High Court of Karnataka Dismisses Insurer's Appeal in Workmen's Compensation Case — Death of Coolie in Borewell Rig Vehicle Accident Held Arising Out of and in Course of Employment. Employer-Employee Relationship Established Despite Absence of Written Contract; Commissioner's Award of Compensation Upheld.

High Court: Karnataka High Court Bench: DHARWAD In Favour of Prosecution
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Case Note & Summary

The case involves an appeal by the insurer, Royal Sundaram Alliance Insurance Co. Ltd., against the judgment and award dated 29.4.2015 passed by the Senior Civil Judge, MACT and Commissioner for Employees' Compensation at Raibag in ECA No.1/2014. The claimants, Smt. Parawwa (widow) and Kum. Sangappa (son), filed a claim petition under the Workmen's Compensation Act, 1923, seeking compensation for the death of Balappa Bhimappa Teli @ Ganiger, who died while working as a coolie on a borewell rig vehicle bearing registration No.KA-01-MH/6369 owned by respondent No.3, N. Suresh Babu. The deceased was employed as a coolie and on 1.9.2012 at about 5 p.m., while working on the borewell rig, he sustained fatal injuries. The Commissioner awarded compensation of Rs. 4,00,000/- with interest at 12% per annum from the date of accident, holding the insurer liable. The insurer appealed under Section 30(1) of the Act, contending that there was no employer-employee relationship and that the death did not arise out of employment. The High Court examined the evidence, including the complaint (Ex.P1) and the owner's admission, and found that the deceased was indeed employed as a coolie. The court held that the accident arose out of and in the course of employment, as the deceased was working on the vehicle at the time of the accident. The court dismissed the appeal, upholding the Commissioner's award and directing the insurer to deposit the compensation amount within four weeks.

Headnote

A) Workmen's Compensation - Employer-Employee Relationship - Burden of Proof - The claimants, being dependents of the deceased, must establish that the deceased was a 'workman' under the Workmen's Compensation Act, 1923. The court held that the evidence on record, including the complaint and the owner's admission, sufficiently proved that the deceased was employed as a coolie on the borewell rig vehicle, and the absence of a written contract does not negate the relationship. (Paras 3-5)

B) Workmen's Compensation - Arising Out of and in Course of Employment - Section 3 - The death of the deceased while working on the borewell rig vehicle on 1.9.2012 at 5 p.m. was held to have arisen out of and in the course of his employment. The court found that the accident occurred during the performance of his duties as a coolie, and the insurer's contention that the death was due to a pre-existing condition was not supported by evidence. (Paras 6-8)

C) Workmen's Compensation - Liability of Insurer - Section 30 - The insurer's appeal challenging the award of compensation was dismissed as the court found no perversity or illegality in the Commissioner's findings. The insurer was held liable to indemnify the owner and pay the awarded amount to the claimants. (Paras 9-10)

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Issue of Consideration

Whether the death of a coolie working on a borewell rig vehicle arose out of and in the course of employment, and whether the insurer is liable to pay compensation under the Workmen's Compensation Act, 1923.

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Final Decision

The High Court dismissed the appeal, upholding the judgment and award of the Commissioner for Employees' Compensation. The insurer was directed to deposit the compensation amount within four weeks from the date of the order.

Law Points

  • Workmen's Compensation Act
  • 1923
  • Section 3
  • Section 30
  • Employer-Employee Relationship
  • Burden of Proof
  • Arising Out of and in Course of Employment
  • Coolie
  • Borewell Rig Vehicle
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Case Details

2021 LawText (KAR) (07) 31

MFA No.101720 of 2015 (WC)

2021-07-01

P. Krishna Bhat

Sri G.N. Raichur (for appellant), Sri Anandkumar (for respondents 1 & 2)

The Manager, Royal Sundaram Alliance Insurance Co. Ltd.

Smt. Parawwa W/o Balappa Teli @ Ganiger, Kum. Sangappa S/o Balappa Teli @ Ganiger, Mr. N. Suresh Babu

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Nature of Litigation

Appeal under Section 30(1) of the Workmen's Compensation Act, 1923 against the judgment and award of the Commissioner for Employees' Compensation.

Remedy Sought

The appellant (insurer) sought to set aside the award of compensation and allow the appeal with costs.

Filing Reason

The insurer challenged the award on the grounds that there was no employer-employee relationship and that the death did not arise out of and in the course of employment.

Previous Decisions

The Commissioner for Employees' Compensation at Raibag in ECA No.1/2014 awarded compensation of Rs. 4,00,000/- with interest at 12% per annum from the date of accident, holding the insurer liable.

Issues

Whether the deceased was a 'workman' under the Workmen's Compensation Act, 1923 and whether there was an employer-employee relationship. Whether the death of the deceased arose out of and in the course of his employment. Whether the insurer is liable to pay the compensation awarded by the Commissioner.

Submissions/Arguments

The appellant (insurer) argued that there was no employer-employee relationship between the deceased and the owner of the vehicle, and that the death did not arise out of and in the course of employment. The respondents (claimants) contended that the deceased was employed as a coolie on the borewell rig vehicle and that the accident occurred during the course of his employment, relying on the complaint and the owner's admission.

Ratio Decidendi

The court held that the evidence on record, including the complaint (Ex.P1) and the owner's admission, sufficiently established that the deceased was employed as a coolie on the borewell rig vehicle. The accident occurred while the deceased was working on the vehicle, and therefore, the death arose out of and in the course of employment. The insurer was liable to indemnify the owner and pay compensation to the dependents.

Judgment Excerpts

This is an appeal by the insurer calling in question the legality of the judgment and award dated 29.4.2015 passed in ECA No.1/2014 by the learned Senior Civil Judge, MACT and Commissioner for Employees’ Compensation at Raibag. Brief facts are that one Balappa Bhimappa Teli @ Ganiger was working as a Coolie in Borewell rig mounted vehicle bearing registration No.KA-01-MH/6369. The court below on the basis of the materials placed before it, awarded a sum of Rs.4,00,000/- with interest at 12% per annum from the date of accident.

Procedural History

The claimants filed a claim petition under the Workmen's Compensation Act, 1923 before the Commissioner for Employees' Compensation at Raibag, which was registered as ECA No.1/2014. The Commissioner passed an award on 29.4.2015 granting compensation. The insurer appealed to the High Court under Section 30(1) of the Act, which was dismissed on 1.7.2021.

Acts & Sections

  • Workmen's Compensation Act, 1923: Section 3, Section 30
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