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2022 Supreme(Kar) 1519
IN THE HIGH COURT OF KARNATAKA
J.M.Khazi , J.
Sri. Rafiq Pasha – Appellant
Versus
Sri G. Srinivasa & Ors. – Respondents
M.F.A. No. 7011 of 2013 (WC)
Decided On : 17-05-2022
Sri. Ramachandra R Naik, Advocate, for the Appellant; Sri. S.V.Hegde Mulkhand, Advocate, for the Respondent
The main legal point established in the judgment is the calculation of compensation for permanent partial disability under the Workmen's Compensation Act, 1923, and the employer's liability to pay interest at 12% p.a.
Headnote:
Workmen's compensation Act - Compensation - Section 22, Section 30 - The court discussed the provisions of Section 22 and Section 30 of the Workmen's Compensation Act, 1923, and interpreted the calculation of compensation for permanent partial disability under Section 4(1)(b) and Section 4A(3). The court's decision was influenced by the interpretation of the maximum compensation for permanent partial disability and the employer's liability to pay interest at 12% p.a.
Fact of the Case:
The petitioner, a driver, sought compensation for injuries sustained in a work-related accident. The Labour Officer and Commissioner for Employees' Compensation granted compensation, but the petitioner appealed, disputing the quantum of compensation and interest awarded.
Finding of the Court:
The court found that the petitioner was entitled to higher compensation for permanent partial disability and reimbursement of actual medical expenses. The court also determined that the employer was liable to pay interest at 12% p.a.
Issues: The issues included the calculation of compensation for permanent partial disability, reimbursement of medical expenses, and the applicable interest rate.
Ratio Decidendi: The court held that the maximum compensation for permanent partial disability cannot exceed 60% of the monthly wages, and the employer is required to pay interest at 12% p.a. if the compensation is not deposited within one month of falling due.
Final Decision: The court allowed the appeal in part, modifying the compensation to Rs.5,15,925 with interest at 12% p.a. from the date of expiry of one month on which the liability fell due, and directed the respondent to deposit the compensation within six weeks.
JUDGMENT
1. Not being satisfied with the quantum of compensation granted vide the impugned Judgment and order dated 28.02.2013 in 5/2011 on the file of Labour Officer and Commissioner for Employees' Compensation (hereinafter referred to as 'CEC'), petitioner has come up with this appeal under Section 30 of Workmen's compensation Act, 1923 (hereinafter referred to as 'Act').
2. For the sake of convenience the parties are referred to by their rank before the CEC.
3. Petitioner filed the claim petition before the CEC under Section 22 of the Act, seeking compensation for the injuries sustained by him as driver of Goods canter vehicle bearing registration No.KA-02/AB-7322 (herein after referred to as offending vehicle), contending that the said injuries were sustained by him in an accident arising out of and in the course of employment of respondent No.1.
4. FACTS: Brief facts leading to the filing of the claim petition are that petitioner was working as a driver under respondent No.1 in the offending vehicle on salary of Rs.8,000/-p.m. The offending vehicle was covered by a valid policy issued by respondent No.2 covering the period from 03.10.2007 to 02.10.2008. On 01.04.2008, while he was proceeding in the offending vehicle on NH-7, near Electrical Sub Station, Veldurthi P.S. Ltd, Kurnool District, the offending vehicle met with an accident. In the said accident, he suffered grievous injuries. Initially he took treatment at Government Hospital, Kurnool and shifted to St.John's Medical College Hospital on 02.04.2008. During the treatment his right hand was amputed and implants were inserted to his right leg. Even after discharge, he continued to take treatment. On account of permanent partial disability, petitioner has suffered loss of income. He is entitled for compensation in a sum of Rs.15,00,000/- with interest.
5. After due service of notice, respondent No.1 appeared and filed written statement admitting that there exists relationship of employer and employee between him and the petitioner on salary of Rs.8,000/-p.m. He has also admitted that petitioner met with an accident arising out of and in the course of his employment with respondent No.1. As on the date of accident, petitioner was holding a valid and effective driving license and the offending vehicle was covered by a valid policy and as such respondent No.2 is liable to pay the compensation.
6. Respondent No.2 has filed written statement disputing the coverage of the offending vehicle and its liability to indemnify respondent No.1. Its liability if any is subject to the terms and conditions of the policy. The relationship of employer and employee between respondent No.1 and petitioner and that he was paid salary of Rs.8,000/- p.m. and that on 01.04.2008 he was engaged by respondent No.1 to drive the offending vehicle are denied. It is denied that petitioner sustained injuries in an accident dated 01.04.2008 during the course of his employment and sustained severe injuries resulting in permanent partial disability affecting the earning capacity of the petitioner. At the time of alleged accident, petitioner was not holding a valid and effective driving license and the offending vehicle was not having valid permit and as such respondent No.2 is not liable to indemnify respondent No.1 and prays to dismiss the petition.
7. Based on these pleadings necessary issues were framed by the CEC.
8. In support of his case, petitioner got himself examined as PW-1 and got marked Ex-P1(1) to (13). He has examined the Doctor as PW-2, got marked Ex.P2(1) and (2) and one more witness as PW-3 and got marked Ex.P3 (1) to (4).
9. On the other hand on behalf of respondent No.2, RW-1 is examined and Ex-R2 (1) to (4) are marked.
10. Respondents have not led any evidence before CEC.
11. After hearing arguments of both sides, vide the impugned judgment and order, the CEC has partly allowed the petition and granted compensation in sum of Rs.2,61,351/- with interest at 7.5% from the date of petition till the
