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Bombay High Court

Ujawala Satish KantodeversusThe Divisional Manager

Disposal
Admitted/Allowed/Granted/Rule Absolute

Holding

The court allowed the applicants to withdraw 75% of the deposited compensation amount with interest, subject to an undertaking, while keeping the balance in a fixed deposit.

Summary

The applicants, Ujawala Satish Kantode and others, sought a court order to withdraw the compensation awarded by a tribunal and deposited by the National Insurance Company Ltd. The insurance company appealed, objecting to the tribunal's award, but had already deposited the amount as per the court's earlier order. The High Court considered the competing interests and the entitlement of the applicants as affirmed by the tribunal. It permitted the applicants to withdraw 75% of the deposited sum along with accrued interest, subject to an undertaking that the disbursement remains contingent on the final outcome of the appeal. The remaining balance is to be kept in a fixed deposit for three years, renewable until further orders. The appeal was admitted for further hearing.

Issues considered

  • Whether the applicants may withdraw a portion of the compensation amount deposited by the insurer pending the final decision on the appeal.

Subjects

  • withdrawal of compensation
  • insurance claim
  • tribunal award
  • interim relief
  • fixed deposit
  • appeal

Judgment

2026:BHC-AUG:43669



                                                             26 CA10279.2026+
                                          -1-

                     IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                               BENCH AT AURANGABAD

                       26 CIVIL APPLICATION NO. 10279 OF 2026
                                        WITH
                                    FA/1860/2026

                        UJAWALA SATISH KANTODE AND OTHERS
                                          VERSUS
                               THE DIVISIONAL MANAGER,
                  NATIONAL INSURANCE COMPANY LTD. AND ANOTHER
                                              ...
              Advocate for Applicants : Mr. Prasanna Shankarrao Chavan
              Advocate for Respondent No.1 : Mr. Atul Bhaskar Gatne
                                              …
                                            WITH
                                              …

                             FIRST APPEAL NO.1860 OF 2026

                               THE DIVISIONAL MANAGER,
                          NATIONAL INSURANCE COMPANY LTD.
                                           VERSUS
                        UJAWALA SATISH KANTODE AND OTHERS
                                              ...
              Advocate for Appellant : Mr. Atul Bhaskar Gatne
              Advocate for Respondents No.1 to 6 : Mr. Prasanna Shankarrao
              Chavan
                                              ...

                                      CORAM : SACHIN S. DESHMUKH, J.
                                         Date : 24.09.2026

              PER COURT :-

              1.        Heard.


              CIVIL APPLICATION FOR WITHDRAWAL OF AMOUNT

              2.        The Appellant – Insurance Company has presented
                                                    26 CA10279.2026+
                                -2-

the appeal, while raising an objection to the compensation

awarded by the tribunal, allowing the claim petition of the

applicants. Pursuant to the order of this court, the insurance

company has deposited the amount awarded by the tribunal.


3.         The   applicants   have    presented   this   application

seeking withdrawal of the amount of compensation awarded by

the tribunal, which is deposited by the Insurance Company.


4.         Considering the facts and circumstances that the

entitlement of the applicants is endorsed by the tribunal after

considering the rival contentions of the litigating sides and to

strike the balance in the competing interest, it will be appropriate

to permit the applicants to withdraw the amount.


5.         Thus, the application is partly allowed. The applicants

are permitted to withdraw 75% of the deposited amount in this

court along with accrued interest thereon.


6.         The applicants shall furnish usual undertaking that

disbursement would remain subject to final outcome of this

appeal.
                                                   26 CA10279.2026+
                                -3-

7.         The balance amount shall be kept in Fixed Deposit of

any Nationalized Bank initially for the period of three (03) years,

which is to be renewed periodically until further orders of this

court.


FIRST APPEAL

8.         Admit.


9.         Mr. P. S. Chavan, learned counsel accepts notice on

behalf of Respondents No.1 to 6.


10.        Print and Paper Book stands dispensed with.




                                      (SACHIN S. DESHMUKH, J.)

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