Tribunals should consider the genuine requirements of claimants and avoid a mechanical approach in deciding on premature withdrawal of compensation.

ORDER :

1. Mr. Bhalodi submitted that a prayer was made before the Tribunal for premature withdrawal of the FDR amount which was placed as per the order of the Court on the award being passed in MACP no.135/2019. Mr. Bhalodi submitted that the claimants have prayed for money for construction of the house since the house had fallen down and requires construction and the construction work is in progress as the building contractor has given an estimate of Rs.10,40,000/-, but the learned Tribunal was not impressed by the documents placed on record i.e. photographs of the house and estimate letter issued by Shri Sahajanand Building Contractor. Mr. Bhalodi submitted that the learned Tribunal has observed that the documents in the form of revenue record has not been produced by the claimants to prove the ownership and occupancy of the property and the terms and conditions between the claimants and the contractor had not been laid down and the learned Tribunal considered that there was no cogent evidence regarding the ownership, occupancy and the agreement regarding the terms and conditions with the contractor for the construction upon the claimants’ property and hence, rejected to release the fixed deposit amount.

2. Mr. Bhalodi relied upon the decision in the case of A.V. Padma & Ors. Vs. R. Venugopal & Ors., reported in (2012) 3 SCC 378 to contend that the Tribunal is required to give a thoughtful consideration to the genuine requirements of the claimant and should avoid mechanical approach ignoring the object and spirit of the Act. A.V. Padma’s case (supra) refers to the guidelines issued in the case of General Manager, Kerala State Road Transport Corporation, Trivandrum Vs. Susamma Thomas & Ors., reported in (1994) 2 SCC 176. In Susamma Thomas’s case (supra), while approving the judgment of the Gujarat High Court in the case of Muljibhai Ajarambhai Harijan Vs. United India Insurance Co. Ltd., reported in 1982 (1) GLR 756, the Apex Court has offered the following guidelines:-

“(i) The Claims Tribunal should, in the case of minors, invariably order the amount of compensation awarded to the minor be invested in long term fixed deposits at least till the date of the minor attaining majority. The expenses incurred by the guardian or next friend may, however, be allowed to be withdrawn;

(ii) In the case of illiterate claimants also the Claims Tribunal should follow the procedure set out in (i) above, but if lump sum payment is required for effecting purchases of any movable or immovable property such as, agricultural implements, rickshaw, etc., to earn a living, the Tribunal may consider such a request after making sure that the amount is actually spent for the purpose and the demand is not a ruse to withdraw money;

(iii) In the case of semi-literate persons the Tribunal should ordinarily resort to the procedure set out at (i) above unless it is satisfied, for reasons to be stated in writing, that the whole or part of the amount is required for expanding and existing business or for purchasing some property as mentioned in (ii) above for earning his livelihood, in which case the Tribunal will ensure that the amount is invested for the purpose for which it is demanded and paid;

(iv) In the case of literate persons also the Tribunal may resort to the procedure indicated in (i) above, subject to the relaxation set out in (ii) and (iii) above, if having regard to the age, fiscal background and strata of society to which the claimant belongs and such other considerations, the Tribunal in the larger interest of the claimant and with a view to ensuring the safety of the compensation awarded to him thinks it necessary to do order;

(v) In the case of widows the Claims Tribunal should invariably follow the procedure set out in (i) above;

(vi) In personal injury cases if further treatment is necessary the Claims Tribunal on being satisfied about the same, which shall be recorded in writing, permit withdrawal of such amount as is necessary for incurring