SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2021 Supreme(UK) 644

IN THE HIGH COURT OF UTTARAKHAND AT NAINITAL
Sharad Kumar Sharma, J.
National Insurance Company Limited - Appellant
Versus
Smt. Ganga Devi - Respondent
Appeal From Order No. 443 of 2015
Decided On : 17-08-2021

Advocates Appeared:
Mr. Lalit Belwal, Advocate, for the Appellant, Mr. M.C. Kandpal, Senior Advocate, Mr. Dinesh Chandra Gahatori, Advocate, for the Respondent.

Headnote:

WORKMEN COMPENSATION ACT, 1923 - SECTION 3 - INSURANCE ACT - SECTION 64 (V) (B) - ACCIDENT - COURSE OF EMPLOYMENT - INSURANCE COMPANY - LIABILITY - COMPENSATION - FUNERAL EXPENSES - INTEREST - NOTICE - POST MORTEM REPORT - INJURY - DISEASE - STRESS - HEART STROKE - CAUSAL CONNECTION - BURDEN OF PROOF - EMPLOYER'S LIABILITY - NOXIOUS EMPLOYMENT - SUDDEN AND UNEXPECTED INCIDENT - AGGRAVATION OF STRESS - WORKMEN'S DEPENDANTS - MEDICAL OPINION - JUDICIAL NOTICE - NOTIONAL EXTENSION OF EMPLOYMENT - INSURANCE POLICY - VALIDITY - PERMIT - REGISTRATION CERTIFICATE - FITNESS CERTIFICATE.

Fact of the Case:

The deceased, a conductor in a marriage party bus, suffered a severe pain in his chest and died due to a heart stroke while sitting in the bus. The claimants, his wife and driver of the bus, filed a claim for compensation under the Workmen's Compensation Act, 1923, against the insurance company, alleging that the death was caused by an accident arising out of and in the course of employment. The insurance company denied liability, contending that the death was not caused by an accident, but by a heart attack, and that the claimants had failed to give prior notice of the accident as required by Section 10 of the Act. The Workmen's Compensation Commissioner awarded compensation to the claimants, including funeral expenses and interest.

Finding of the Court:

The court held that the death of the deceased was not caused by an accident arising out of and in the course of employment, as required under Section 3 of the Workmen's Compensation Act, 1923. The court found that the deceased had died of a heart stroke, which was not caused by any specific injury or event that could be considered an accident. The court also held that the claimants had failed to prove that the stress of work was a contributing factor to the death, and that the insurance company was not liable to pay compensation. The court further held that the Workmen's Compensation Commissioner had no power to award funeral expenses or interest on the awarded amount.

Issues: 1. Whether the death of the deceased was caused by an accident arising out of and in the course of employment, as required under Section 3 of the Workmen's Compensation Act, 1923? 2. Whether the claimants had failed to give prior notice of the accident as required by Section 10 of the Act? 3. Whether the Workmen's Compensation Commissioner had the power to award funeral expenses or interest on the awarded amount?

Ratio Decidendi: 1. The court held that the death of the deceased was not caused by an accident arising out of and in the course of employment, as required under Section 3 of the Workmen's Compensation Act, 1923. The court found that the deceased had died of a heart stroke, which was not caused by any specific injury or event that could be considered an accident. The court also held that the claimants had failed to prove that the stress of work was a contributing factor to the death, and that the insurance company was not liable to pay compensation. 2. The court held that the claimants had failed to give prior notice of the accident as required by Section 10 of the Act. 3. The court held that the Workmen's Compensation Commissioner had no power to award funeral expenses or interest on the awarded amount.

Final Decision: The court allowed the appeal of the insurance company and quashed the impugned award. The court directed the employer of the deceased to pay the compensation awarded by the Workmen's Compensation Commissioner, but held that the insurance company would be liable to pay the compensation and recover it from the employer.

JUDGMENT

Sharad Kumar Sharma, J. - The appellant, Insurance Company, herein, has put a challenge to the impugned award, as it had been rendered by the Workmen Compensation Commissioner / Presiding Officer, Labour Court, Haldwani, District Nainital, in the proceedings of Employee Compensation Application No. 274 of 2014, Smt. Ganga Devi Vs. Shri Pitamber Kandpal and another, whereby, the learned Presiding Officer, Labour Court, Haldwani, while adjudicating upon the award and the claim which was raised by the claimant, respondent No. 1, herein, had partially decreed the award in favour of the claimant, directing therein, to the Insurance Company to pay an amount of Rs.3,20,773/-, along with Rs. 5,000/- as an amount payable towards the funeral expenses, i.e. totalling to an amount of Rs.3,75,773/- to the claimants, as a compensation along with an interest payable on it @ 8%, from the date of accident, till the date of its actual payment.

2. The appellant, herein, i.e. the Insurance Company, and had invoked, Section 30 of the Workmen Compensation Act, 1923, hereinafter to be called as an Act of 1923, putting a challenge to the award on various counts, and particularly, the basic ground of challenge to the award dated 27.07.2015, was based on a premise, that since the death had not occurred due to the "accident", and because of fact that, accordingly to the appellant, the cause of death was not or it cannot be attributed to have chanced during the course of employment, no compensation, at all could be paid to the claimants and particularly, by the Insurance Company itself, with whom, the offending vehicle, in question, was registered.

3. Further, the argument of the learned counsel for the appellant is that, if the provisions which are contained under the Workmen Compensation Act, 1923, are taken into consideration, in fact, the amount of compensation, which could be awarded by the Compensation Commissioner, he does not have a power to award the funeral expenses, as according to him none of the provisions contained therein under the Act, provides for the payment of funeral expenses, apart from it, it was contended that the interest as awarded, on the awarded amount, apart from the fact that, it was on the higher side, but the Workmen Compensation Commissioner, since has no power to levy interest on the awarded amount and hence, levying of the interest @ 8% from the date of the accident, too was not sustainable, in the eyes of law, being contrary to the provisions of Act of 1923.

4. It was further contended by the appellant's Counsel, for the Insurance Company, that since the claimant, prior to the initiation of the proceedings before the Compensation Commissioner, in the absence of there being a prior notice issued to them under Section 10 of the Act, the entire proceedings would be vitiated.

5. The learned counsel for the appellant/Insurance Company, had submitted, that after the occurrence of the alleged accident, the deceased, when he fainted and became unconscious, he was taken to the hospital and before he could reach, to the hospital, he met with the sad demise, however, later on, an FIR was also alleged to have been registered and a post mortem was conducted on the deceased, but as per the opinion which was expressed by the Doctor, who conducted the post mortem on the deceased, had not been able to ascertain or opined any specific reason for the cause of death, and rather the visera was preserved, which was later on sent for examination in the FSL Laboratory.

6. But, for the purposes of scrutinizing the aforesaid set of arguments, the brief facts, which are necessarily required to be considered by this Court, for the purposes of arriving at a logical conclusion, are that the facts, which apparently engages consideration, are that the bus, in question, i.e. bearing registration No. UK-04-PA/0170, the owner of which, was respondent No. 2, was being plied under a contract with the KMOU Limited, and on the date of the incident, i.e. 1

                  Click Here to Read the rest of this document
                  1
                  2
                  3
                  4
                  5
                  6
                  7
                  8
                  9
                  10
                  11
                  SupremeToday Portrait Ad
                  supreme today icon
                  logo-black

                  An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

                  Please visit our Training & Support
                  Center or Contact Us for assistance

                  qr

                  Scan Me!

                  India’s Legal research and Law Firm App, Download now!

                  For Daily Legal Updates, Join us on :

                  whatsapp-icon Back to top