ORIENTAL INSURANCE CO LTD Vs. RADHEY SHYAM NAIK

JUDGEMENT

(1.) THIS is an appeal by the Insurer M/s. Oriental Insurance Company Ltd. , Jeypore against the award of the Commissioner for Workmen's Compensation and Deputy Labour Commissioner, Jeypore saddling the liability on the appellant to pay the compensation amounting to Rs. 31,197/-within 30 days of receipt of the judgment and in default to pay a penalty of Rs. 10,000/- with interest at the rate of 6 % per annum over and above the amount of compensation.

(2.) THE short facts giving rise to the present appeal is that one Radhe Shyam Nayak, who was working as a Mixer Operator under M/s. Shankar Narayan Construction Co. Respondent No. 2, a contractor engaged by the Executive Engineer, T. R. Division of Upper Indravati Irrigation Project, on May 4, 1992 at 5. 30 P. M. met with an accident due to which his left hand slipped into the Mixer Machine Drum sustaining injuries during the course of his employment. The workman was admitted into the Headquarters Hospital, Bhawanipatna, where he remained as indoor patient from May 4, 1992 to June 22, 1992 for treatment of the injuries. He filed a claim application before the Commissioner for Workmen's Compensation, Jeypore for indemnification of his injuries. It is the case of the claimant that the Contractor M/s. Shankar Narayan Construction Co. had insured its workers in different trades, such as Stone Crushers, Carpenters, Earth Workers, Mechanics, Welders and Electrical Operators and as such the insurer was liable to cover the liability of the Contractor. The employer admitted the accident in his written statement and since the workmen were covered with the insurance, it prayed for impleading the Oriental Insurance Company Ltd. as a party. The appellant-Insurer appeared in the claim case and filed its written statement denying its liability, inter alia, on the ground that the injured was not covered under the above policy inasmuch as for such category of workmen, the premium was not paid. The Commissioner for Workmen's Compensation framed the following issues:

(3.) THE Commissioner held that the claimant was 30 years of age and was drawing a wage at the rate of Rs. 35/- per day. He also found that the workman has lost his earning capacity to the extent of 30% on the basis of the Medical Certificate issued by the Doctor. A sum of Rs. 31,197/-was assessed and determined as the just and fair compensation.