IN THE HIGH COURT OF ORISSA AT CUTTACK
B.P.ROUTRAY
Pabitra Naik – Appellant
Versus
Union of India – Respondent
| Table of Content |
|---|
| 1. the court heard arguments from both parties. (Para 1 , 2) |
| 2. tribunal’s direction on interest calculation. (Para 3) |
| 3. interest on compensation starts from the date of the accident. (Para 4 , 5) |
| 4. court’s opinion on unreasonable fixed deposit requirement. (Para 6) |
| 5. final order on disbursement of compensation. (Para 7) |
JUDGMENT :
B.P. Routray, J.
1. Heard Mr. Mishra, learned counsel for the claimant – Appellant and Ms. Nayak, learned CGC for Union of India.
2. Present appeal by the Claimants is directed against impugned judgment/award dated 18th November 2025 passed by the Railway Claims Tribunal, Bhubaneswar Bench in Case No. O.A. (IIU)/37/2025.
3. It is submitted on behalf of the Petitioner that the Tribunal while granting interest at Para-17 of the impugned judgment has directed for payment of interest from the date of appearance of the Applicant’s Evidence (AE) i.e. 19th June 2026 till the date of actual payment.
4. In Union of India vs. Rina Devi , 2019 (3) SCC 572 , the Hon’ble Supreme Court has observed as follows:-
“18. The learned Amicus has referred to judgments of this Court in Raman Iron Foundry [Union of India v. Raman Iron Foundry, (1974) 2 SCC 231, para 11]
Interest on compensation must accrue from the date of the accident, ensuring claimants receive the higher of two possible compensation amounts based on established legal principles.
Compensation liability arises on the accident date with interest payable from that date, ensuring fairness based on established legal principles.
Compensation for railway accidents is determined by the applicable rules at the time of the incident, with interest awarded from the date of accrual, not the date of the accident.
Appellants are entitled to interest on compensation from the date of the accident, as established by precedent.
Claimants entitled to interest at 12% from the date of the accident under the Workmen’s Compensation Act, ensuring fairness and adherence to beneficial legislation.
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