Authority: High Court of Punjab and Haryana at Chandigarh
Order Date: 10 July 2026
Case Overview
- Parties: Appellants Roshni and others; Respondents Shokat and another (respondent No.1 – employer, respondent No.2).
- Proceeding: Appeal filed under Section 30 of the Employees' Compensation Act, 1923, challenging the award dated 27 July 2017 passed by the Commissioner.
- Original Award: Compensation of Rs 8,61,120 with interest at 9% per annum calculated from the date of filing of the claim petition; no penalty imposed under Section 4A(3)(b).
- Grounds of Appeal: (i) Interest should be at the statutory rate of 12% per annum from the date compensation became due (accident date 14 February 2016) rather than 9% from claim filing; (ii) Penalty up to 50% of the compensation should be imposed for unjustified delay in payment, as empowered by Section 4A(3)(b).
Final Outcome
- The Court partially allowed the appeal.
- Interest rate is modified to 12% per annum, to be calculated from the accident date (14 February 2016) until actual realization of the compensation.
- A penalty equal to 50% of the awarded compensation (Rs 4,30,560) is imposed, payable solely by respondent No.1 (the employer). The insurer bears no liability for the penalty.
- The award is therefore modified to reflect the higher interest and the imposed penalty; the appeal is disposed of in these terms.
Topics: Employees' Compensation, Interest Penalty, Court Judgment