The Division Bench of the Supreme Court in the case of Gaurav Kumar Bansal vs Union of India & Ors. consisting of Justices M.R. Shah and B.V. Nagarathna permitted the NDMA to carry out the random scrutiny of 5% of the claim applications regarding ex-gratia compensation on the death of their family members due to COVID-19 by the States of Andhra Pradesh, Gujarat, Kerala and Maharashtra.

Facts

Shri Tushar Mehta (learned Solicitor General) submitted that after the order was passed by this Court dated 30.06.2021 and other subsequent orders, the concerned States have received approximately 7,38,610 claims, who are entitled to the same pursuant to the orders passed by this Court. Since the COVID-19 pandemic in the country has now subsided over the period since this Hon’ble Court passed the orders, and the subsequent order dated 29.11.2021, by now all genuine claimants must have approached the authorities by establishing their claims. Therefore, it is not desirable to continue the process of submitting/receiving the claims without any outer time limit. In case no such limit is fixed, there is a greater possibility of making false claims. It was prayed to determine the deadline before which the claimants of persons who died due to COVID-19 can approach the authority making their claims.

Due to genuine apprehensions of submitting fake claims in some of the States, it was prayed that there should be an audit and/or at-least random scrutiny of the claim applications filed in the respective States. Receiving the ex-gratia compensation by making a false claim or submitting fake/false certificate is a very serious matter. As per Section 52 of the Disaster Management Act, 2005 (“Act, 2005”), making a false claim for obtaining any relief under the Act, 2005 is a punishable offence. Since it may be very difficult to verify each claim, let there be a random sample scrutiny.

 

Observations of the Court

  • Outer limit of 60 days was fixed from that day to file the claims for compensation in case the death occurred due to COVID-19 prior to 20.03.2022. For future deaths, 90 days’ time is provided from the date of death due to COVID-19 to file the claim for compensation. The earlier order to process the claims and to make the actual payment of compensation within a period of 30 days from the date of receipt of claim is ordered to be continued.
  • In case of extreme hardship any claimant could not make an application within the time prescribed, it will be open for the claimant to approach the Grievance Redressal Committee and make the claim through the same, which shall be considered by them on case to case basis and if it is found that a particular claimant could not make the claim within the stipulated time which was beyond their control his/her case may be considered on merits.
  • Ministry of Health and Family Welfare and Ministry of Home Affairs – Union of India and all the concerned States are directed to give wide publicity to the present order through print and electronic media so that the claimants can know the time limit fixed by this Court for making claims. Such advertisement shall be published fortnightly for a period of six weeks from today.
  • Making a false claim and obtaining any relief on that basis is a punishable offence u/s 52 of the Act, 2005.
  • A claimant is entitled to the ex-gratia of Rs.50,000/- being a kin/family member of those, who died due to COVID-19.
  • A random scrutiny of the 5% of the claim applications filed in the States of Andhra Pradesh, Gujarat, Kerala and Maharashtra was to be made at the first instance.

Judgment

The Bench permitted the NDMA/Union of India, through Ministry of Health and Family Welfare, to carry out the random scrutiny of 5% of the claim applications by the States of Andhra Pradesh, Gujarat, Kerala and Maharashtra at the first instance. The concerned States were directed to assist in carrying out the scrutiny of the claim applications as ordered above and submit all the necessary particulars of the respective claims that have been attended/processed to the Ministry of Health and Family Welfare, who shall carry out the scrutiny within a period of three months from today and submit the report before this Court. If it was found that anybody has made a fake claim, the same shall be considered u/s 52 of the Act, 2005, liable to be punished accordingly.

Case Name: Gaurav Kumar Bansal vs Union of India & Ors.

Citation:  MISCELLANEOUS APPLICATION NO. 1805 OF 2021

Bench: Justice M.R. Shah, Justice B.V. Nagarathna

Decided on: 24th March 2022

Read Order @Latestlaws.com 

 

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Ayesha