{"id":266224,"date":"2008-09-16T00:00:00","date_gmt":"2008-09-15T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/oriental-vs-laxmiben-on-16-september-2008"},"modified":"2016-01-29T03:23:52","modified_gmt":"2016-01-28T21:53:52","slug":"oriental-vs-laxmiben-on-16-september-2008","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/oriental-vs-laxmiben-on-16-september-2008","title":{"rendered":"Oriental vs Laxmiben on 16 September, 2008"},"content":{"rendered":"<div class=\"docsource_main\">Gujarat High Court<\/div>\n<div class=\"doc_title\">Oriental vs Laxmiben on 16 September, 2008<\/div>\n<div class=\"doc_author\">Author: Ks Jhaveri,&amp;Nbsp;<\/div>\n<pre id=\"pre_1\">   Gujarat High Court Case Information System \n\n  \n  \n    \n\n \n \n    \t      \n         \n\t    \n\t\t   Print\n\t\t\t\t          \n\n  \n\n\n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t\n\n\n \n\n\n\t \n\nFA\/43119\/1992\t 4\/ 4\tORDER \n \n \n\n\t\n\n \n\nIN\nTHE HIGH COURT OF GUJARAT AT AHMEDABAD\n \n\n \n\n\n \n\nFIRST\nAPPEAL No. 431 of 1992\n \n\n \n \n=========================================================\n\n \n\nORIENTAL\nINS. CO. LTD. - Appellant(s)\n \n\nVersus\n \n\nLAXMIBEN\nCHUNILAL PRAJAPATI &amp; 1 - Defendant(s)\n \n\n=========================================================\n \nAppearance\n: \nMR\nRAJNI H MEHTA for\nAppellant(s) : 1, \nRULE SERVED BY DS for Defendant(s) : 1 -\n2. \n=========================================================\n\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\nCORAM\n\t\t\t: \n\t\t\t\n\t\t\n\t\t \n\t\t\t \n\nHONOURABLE\n\t\t\tMR.JUSTICE KS JHAVERI\n\t\t\n\t\n\n \n\n \n \n\n\n \n\nDate\n: 16\/09\/2008 \n\n \n\n \n \nORAL\nORDER<\/pre>\n<p id=\"p_1\">1.\tBy<br \/>\nway of this appeal, the present appellant-original opponent<br \/>\nno.2-insurance company has challenged the order dated 28.06.1991<br \/>\npassed by the Labour and Ex-Officio Commissioner for Workmen&#8217;s<br \/>\nCompensation, Baroda in  Workman Compensation Case  No. 47 of 1990<br \/>\nwhereby the Commissioner allowed the claim and awarded Rs. 75,824\/-<br \/>\nand penalty at Rs. 37,912\/-.\n<\/p>\n<p id=\"p_1\">2.\tThe<br \/>\npresent opponent nos.1-original applicant filed claim petition vide<br \/>\nWorkman Compensation application no. 47 of 1990  under the Workman<br \/>\nCompensation Act against the present appellant and the present<br \/>\nopponent no. 2 to tune of Rs. 1,40,000\/- in respect of the accident<br \/>\nwhich occurred while the deceased Chunilal Prajapati was driving the<br \/>\nmatador owned by the original opponent no.1 with passengers enroute<br \/>\nMount Abu.  While the bus was stationed for paying tax, it appeared<br \/>\nthat the bus started going downhill and while trying to stop the bus,<br \/>\nthe said Chunilal Prajapati got crushed under the bus.  As a result<br \/>\nof the said accident, Chunilal Prajapati expired.  The original<br \/>\nclaimant, being the legal heir and representative of the deceased,<br \/>\nthereafter, filed the aforesaid claim petition.  After hearing the<br \/>\nparties, the authority passed the aforesaid award.\n<\/p>\n<p id=\"p_2\">3.\tMr.\n<\/p>\n<p id=\"p_3\">Mehta, learned advocate appearing for the appellant has submitted<br \/>\nthat the judgement and award passed by the authority is improper and<br \/>\nunjust to some extent and against the provision of law and facts and<br \/>\ncircumstances of the case.  He has submitted that the Commissioner<br \/>\nought to have considered the provisions of Workmen&#8217;s <a href=\"\/doc\/1113485\/\" id=\"a_1\">Compensation<br \/>\nAct<\/a>, 1923 and exonerated the appellant insurance company from the<br \/>\nliability of the penalty.\n<\/p>\n<p id=\"p_4\">3.1\tMr.\n<\/p>\n<p id=\"p_5\">Mehta has further submitted that having regard to the contract of<br \/>\ninsurance, the insurer was not liable to pay any penalty on the<br \/>\nawarded sum.  In support of this submission, learned advocate has<br \/>\nplaced reliance on a decision of the Apex Court in the case of  <a href=\"\/doc\/729146\/\" id=\"a_1\">Ved<br \/>\nPrakash Garg vs. Premi Devi<\/a> reported in AIR 1997 SC 3854 and<br \/>\nsubmitted that the insurance companies will be liable to make good<br \/>\nnot only the principal amounts of compensation payable by insured<br \/>\nemployers but also interest thereon if ordered by the Commissioner to<br \/>\nbe paid by the insured employers. However they would not be liable to<br \/>\npay the penalty imposed under<a href=\"\/doc\/1113485\/\" id=\"a_2\"> S. 4A<\/a> (3) (b).