneous applications pending, if any, shall stand closed.
______________________________ JUSTICE M.G.PRIYADARSINI Date: 20.02.2024 GVR
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!