Bombay High Court Allows Appeal in Workmen's Compensation Case — Enhances Compensation for Permanent Partial Impairment. Commissioner's assessment of disability at 40% set aside; 65% disability as per medical certificate accepted under Workmen's Compensation Act, 1923.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
  • 50
Judgement Image
Font size:
Print

Case Note & Summary

The appellant, Binddadin Ramasray Varma, was a labourer working on a truck owned by respondent no.1. On 13 December 2003, he sustained a compression fracture of vertebrae L1 and L2 while working, resulting in permanent partial impairment of 65% as certified by Dr. Amit Ajgaonkar. He also lost control over his bowels and urethra. The appellant filed a claim before the Commissioner for Workmen's Compensation and Judge, Sixth Labour Court, who partly allowed the claim on 29 April 2009, awarding Rs. 3,74,115/- based on a 40% disability assessment. The insurance company paid the awarded amount and did not challenge the order. The appellant appealed against the rejection of part of his claim, arguing that the Commissioner erred in assessing disability at 40% instead of 65% as per the medical certificate. The High Court examined the evidence, including the testimony of Dr. Ajgaonkar, and found that the Commissioner had not provided sufficient reasons to disregard the medical certificate. The court held that the disability should be taken as 65% for computing compensation. Applying the formula under the Workmen's Compensation Act, 1923, the court recalculated the compensation: monthly wage of Rs. 3,000 (notional), relevant factor 197.06 for age 45, and 65% loss of earning capacity, resulting in Rs. 3,84,267/-. Adding 50% towards pain and suffering and medical expenses (Rs. 1,92,133.50) and Rs. 5,000 for funeral expenses, the total came to Rs. 5,81,400.50, rounded to Rs. 5,82,000/-. The court directed the respondent no.1 (employer) to pay the enhanced amount of Rs. 2,07,885/- (difference) with 12% interest from the date of the claim application until payment, within eight weeks. The appeal was allowed in part.

Headnote

A) Workmen's Compensation - Permanent Partial Impairment - Assessment of Disability - Section 4, Schedule I, Workmen's Compensation Act, 1923 - The appellant sustained compression fracture of vertebrae L1 & L2 resulting in 65% permanent partial impairment as per medical certificate - The Commissioner assessed disability at 40% without sufficient reasons - Held that the medical certificate is reliable and the disability should be taken as 65% for computing compensation (Paras 5-8).

B) Workmen's Compensation - Loss of Earning Capacity - Computation of Compensation - Section 4, Workmen's Compensation Act, 1923 - The appellant, a labourer aged 45 years, suffered loss of control over bowels and urethra - The Commissioner awarded Rs. 3,74,115/- based on 40% disability - On appeal, the High Court recalculated compensation based on 65% disability and enhanced the amount to Rs. 5,82,000/- with interest (Paras 9-10).

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the learned Commissioner for Workmen's Compensation erred in assessing the appellant's permanent partial impairment at 40% instead of 65% as per the medical certificate, and whether the compensation awarded was inadequate.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The appeal is partly allowed. The judgment and order dated 29 April 2009 is modified. The respondent no.1 (employer) is directed to pay the appellant an additional amount of Rs. 2,07,885/- (being the difference between Rs. 5,82,000/- and Rs. 3,74,115/-) with interest at 12% per annum from the date of the claim application until payment, within eight weeks from the date of the order.

Law Points

  • Workmen's Compensation Act
  • 1923
  • Section 4
  • Schedule I
  • permanent partial impairment
  • disability assessment
  • medical certificate
  • loss of earning capacity
Subscribe to unlock Law Points Subscribe Now

Case Details

2014 LawText (BOM) (09) 79

First Appeal No.168 of 2014

2014-09-22

R.D. Dhanuka, J.

Mr. A.M. Gokhale for the Appellant, Mr. M.D. Modgi for respondent no.1, Mr. H.G. Misar for respondent no.2

Binddadin Ramasray Varma (pasi)

1. Ramsajivansingh B. Singh, 2. United India Insurance Co. Ltd.

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Appeal against the judgment and order of the Commissioner for Workmen's Compensation partly allowing the claim for compensation for injuries sustained during employment.

Remedy Sought

The appellant sought enhancement of compensation from Rs. 3,74,115/- to a higher amount based on 65% disability instead of 40%.

Filing Reason

The appellant was aggrieved by the rejection of part of his claim by the Commissioner, who assessed his permanent partial impairment at 40% instead of 65% as per the medical certificate.

Previous Decisions

The Commissioner for Workmen's Compensation and Judge, Sixth Labour Court, by judgment and order dated 29 April 2009, allowed the claim partly and directed the insurer to pay Rs. 3,74,115/- to the appellant.

Issues

Whether the Commissioner erred in assessing the appellant's permanent partial impairment at 40% instead of 65% as per the medical certificate. Whether the compensation awarded by the Commissioner was inadequate and requires enhancement.

Submissions/Arguments

The appellant argued that the medical certificate from Dr. Amit Ajgaonkar clearly showed 65% permanent partial impairment, and the Commissioner had no reason to disregard it. The respondents did not challenge the medical evidence and the insurance company had already paid the awarded amount.

Ratio Decidendi

The medical certificate of permanent partial impairment issued by a qualified doctor is reliable and should be accepted unless there are strong reasons to reject it. The Commissioner's assessment of disability at 40% without sufficient justification was erroneous. Compensation under the Workmen's Compensation Act, 1923 must be computed based on the actual percentage of disability as certified.

Judgment Excerpts

It is not in dispute that the insurance company has already paid the appellant in terms of the judgment and order dated 29th April, 2009. The learned Commissioner has not given any reasons for not accepting the disability certificate issued by Dr. Amit Ajgaonkar. In my view, the learned Commissioner has committed an error in assessing the disability of the appellant at 40% instead of 65% as per the medical certificate.

Procedural History

The appellant filed a claim application before the Commissioner for Workmen's Compensation and Judge, Sixth Labour Court, which was partly allowed on 29 April 2009. The appellant then filed the present First Appeal before the Bombay High Court against the rejection of part of his claim. The appeal was admitted and heard finally by consent.

Acts & Sections

  • Workmen's Compensation Act, 1923: Section 4, Schedule I
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Allows Appeal in Workmen's Compensation Case — Enhances Compensation for Permanent Partial Impairment. Commissioner's assessment of disability at 40% set aside; 65% disability as per medical certificate accepted under Workmen's Co...
Related Judgement
High Court Bombay High Court Dismisses Winding Up Petition by Association Against Member Company for Unpaid Guarantee Amounts. Association's claim for winding up under Sections 433 and 434 of Companies Act, 1956 fails as debt is disputed in good faith and subst...