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2007 Supreme(Guj) 837

IN THE HIGH COURT OF GUJARAT
M.R. Shah, J.
New India Assurance Co. Ltd – Petitioner
Versus
Narsinh D. Harijan (Solanki) and Ors. – Respondents
Civil Appln. Nos. 11706 to 11716 of 2006
Decided On : 24-04-2007

Advocates:
Advocate Appeared:
For the Petitioner:- K.V. Gadhia, Advocate.
For the Respondent No. 1:- Jagdish B. Joshi, Advocate.

Headnote:

Workmen's Compensation Act, 1923 - Section 4 - Grant of compensation - Challenged by Insurance Company - Accident causing death - Commissioner for Workmen's Compensation, Kutch, has allowed all the aforesaid Workmen's Compensation Cases and he has not only directed the Insurance Company to pay the compensation under the Workmen's Compensation Act but has also directed the Insurance Company to pay penalty to the extent of 50% of the awarded amount along with interest at the rate of 12% on the amount of compensation. Held, In most of the cases, the amount of compensation is frittered away because of various reasons including illiteracy or ignorance on the part of the victims towards their rights, influence of middlemen and heavy expenditure incurred in litigation including fees for the advocates. Considering the above, in the interests of claimants and the benevolent Act of Workmen Compensation and the purpose for which the amount of compensation is awarded is not defeated, while awarding the compensation and disposing of Claim Applications arising under the Workmen Compensation Act, and while passing the order of disbursement of the amount deposited by the Insurance Company and/or contractor/employer, all the learned Commissioners for Workmen Compensation in the State are directed to follow the following broad guidelines- Applications are disposed of.

ORDER :

M.R. Shah, J.

1. All these applications are filed by common applicant, New India Assurance Company Ltd., for appropriate interim orders staying the respective judgment and order passed by the learned Commissioner for Workmen's Compensation, Gandhidham, Kutch in respective Workmen's Compensation [Fatal/Non-Fatal] Cases during pendency and final disposal of the main First Appeals.

2. That the respective original-claimants have preferred Workmen's Compensation [Fatal] Cases No. 18/05, 19/05, 23/05, 24/05, 25/05, 38/05, 39/05, 40/05, 46/05, 47/05 and 42/06 on the death of their sole bread-earners and the learned Commissioner for Workmen's Compensation, Kutch, has allowed all the aforesaid Workmen's Compensation Cases and he has not only directed the Insurance Company to pay the compensation under the Workmen's Compensation Act but has also directed the Insurance Company to pay penalty to the extent of 50% of the awarded amount along with interest at the rate of 12% on the amount of compensation. Being aggrieved and dissatisfied with the judgment and order passed by the learned Commissioner for Workmen's Compensation, Kutch- Bhuj in aforesaid Workmen's Compensation Cases, the applicant Insurance Company has preferred First Appeals No. 3830 of 2006 to 3840 of 2006. The original- appellant, applicant herein, Insurance Company has also preferred the present Civil Applications No. 11706 of 2006 to 11716 of 2006 for staying the judgment and order passed by the learned Commissioner for Workmen's Compensation during the pendency and final disposal of the aforesaid Appeals.

3. It appears from the record that, before filing the present Appeals the Insurance Company has deposited the amount as per the respective judgment and orders passed by the learned Commissioner for Workmen's Compensation some where in the month of June/July 2006. It also appears that the Insurance Company preferred respective Appeals on 28.6.2006 along with Civil Applications for interim relief. It also appears from the record that after the amount was deposited and the Appeals and the present Applications were filed, the original-claimants who seem to be illiterates and very poor and coming from a lower strata of the society preferred applications through their Advocates on 8.8.2006 for permitting them to withdraw/pay the entire awarded amount out of the amount deposited by the Insurance Company. It is required to be noted that in the application dated 8.8.2006 it was specifically mentioned by the original-claimants that the Insurance Company has preferred First Appeals, however they have produced only Stamp Numbers and the Insurance Company has not obtained any interim order and that the matter has not come on Board. It appears from the record of Workmen's Compensation [Fatal] Case No. 38/05 and 42/05 that the learned Commissioner for Workmen's Compensation, Gandhidham, Kutch-Bhuj passed the order on 8.8.2006 on the said applications directing the Insurance Company to produce the documentary evidence with regard to pending Appeals and adjourned the said applications to 1.9.2006. It also appears from the record that the learned advocate appearing on behalf of the applicant-herein the Insurance Company produced Computer Status Report of the Appeals filed by the Insurance Company before this Court and requested not to disburse the amounts in favour of the original-claimants and/or not to permit the original-claimants to withdraw the amounts deposited by the Insurance Company and in the alternative it was requested that the original-claimants be directed to furnish Bank Guarantee and/or security for the said amounts which are permitted to be withdrawn by them. It appears that, inspite of the aforesaid objection and production of the Status Reports with regard to filing of Appeals and Civil Applications by the Insurance Company, the learned Commissioner for Workmen's Compensation, Gandhidham, Kutch-Bhuj, Shri M.C. Vora, passed the order of disbursements in favour of or

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