High Court Kerala High Court

National Insurance Co.Ltd vs C.K.Kunhamina on 26 March, 2009

Kerala High Court
National Insurance Co.Ltd vs C.K.Kunhamina on 26 March, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

MFA.No. 58 of 2009()


1. NATIONAL INSURANCE CO.LTD,KANNUR
                      ...  Petitioner

                        Vs



1. C.K.KUNHAMINA, W/O. POKKU, C.K.HOUSE
                       ...       Respondent

2. C.K.IBRAHIM,S/O. POKKU,

3. C.K.SHAKEELA, DO. POKKU

4. C.K.SUHRA, D/O.POKKU

5. C.K.NAUSHAD, S/O. POKKU,

6. SOFIYA SEBASTIAN, S/O. SEBASTIAN

                For Petitioner  :SRI.RAJAN P.KALIYATH

                For Respondent  : No Appearance

The Hon'ble MR. Justice R.BASANT
The Hon'ble MR. Justice C.T.RAVIKUMAR

 Dated :26/03/2009

 O R D E R
                          R. BASANT &
                      C.T. RAVIKUMAR, JJ.
            -------------------------------------------------
                     M.F.A. No. 58 of 2009
            -------------------------------------------------
          Dated this the 26th day of March, 2009

                            JUDGMENT

Basant,J.

The opposite party No.2/insurer in a claim petition before

the Workmen’s Compensation Commissioner is the appellant

before us. The claimants are the legal heirs of a deceased

workman who was employed by the 6th respondent herein.

They staked a claim against the 6th respondent herein and the

appellant being the insurer of the 6th respondent. By the

impugned judgment, an amount of Rs.4,33,820/- was awarded

as compensation under the Workmen’s Compensation Act,

1923 (for short `the Act’). The said amount was directed to

be paid along with interest at the rate of 12% per annum from

the date of the accident to the date of deposit.

2. The appellant claims to be aggrieved by the impugned

M.F.A. No. 58 of 2009 -: 2 :-

award. Called upon to explain the nature of the challenge which

the appellant wants to raise against the impugned award, the

learned counsel for the appellant submits that the appellant is

aggrieved by the direction for payment of interest from the date

of the accident. It is the contention of the learned counsel for

the appellant that under Sec.4A(3) of the Act interest at the rate

of 12% per annum is not liable to be paid from the date of the

accident; but is liable to be paid from the date of the award.

3. The learned counsel for the appellant places reliance on

the decisions of the Supreme Court in National Insurance Co.,

Ltd., v. Mubasir Ahmed (2007 (3) KLT 26 (SC)) and Kamala

Chaturvedi v. National Insurance Co., (2008 (4) KLT 862

(SC)). Two Division Benches of this Court had occasion

subsequently to consider the very same question. A Division

Bench headed by Justice J.B. Koshy in National Insurance Co.,

Ltd., v. Rekha (2007 (4) KLT 386) had considered the decision

in Mubasir Ahmed (supra) and has held that in the light of the

earlier larger Bench decision of the Supreme Court, interest is

liable to be paid from the date of accident itself. That view has

later been endorsed by a subsequent decision of the another

Division Bench in Harrisons Malayalam Ltd., v. Ashraf

(2009 (1) KLT 825). It is true that the decision in Kamala

M.F.A. No. 58 of 2009 -: 3 :-

Chaturvedi (supra) is rendered after the decision in Rekha

(supra). But it must be noted that in Kamala Chaturvedi

(supra) the Supreme Court had only followed the dictum in

Mubasir Ahmed. It is true that in Harrisons Malayalam

Ltd., (supra) the decision in Kamala Chaturvedi has not

been referred to also. We are satisfied that the view taken by

the Division Benches of this Court in Rekha and Harrisons

Malayalam Ltd., does not deserve any re-consideration. We

are not persuaded to agree that the matter deserves to be

referred to a larger Bench to consider the correctness of the

decisions in Rekha and Harrisons Malayalam Ltd.

4. This appeal is, in these circumstances, dismissed.

R. BASANT
(Judge)

C.T. RAVIKUMAR
(Judge)

Nan/