CHAMPA DEVI Vs. UNIVERSAL TRADING CO LTD

JUDGEMENT

(1.) THIS appeal is at the instance of a claimant in a proceeding under workmens Compensation Act and is directed against an award dated 25th february, 2008 passed by the Commissioner for Workmens Compensation, West bengal, Third Court, in Claim Case No. 209 of 2002, thereby disposing of the proceeding by awarding a sum of Rs. 83,192/- as compensation with a direction upon the United India Insurance Company Ltd. to pay the said amount within sixty days from the date of the award with a further stipulation that in default of such payment within the said period, the awarded sum would carry a simple interest @ 9% per annum from the date of accident till date of realization. Being dissatisfied, the claimant has come up with the present appeal. The only point taken by Mr. Ghosh, the learned advocate appearing on behalf of the appellant in this appeal, is that in view of the provision contained in section 4-A (3) of the Workmens Compensation Act, it was the duty of the learned Commissioner to award interest at least @ 12% per annum from the expiry of one month from the date of accident till actual deposit of amount irrespective of the fact whether there was default on the part of the Insurance company in making payment of the awarded sum within the time stipulated in the award.

(2.) MR. Singh, the learned advocate appearing on behalf of the respondent/insurance Company, has, however, opposed the aforesaid submission by contending that the interest on the awarded amount should be payable @ 12% per annum from the date such amount is assessed by the commissioner by passing the award till actual deposit of the amount. According to Mr. Singh, the amount cannot fall due so long the same is not assessed. In support of such contention, Mr. Singh has relied upon the decision of the supreme Court in the case of Kamla Chaturvedi vs. National Insurance Com. and ors. reported in 2009 (1) T. A. C. 1 (S. C.), and also that of the said Court in the case of National Insurance Co. Ltd. vs. Mubasir Ahmed and Anr. reported in 2007 (2)T. A. C. 3, (S. C. ). Mr. Singh, however, fairly conceded that there was no justification of granting interest only in case of default on the part of his client in making payment of the awarded sum within the time specified therein. Mr. Singh does not dispute the proposition of law that the interest should be payable irrespective of the fact whether there was default on the part of his client in making payment within the time stipulated in the award or not.

(3.) THEREFORE, the question that arises for determination in this appeal is what should be the rate of interest payable and what should be the starting point of computation of the amount of interest in a proceeding for compensation under the Workmens Compensation Act, 1923.