National Insurance Co. Ltd
v.
Prembai And Ors
(High Court Of Madhya Pradesh)
Miscellaneous (First) Appeal No. 138 Of 1979 | 19-04-1985
1. One Dayalu, son of Respondent No. 1 and husband of Respondent No. 2, was employed as conductor in truck No. CPR 8179, owned by Respondent No. 3 Due to certain injuries caused to Dayalu, in the motor accident, arising out of and in the course of his employment, he died. Consequently, Respondent Nos. 1 and 2 made an application for compensation before the Commissioner for Workmens Compensation, under the Workmens Compensation Act. The Appellant insurance company was also made a party. In case No. 67/68 (F), the Commissioner for Workmens Compensation, Raipur, awarded compensation to Respondent Nos. 1 and 2 to the tune of Rs. 13,500/- against the employer Respondent No. 3 as well as against the Appellant insurance company, the insurer of the truck. There were divergent views on the point as regards the liability of the insurance company. Consequently by my order dated 14th December, 1984, the case was referred to Honble the Chief Justice to constitute a larger Bench for considering the following two questions:
(1) Whether in a proceeding for compensation under Workmens Compensation Act for the personal injury or death of an employee occurring by a motor accident, the Commissioner has jurisdiction to make the award against the insurance company and
(2) Whether the insurer of employers vehicle involved in the accident can be fastened with the liability to indemnify the insured even in the absence of the employer being adjudged as an insolvent as provided in Sub-section (1) of Section 14 of the Act
2. Full Bench of this Court by order dated 31st March, 1985, decided the questions and answered the same in the affirmative in favour of the claimants and against the Appellant by giving its opinion that the Commissioner for Workmens Compensation has jurisdiction under the Act, in a proceeding for compensation for the personal injury or death of an employee occurring in a motor accident, to award compensation against the insurance company; and that the insurance company can be fastened with the liability of making payment of compensation to the successful Applicant in a proceeding before the Commissioner for Workmens Compensation under the Act, even in the absence of the employer being adjudged an insolvent as required under Sub-section (1) of Section 14 of the Act.
3. In view of the aforesaid opinion of the Full Bench, the appeal fails and is hereby dismissed with costs. Counsels fee, as per schedule, if certified.
Advocates List
For Petitioner
- Shekhar Naphade
- Mahesh Agrawal
- Tarun Dua
For Respondent
- S. Vani
- B. Sunita Rao
- Sushil Kumar Pathak
Bench List
Faizanuddin, J.
Eq Citation
1987 ACJ 278
LQ/MPHC/1985/163
HeadNote
1985 Supp SCC 351 - Workmen's Compensation Act, 1923 — Ss. 4, 14 and 16 — Liability of insurance company — Held, Commissioner for Workmen's Compensation has jurisdiction under the Act, in a proceeding for compensation for the personal injury or death of an employee occurring in a motor accident, to award compensation against the insurance company; and that the insurance company can be fastened with the liability of making payment of compensation to the successful Applicant in a proceeding before the Commissioner for Workmen's Compensation under the Act, even in the absence of the employer being adjudged an insolvent as required under Sub-section (1) of S. 14 of the Act