ORIENTAL INSURANCE COMPANY Vs. OM PRAKASH

JUDGEMENT

(1.) THE above appeal has been filed by the Insurance Company which was arrayed as the second respondent on the file of the Commissioner under the Workmen's Compensation Act, Joginder Nagar, Mandi District in proceeding file No. 2 against the order dated December 12, 1990 passed therein awarding a total compensation of Rs. 78,593. 36 to the claimants who are the sons and daughters of late Salig Ram, said to be a resident of village Pehloon Tehsil Baijnath, District Kangra. The case of the claimants before the Commissioner constituted under the Workman's Compensation Act was that one Suresh Kumar aged about 27 years, the brother of the claimants was working as driver with one Ami Chand Rana, the 5th respondent herein, getting a salary of Rs. 1,000/- per month, that on July 18, 1988 at about 3. 30 p. m. when the said Suresh Kumar was carrying products of forest nursery, an accident took place at Bharoli Nalla, Tehsil Joginder Nagar, as a result of which he was said to have sustained fatal injuries and died as a consequence thereof on the spot. Invoking the provisions of Section 4 of the Act, the applicants claimed for the award of a compensation of rupees two lakhs.

(2.) THE appellant Insurance Company appears to have filed the reply opposing the claim that the application filed in such form is not maintainable, that all the necessary parties have not been joined to the proceeding and no legal notice as envisaged under the Act has been given, in addition to contending that at no point of time the claimants made known about the accident and the resultant death had never been brought to the notice of the Insurance Company by the applicants or by the first respondent employer and, therefore, the application may be dismissed.

(3.) THE authority below after conducting an inquiry came to the conclusion that there was no serious objection to the age of the workman and his death while in the employment or the wages claimed and that the workman was being paid only Rs. 800/- per month. Applying the formula fixed in case of death resulting from an injury, the compensation was determined at 40 per cent of the monthly wages and by multiplying the same with the relevant factor fixed at 213. 67 and the total wages which was payable as compensation was fixed at Rs. 68,342. 40 and awarded further total interest on the compensation due at 6 per cent for a period of 21/2 years in the sum of Rs. 10,251. 36. Consequently the total compensation payable was arrived at Rs. 78,593. 36.