LAWS(DLH)-2012-3-480

NEW INDIA ASSURANCE CO LTD Vs. SUSHILA

Decided On March 14, 2012
NEW INDIA ASSURANCE CO LTD Appellant
V/S
SUSHILA Respondents

JUDGEMENT

(1.) By way of this first appeal under Section 30 of the Employees Compensation Act, 1923 (hereinafter referred to as 'the Act'), challenge is made to the impugned order dated 16.08.2011 by which the Commissioner, Employees Compensation has awarded interest @ 12% p.a. on the amount of compensation of Rs. 4,28,376/- to claimants i.e., respondents 1 to 3 w.e.f. date of accident i.e., 9.9.2003 till its realization.

(2.) Briefly, the background of the case is as under:- The respondents 1 to 3/claimants had filed a claim petition under the Act seeking compensation on account of death of Sh. Subhash Chand Verma. Respondent no. 1 is the wife of deceased and respondents no. 2 and 3 are his children. The case of the respondents no. 1 to 3 was that deceased was employed as a 'Driver' on vehicle bearing no. DL-4A-1655 RTV. On 9.9.2003 when he was on duty on the said vehicle and was going from Peera Garhi to Palam Gaon, he noticed some defect in the vehicle. He stopped the vehicle in order to find out the defect. In the meanwhile, deceased was hit by another vehicle as a result of which he sustained injuries on the vital part of the body and died. It was their case that deceased had died in an accident arising out of and in the course of employment. The said claim petition was decided on 13.08.2008 wherein the appellant was directed to pay a sum of Rs.4,28,376/- as compensation to respondents 1 to 3. The said amount was deposited by the appellant before the Commissioner on 26.09.2008. After receiving the said amount, the respondents 1 to 3 moved an application under Section 4(A) of the Act claiming interest @ 12% on the awarded amount. The said application was disposed of vide impugned order dated 16.08.2011 by which a direction has been issued to respondent no. 2 to pay interest @ 12% p.a. to the claimants w.e.f. 9.9.2003 till the date of realization of compensation.

(3.) Aggrieved with the impugned order of award of interest dated 16.08.2011 @ 12% p.a. on the compensation amount from the date of accident, the present appeal is filed.