FAO No. 7204 of 2010 (1) In the High Court of Punjab & Haryana at Chandigarh FAO No. 7204 of 2010 (O&M) Date of decision : 10.2.2011 The New India Assurance Company Limited ..... Appellant vs Sujani and others .... Respondents Coram: Hon'ble Mr. Justice Rajesh Bindal Present: Mr. Neeraj Khanna, Advocate, for the appellant. Mr. N. K. Malhotra, Advocate, for respondent no. 3. Rajesh Bindal J. The present appeal has been filed by the Insurance Company against the order dated 31.5.2010, passed by the Commissioner under the Employees' Compensation Act, 1923 (for short, 'the Act'), Rohtak. Briefly, the facts of the case are that Jora Singh (since deceased) was employed as driver with respondent no. 3 on truck bearing No. HNR-5577, on monthly salary of ` 4,500/-. He was also getting ` 50/- as daily allowance. On 15.5.2007, he was found dead in the truck near Batra Hotel Kalanaur, District Rohtak. At the time of death, he was 50 years of age. The claim petition filed by his widow and daughter was allowed by the Commissioner. Compensation of ` 2,67,908/- along with interest @ 7.5% per annum from the date of accident till 31.5.2010 and @ 12% from the date of passing of award till the payment is made was awarded to the claimants. It is this order which is impugned by the appellant Insurance company in appeal before this court. The only issue raised by learned counsel for the appellant in the present appeal is that the Commissioner has wrongly burdened the appellant company by imposing interest from the date of accident till the pronouncement of award. It was submitted that the interest is not payable prior to the date of award. He further submitted that if the interest is payable then the Insurance Company is not at all liable as it is the responsibility of the employer only. FAO No. 7204 of 2010 (2) On the other hand, learned counsel for respondent no. 3 submitted that the employer is not responsible to pay interest as the same is compensatory. The compensation was delayed due to the fault of the Insurance company as it had not admitted the claim of the claimants. Heard learned counsel for the parties and perused the paper- book. Learned counsel for the appellant has not been able to point out any clause in terms of the policy which granted exemption to the appellant from liability for payment of interest on the amount of compensation. Reference can be made to judgment of Hon'ble the Supreme Court in Kamla Chaturvedi vs National Isurance Company Limited and others 2009 ACJ 115, wherein it was held that the Insurance company cannot avoid its liability to pay interest on the ground that there is no contract entered into by it with the insured for payment of interest as there is no exception stipulated in the policy for payment of interest by insurance company. The issue regarding entitlement of interest to the claimants on the amount of compensation, has also been gone into by this court in New India Assurance Company Limited vs Manphool Singh and others (2008- 1) PLR 706, wherein following judgment of Hon'ble the Supreme Court in Pratap Narain Singh Deo vs Srinivas Sabata (1976) 1 SCC 289, it has been opined that the claimants shall be entitled to interest not from the date of order/award of the Commissioner, but on expiry of one month from the date of accident. Accordingly, for the reasons recorded above, the present appeal is dismissed. Consequently, the application for condonation of delay is also dismissed. 10.2.2011 (Rajesh Bindal) vs. Judge