Bombay High Court Allows Appeal in Workmen's Compensation Case — Enhances Compensation for Loss of Eye Sight. Commissioner's assessment of disability and income modified based on evidence of 100% loss of vision in one eye and employer's admission of salary.

High Court: Bombay High Court Bench: AURANGABAD In Favour of Accused
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Case Note & Summary

The appellant, Shaikh Salim Ramzan, was employed as a driver by respondent no. 1, Ashok Beniram Kothawade, on a Maruti Van bearing registration No. MH-18/S-1854. On 4 June 2005, while driving on Tarabad-Satana road, a Qualis vehicle coming from the opposite side collided with his van, causing multiple injuries including total loss of vision in his right eye. The appellant filed an application before the Commissioner for Workmen's Compensation at Dhule seeking Rs. 3,11,970/- as compensation, claiming a monthly salary of Rs. 3,500/- and 100% disability. Respondent no. 1 admitted the employment but stated the salary was Rs. 3,000/- per month. Respondent no. 2, the insurance company, denied the claim. The Commissioner, by judgment and award dated 24 June 2009, partly allowed the application and granted Rs. 77,107/-, assessing disability at 30% and income at Rs. 3,000/- per month. The appellant appealed to the High Court. The High Court held that the loss of one eye constitutes 100% loss of vision in that eye and should be treated as 100% disability under the Workmen's Compensation Act, 1923, Schedule I. The court also accepted the employer's admission of Rs. 3,000/- as monthly income. Applying the relevant factor of 207.98 for a 30-year-old, the compensation was calculated as 60% of Rs. 3,000/- (Rs. 1,800/-) multiplied by 207.98, totaling Rs. 3,74,364/-, rounded to Rs. 3,74,000/-. The court allowed the appeal, set aside the Commissioner's award, and directed respondent no. 2 to pay the enhanced compensation with interest at 12% per annum from the date of accident until realization.

Headnote

A) Workmen's Compensation - Assessment of Disability - Loss of Eye Sight - The appellant suffered total loss of vision in his right eye due to an accident during employment. The Commissioner assessed disability at 30% based on a medical certificate, but the High Court held that loss of one eye constitutes 100% loss of vision in that eye and should be considered as 100% disability for the purpose of compensation under the Workmen's Compensation Act, 1923, relying on Schedule I of the Act. (Paras 8-10)

B) Workmen's Compensation - Determination of Monthly Income - Employer's Admission - The appellant claimed monthly income of Rs. 3,500/-, but the employer admitted Rs. 3,000/- in his written statement. The High Court held that the employer's admission is binding and the income should be taken as Rs. 3,000/- per month for computing compensation. (Para 11)

C) Workmen's Compensation - Computation of Compensation - Multiplier - For a workman aged 30 years, the relevant factor under Schedule IV of the Workmen's Compensation Act, 1923 is 207.98. Compensation calculated as 60% of monthly income (Rs. 1,800/-) multiplied by 207.98, resulting in Rs. 3,74,364/-, rounded to Rs. 3,74,000/-. (Paras 11-12)

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Issue of Consideration

Whether the Commissioner erred in assessing the disability of the appellant at 30% instead of 100% and in determining the monthly income at Rs. 3,000/- instead of Rs. 3,500/- for computing compensation under the Workmen's Compensation Act, 1923.

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Final Decision

The appeal is allowed. The judgment and award of the Commissioner for Workmen's Compensation, Dhule, dated 24/06/2009 is set aside. Respondent no. 2, The New India Assurance Co. Ltd., is directed to pay compensation of Rs. 3,74,000/- (rounded off) to the appellant with interest at 12% per annum from the date of accident until realization. The amount already paid, if any, shall be deducted.

Law Points

  • Workmen's Compensation
  • Assessment of Disability
  • Loss of Eye Sight
  • Income Determination
  • Employer's Admission
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Case Details

2010 LawText (BOM) (10) 1

First Appeal No. 1468 of 2010

2010-10-05

S.V. Gangapurwala

Mr. P.V. Barde holding for Mr. M.S. Kulkarni for appellant; Mr. M.D. Narwadkar for respondent no. 1; Mr. M.M. Ambhore for respondent no. 2

Shaikh Salim Ramzan

Ashok Beniram Kothawade and The New India Assurance Co. Ltd.

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Nature of Litigation

Appeal against the award of the Commissioner for Workmen's Compensation, Dhule, partially allowing compensation for injuries sustained in a motor vehicle accident during employment.

Remedy Sought

The appellant sought enhancement of compensation from Rs. 77,107/- to Rs. 3,11,970/- on account of 100% disability due to loss of right eye vision.

Filing Reason

The appellant was dissatisfied with the Commissioner's assessment of disability at 30% and income at Rs. 3,000/- per month, leading to inadequate compensation.

Previous Decisions

The Commissioner for Workmen's Compensation, Dhule, by judgment and award dated 24/06/2009, partly allowed the application and granted compensation of Rs. 77,107/-.

Issues

Whether the Commissioner erred in assessing the disability at 30% instead of 100% for loss of vision in one eye. Whether the monthly income should be taken as Rs. 3,500/- as claimed or Rs. 3,000/- as admitted by the employer.

Submissions/Arguments

Appellant argued that loss of one eye constitutes 100% loss of vision in that eye and should be treated as 100% disability under Schedule I of the Workmen's Compensation Act, 1923. Appellant argued that his monthly income was Rs. 3,500/- as per his testimony. Respondent no. 1 admitted employment but stated salary was Rs. 3,000/- per month. Respondent no. 2 insurance company denied the claim and did not lead evidence.

Ratio Decidendi

Under Schedule I of the Workmen's Compensation Act, 1923, loss of one eye constitutes 100% loss of vision in that eye and is to be treated as 100% disability for compensation purposes. The employer's admission of monthly income is binding. Compensation is computed as 60% of monthly income multiplied by the relevant factor from Schedule IV.

Judgment Excerpts

The loss of one eye would be 100% loss of vision in that eye. The Commissioner has committed an error in assessing the disability at 30%. The employer has admitted the income of the appellant at Rs. 3,000/- per month. The said admission is binding on the employer.

Procedural History

The appellant filed an application for compensation before the Commissioner for Workmen's Compensation, Dhule, which was partly allowed on 24/06/2009 granting Rs. 77,107/-. The appellant then filed the present First Appeal before the Bombay High Court, Aurangabad Bench, which was admitted and heard finally on 05/10/2010.

Acts & Sections

  • Workmen's Compensation Act, 1923: Schedule I, Schedule IV
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