High Court Kerala High Court

The New India Assurance Company … vs Prasanth E.P. on 23 November, 2009

Kerala High Court
The New India Assurance Company … vs Prasanth E.P. on 23 November, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

MFA.No. 241 of 2009()


1. THE NEW INDIA ASSURANCE COMPANY LIMITED,
                      ...  Petitioner

                        Vs



1. PRASANTH E.P., S/O.PRAKASAN,
                       ...       Respondent

2. K.R.GIRIJAN, KURUPPATHU PARAMBIL HOUSE,

                For Petitioner  :SRI.MATHEWS JACOB (SR.)

                For Respondent  :SRI.DILIP J. AKKARA

The Hon'ble MR. Justice M.N.KRISHNAN

 Dated :23/11/2009

 O R D E R
                     M.N. KRISHNAN, J.
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                 M.F.A. NO. 241 OF 2009
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     Dated this the 23rd day of November, 2009.

                     J U D G M E N T

This appeal is preferred by the insurance company

against the award of the Workmen’s Compensation

Commissioner, Thrissur in W.C.C.344/03. The appeal is

admitted on the following substantial questions of law:

“(i) Whether the Commissioner is

justified in rejecting the application filed by

the appellant to assess the correct

percentage of loss of earning capacity of the

applicant, if any?

(ii) Whether the Commissioner is

justified in fixing 10% loss of earning

capacity when the Doctor has assessed only

6% disability and also without resorting to

the schedule under the W.C.Act and

(iii) Whether the Commissioner is

justified in granting 12% interest on the

compensation amount from the date of

application or from the date of accident?”

M.F.A. 241 OF 2009
-:2:-

Points:

2. Heard the learned counsel for the appellant as well

as the applicant before the Compensation Commissioner. It

is the case of the applicant that while he was loading granite

stones in a lorry his leg slipped and he fell down resulting in

serious injuries such as a cut injury on the left thumb etc.

The Compensation Commissioner has fixed the loss of

earning capacity at 10%, income at Rs.3,300/-, fixed the

compensation and awarded interest at the rate of 12% from

the date of accident. All these points are challenged before

this Court.

3. I find in very many cases that the Compensation

Commissioner rejected the application when it is filed for

referring a person to a Medical Board. They do not accept

the disability given by the Doctor and ultimately they reach a

conclusion of their on to fix the loss of earnings capacity. I

am afraid that the said approach is totally erroneous in the

M.F.A. 241 OF 2009
-:3:-

light of the large number of decisions rendered by this Court

and especially the latest Full Bench decision reported in

Vanajakshan v. Joseph (2003 (2) KLT 462). The

learned Judges of this court on an exhaustive consideration

of the materials held as follows.

“The compensation has to be

determined with reference to the loss

in earning capacity and not the ability

to perform the duties of the job, which

was being done by the workman at the

relevant time. The compensation has

to be assessed on the basis of the

percentage of the loss of earning

capacity. While determining the loss

of earning capacity the authority has

to keep in view the loss of capacity of

a workman “for all work which he was

capable of performing” and not for the

work which he was actually doing.”

Thereafter only after permitting the parties to adduce

M.F.A. 241 OF 2009
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evidence the compensation has to be fixed. So the loss of

earning capacity has to be arrived on the basis of the

materials which would show regarding the incapacity of the

person to do all the work which he was capable of

performing. But it is not in that angle the matter is

considered but the Compensation Commissioner jumps to a

conclusion and decides it. So it is necessarily to be

interfered with. Since the matter is going back the question

of interest can also be considered on the basis of the latest

decision available on that point at that time.

In the result the award under challenge is set aside and

the matter is remitted back to the Compensation

Commissioner with a direction to refer the person to a

Medical Board to assess the loss of earning capacity as

contemplated in the decision reported in Vanajakshan v.

Joseph (2003 (2) KLT 462 and then permit the parties to

adduce evidence in support of their respective contentions

M.F.A. 241 OF 2009
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and thereafter dispose of the matter in accordance with law

including the rate of interest as covered by the decision at

that point of time. At any rate 30% of the amount in deposit

shall be disbursed to the applicant. The Compensation

Commissioner is directed to fix a date of appearance and

inform the parties for further proceeding with the matter.

M.N. KRISHNAN, JUDGE.

ul/-