09 May 2008
Supreme Court
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ASHA RANI Vs UTTRANCHAL S.R.T.C.

Case number: C.A. No.-003507-003507 / 2008
Diary number: 25837 / 2003
Advocates: K. K. MOHAN Vs SANGEETA KUMAR


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                     IN THE SUPREME COURT OF INDIA

                       CIVIL APPELLATE JURISDICTION

                       CIVIL APPEAL NO.3507 OF 2008                     (Arising out of SLP(C) No.120235/2004)

     ASHA RANI & ORS.                    Petitioner(s)

          VERSUS

     UTTRANCHAL S.R.T.C.                    Respondent(s)

                                 ORDER

     Delay condoned.      Leave granted. Heard learned counsel for the

parties.

2.    The    Appellants-claimants     were    granted     compensation    of

Rs.1,20,000/- by the Motor Accident Claims Tribunal for the death of

the husband of first Appellant, by judgment dated 12.9.1984.             The

Tribunal did not award any interest.     The respondent-Corporation filed

an appeal and the payment to the extent of 50% i.e. Rs.60,000/- was

stayed by the High Court on 21.12.1984. Ultimately, after 19 years, on

8.7.2003, the High Court dismissed the appeal. As the appellants were

denied the benefit of compensation amount awarded by the Tribunal

from 12.9.1984, they have filed this appeal by special leave for the

limited relief of interest at the rate of 24% per annum on the withheld

amount.

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3.    Though the Tribunal did not award        any interest, but for the

interim stay granted by the High Court, the appellants would have

recovered the balance of compensation (Rs.60,000/-) in 1984 by

executing the award.    The appellants should not be prejudiced for no

fault of theirs.   Having stayed the recovery of 50% in 1984, the High

Court while dismissing the appeal in 2003, ought to have provided for

interest on the said 50% of compensation. The Appellants will therefore

be entitled to interest at the rate of 7.5% per annum from 21.12.1984 till

the payment.

4.    We are told that even after the dismissal of the appeal in 2003, the

respondent has not paid the balance of compensation.          Respondent-

corporation is directed to pay the amount due to the Appellants with

interest at the rate of 7.5% per annum on Rs.60,000/- from 21.12.1984

till the date of payment of the said amount. The amounts due shall be

paid within a period of four weeks.         The appeal is disposed of

accordingly.

                              ...................CJI                                             (K.G. BALAKRISHNAN)

                                .....................J                                           (R.V. RAVEENDRAN)

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               .....................J                          (MUKUNDAKAM SHARMA) NEW DELHI; MAY 09, 2008.