HON’BLE SRI JUSTICE K.C. BHANU CIVIL MISCELLANEOUS APPEAL No.925 of 2009 Date: 22.09.2011 Between: Lalan Singh and others. … Appellants and Union of India, Rep.by its General Manager, South Central Railway, Secunderabad. … Respondent THE HON’BLE SRI JUSTICE K.C. BHANU CIVIL MISCELLANEOUS APPEAL No.925 of 2009 JUDGMENT : This Civil Miscellaneous Appeal is directed against the order, dated 28.4.2009, in O.A.A.No.379 of 2006 on the file of the Railway Claims Tribunal, Secunderabad Bench at Secunderabad, (for short, ‘the Tribunal’), in not granting interest from the date of the petition till the date of award on the compensation amount of Rs.4,00,000/- consequent on the death of the deceased-Raghunandhan Singh, who died in an untoward incident of railway accident. 2. Heard learned counsel appearing for the appellants/applicants and the learned Standing Counsel appearing for the respondent-Railways. 3. The factual matrix is not in dispute. The death of the deceased in an untoward incident is not in dispute. It is also not in dispute that the deceased was travelling in a passenger train as a bona fide passenger. The quantum of compensation awarded is also not in dispute. The only contention of the learned counsel for the appellants/applicants is that the Tribunal has not granted interest from the date of application till the date of award. 4. The learned counsel for the appellants/applicants contended that in view of the decision of the Apex Court in Tahazhathe Purayil Sarabi and Others vs. Union of India and another[1], the appellants/applicants are entitled to simple interest @ 6% per annum from the date of filing of claim application till the date of passing of the award. 5. On the other hand, the learned counsel for the respondent/railways opposed the same on the ground that there is no provision under the Railways Act to grant interest from the date of filing of the petition till the date of award and that the decision of the Apex Court has no application, and hence, he prays to dismiss the appeal. 6. Now, the point for consideration is whether the claimants are entitled to any interest on the award amount of Rs.4,00,000/- from the date of claim application till the date of realization? 7. There is no provision under the Railways Act, 1989 with regard to the grant of interest from the date of the petition till the date of passing of the award. Granting of interest from the date of filing of the petition till the date of passing of Award is the discretion of the Court, which has to be exercised judiciously. Section 34 C.P.C. and Section 3 of the Interest Act give discretionary power to the Court to award interest and the same has been interpreted by the Supreme Court, in Tahazhathe Purayil Sarabi’s case (1 supra), and held thus: “We, therefore, allow the appeal and modify order of the High Court dated 24.5.2007 affirming the order of the Trial Court and direct that the awarded sum will carry interest @ 6% simple interest per annum from the date of the application till the date of the Award and, thereafter, at the rate of 9% per annum till the date of actual payment of the same.” 8. In view of the above decision, the appellants/applicants are entitled to simple interest @ 6% per annum from the date of claim application till the date of award and thereafter @ 9% per annum till the date of realization, on the compensation amount. Accordingly, the appellants/applicants are awarded simple interest @ 6% per annum from the date of claim application till the date of award and @ 9% per annum from the date of award till realization, on the compensation amount of Rs.4,00,000/-. 9. The Civil Miscellaneous Appeal is, accordingly, allowed. No costs. ______________________ JUSTICE K.C. BHANU 22.09.2011. Msr THE HON’BLE SRI JUSTICE K.C. BHANU CIVIL MISCELLANEOUS APPEAL No.925 of 2009 22.09.2011 (Msr) [1] 2009 ACJ 2444