Case Note & Summary
The petitioner, Chetanbhai Kishorbhai Sindhvad, filed a claim under the Workmen's Compensation Act, 1923, before the Labour Court, Rajkot, in WC (NF) No. 5/2016. The Labour Court allowed the claim on 27.02.2023, and the respondent, National Insurance Co. Ltd., deposited Rs. 1,26,098/- in compliance. The petitioner then applied for withdrawal of the amount, which was lying in fixed deposit. However, the Labour Court rejected the application on 15.02.2024. Aggrieved, the petitioner filed the present petition under Articles 226 and 227 of the Constitution. The High Court heard the counsels and perused the record. The Court found that the Labour Court's rejection was unjustified as the amount was awarded to the claimant and he was entitled to withdraw it. The Court quashed the impugned order and directed the Labour Court or the concerned bank to allow the claimant to withdraw the amount. The petition was allowed with no order as to costs.
Headnote
A) Workmen's Compensation - Withdrawal of Compensation Amount - Section 4 of Workmen's Compensation Act, 1923 - The petitioner, a workman, was awarded compensation by the Labour Court, which was deposited by the insurance company in fixed deposit. The Labour Court rejected the petitioner's application for withdrawal. The High Court held that the Labour Court erred in rejecting the application as the amount was awarded to the claimant and he was entitled to withdraw it. The impugned order was quashed and set aside, and the Labour Court was directed to allow the claimant to withdraw the amount. (Paras 1-6)
Issue of Consideration
Whether the Labour Court was justified in rejecting the claimant's application for withdrawal of the compensation amount deposited in fixed deposit.
Final Decision
The petition is allowed. The impugned order dated 15.02.2024 passed by the Labour Court, Rajkot in WC (NF) No. 5/2016 is quashed and set aside. The Labour Court/concerned bank is directed to allow the claimant to withdraw the amount lying in fixed deposit. Rule is made absolute. No order as to costs.
Law Points
- Workmen's Compensation Act
- 1923
- Section 4
- Withdrawal of compensation
- Fixed deposit
- Labour Court jurisdiction
