LAWS(KAR)-2003-10-73

UNITED INDIA INSURANCE COMPANY LIMITED Vs. NAGARATHNA

Decided On October 15, 2003
UNITED INDIA INSURANCE CO. LTD. Appellant
V/S
NAGARATHNA Respondents

JUDGEMENT

(1.) THIS appeal under. Act, 1923 is by United India Insurance Co. section 30 of Workmens Compensation Ltd. , and is directed against the judgment dated 28. 1. 2002 in Case No. 31 of 2000 on the file of Workmens Compensation commissioner, Bangalore Sub-Division 1, bangalore, insofar as it directs the appellant insurer to pay interest on the compensation amount awarded.

(2.) THE Commissioner for Workmens compensation, by the impugned judgment awarded a compensation of Rs. 1,97,060. to the dependants of the deceased Suresh kumar who died in accident on 2. 5. 2000 while he was working on a construction site. The Commissioner. has also awarded interest at the rate of 12 per cent per annum on the aforesaid compensation amount from 2. 6. 2000, i. e. , after the expiry of one month from the date of accident till the date of deposit. The Commissioner has made both the employer and the appellant insurance company jointly and severally liable for the compensation and interest amount. As stated above, the insurance company has presented this appeal questioning only its liability to pay interest.

(3.) THE learned counsel for the appellant insurance company submitted that the commissioner had erred in law in not considering its plea that it does not become liable to pay interest as such a liability, according to the counsel, is specifically excluded under the insurance policy produced as Exh. R-2-1 and is also not com-pulsorily required to be covered in law.