Madhya Pradesh High Court
Smt.Brajlata vs Union Of India on 6 July, 2015
MA-3960-2008
(SMT.BRAJLATA Vs UNION OF INDIA)
06-07-2015
Shri Abhay Jain, learned counsel for the appellants.
Shri Govind Patel, learned counsel for the respondent.
This appeal has been filed against the judgment passed by the Railway Claims Tribunal, Bhopal Bench in claim case No. O.A. No281/2004 is listed for admission.
Learned counsel for the appellants raised a limited point for admission to the extent of payment of interest. It is submitted by the learned counsel for the appellants that the claims tribunal awarded the interest @ 6% per annum from the date of filing of application till realization, however it would be @ 9% per annum. In support of his contention learned counsel relied upon the following judgment of the Supreme Court passed in the case of Mohamadi and others Vs. Union of India 2011 ACJ 2356, where the Supreme Court awarded the interest @ 9% per annum.
In this view of the matter with the consent of the parties the appeal is disposed of finally. The supreme Court in the aforecited judgment in paras 2 to 5 has held as under:-
" 2. This appeal raises a very limited issue as to the day from which interest would accrue on the amount of compensation under Section 124-A of the Railways Act, 1989. the Tribunal directed that the compensation amount would carry interest at the rate of 9 percent per annum from 25.05.1995 i.e. the date of the applicant till its payment to the claimant. On appeal the High Court modified the Tribunal's order and directed that interest would commence not from the date of the application but from the date of the judgment of the Tribunal, which was passed on
2.12.2002.
3. The counsel appearing for the appellants submitted that in Tahazhathe Purayil Sarabi V. Union of India, 2009 ACJ 2444 (SC), under similar circumstances, the court held that the interest would accrue on the compensation amount from the date of the claim application. Learned counsel particularly relied upon paras 23 and 24 of the judgment.
4. We find that the point is well taken and it is supported by the decision of this court in Tajazhathe purayil Sarabi, 2009 ACJ 2444 (SC).
5. We, accordingly, set aside the order of the High Court and restore the Tribunal's order in regard to the accrual of the interest with effect from the date of the application".
In view of the judgment passed by the Supreme Court, this appeal is allowed to the extent that in place of 6% interest awarded by the tribunal, the appellants shall be entitled for the interest @ 9% per annum from the date of filing of the application upto the realization. The impugned award is modified accordingly. No order as to costs.
(S.K. GANGELE) JUDGE MISHRA