Bombay High Court

National Insurance Co. Ltd. Secundarabad T/h Divisional ManagerversusDhanashri Umesh Sable and Others

Disposal: Admitted/Allowed/Granted/Rule Absolute

Holding

The court partially allowed the withdrawal application, permitting 25% withdrawal upon undertaking and 25% upon solvent security, and made the ad‑interim stay absolute.

Summary

The insurance company appealed against the compensation awarded by a tribunal to the applicants, Dhanashri Umesh Sable and others, and deposited the awarded amount as ordered by the court. The applicants filed a civil application seeking to withdraw a portion of the deposited compensation. The court, after considering the tribunal's endorsement of the applicants' entitlement and the competing interests, allowed a partial withdrawal of 25% of the amount upon furnishing an undertaking and another 25% upon providing solvent security, with the balance to be kept in a fixed deposit for three years. The court also made the earlier ad‑interim stay absolute as prayed. The first appeal was admitted and the hearing was expedited. The order includes conditions that disbursement remains subject to the final outcome of the appeal.

Issues considered

What extent may applicants withdraw a portion of compensation awarded by a tribunal pending appeal?
Whether an ad‑interim stay granted earlier can be converted into an absolute stay?
What security and undertaking are required for partial withdrawal of the deposited amount?

Subjects

withdrawal of compensation
interim stay
insurance claim
tribunal award
undertaking
security
fixed deposit
appeal

Judgment

2026:BHC-AUG:44571



                                                                 25 CA6195.2026+
                                             -1-

                     IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                               BENCH AT AURANGABAD

                         25 CIVIL APPLICATION NO. 6195 OF 2026
                                              IN
                                       FA/1288/2026
                                DHANASHRI UMESH SABLE
                                          VERSUS
                      MAHALAXMI TOURS AND TRAVELS AND ANR.
                                              ...
              Advocate for Applicants : Mr. Jaydeep Samadhan Kadam
              Advocate for Respondent No.2 : Mr. A. S. Usmanpurkar
                                              ...

                                          WITH
                           CIVIL APPLICATION NO. 1931 OF 2026
                                          WITH
                                      FA/1288/2026

                  NATIONAL INSURANCE CO. LTD. SECUNDARABAD T/H
                                  DIVISIONAL MANAGER
                                          VERSUS
                         DHANASHRI UMESH SABLE AND OTHERS
                                              …
              Advocate for Applicant / Appellant : Mr. A. S. Usmanpurkar
              Advocate for Respondents No.1 to 4 : Mr. Jaydeep S. Kadam
                                              ...

                                         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
              the appeal, while raising an objection to the compensation
              awarded by the tribunal, partly allowing the claim petition of the
                                                     25 CA6195.2026+
                                 -2-

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 25% on furnishing undertaking and
25% on Solvent Security to the satisfaction of the Registrar
Judicial of this court, 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.


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.
                                                       25 CA6195.2026+
                                   -3-

CIVIL APPLICATION FOR STAY
8.         Mr. A. S. Usmanpurkar, learned counsel for the
Appellant – Insurance Company submits that as per order dated
16.02.2026 of this court, the Appellant has deposited entire
awarded amount. As such, he submits that ad-interim stay
granted may be made absolute.


9.         As such, Order dated 16.02.2026 granting ad interim
stay is made absolute in terms of Prayer Clause “B”. Accordingly,
the Civil Application is allowed


FIRST APPEAL

10.        Admit.


11.        Mr. Jaydeep S. Kadam, learned counsel accepts notice
on behalf of Respondents No.1 to 4.


12.        Hearing of the First Appeal is expedited.




                                         (SACHIN S. DESHMUKH, J.)

marathe

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