High Court Karnataka High Court

M/S Punji Lloyd Ltd vs Mr Basappa Lagmappa Ramankatti on 30 January, 2009

Karnataka High Court
M/S Punji Lloyd Ltd vs Mr Basappa Lagmappa Ramankatti on 30 January, 2009
Author: B.S.Patil
MFA M19233 /' 2006

IN THE HIGH COURT OF KARNATAKA
CIRCUIT BENCH AT DHARWAD

DATED 'I'H§S THE 30TH DAY 02:' JANUAR*¥'_:~--i§Z)(}AS}: V'  T' 
BEFOREflW H" A } 'x
THE HON'BLE M1§,.J_1}STiC.EA}:'i3:S.PA'§7ifi: " * " 
     
BETWEEN:    
Mfs. Punj Lloyd Ltd., . V  i 
Rep. by its Admin:1strativ£.'*€.'.fi:icer; A 

Sri Baiju  %  '
Aged: 3Gyea1js;_  . u     

Chikkalgudcé, »  »   '_  
Piukkeri (T), Belgagm (:*=)is..1:IA'i:.':V:;).&  ig. ..APPELLAN'I'

(By 35:; Madaii"vIvi§;-1i§faz;' 41%1;K1'--anhur, Adv.)

AND:

 V. 1. Basappd'La g§11ap:pa Ramankatti,

§?§c"si¢1'i11g'v~at Lakséiminagar,

:A w .151 Cnma, Kakathi,
 V  Disujict.

if  I;§Ci'§;é;_.§§Ssmance ()0. Ltd.,
Féfip. .-by its flivisional Manager,
Club Road, Bclgaum. ..R'ESPC}NDEN'I'S

4]"  (;By'~,Sri Sanjay S.Katagcri, Adv. for R»:
 8--:'i=L.B.Mannoddar, Adv. for R-2)

This Appeal is filed under Section 36(1) of WC Act

 the order ciatezi 30.96.2006 passed in

WCA/"SR. 153/ 12004 on the file of the Labour Oificar and
Commissioner far Work:men's Compcnsafion, Sub~Division--2,
Belgaum, awaniing compensafion of Rs.1,44,839/ -- with
interest @ 12°/o pa. from 16.03.2904 to 30.06.2006 and
directing the appellant herein to deyosit the same.



MFA 910.9233! 2006

This Appeal is coming on for 8.{ii11iSSi(>I.'£, llthxe

Court maxi: the folloW1'ng:~
JUDGMENT

O}. This appeal is by the emplojgéc-tr

passed by the Commissionexfgfgr ” L’

Belgaum. By the impugned linlér, tt1é”~{3€§:Lzij1islt=§io11ttr has
awarded compensation. l Jllaiong with
interest at 1296. The Comm penalty

of 25% of the Qszzipflflsallon that the employer

failed 30 days. The
Commisilsiofi-srl hfisif that the 211*’ respondent ~

Insurance Cl1Ompa1;yv.wAa3ll flail liable to reimburse the amount as

< /'me ._filij1;1f§d<¢mpl6yes….was not covered under the policy in

ea:i$ie:nc®., V ' = l'

02 "*v"§'h'§:'<§£)ja£é.filions of the lcaxned counsel for the appellant

(4l1}..'t.llaVL'£.tl1e claimant was not employeé by the appcflant as

V' 'Wits 'tfznlplliytze at tha time of accident; (2) that the amount of

éénlpénsafion awarded taking the loss 01' earning capacity at

" '35%: is illegal and (3) that the Commissioner erred in not

V fastening the liability (in the 235 msgmndeni – Insurance

%,

'~

MFA Fife. 9233 I 2006

Company on the gmund that oniy Scmi~skflk:d anév

Engineers were covered as per the poiicy and

was engaged as a helper to the Welding ..M§:;1§s#,§:r:VA.T.§vas Tbntgtu'

covered.

03. Leazncd counsel appea1§j§g~..for tilt:

and the Insuraslce Company ” «£11; Ffgntentions
urged by the counsel {of

04. Having 1}56.a~f§.i’fhc i'(}1″:’l:hc parties and on
canzftfl .013. record, I do not fimi
any ‘A urged by the learned
counsel v 3″:::>1:” ..t}ie. As xightly pointed out by the
élomméissioixér as ~ a ietter addressed by $11 Akhi}

‘*–Mar 01’ the appcllaznt -~ Company (where

was working) to the Medical Director of

K; vgelgaum, a request was mach: tn the Hospital

‘.VAuth§§1~*§1;:ié:As; extend medica}. facilities to the injt1red~c1aimant

x V’ “..f2m1¢:iTtl1e Company will undertake to meet the mcclical

iucuned at the tizne of dischargg. This document

” éléarly shows that the alaimant sustained injuries during the

V course of his emgloyment and therefore the employer through

Ag,

MFA NQ9233 I 2006

its Genera} Manager undertook ts meet all the medical

expenses to be iI§1CIl1’I’€d for his treatment in K.L.E. Hosfiifa}.
O5. Insofar as the quantum of compensation aj;vVi\riVié{i,_ the

