The Division Bench has referred to the decision of the Honourable Supreme Court reported in 2002-9-SCC-450 (L.R.Ferro Alloys Limited Vs. Mahavir Mahato) wherein the Honourable Supreme Court has reiterated the earlier view taken in Vel Prakash Garg Vs. Premi Devi and others (1997-8-SCC-1-) that the interest and penalty are two distinct liabilities arising under the Act and that the liability to pay interest is part and parcel of legal liability to pay compensation upon default of payment within one month.
In another recent decision of the Honourable Supreme Court in the case of S.Suresh Vs. Oriental Insurance Company Limited and another (2010-ACJ-487) where the driver of truck suffered amputation of right leg just below knee and the Doctor stated that the workman suffered 93 per cent permanent disability in his right leg and he will not be able to do the job of driver or any other job, because he will not be able to stand or walk without support, the Commissioner found that workman suffered a loss of 100 per cent of his earning capacity, but the High Court held that injury being specified in Schedule I, medical opinion could not be relied and applying the percentage of loss of earning capacity, reduced compensation by 50 per cent. The Honourable Supreme Court disagreed with the High Court and held that the claimant was rendered unfit for work of a driver which he was performing at the time of the accident and therefore, lost 100 per cent of his earning capacity, more so, when he is disqualified from even getting a driving license under the Motor Vehicles Act and restored the award passed by the Commissioner.