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2013 DIGILAW 593 (KAR)

Sannabasavaraja @ Basavaraja v. B. S. Pushpalatha and The Divisional Manager The New India Assurance Co. Ltd.

2013-05-28

H.G.RAMESH

body2013
JUDGMENT H.G. Ramesh, J. 1. This appeal is by an employee and is directed against the judgment dtd. 29.08.2011 passed by the Commissioner for Workmen's Compensation, Davanagere. By the impugned judgment, the Commissioner has awarded Rs. 1,21,997/- as compensation to the appellant for the permanent partial disablement suffered by him due to the injuries caused to him in a motor vehicle accident that occurred on 17.04.2010 along with interest thereon @ 12% p.a. from expiry of 30 days from the date of the judgment. I have heard the learned counsel appearing for the parties and perused the impugned judgment. The sole contention urged by the learned counsel appearing for the appellant is that the Commissioner for Workmen's Compensation had erred in law in not awarding interest on the compensation amount from expiry of one month from the date of the accident. In support of his contention, he relied on a judgment of the Supreme Court in Oriental Insurance Co. Ltd. vs. Siby George ( AIR 2012 SC 3144 ) and specifically referred to the following observations made therein: 11. The decisions in Pratap Narain Singh Deo was by a four judge Bench and in Valsala by a three Judge Bench of this Court. Both the decisions were, thus, fully binding on the Court in Mubasir Ahmed and Mohd. Nasir, each of which was heard by two Judges. But the earlier decisions in Pratap Narain Singh Deo and Valsala were not brought to the notice of the Court in the two later decisions in Mubasir Ahmed and Mohd. Nasir. 12. In the light of the decisions in Pratap Narain Singh Deo and Valsala, it is not open to contend that the payment of compensation would fall due only after the Commissioner's order or with reference to the date on which the claim application is made. The decisions in Mubasir Ahmed and Mohd. Nasir insofar as then took a contrary view to the earlier decisions in Pratap Narain Singh Deo and Valsala do not express the correct view and do not make binding precedents. (Underlining supplied) As could be seen from the above observations of the Supreme Court, the law laid down in Mubasir Ahmed ( AIR 2007 SC 1208 ) and Mohd. Nasir [ (2009) 6 SCC 280 ] is overruled. 2. (Underlining supplied) As could be seen from the above observations of the Supreme Court, the law laid down in Mubasir Ahmed ( AIR 2007 SC 1208 ) and Mohd. Nasir [ (2009) 6 SCC 280 ] is overruled. 2. In the light of the law laid down by the Supreme Court in Siby George referred to above, if any employer commits default in paying the compensation amount due under the Employees' Compensation Act, 1923, the employee or his dependent, as the case may be, is entitled for interest @ 12% p.a. under Section 4A(3)(a) of the aforesaid Act, on the compensation amount due, from expiry of one month from the date it fell due i.e. from expiry of one month from the date, the injury or death resulting from such injury, was caused by the accident, till the date of its deposit. Accordingly, the appellant is held entitled for interest @ 12% p.a. on the compensation amount due, from expiry of one month from the date of the accident till the amount is deposited. The impugned judgment stands modified to the said extent. The appeal is allowed in terms stated above.