IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE J.B.KOSHY & THE HONOURABLE MR. JUSTICE K.P.BALACHANDRAN FRIDAY, THE 24TH OCTOBER 2008 / 2ND KARTHIKA 1930 MFA.No. 209 of 2007() ------------------------------ OA.53/2003 of RAILWAY CLAIMS TRIBUNAL, ERNAKULAM .................... APPELLANT/2ND APPLICANT(1ST APPLICANT SINCE DIED BEFORE THE ORDER) -------------------------------------------------------------------------------------------------------------------- PATHUMMA, W/O V.CHEKKU, VARAMANGALATH HOUSE, KALLADIPPATTA P.O., ONGALLUR, KARAKKAD, PALAGHAT DIST. 679313. BY ADV. SRI.A.K.MADHAVAN UNNI RESPONDENT/RESPONDENT ----------------------------------------- UNION OF INDIA, REPRESENTED BY THE GENERAL MANAGER, SOUTHERN RAILWAY HEADQUARTERS, CHENNAI-600 003. BY ADV. SRI.T.P.M.IBRAHIM KHAN,SR.SC, RAILWAYS ADV. SRI.N.B.SUNIL NATH,SC, RAILWAYS THIS MISC. FIRST APPEAL HAVING BEEN FINALLY HEARD ON 24/10/2008,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Rs/ J.B. Koshy & K.P.Balachandran, JJ. -------------------------------------- M.F.A. No. 209 of 2007 --------------------------------------- Dated this the 24th day of October, 2008 Judgment Koshy,J. Son of the appellant died in an untoward incident on 29.3.2003 at Cherikkal near Karakkad while travelling from Shoranur to Karakkad by train No.611 Coimbatore-Kannur Fast Passenger. He accidentally fell down and succumbed to the injuries on 31.3.2003. Father and mother filed application for compensation. Later, father also died and mother lost all hopes of support. The Tribunal found that the appellants are entitled to Rupees Four lakhs from the respondent as per Part I of Schedule to Rule 3 of Railway Accidents and Untoward Incidents (Compensation) Amendment Rules, 1997. Accordingly, the Tribunal directed the Railway to pay Rupees Four lakhs within 45 days from the date of receipt of copy of the order failing which only interest at the rate of 6% per annum from the date of default was allowed. Contention of the appellant was that interest should have been allowed from the date of application. 2. It is true that there is no specific provision for granting interest from the date of application, but, compensation is paid to M.F.A.No.209/2007 2 offset the loss suffered by the claimant due to the untoward incident. The Railway ought to have paid the amount at the time of accident itself and, in any event, at the time when it received the copy of the application. The appellant is not responsible for the delay and claimant has to be compensated. In this connection, we refer to the decision of this Court in Union of India v. Thankaraj (2000 ACJ 651) and also the following decisions in Union of India v. Laxmi Pati (1995 ACJ 791); Avalakki v. Union of India (2001 ACJ 1258); Union of India v. Oinam Keirungba Meetel (2008 ACJ 783 - Gauhati); Prasant Kumar Choudhury v. Union of India (2008 ACJ 685); Union of India and others v. Smt.Shamim and others (AIR 2008 Rajasthan 99) and N. Parameswaran Pillai and another v. Union of India and another ((2002) 4 SCC 306). 3. In the above circumstances, we are of the opinion that the Tribunal ought to have awarded interest from the date of application on the facts of this case and exercised judicial discretion in granting interest as the claimant was not responsible for the delay. Hence, we award simple interest at the rate of 7.5% per annum from the date of application till the date of payment of award M.F.A.No.209/2007 3 amount considering the bank rate of interest prevailing at the time of passing the award. The award is modified accordingly. Appeal is allowed. J.B.Koshy Judge K.P.Balachandran Judge vaa M.F.A.No.209/2007 4 J.B. KOSHY AND K.P.BALACHANDRAN,JJ. ------------------------------------- M.F.A.No. 209/2007 ------------------------------------- Judgment Date:24th October,2008