claimant has examined Dnsathish D.Pab’},

surgeon working in K.L.E. Hospital; ~who7 fhe

injured clam’ ant. He. has e§*id én£;e

claimant sufihmsi fracture of

medial maliiolus). In his ¢Vi(i€§I1f?£§,.”vh€’ that
the claimant was an inpéfigént till 28.02.2004

and hacgi’ ‘um1m}gon§ :i:’m+{£§spita;. It is also stated by
the llnabie to stand for long fimc

and was m ‘capab1¢’or atiengéimg :0 hard manual work. He has

that was unable to sit cmss–1cg and

tLh§irc.. wa$Vm:s1:’fict_i0n cf movement in his right ankle and them

‘;.knce, He has assc$sc€i the physical disability

‘V in gighthiéji-war limb at 25%, The Commissioncar has taken

u–,;<:n3f vibe nature of the hard work that the claimant was

.' as a helper anci the physical incapacity that was

' 'i1ifiictcd on him on account of the accident. anti has assessed

A. the loss of earning capacity at 35°./£2. Taking the monthiy wages

at Rs..3,598]~ and appiying the Ifilfzvaiit factor }.9'?.{)6 having

1%'

°e::1vé2*ee. =

MFA No.9233 / 2096
5

regard to the age of the claimant found to be 35 y”ears___at the

time ef accident, total compensation in a sum of Rs. —

was arrived at. 3 do not fine any iiiegaiity in

compensation made by the Comnxissioner “ae’.’:vto “L=;?ar:’ax;t

intexference under Section 30 of

06. Ensefar as the 3″‘ contenfieeeyxfgeei for the
appellant is concerned eefifepcfixxg Qomxeiesioner was
not justified in reff;_1si11g gjg the Insurance
Company, it insumnce Poiicy
coxxtaine al fife]?_s§ee;1ge ‘e:q;Ie.ssion with reference to the
coverage. ‘ §_t i:=; that 01133; semis-skified anei

U11sk:i_l1eci_ salary less than Rs.4,0{)O]- are

the appellant-emp1oyer submits that the

V — actuei ceeefage is in respect ef Semi-skilieé and Unskilled

K Vempioflyeee and not Engineers. Re submits that there could not

be any Semi-skilled or Unskzilled engages. He amber

thai the expression ‘Semi-skilled and Unsliiiied

” Engineers’ is mentioned due to a typographical error in the

peiicy and the eame eeuld net have been reiied upon by the

MFA No.1-9233/12006

Commissioner to }:'(‘2fL1S€ to fasten the liability on the Insurance

Company. Counsel for the responée:t3t–In.surance

however submits that since it is a contractual ”

open for the empioyer to improve upon the ” .

the policy and the expzessions used.i’-._

08. On perusal of the fiz1di13.gs’v,r~:.ét;.:;rcle§d. byVthej.’Coi#itiiissionefV

in this zegani, I find thattiie hes fioteeipplied his
tame} to this aspect > the ithcts and
eimuznstances c_)f.:t’h3’s to ascextaixi
as to What and Whether
xeferencle 1 Hiinskilled Engineers is a
typogapfiiosi enoriii ti1ei:L:Commissioner has not applied his

mind ;i:;t..+,;1is éispeot,’1it iiriiliiibe unjust and iilegal to proceed on

.°1;hr,; ‘thé1t”whatei}eie might be the intention of the parties

or clerical error had occurred at the

ooiicy was issued, the parties should be bound

the exjiiessions mentioned in the policy. in my view, both

_s15:)e1iant~emp1oyer and the Insurance Company must have

opportunity to place relevant materials to estabiish their

.4 resjpective stand and the Commissioner has to examine this

aspect of the matter and thereafter record his findings.

l

MFA No.9S233 I 2006

0%). So far no the penaity imposed to an extent of 25%’*of the

compeneation amount stating that the employer -to

pay the amount within 30 days, though thererisv

framed, the finding recorded by the’ -C.om;*.o.i.$Veioi1efiV not’

supporteé by reievant materials.

serious consequence. The has only i

after recording specific finding to”i:heA intention on
the part of the employer féo} the amount within
time. In that vi¢:w__of of penalty

deserves to be’ __ In

10. iforegoitig, since I am uphoiding

the Commissioner with regard to the

_ Ieiationefiip of enzgoloyex ané employee between the appeiiant

a2.t:id–. the fact that the accident arose out of and

of empioyment and also regarding the

V . q1:a.1i:ii’tn33:x.V of eompensatsion awaitled by the Commissioner, the

M ii he entitleé to receive the entire ootopensafion

before this Court along with accrued interest. The

-mntter is rexoitted back to the Comnxisoioner only for the

purpose of determining the iiahiiity of the insurance Company

under the gzoiicy in the light of the ohservafions made herein

%,,,.

MFA E’-b.9233/’ 2006

above. In case the employer succeeds in showing .._the

policy covemd the injured-claimant, it will be ¢x:;fifled..’_~ _

reimbursement fmzn the insurance Co_n1f,afiy.V “aéld u

Conanlissioner wiii be entitled to f2ass:.n¢Ce4s$é.1:y’*~0rdexfjs vzanii

issue necessary directitm this régard to V’ Ii1s1ig:*£:i:m:e” ,

Company.

I 1. With the above is disposed of

Sci]-

Judge

PKS