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High Court of Karnataka · body

2025 DAILYLAW 90656 (KAR)

THE ORIENTAL INSURANCE CO LTD v. K N SANJEEVA SHETTY

RP/194/2023 · 2025-09-15

Hanchate Sanjeevkumar

Transfer Petitionbody2025

Judgment text

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- 1 - HC-KAR NC: 2025:KHC:36644 RP No. 194 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 15TH DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR REVIEW PETITION NO.194 OF 2023 BETWEEN: THE ORIENTAL INSURANCE CO LTD CHICKMAGALUR NOW REPRESENTED BY THE ORIENTAL INSURANCE CO LTD., REGIONAL OFFICE, TP HUB, SUMANGALAM COMPLEX, LAMINGTON ROAD, HUBLI-580 020. …PETITIONER (BY SRI. H.C. VRUSHABHENDRAIAH, ADVOCATE) AND: 1. K.N. SANJEEVA SHETTY S/O NARAYANA SHETTY AGED ABOUT 50 YEARS, CHOWKI KESUVE POST, KOPPA TALUK, CHICKMAGALUR DISTRICT-577 126. 2. MANAGEMENT PONNY PLANTATION SIDDARBAN ESTATE KOPPA BY PROPRIETOR PREMLATHA HEGDE, 577 126. …RESPONDENTS (BY SRI. A. CHANDRANATH ARIGA, ADVOCATE) THIS REVIEW PETITION IS FILED UNDER SECTION 114 READ WITH ORDER 47 RULE 1 OF THE CPC, PRAYING TO REVIEW THE ORDER DATED 06.01.2023 PASSED BY THIS Digitally signed by RAMYA D Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:36644 RP No. 194 of 2023 HON’BLE COURT IN M.F.A NO.5967/2016 (ECA), IN SO FOR AS THE QUANTUM OF COMPENSATION PAYABLE TO THE PETITIONER IS CONCERNED AND TO PASS SUCH OTHER ORDER OR ORDERS AS THIS HON’BLE COURT DEEMS FIT, IN THE INTEREST OF JUSTICE AND EQUITY. THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR ORAL ORDER The petitioner/Insurance Company has filed this Review Petition praying to review the order dated 06.01.2023 passed in MFA No.5967/2016 on the ground that the employer has declared the income of each employee for purchasing insurance policy and the income of the employee is declared and the sum assured of the income is to the extent of Rs.2,088/-. Therefore, the Insurance Company is liable to pay compensation with proportionate income of Rs.2,088/- and the remaining amount shall be paid by the employer. 2. This Court on 06.01.2023 has dismissed the appeal filed by the Insurance Company, upholding the order and award passed by the learned Commissioner. - 3 - HC-KAR NC: 2025:KHC:36644 RP No. 194 of 2023 3. As per the documentary evidence placed before the learned Commissioner, it is proved that the employer has assured with the appellant/Insurance Company for his employees by declaring the monthly wage of Rs.2,088/- and accordingly purchased the insurance policy to cover the risk of the employees. Therefore, the petitioner/Insurance Company is liable to pay compensation to the extent of what is declared by the employer i.e., to the extent of Rs.2,088/- and for the remaining balance wage, the employer is liable to pay the compensation. 4. Accordingly, the fixed monthly wage is Rs.4,000/- and the extent of liability of the Insurance Company and the employer is calculated as below: = Rs.4,000/- - Rs.1,912/- = Rs.2,088/- = Rs.4,000/- - Rs.2,088/- = Rs.1,912/-. = Rs.2,088/- x 60% x 156.47 x 40% = Rs.78,410/-. = Rs.1,912/- x 60% x 156.47 x 40% = Rs.71,800/-. - 4 - HC-KAR NC: 2025:KHC:36644 RP No. 194 of 2023 5. Therefore, the petitioner/Insurance Company is liable to pay compensation of Rs.78,410/- and the employer is liable to pay compensation of Rs.71,800/-, which would totally come to Rs.1,50,210/-. 6. The employer is also liable to pay interest at the rate of 12% p.a. on the amount of Rs.71,800/- from the date of accident till the date of realization. If the employer has already paid the amount, then the employer is liable for making balance payment to the claimant. Thus, the review petition is liable to be allowed. 7. In the result, I proceed to pass the following: ORDER i. The review petition is allowed. ii. The impugned judgment and award dated 06.01.2023 passed in MFA No.5967/2016 is modified to the extent that the petitioner/Insurance Company is liable to pay compensation only to the extent of - 5 - HC-KAR NC: 2025:KHC:36644 RP No. 194 of 2023 Rs.78,410/- and the employer is liable to pay compensation of Rs.71,800/-. The interest awarded shall be payable by the employer. iii. The excess amount, if any, shall be refunded to the petitioner/Insurance Company. iv. No order as to costs. SD/- (HANCHATE SANJEEVKUMAR) JUDGE SRA List No.: 1 Sl No.: 34