IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE M.N.KRISHNAN FRIDAY, THE 13TH AUGUST 2010 / 22ND SRAVANA 1932 MFA.No. 200 of 2009(F) --------------------------------- [ WCC.NO.43/2004 OF THE COMMISSIONER FOR WORKMEN'S COMPENSATION, KOLLAM ] .................... APPELLANT/2ND OPPOSITE PARTY IN W.C.C. NO.43/04: -------------------------------------------------------------------------------- THE UNITED INDIA INSURANCE CP.LTD., ALAPPUZHA BRANCH, REPRESENTED BY THE DEPUTY MANAGER, UNITED INDIA INSURANCE CO.LTD., REGIONAL OFFICE, KOCHI, HOSPITAL ROAD, ERNAKULAM. BY ADV. SRI.M.A.GEORGE. RESPONDENTS/APPLICANT AND THE FIRST OPPOSITE PARTY IN W.C.C.NO.43/04: ---------------------------------------------------------------------------------------------------------------------- 1. PRAMOD,S/O. KUNJURAMAN,LEKHMIVILASOM, VILAKKUVATTOM P.O.,PUNALUR. 2. THE MANAGER, RAJEGIRI RUBBER PRODUCING CO.LTD.,SHALLIACARA ESTATE, SHALLIACARA P.O. R1 BY ADVS. SRI.THOMAS ABRAHAM, SRI.DIPU.R, SMT.MERCIAMMA MATHEW, SRI.K.S.HARIDAS, SRI.V.RENJITH KUMAR. THIS MISC. FIRST APPEAL HAVING COME UP FOR ADMISSION ON 13/08/2010,THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: prv. M.N. KRISHNAN, J. ........................................... M.F.A.NO.200 OF 2009 ............................................. Dated this the 13th day of August, 2010. J U D G M E N T This is an appeal preferred against the judgment of the Workmen's Compensation Commissioner, Kollam in W.C.C.No.43/2004. The claimant sustained an employment injury and the Workmen's Compensation Commissioner awarded a sum of Rs.18,254/= with 12% interest from 26.11.2003. It is against the grant of interest from the date of incident, the appeal is preferred by the insurance company. 2. The learned counsel for the insurance company would contend before me that the amount is crystalised only when a final award is passed and therefore the entitlement for interest would arise only from the date of award and not earlier. He had also referred to one or two decisions of the Apex Court on that point. The two Division Benches of this Court had the opportunity to consider the matter elaborately. In those decisions, the later decision of the Supreme Court was also considered. In the decision reported in National Insurance Co. Ltd. v. Rekha (2008 A.C.J 886) the Division Bench considered this point in the light of the Constitution Bench decision of the Supreme Court : 2 : M.F.A.NO.200 OF 2009 reported in Pratap Narain Singh Deo v. Shrinivas Sabata (AIR 1976 SC 222). By interpreting law and applicability of Section 19, the Constitution Bench has held that interest is to be paid from the date of the accident and not later. The Division Bench also considered the question when there is conflict between a Constitution Bench decision and later Division Bench decision of the Supreme Court, it is the Constitution Bench decision that has to prevail and therefore awarded 12% interest in the light of the said Constitution Bench decision. This has been followed by another Division Bench in a later decision and the Himachal Predesh High Court has also considered this point in the decision reported in New India Assurance Co. v. Budh Ram (2009 4 TAC 614). 3. Therefore in the light of these pronouncements, the entitlement is from the date of incident and not from the date of award. So there is nothing to interfere with the decision rendered by the Workmen's Compensation Commissioner. The appeal is devoid of any merit and hence dismissed. M.N. KRISHNAN, JUDGE. cl : 3 : M.F.A.NO.200 OF 2009 : 4 : M.F.A.NO.200 OF 2009 M.N. KRISHNAN, J. ........................................... A.S.NO.OF 2010 ............................................. 2nd day of August, 2010. J U D G M E N T