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2003 DIGILAW 525 (ORI)

United India Insurance Co. Ltd. v. Commissioner for Workmen’s Compensation-cum-Assistant Labour Commissioner

2003-08-25

L.MOHAPATRA

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ORDER 25.8.2003 — United India Insurance Company Limited who is the petitioner before this Court prays for quashing of the order dated 21.11.2001 which is the subject matter of Annexure-5 passed by the Commissioner, Workmen’s Compensation as well as the Cer¬tificate Proceeding bearing No. 3/2002 pending before the Certif¬icate Officer (Sadar), Cuttack for realisation of the certificate dues. The case of the petitioner is that opposite parties 2 and 3 had filed W.C. Case No. 66-D/1993 (52/93) and W.C. Case No. 79-D/1993 (53/93) claiming compensation on account of sustaining injuries in an accident arising out of and in course of their employment under opposite party No. 4. The cases were heard together and by a common award dtd. 19.8.2000 the petitioner was directed to pay compensation of Rs. 20,978/- and Rs. 43,056/- to the opposite parties 2 and 3 respectively. Annexure-1 is the award. On 11.6.2001 the Commissioner issued requisition for certificate to the Certificate Officer, Cuttack Sadar, Cuttack for recovery of the awarded amount under the OPDR Act, 1962 and receipt of the requisition, the Certificate Officer issued notice to the petitioner for recovery of the awarded amount. After getting notice from the Certificate Officer the petitioner depos¬ited the entire awarded amount before the Commissioner. Though this fact was brought to the notice of the Certificate Officer, the petitioner was directed to pay interest @ 12.1/2% as per OPDR Act, 1962, cost and process fee etc. and again Certificate Case No. 41/2001 was initiated for the purpose. In the aforesaid certificate case also the petitioner deposited the required amount and accordingly the certificate case No. 41/2001 was dropped. While the matter stood thus, the Commissioner again issued a certificate to the Certificate Officer awarding statuto¬ry interest of 6% per annum on the awarded amount of compensation from 1.4.1993 till 8.6.2001 for an amount of Rs. 31,352.30 ps. On the basis of such requisition, Certificate Case No. 3/2002 was initiated and notice was issued to the petitioner. Challenging the same this writ application has been filed. Learned counsel for the petitioner contended that in the award, the Commissioner had not directed payment of interest on the awarded amount. 31,352.30 ps. On the basis of such requisition, Certificate Case No. 3/2002 was initiated and notice was issued to the petitioner. Challenging the same this writ application has been filed. Learned counsel for the petitioner contended that in the award, the Commissioner had not directed payment of interest on the awarded amount. After passing of the award the Commissioner became functus officio and on the basis of an application filed by the claimants he could not have reopened the case and awarded interest @ 6% per annum from 1.4.1993 till the date on which the Certificate Case No. 41/2001 was initiated. Learned counsel appearing for the contesting opposite parties on the other hand submitted that though in the award there is no mention for grant of interest on the basis of an application filed by the claim¬ants, interest was awarded at a later stage by the Commissioner. Since an irregularity committed by the Commissioner was regularised by a subsequent order, it is contended by the learned counsel for oppo¬site parties 2 and 3 that there is no illegality in the said order. Reliance is placed by the learned counsel for the opposite parties 2 and 3 on a decision of this Court in the case of “Divi¬sional Manager, New India Assurance Company Limited Vrs. Pravati Car and another” reported in 2002 (3) T.A.C. 768. Though it appears from paragraph-4 of the judgment that the counsel appear¬ing for the Insurance Company had raised questions as to whether Commissioner had acted beyond his jurisdiction in awarding inter¬est on the compensation amount by a subsequent order or not, the same was not answered by the Court and the case was disposed of on a different ground. We are, therefore, of the view that the decision cited by the learned counsel for opposite parties 2 and 3 is of no help so far as this case is concerned. Admittedly in the award the Commissioner had not granted interest. The order portion of the award is quoted below : “These two claim applications are allowed in part on contest against the opposite parties. The opposite party No. 2, M/s. United India Insurance Company Limited, Cuttack is directed to deposit the awarded amount of compensation of Rs. 43, 056.00 (Rupees forty three thousand fifty six only) in W.C. Case No. 66-D/93(52/93) and Rs. The opposite party No. 2, M/s. United India Insurance Company Limited, Cuttack is directed to deposit the awarded amount of compensation of Rs. 43, 056.00 (Rupees forty three thousand fifty six only) in W.C. Case No. 66-D/93(52/93) and Rs. 20,798.00 (Rupees twenty thousand seven hundred ninety eight only) in W.C. Case No. 79-D/93 (53/93) in this Court within 30 days from today for onward disbursement to the applicants." In view of such admitted position, the question that arises for reconsideration is as to whether the Commissioner had any jurisdiction to grant interest on the awarded amount at a later stage on the basis of a petition filed by the claimants. There cannot be any dispute that once an award is passed, the Commis¬sioner has nothing more to do so far as quantum of compensation or interest thereon is concerned. If the Commissioner failed to award interest while granting compensation in the award, he has no further jurisdiction to reopen the matter in order to award interest on the amount of compensation granted. Therefore, the subsequent order passed by the Commissioner in Annexure-5 is without jurisdiction, We, therefore, have no hesitation to quash Annexure-5 being without jurisdiction. Annexure-6 being conse¬quence to Annexure-5, the same also stands quashed. The Writ application is accordingly allowed. Application allowed.