: 1 : vss IN THE HIGH COURT OF JUDICATURE AT BOMBAY CIVIL APPELLATE JURISDICTION FIRST APPEAL NO.157 OF 2010 Regional Director Employees State Insurance Corporation ... Appellant V/s. Automag India Pvt. Ltd. ... Respondent Mr.H.V. Mehta for Appellant Mr.A.D. Patwardhan for Respondent CORAM: SMT.NISHITA MHATRE, J. DATED: APRIL 29, 2010 P.C.: 1. The appeal has been preferred against the judgment and order of the Employees State Insurance Court, Pune dated 26.11.2009. The order was passed u/s 45A of the Employees State Insurance Act by which contribution for the period from April 1998 to March 2000 was demanded. The applicant being aggrieved by the demand made filed the present application before the Employees State Insurance Court u/s 75 r/w 77 of the Employees State Insurance Act. 2. On adjudication of the application, the Court has allowed the application partly by declaring that the order dated 30.11.2004 passed u/s 45A was partly illegal. The Court has directed the applicant to pay an amount of Rs.11,995/- towards contribution for the aforesaid period alongwith interest. This interest appears to be : 2 : for the period from March 2000 to 2006 i.e. till filing of the application. Aggrieved by this decision, the Employees State Insurance Corporation has filed the present appeal. 3. After hearing the parties for some time, Mr.Patwardhan appearing for the respondent suggests that the respondent is willing to pay interest on the principal amount for a period of 10 years @ 12% p.a. which would amount to Rs.14,400/-. 4. In my opinion, this is a fair suggestion made by Mr.Patwardhan as the actual interest payable according to Mr.Mehta would be Rs.15,665/-. 5. In my view, therefore, the impugned order must be modified by accepting the suggestion of Mr.Patwardhan. Accordingly, the order directing the payment of lumpsum interest of Rs.11,995/- is set aside as it is obviously wrong. Interest must be calculated @ 12% p.a. from the date that the contribution falls due till the date of the impugned order being passed. The suggestion of Mr.Patwardhan is accepted. The interest which the respondent shall pay is for the period of April 1999 to November 2009 @ 12% p.a. This amount has already been deposited. Therefore, the trial Court shall disburse the amounts as modified by this order to the Appellant and the balance to the Respondent. 6. First appeal is disposed of accordingly.