JUDGEMENT
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(1.) THIS misc. appeal under Section 30 of the Workmen' Compensation Act, 1923 (hereinafter 'the 1923 Act') has been filed
against the judgment dated 26 -6 -1998 passed by the Workmen'
Compensation Commissioner, Jaipur City, Jaipur (hereinafter 'the
Commissioner'), whereby the Commissioner has found the respondent
claimants (hereinafter 'the claimants') entitled to compensation for a
sum of Rs.2,62,090/ - along with interest at the rate of 12% effective
after one month of the date of accident till the date of payment.
Heard learned counsel for the parties and perused the impugned
judgment dated 26 -6 -1998.
(2.) THE only issue in this appeal is as to whether in respect of an accident dated 19 -8 -1995 the compensation should have been
awarded as per the state of law existing as of that date or in terms of
amendment to Section 4(1)(a) of the 1923 Act brought about on 15 -
9 -1995. In other words whether the amendment of Section 4(1)(a) of the 1923 Act could have been retrospectively applied in the pending
claims with cause of action arising prior to 15 -9 -1995? Counsel for
the appellant submitted that in terms of the judgment of the Three
Judge Bench of the Hon'ble Supreme Court in case of Kerala State
Electricity Board Vs. Valsala K. [AIR 1999 SC 3502] it has been held
that the amendment to Section 4(1)(a) as also Section 4A of the Act of
1923 Act brought about on 15 -9 -1995 is prospective in nature and for accidents which occurred prior to the amendment of 15 -9 -1995,
compensation was to be computed on the basis of existing state of law
obtaining on the date of the accident. He submitted that in the event
the Commissioner had so applied the law correctly to the case before
it the claimants would have been entitled only to Rs.1,11,339/ - as
compensation, whereas the claimants have been awarded
compensation of Rs.1,97,060/ - plus interest 12% per annum
aggregating to Rs.2,62,090/ - by misapplying the law and treating the
amendment of 15 -9 -1995 as retrospective. Counsel submitted that in
view of the judgment of Hon'ble Supreme Court in the case of Kerala
State Electricity Board Vs. Valsala K. (supra) the impugned judgment is
thus liable to be set aside and the appellant insurance company is
entitled to recover the excess amount paid under the Commissioner's
award/ judgment dated 26 -6 -1998 from the respondent claimants.
Mr. Sandeep Mathur, learned counsel for the claimants has submitted that the learned Commissioner passed the impugned
judgment on the basis of obtaining law at on the date of the impugned
judgment in view of the judgment of the Hon'ble Supreme Court in
the case of the New India Assurance company Ltd. Vs. V.K.
Neelakandan, Civil Appeal No.16904 -16906 of 1996 decided on 6 -
11 -1996. He however has fairly conceded that the law subsequently was correctly stated by the Hon'ble Apex Court in the case of Kerala
State Electricity Board Vs. Valsala K. (supra) holding that the
amendment to Section 4(1)(a) and Section 4A of the 1923 Act brought
about by an Act No.30 of 1995 with effect from 15 -9 -1995 was
prospective in nature. He therefore conceded that the determination
of compensation by the impugned judgment dated 26 -6 -1998 passed
by the Commissioner applying the amendment of 15 -9 -1995
retrospectively would be liable to be set aside and compensation
determined with reference to the unamended provision of Section
(3.) (1)(a) - -as obtaining prior to 15 -9 -1995. The claimants were thus wrongly held to have been entitled to compensation of Rs.1,97,060/ -
with interest at the rate of 12% effective 30 days following the
accident to the date of payment.
4. Counsel has however submitted that the claimants are poor and in the event the right to recover the excess amount disbursed to the
claimants were to be allowed consequent to the setting aside of the
impugned judgment dated 26 -6 -1998 passed by the Commissioner,
the claimants would be unable to repay the excess amount. And in the
course of the insurance company claiming restitution and recovery of
the excess amount the claimants' life would be blighted by repeated
visits to courts and expenses incurred thereupon as fare and counsel's
fee.;
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