JUDGEMENT
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(1.) In all these appeals, common question of law as to whether
the Railway Claims Tribunal can claim award interest or not, is
involved and therefore, they have been clubbed together and they
are being decided together.
(2.) Submission of counsel for the appellant(s) is that in its recent
judgment in Mohamadi and others V. Union of India, 2011 4 TAC 873, the Supreme Court while placing reliance on its
earlier judgment in Tahazhathe Purayil Sarabi V. Union of India, 2010 1 TAC 420, has settled the controversy regarding
payment of interest from the date of application. In the said case,
the Tribunal had directed that the compensation amount would
carry interest at the rate of 9 per cent per annum from the date of
application i.e. 25.5.1995 till its payment to the claimant and on
appeal, the High Court modified the Tribunal's order and directed
that interest would commence not from the date of the application
but from the date of the judgment of the Tribunal, which was
passed on 2.12.2002. The Supreme Court set aside the order of the
High Court and restored the Tribunal's order in regard to the
accrual of the interest with effect from the date of application.
(3.) Counsel further submits that earlier, on account of the
conflicting view of this Court, the question of interest on
compensation amount was referred to the Division Bench of this
Court which was resolved by the Division Bench on 10.1.2008 in
the case reported in Union of India V. Smt.Shamim and others, 2008 3 RajLW 1973 and while answering Questions (i), (ii)
and (iii),it was held that the although 1987 Act does not specifically
vest the Tribunal with the Authority to grant interest, yet the power
and authority to grant interest flows from Sections 18(3)(i) and 13
(1) of 1987 Act read with Section 34 of the Code of Civil Procedure,
1908 and Question (iv) was answered in the terms that discretion
is vested with the Tribunal in view of Sec. 34 CPC in the facts and
circumstances of the case, to grant interest either from the date of
petition or from the date of Award. Counsel then submits that the
cases were remanded back to the Claims Tribunal and since now
the Supreme Court has settled the controversy with regard to
carrying of interest at the rate of 9% per annum from the date of
the application till its payment to the Claimant(s), now there is no
need to remand the cases back to the Tribunal.;
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