SATYA KUMAR Vs. SUMITRA DEVI AND ORS

JUDGEMENT

(1.) This first appeal is filed under Section 30 of the Employee's Compensation Act, 1923 (hereinafter referred to as 'the Act') impugning the order of the Commissioner dated 29.1.2013 passed under Section 4A of the Act with respect to imposition of penalty of 50% of the compensation amount upon the appellant/employer.

(2.) The provision of Section 4A of the Act is invoked after the main compensation proceedings are decided, proceedings under Section 4A are so as to take a decision as to whether claimants are entitled to interest and penalty for delay in payment of compensation and which compensation has to be paid within 30 days of the accident for penalty and interest not to be payable.

(3.) By the impugned order, the Commissioner has ordered the insurance company/respondent no.4 herein to pay interest, but has directed that payment of penalty will be on the appellant/employer (respondent no.1 before the Commissioner) alone on the ground that it was the appellant who had failed to inform the insurance company on time for liquidating the liability and therefore only the appellant will be liable to pay penalty. The relevant observations of the Commissioner in this regard read as under:-