Maya Joshi v. Officer Commandant, 84 Road Construction Company
2014-02-15
B.S.VERMA
body2014
DigiLaw.ai
JUDGMENT B.S. Verma, J. 1. This appeal is directed against the judgment and award dated 7.12.2010 passed by the Commissioner, Workmen Compensation, Pithoragarh in W.C.C. No.4/2008 Smt. Maya Joshi vs. The Officer Commandant, whereby the Commissioner has awarded a sum of Rs. 3,68,340/- to the appellant as compensation and in case of default in payment the respondent was directed to pay the amount of compensation along with interest @ 8 per cent from 10.8.2010 till the date actual payment is made. 2. The sole ground on which the appeal has been preferred by the appellant is that the interest has been awarded on lower side and that too from 10.8.2010. The contention of the appellant is that the interest ought to have been paid @ 12 per cent from the date of accident. 3. I have heard learned counsel for the parties and perused the entire record. 4. Sub-section (3)(a) of Section 4-A of The Workmen’s Compensation Act, 1923 would be relevant to mention here, which reads as under:- (3) Where any employer is in default in paying the compensation due under this Act within one month from the date it fell due, the Commissioner shall – (a) Direct that the employer shall, in addition to the amount of the arrears, pay simple interest thereon at the rate of twelve per cent per annum or at such higher rate not exceeding the maximum of the lending rates of any scheduled bank as may be specified by the Central Government, by notification in the Official Gazette, on the amount due. 5. By perusal of above section, it transpires that the Commissioner can award interest up to 15 per cent. However, in the case at hand, the learned Commissioner has directed the employer/respondent to pay interest @ 8 per cent which is not sustainable. 6. Apart from above, with regard to the contention that the interest was to be paid from the date of accident and not from the date of order, learned counsel for the appellant has placed reliance upon a judgment of Hon’ble Apex Court passed in the case of Oriental Insurance Co. Ltd. vs. Siby George & Others, 2012 STPL (Web) 404 SC, wherein it has been held that the interest would be payable from the date of accident. 7. In view of the above well-settled proposition of law, the appeal is allowed.
Ltd. vs. Siby George & Others, 2012 STPL (Web) 404 SC, wherein it has been held that the interest would be payable from the date of accident. 7. In view of the above well-settled proposition of law, the appeal is allowed. Impugned judgment and award dated 7.12.2010 passed by the Commissioner, Workmen Compensation, Pithoragarh in W.C.C. No.4/2008 Smt. Maya Joshi vs. The Officer Commandant, is modified to the extent that instead of awarding interest @ 8 per cent on the amount of compensation from the date 10.8.2010, the interest shall be payable @ 12 per cent on the amount of compensation from the date of accident, as awarded by the Hon’ble Apex Court in above judgment. Rest part of the impugned judgment and award is maintained.