The main legal point established in the judgment is the need for a liberal interpretation of territorial jurisdiction provisions in beneficial legislation to facilitate remedies for victims of accidents.

JUDGMENT

Manoj Kumar Ohri, J. (Oral)

FAO 515/2018 & CM APPLs. 46215/2018 (stay), 46216/2018 (Delay)

1. By way of the present appeal filed under Section 30 of the Employees' Compensation Act, 1923 (hereinafter, referred to as the `EC Act'), the appellant/Insurance Company seeks setting aside of order dated 18.01.2017 passed by the learned Commissioner, Employees' Compensation in Case No.CEC/SD/D/45/2015/1147-1153, whereby the appellant was directed to deposit Rs,7,68,560/- on account of death compensation payable to respondent Nos.1 to 5/claimants alongwith interest @ 12% p.a. w.e.f. 03.05.2015 till its realization, as well as an amount of Rs.8,00,000/- spent by the claimants on medical treatment of the deceased after the accident and prior to his death.

2. The appeal is accompanied by an application under Section 5 of the Limitation Act seeking condonation of delay of 565 days, wherein it is averred that the order on the claim petition was reserved by the learned Commissioner and the appellant only became aware of its passing later. The delay is sought to be explained by stating that the concerned counsel of the appellant did not inform it timely of the passing of the order.

3. From a perusal of the records, it is apparent that after the impugned order was announced by the learned Commissioner, an application was filed by the claimants seeking initiation of recovery proceedings against the appellant. Pursuant to the same, letters were repeatedly directed to be issued by the learned Commissioner to concerned authorities, however, the amount was not deposited. Considering the aforesaid and the mandate of Section 5 of the Limitation Act, I am of the opinion that the appellant has failed to make out any `sufficient cause' to explain the delay occasioned in the present case. Be that as it may, as learned counsels appearing for the parties have addressed submissions on merits, I have heard the rival contentions and perused the material on record in entirety. In my considered view, no ground for interference with the impugned order is made out for the reasons discussed hereinafter.

4. The impugned order is sought to be assailed by the appellant on two grounds; first, that the learned Commissioner had no jurisdiction to entertain the claim petition, and second, that employer-employee relationship between respondent No.6 and deceased was not established.

5. There is no gainsaying that labour statutes such as the EC Act constitute `beneficial legislation' for the welfare of employees and should be liberally construed in their favour. In this regard, the Supreme Court in Jaya Biswal and Others v. Branch Manager, IFFCO Tokio General Insurance Company Limited and Another reported as (2016) 11 SCC 201 has opined as under:

"20.The EC Act is a welfare legislation enacted to secure compensation to the poor workmen who suffer from injuries at their place of work. This becomes clear from a perusal of the preamble of the Act which reads as under:

"An Act to provide for the payment by certain classes of employers to their workmen of compensation for injury by accident."

This further becomes clear from a perusal of the Statement of Objects and Reasons, which reads as under:

"...The growing complexity of industry in this country, with the increasing use of machinery and consequent danger to workmen, alongwith the comparative poverty of the workmen themselves, renders it advisable that they should be protected, as far as possible, from hardship arising from accidents.

An additional advantage of legislation of this type is that, by increasing the importance for the employer of adequate safety devices, it reduces the number of accidents to workmen in a manner that cannot be achieved by official inspection. Further, the encouragement given to employers to provide adequate medical treatment for their workmen should mitigate the effects to such accidents as do occur. The benefits so conferred on the workman added to the increased sense of security which he