NATIONAL INSURANCE CO. LTD Vs. PREMBAI

JUDGEMENT

(1.) ONE Dayalu, son of Respondent No. 1 and husband of Respondent No. 2, was employed as conductor in truck No. CPR 8179, owned by Respondent No. 3 Due to certain injuries caused to Dayalu, in the motor accident, arising out of and in the course of his employment, he died. Consequently, Respondent Nos. 1 and 2 made an application for compensation before the Commissioner for Workmen's Compensation, under the Workmen's Compensation Act. The Appellant insurance company was also made a party. In case No. 67/68 (F), the Commissioner for Workmen's Compensation, Raipur, awarded compensation to Respondent Nos. 1 and 2 to the tune of Rs. 13,500/ - against the employer Respondent No. 3 as well as against the Appellant insurance company, the insurer of the truck. There were divergent views on the point as regards the liability of the insurance company. Consequently by my order dated 14th December, 1984, the case was referred to Hon'ble the Chief Justice to constitute a larger Bench for considering the following two questions:

(2.) FULL Bench of this Court by order dated 31st March, 1985, decided the questions and answered the same in the affirmative in favour of the claimants and against the Appellant by giving its opinion that the Commissioner for Workmen's Compensation has jurisdiction under the Act, in a proceeding for compensation for the personal injury or death of an employee occurring in a motor accident, to award compensation against the insurance company; and that the insurance company can be fastened with the liability of making payment of compensation to the successful Applicant in a proceeding before the Commissioner for Workmen's Compensation under the Act, even in the absence of the employer being adjudged an insolvent as required under Sub -section (1) of Section 14 of the Act.