ORIENTAL INSURANCE COMPANY LIMITED – Appellant
Versus
RAJU – Respondent
( 1 ) THE Oriental Insurance Company Limited, the appellant herein, being aggrieved by the award of interest at 6 per cent per annum on the amount of compensation determined by the commissioner of Workmen's Compensation, Sub-Division III, bangalore, has approached this Court in this appeal challenging the correctness of the said imposition of interest for the reasons set out in the appeal.
( 2 ) WE have heard Sri S. P. Shankar, learned Counsel for the appellant, and perused grounds taken in the appeal as well as the award.
( 3 ) AT the outset, we are of the view that having regard to the provisions of the 1st proviso to Section 30 of the Workmen's compensation Act, 1923 (here in after referred to as 'the Act'), the question now raised relating to the imposition of interest over the compensation determined is a substantial question of law involved in the appeal and, therefore, it is a fit case for being admitted and considered.
( 4 ) ON a careful consideration of the award as well as the coverage found in the policy issued under the Act in favour of the insured, it is seen that the liability of indemnifying the insured as to imposition of interest or penalty is ex
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