\n<\/p>\n<p id=\"p_6\">4.<br \/>\nThough served none appears for the respondents.\n<\/p>\n<p id=\"p_7\">5.\tThis<br \/>\nCourt has gone through the documents placed on record including the<br \/>\naward of the authority.  However, the prayer made in this appeal is<br \/>\nrequired to be entertained in view of the decision of the Apex Court<br \/>\nin the case of Ved Prakash Garg (supra) of wherein it is observed<br \/>\nthat when an employee suffers from an injury while on duty on the<br \/>\nmotor vehicle belonging to the insured employer, the claim for<br \/>\ncompensation payable under the <a href=\"\/doc\/1113485\/\" id=\"a_3\">Compensation Act<\/a> along with interest<br \/>\nthereon, if any, as imposed by the Commissioner <a href=\"\/doc\/1153878\/\" id=\"a_4\">Sections 3<\/a> and<br \/>\n<a href=\"\/doc\/1113485\/\" id=\"a_5\">4A(3)(a)<\/a> of the Compensation Act will have to be made good by the<br \/>\ninsurance company jointly with the insured employer. But so far as<br \/>\nthe amount of penalty imposed on the insured employer under<br \/>\ncontingencies contemplated by <a href=\"\/doc\/1113485\/\" id=\"a_6\">Section 4-A<\/a> (3) (b) is concerned as<br \/>\nthat is on account of personal fault of the insured not backed up by<br \/>\nany justifiable cause, the insurance company cannot be made liable to<br \/>\nreimburse that part of the penalty amount imposed on the employer.<br \/>\nThe latter because of his own fault and negligence will have to bear<br \/>\nthe entire burden of the said penalty amount with proportionate<br \/>\ninterest thereon if imposed by the Workmen&#8217;s Commissioner.  In that<br \/>\nview of the matter, the insurance company is not liable to pay the<br \/>\npenalty as awarded by the Commissioner. This appeal is therefore<br \/>\nrequired to be allowed.\n<\/p>\n<p id=\"p_8\">6.\tIn<br \/>\nthe premises aforesaid, appeal is allowed.  The award passed by the<br \/>\nCommissioner under the Workman Compensation Case in  Workman<br \/>\nCompensation Case No. 47 of 1990 is quashed and set aside qua<br \/>\nliability of penalty payable by the insurance company.  The<br \/>\namount of penalty of Rs. 37,912\/-, if deposited, by the insurance<br \/>\ncompany shall be refunded to the insurance company.  However, if the<br \/>\namount is withdrawn by the original claimant, the same shall not be<br \/>\nrecovered from the original claimant.  It will be open for the<br \/>\ninsurance company to recover the amount of penalty from the owner-<br \/>\npresent respondent no.2 and if the amount is not paid to the claimant<br \/>\nit will be open for the claimant to recover the same from the<br \/>\nowner-present respondent no.2.  The award of the Commissioner is<br \/>\nmodified accordingly.  No order as to costs.\n<\/p>\n<p id=\"p_9\">(K.S.\n<\/p>\n<p id=\"p_10\">JHAVERI, J.)<\/p>\n<p>Divya\/\/<\/p>\n<p>\t\t   \u00a0\u00a0\u00a0<\/p>\n<p>\t\t   Top<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Gujarat High Court Oriental vs Laxmiben on 16 September, 2008 Author: Ks Jhaveri,&amp;Nbsp; Gujarat High Court Case Information System Print FA\/43119\/1992 4\/ 4 ORDER IN THE HIGH COURT OF GUJARAT AT AHMEDABAD FIRST APPEAL No. 431 of 1992 ========================================================= ORIENTAL INS. CO. LTD. &#8211; Appellant(s) Versus LAXMIBEN CHUNILAL PRAJAPATI &amp; 1 &#8211; Defendant(s) ========================================================= Appearance [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[16,8],"tags":[],"class_list":["post-266224","post","type-post","status-publish","format-standard","hentry","category-gujarat-high-court","category-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Oriental vs Laxmiben on 16 September, 2008 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/oriental-vs-laxmiben-on-16-september-2008\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Oriental vs Laxmiben on 16 September, 2008 - Free Judgements of Supreme Court &amp; 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