LAWS(SC)-2010-8-8

MOHAMADI Vs. UNION OF INDIA

Decided On August 05, 2010
MOHAMADI Appellant
V/S
UNION OF INDIA Respondents

JUDGEMENT

(1.) Heard counsel for appellants and Mr. Harish Chander, senior counsel annearinp for the Union of India.

(2.) This appeal raises a very limited issue as to the day from which interest would accrue on the amount of compensation under section 124-A of the Railways Act, 1989. The Tribunal directed that the compensation amount would carry interest at the rate of 9 per cent per annum from 25.5.1995, i.e., the date of the application till its payment to the claimant. On appeal, the High Court modified the Tribunal's order and directed that interest would commence not from the date of the application but from the date of the judgment of the Tribunal, which was passed on 2.12.2002.

(3.) The counsel appearing for the appellants submitted that in Tahazhathe Purayil Sarabi v. Union of India, 2009 ACJ 2444, under similar circumstances, this court held that the interest would accrue on the compensation amount from the date of the claim application. Learned counsel particularly relied upon paras 23 and 24 of the judgment.