IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE J.B.KOSHY & THE HONOURABLE MR. JUSTICE K.P.BALACHANDRAN TUESDAY, THE 12TH AUGUST 2008 / 21ST SRAVANA 1930 MFA.No. 150 of 2005 --------------------------------- WCC.38/2003 of W.C.C., KANNUR .................... APPELLANT/2ND OPPOSITE PARTY: UNITED INDIA INSURANCE CO.LTD., SURATHKAL BRANCH, KARNATAKA, REP. BY THE ADMINISTRATIVE OFFICER, UNITED INDIA INSURANCE CO.LTD., REGIONAL OFFICE, SARANYA, HOSPITAL ROAD, KOCHI-11. BY ADV. SRI.A.R.GEORGE RESPONDENTS/APPLICANTS & 1ST OPPOSITE PARTY: 1. JOHN, S/O. DEVASIA, PLATHOTTATHIL HOUSE, EDAKKANAM, MALOTH VILLAGE, P.O. DARKAS, HOSDURG. 2. LEELAMMA, W/O. JOHN, DO. DO. 3. RAJESH JOHN, S/O. JOHN, DO. DO. 4. JINESH JOHN, S/O. JOHN, DO. DO. 5. JINCY, D/O. JOHN, DO. DO. 6. ABDUL KAREEM, S/O. ABDULKHADER, KADIKE HOUSE, HATTANGADY, SURATHKAL, KARNATAKA STATE. BY ADV. SRI.I.V.PRAMOD FOR R1 & 2 THIS MISC. FIRST APPEAL HAVING BEEN FINALLY HEARD ON 12/08/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: J.B.Koshy & K.P.Balachandran, JJ. --------------------------------- M.F.A.No.150 of 2005 --------------------------------- JUDGMENT Koshy, J. This appeal is filed by the Insurance Company against the award passed by the Workmen's Compensation Commissioner. On 30.4.2000, the first respondent sustained injuries in an accident during the course of employment. He applied for compensation under the Workmen's Compensation Act. The Tribunal awarded compensation taking Rs.4,000/- as the monthly income. At the time of accident, as per the provisions of the Workmen's Compensation Act, the maximum monthly income that can be taken into account for calculating the compensation was Rs.2,000/-. The above amount was enhanced to Rs.4,000/- only by Act 46 of 2000, which came into force on 8.12.2000. In Kerala State Electricity Board v. Valsala.K. (AIR 1999 SC 3502), the Supreme Court held that compensation can be calculated only considering the provisions of the Workmen's MFA 150/05 2 Compensation Act at the time of accident, as compensation falls due on the date of accident and not on the date of awarding of compensation. Compensation is payable only from the date of accident. In the instant case, the accident occurred on 30.4.2000, before coming into force the new Act. Since only Rs.2,000/- can be taken as the monthly income at that time, the compensation payable will be reduced to 50% of the amount awarded. At the time of admission, 50% of the amount in deposit was allowed to be withdrawn by the claimant. Therefore, the excess amount in deposit should be returned to the appellant immediately. The appeal is allowed to the above extent. (J.B.Koshy, Judge) 12th August, 2008 (K.P.Balachandran, Judge) tkv