Case Note & Summary
The Regional Director of the Employees' State Insurance Corporation (appellant) filed a First Appeal under Section 82 of the Employees' State Insurance Act, 1948, challenging the judgment and order dated 18.04.2024 passed by the learned Employees' State Insurance Court, Ahmedabad, in E.S.I. Second Appeal No.56 of 2023. The ESI Court had dismissed the Second Appeal and confirmed the 10% disablement assessed by the Medical Appeal Tribunal (MAT). The respondent, Tarunkumar Keshalal, was an employee of M/s. Arvind Intex in the Spinning Department. On 25.11.2019, while working, he sustained an employment injury on his right shoulder. The case was referred to the Medical Board after the B.I. Form was duly filled. The Medical Board found that though an injury had occurred, he had not sustained any functional disability and assessed the functional loss at 0%. Aggrieved, the respondent filed an appeal before the MAT, being MAT (Appeal) No.7 of 2022. By order dated 10.08.2022, the MAT after examining the X-ray report observed that there was a fracture of the humerus in his right hand, along with pain, swelling and reduced grip capacity and accordingly assessed 10% functional disability. Aggrieved, the ESI Corporation filed a Second Appeal before the ESI Court, which was dismissed. Hence, the present First Appeal was filed by the ESI Corporation. The High Court heard the matter and considered the limited scope of appeal under Section 82 of the ESI Act, which lies only on substantial questions of law. The Court noted that the MAT had assessed 10% functional disability based on the X-ray report showing fracture of the humerus and clinical findings of pain, swelling and reduced grip capacity. The Court found that the MAT's assessment was a finding of fact and not perverse. The Court held that no substantial question of law arises in the appeal and dismissed the same. The Court also observed that the appeal was devoid of merits and accordingly dismissed it with no order as to costs.
Headnote
A) Employees' State Insurance - Functional Disability Assessment - Medical Appeal Tribunal - Section 82 of Employees' State Insurance Act, 1948 - The ESI Corporation challenged the MAT's assessment of 10% functional disability for an employment injury to the right shoulder. The High Court held that the MAT's assessment, based on X-ray report showing fracture of humerus and clinical findings of pain, swelling and reduced grip capacity, is a finding of fact and not perverse. The appeal under Section 82, which lies only on substantial questions of law, cannot be entertained as no such question arises. (Paras 1-5) B) Employees' State Insurance - Scope of Appeal - Substantial Question of Law - Section 82 of Employees' State Insurance Act, 1948 - The Court reiterated that the jurisdiction under Section 82 is confined to substantial questions of law. The MAT's assessment of disability, being a factual determination, does not give rise to a substantial question of law unless shown to be perverse or based on no evidence. (Paras 4-5)
Issue of Consideration
Whether the Medical Appeal Tribunal's assessment of 10% functional disability based on clinical findings and X-ray report can be interfered with in an appeal under Section 82 of the Employees' State Insurance Act, 1948.
Final Decision
The High Court dismissed the First Appeal, holding that no substantial question of law arises and the MAT's assessment of 10% functional disability is a finding of fact not perverse. No order as to costs.
Law Points
- Functional disability assessment by Medical Appeal Tribunal is a finding of fact
- not to be interfered with in appeal under Section 82 of ESI Act unless perverse
- Medical Board's assessment of 0% functional disability can be overturned by MAT based on clinical evidence
- Scope of appeal under Section 82 is limited to substantial questions of law





