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Karnataka High Court · body

2015 DIGILAW 39 (KAR)

Sangappa v. Nagraj U. Kodihalli

2015-01-07

A.S.PACHHAPURE

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JUDGMENT The appellant has approached this Court seeking enhancement of the compensation and interest on the said sum awarded by the Commissioner for Workmen’s Compensation, for the injuries sustained by him in the course of his employment. 2. Having heard the learned counsel, the only substantial question of law that arise for my consideration is, Whether the appellant is entitled to interest on the compensation awarded by the Commissioner at 12% p.a. from the date of the accident? 3. Heard the learned counsel for both the parties. 4. The Commissioner has awarded a sum of Rs.3,45,996/-as compensation with interest at 12% p.a. from 30.11.2009. The incident occurred on 24.11.2007. Due to the injuries sustained, the hand of the appellant was amputated. The appellant was entitled to the compensation on the day when he suffered the disability. The compensation is payable to a party for the reason of disability due to the wrong done. So it is the date of disability, which has to be considered to say that the sum was due. So when a person is due for a sum on a specified day and retains with him, he is bound to pay the benefit that accrues on the amount payable and retained by him. Therefore, when the compensation is not paid on the said day, it would be due and it is payable with interest at 12% p.a. 5. On this aspect of the matter, reliance is placed on the decision of the Apex Court reported in 2014 (3) SCJ 274 (Saberabibi Yakubbhai Shaikh and others v. National Insurance Co. Ltd. and others. In the aforesaid decision, the Apex Court considered the question as to from what date the interest is payable on the compensation. It also refers to a four Judge Bench decision in Pratap Narain Singh Deo v. Srinivas Sabata [ (1976) 1 SCC 289 ]. Though subsequent to the decision in Pratap Narain Singh Deo’s case cited supra the Apex Court has decided and held that the interest is payable from the date of expiry of one month, those decisions were considered to be per-incuriam having been rendered without considering the earlier decision in Pratap Narain Deo’s case cited supra. 6. So the Apex Court in the aforesaid judgment has held that the compensation is payable from the date of the disability to mean the date on which the incident occurred resulting into the disability. 6. So the Apex Court in the aforesaid judgment has held that the compensation is payable from the date of the disability to mean the date on which the incident occurred resulting into the disability. For the aforesaid reasons, the substantial question of law raised is answered in affirmative. Consequently, the appeal is allowed in part. The appellant is entitled to the interest at 12% p.a. on the sum of Rs.3,45,996/-from 24.11.2007 till its deposit/payment.