Gujarat High Court
Lakshmiben Jagjivanbhai Vaghela vs M A Chokkalingam , Employees Insurance ... on 22 January, 2021
Author: Sonia Gokani
Bench: Sonia Gokani, N.V.Anjaria
C/MCA/340/2020 IA ORDER
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
CIVIL APPLICATION (FOR DIRECTION) NO. 1 of 2020
In R/MISC. CIVIL APPLICATION NO. 340 of 2020
In R/SPECIAL CIVIL APPLICATION NO. 631 of 2016
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LAKSHMIBEN JAGJIVANBHAI VAGHELA Versus M A CHOKKALINGAM , EMPLOYEES INSURANCE STATION CORPORATION ========================================================== Appearance:
MR. VISHAL P THAKKER for the PETITIONER(s) No. for the RESPONDENT(s) No. MR SHASHIKANT S GADE for the RESPONDENT(s) No. ========================================================== CORAM: HONOURABLE MS. JUSTICE SONIA GOKANI and HONOURABLE MR. JUSTICE N.V.ANJARIA Date : 22/01/2021 IA ORDER (PER : HONOURABLE MS. JUSTICE SONIA GOKANI)
1. The applicant-original petition is before this Court, seeking following reliefs:
"10. ...
(A) YOUR LORDSHIPS may be pleased to direct the opponent no.1 to pay the balance interest @ 3% p.a., in addition to the 12% p.a. interest paid to the applicant with a gross delay as ordered by this Hon'ble Court.
(B) YOUR LORDSHIPS may be pleased to declare that the action of the opponents thereby denying the legitimate interest to the applicant is illegal, unjust, arbitrary, against the principle of natural justice and in violation of Art. 14, 16 Page 1 of 6 Downloaded on : Mon Feb 22 01:53:05 IST 2021 C/MCA/340/2020 IA ORDER and 21 of the Constitution of India can be pleased to punish the erring officer for such misinterpretation of the order of this Hon'ble Court with immediate effect and not complying the order dtd. 20.09.2019 in its true later and spirit.
(C) ..."
2. The grievance on the part of the applicant is that the order is made by this Court to pay interest at the rate of 12% on the delayed payment of the amount of compensation to the petitioner from the date of intimation of death, i.e. from 18.12.1996, and in case of further delay, the amount is to be paid with 15% interest. According to the applicant, order of the Court was received in the month of December, 2019. It is, further, the say of the applicant that she is a widow, aged about 74 years, and therefore, she deserves balance interest on the delayed payment of the amount of compensation, granted on account of the death of her husband.
2.1 The Court had directed the payment of interest for the months of February & March, 2020, which is complied on 03.09.2020, whereas, 12% interest is needed to be paid on the delayed amount, and hence, a request is made for revival and other directions.
3. We have heard the learned Advocate, Mr. Thakkar, for the applicant and the learned Advocate, Mr. Gade, who appeared on advance notice for and on behalf of the opponents-original respondents.
3.1 We notice that the hearing of the Misc. Civil Application No. 340 of 2020 did take place on 14.08.2020, when this Court passed the following order:
Page 2 of 6 Downloaded on : Mon Feb 22 01:53:05 IST 2021C/MCA/340/2020 IA ORDER "Heard learned advocate Mr. Vishal B. Thakkar for the applicants and learned advocate Mr. Shashikant Gade for the respondent Nos.1 and
2.
2. In this application, the applicants invoked jurisdiction of the Court under the Contempt of Court's Act, 1971, on the ground that following directions issued by learned Single Judge in judgment dated 20.9.2019 passed in Special Civil Application No.631 of 2016 have not been complied with.
"14. This Court deems it appropriate in wake of the discussion above to grant the interest @ 12% on the delayed payment of compensation from 18.12.1996, the day on which the employer had intimated the death of the person concerned to the ESI Corporation till the payment made on 20.05.2015.
15. In the result, this petition succeeds, quashing and setting aside the order of Employees State Insurance Court at Bhavnagar in ESI application No.2 of 1998, the respondent organisation is directed to pay interest at the rate of 12% on the delayed payment of amount of compensation to the petitioner from the date of intimation of death i.e. 18/12/1996 till the making of payment I.e. 20/05/2015. This shall be paid within four weeks from the date of receipt of copy of this order.
