JUDGMENT
1. This appeal has been filed under Section 30 of the Workmens Compensation Act, 1923 (hereinafter referred to as ‘the Act’) by the Insurance Company against part of the order dated 20.12.2000, passed by the Workmen’s Compensation Commissioner, Hazaribagh, in Workmen’s Compensation Case No. 20 of 2000, whereby interest and penalty is said to have been awarded.
2. In the operative part of the impugned order the Insurance Company was directed to pay a sum of Rs. 1,64,170/- as compensation under the Act to the claimants within 60 days, failing which from the date of order, interest @12% would be payable thereon and if the compensation amount was not paid within 120 days, interest @18% would be payable thereon.
8. A perusal of the entire order reveals that no proceeding was taken after determination of compensation under Section 4 of the Act regarding payment of interest and penalty, if any, as provided under Section 4A(3) of the Act.
4. Under the provisions of Section 4A(3) of the Act, where the employer
defaulted in paying compensation due
under the Act within one month from the
date it fell due. The Commissioner was empowered to direct the employer to pay the
simple interest in addition to the amount of
compensation in arrears @ 12% per annum
or at such higher rate not exceeding to the
lending rates of any Scheduled Bank as
may be specified by the Central Government by notification in the official gazette,
on the aforesaid amount due and further in
absence of any justification for the delay,
the Commissioner was also empowered to
direct the employer to pay further sum not
exceeding 50% of the amount of compensation by way of penalty. In the said provision
it has also been provided that an order of
payment of penalty cannot be passed
without giving a reasonable opportunity to
the employer to show cause why it should
not be passed.
5. In the impugned order, we find no such order/direction given by the Commissioner either under Section 4A(3) (a) or (b). Here the Commissioner calculated total sum of Rs. 1,64,170/- payable as compensation by the Insurance Company on behalf of the employer and directed to be paid within 60 days from the date of the order, failing which interest @ 12% per annum was payable and further if the amount of compensation was not paid even within 120 days then interest @ 18% per annum was payable thereon.
6. The Insurance Company has challenged the award in question whereby compensation amount has been calculated and directed to be paid under the Act. In a separate appeal (M.A. No. 68 of 2001).
7. We, therefore, find that in absence of any order/direction passed by the learned Commissioner in the impugned order under Section 4A of the Art, there was no occasion for the Insurance Company to file the present appeal.
8. There is no merit in this appeal. It is dismissed accordingly, but without costs.