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Judgment
Satya Poot Mehrotra and Yogesh Chandra Gupta, JJ.—It is submitted by learned Counsel for the appellant that as per the provisions contained in sub-section (3) of Section 4-A of the Workmen''s Compensation Act, 1923, interest is to be awarded in case there is default in paying the compensation due within one month from "the date it fell due". The words "the date it fell due", the submission proceeds, have been interpreted as meaning the date on which the amount of compensation is quantified as a result of adjudication by the Workmen''s Compensation Commissioner, i.e., the date of the order passed by the Workmen''s Compensation Commissioner. In the present case, the Workmen''s Compensation Commissioner has awarded interest with effect from the date of the accident in question which is contrary to the provisions of sub-section (3) of Section 4-A of the Workmen''s Compensation Act, 1923. learned Counsel for the appellant has placed reliance on a decision of the Supreme Court in Kamla Chaturvedi v. National Insurance Company & Others, 2009 (1) T.A.C. 1 (S.C.).
Having considered the submissions made by learned Counsel for the appellant, we are prima-facie satisfied that the following Substantial Questions of Law is involved in the present Appeal:
Whether on the facts and in the circumstances of the case, and keeping in view the provisions of sub-section (3) of Section 4A of the Workmen''s Compensation Act, 1923, the Workmen''s Compensation Commissioner was justified in law in awarding interest with effect from the date of the accident in question?
Admit.
Issue notice.
Notice will be issued to the respondents by Registered Post A.D. fixing the next date fixed in the matter.
Order on Stay Application
Issue notice.
Notice will be issued to the respondents by Registered Post A.D. fixing the next date fixed in the matter.
Requisite steps will be taken within three weeks.
Heard on the question of grant of interim relief.
The amount awarded under the impugned Judgment and Order dated 13th September, 2011 has already been deposited by the appellant as is evident from the Certificate filed with the Memorandum of Appeal.
Having regard to the facts and circumstances of the case and having considered the submissions made by the learned Counsel for the appellant, it is directed that the operation of the impugned Judgment and Order dated 13th September, 2011 will remain stayed until further orders of the Court subject to the following terms and conditions:
(1) 50% of the amount deposited, as mentioned above, will be paid to the claimant-respondent No. 1 without furnishing any security.
(2) Balance 50% of the amount of deposit, as mentioned above, will be invested in maximum interest-bearing Fixed Deposit in a Nationalized Bank, renewable from time to time, in the name of the claimant-respondent No. 1.
The amount invested in Fixed Deposit as per the directions given above, will not be permitted to be withdrawn by the claimant-respondent No. 1 without leave of this Court. However, 50% of the periodical interest accruing on such Fixed Deposit will be permitted to be withdrawn by the claimant-respondent No. 1, as and when the same accrues. Balance 50% of the periodical interest accruing on such Fixed Deposit, will continue to be reinvested in such Fixed Deposit. Counter-affidavit and Rejoinder Affidavit may be exchanged between the parties by the next date fixed in the matter.