16. The amount shall be disbursed in the account of the petitioner No.1. The detail of her account shall be provided to the respondent. Considering the fact that both the sons have attained majority and the petitioner No.1 is the widow having no means, entire amount shall be paid to her. Any delay would entitle her to recover the interest at the rate of 15% per annum from the initial date. Petitioner to be paid the cost of this Page 3 of 6 Downloaded on : Mon Feb 22 01:53:05 IST 2021 C/MCA/340/2020 IA ORDER litigation by the respondent."
2. Notice was issued on 22.6.2020. Further on 6.7.2020, following order was passed.
"1. The following order was passed on 22.06.2020:- "It was submitted by learned advocate Mr. Vishal Thakkar in the present application filed under Section 10 of the Contempt of Court's Act, 1971 that the directions contained in paragraph Nos.14, 15 and 16 in the judgment and order dated 20.09.2019 in Special Civil Application No.631 of 2016 have not been complied with even after the petitioner's sent a notice dated 08.01.2020 to the authority concerned. It was stated that the aforesaid order and the directions therein have attained finality as no Letters Patent Appeal has been filed there against. Let there be Notice to the respondents returnable on 06.07.2020."
2. Today, Mr. Vishal P. Thakker, learned advocate for the applicant has been requested by Mr. Shashikant S. Gade, for the opponents No.1 and 2 that the authority is prepared to execute the order and in all its probabilities by next week, they may be ready with the amount also.
3.Matter is fixed on 13.07.2020."
3. As per the directions of learned Single Judge reproduced above, the applicants were entitled to 12% interest on the delayed payment of compensation from 18.12.1996, the day on which the employer intimated the death of the person concerned to the ESI Corporation, till payment made on 20.5.2015. It was directed that the interest shall be paid within four weeks from the date of receipt of the copy of the order. It was next provided that any delay would entitle the applicant to recover the interest at the rate of 15%.
Page 4 of 6 Downloaded on : Mon Feb 22 01:53:05 IST 2021C/MCA/340/2020 IA ORDER 3.1 In response to the notice of this Court, respondent filed reply interalia stating that the certified copy of the order was received in December, 2019 and the payment was made on 10.7.2020. Counting the four weeks from the date of receipt of the order, the payment was required to be made somewhere in the month of January, 2020, however it was delayed as above. It was made as on 10.07.2020, it was submitted.
4. Learned advocate for the applicant submitted that in view of these above facts, the directions for recovery of interest at the rate of 15% would operate and until the amount was paid on 10.7.2020, it ought to have been at the rate of 15%. We are not persuaded with the submission. It is to be taken into consideration that since the last week of March, 2020 the situation arose due to spread of Corona virus which resulted into lockdown in which the Government offices could also not function fully.
5. In this view the prayer for interest at the rate of 15% as sought to be canvassed by learned advocate for the applicant on the ground of delayed payment cannot be countenanced.However, as noted above, the amount of interest is required to be paid within four weeks from the date of certified copy which was in December.
5.1 It could be at the same time said that for the period of two months, that is February, 2020 and March, 2020, the applicant would be entitled to get the benefit of interest at the rate of 15%.
6. It is not in dispute that the interest at the rate of 12% is already paid, and in that regard the order is complied with. We therefore close the contempt proceedings.
Page 5 of 6 Downloaded on : Mon Feb 22 01:53:05 IST 2021C/MCA/340/2020 IA ORDER 6.1 We, however, direct that the respondent ESI Corporation shall calculate the interest at the rate of 15% on the compensation payable and pay such interest amount in respect of two months that is February, 2020 and March, 2020. The differential amount payable as above, shall be paid to the applicant within six weeks from today.
7. The present Miscellaneous Civil Application stands disposed of. Notice is discharged."
3.2 Noticing the submissions put-forth by the learned Advocate, Mr. Thakkar, for the applicant, we notice that the payment was directed for the months of February and March, 2020, with the interest at the rate of 15% and the same has already been paid to the applicant on 03.09.2020. What is, essentially, being sought by way of this application is the review of our own order. In wake of the above, we see no reason to accede to such a request and this application deserves to be disposed of.
4. Resultantly, this application is not entertained and is DISPOSED OF, accordingly.
(SONIA GOKANI, J) (N.V.ANJARIA, J) UMESH/-
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