PRADEEP SURAJBHAN AGRAWAL Vs. BAPU KRISHNA YEDAVA

JUDGEMENT

(1.) THIS Appeal has been filed under Workmen's compensation Act. The only question involved is whether the employer can be saddled with liability of payment of interest and penalty when an insurance policy was in existence on the relevant date.

(2.) THE accidental death occurred on 7. 3. 1990. The parents of the deceased filed an application under the workmen's Compensation Act claiming compensation as the appellant was the owner of the truck No. CNB 5694 as also the employer of the deceased. The application was allowed after, evidence has been recorded. The commissioner came to the conclusion that the compensation payable is an amount of Rs. 10,548/- The amount awarded by way of an interim relief on 16. 8. 1990 in the interim application filed under section 140, of the Motor Vehicles Act for no fault liability should be deducted. The insurance company had deposited the amount of Rs. 25000/- on 16. 8. 1990 as awarded by the commissioner on 23. 5. 1990.

(3.) MR. MORE, learned Advocate for the Appellant, submits that in any event the employer should not be liable to pay the interest on the compensation. He relies on the judgment in the case of L. R. Ferro alloys ltd. v/s. Mahavir Mahto and Anr. 2002 (9) SCC 450. There is no doubt that this judgment is applicable to the facts of the present case. The employer is not liable to pay interest on the compensation when admittedly the insurance policy was in operation.