High Court Punjab-Haryana High Court

Om Parkash And Another vs Union Of India on 26 August, 2009

Punjab-Haryana High Court
Om Parkash And Another vs Union Of India on 26 August, 2009
 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH

                              FAO No. 149 of 2009

                                        Date of decision : August 26, 2009
Om Parkash and another
                                                             Appellants
                           Versus

Union of India
                                                             Respondent
CORAM : HON'BLE MS. JUSTICE NIRMALJIT KAUR

Present :    Mr. Somesh Gupta, Advocate
             for the appellants
             Mr. Jagdish Marwaha, Sr. Standing Counsel for Railways


NIRMALJIT KAUR, J. (ORAL)

Learned counsel for the appellants at the outset restricted his

claim only to the grant of interest at the rate of 18% per annum from the

date of filing of the claim petition till the date of payment.

Mr. Jagdish Marwaha, Sr. Standing counsel for Railways does

not dispute the claim to the extent of paying interest on the awarded

amount from the date of the filing of the claim petition till its realization.

However, he expressed his strong reservation on the rate of interest, which

should be levied. A similar stand was taken by learned counsel for the

respondent before this Court in bunch of appeals decided vide order dated

17.7.2009 passed in FAO No. 110 of 2009 titled as Des Raj versus Union

of India and others.

While deciding the rate of interest, this Court had held as

follows in the above mentioned similar matters :-

“Taking into account the observations of the Apex Court made

in the cases of Uttaranchal Transport Corporation, Tamil

Nadu State Transport Corporation and the Managing

Director, TNSTC (supra), wherein the interest was fixed at the

rate of 7.5% per annum instead of 9% and also, at the same

time, without losing sight of the fact that in the case of
FAO No. 149 of 2009 -2-

N. Parameswaran Pillai and Rathi Menon (supra), relating to

claim under the Railways Act, 1989 and Railway Accidents

and Untoward Incidents (Compensation) Rules, 1990, entitling

the appellant interest at the rate of 12% per annum, as also

keeping in view the interest given by the Banks and other

financial institutions, interest at the rate of 9% per annum on

the compensation amount so awarded by the Tribunal from

the date of filing of the claim petition till its actual realization

would be just and fair.”

The present appeal is, therefore, covered by the judgment

passed in FAO No. 110 of 2009.

The present appeal is, accordingly, disposed of in the same

terms as FAO No. 110 of 2009 with direction to pay 9% interest on the

amount awarded by the tribunal from the date of filing of the appeal till its

actual realization.




                                                        (Nirmaljit Kaur)
26.08.2009                                                 Judge
reena