Bombay High Court

SANTOSH MADHAV TANWADE DEAD THROUGH LRS NISHIGANDHA DIED THR LRS PRAMOD SANTOSH TANWADE AND ANRversusBALWANT VENKATRAO BIRAJDAR

Disposal: Admitted/Allowed/Granted/Rule Absolute

Holding

The court held that the applicants may withdraw fifty percent of the deposited compensation with interest, subject to conditions, while the remaining amount must be kept in a fixed deposit until further orders.

Summary

The applicants, the legal representatives of the deceased, filed a civil application seeking to withdraw the compensation amount that had been awarded by a tribunal and deposited by an insurance company. The insurance company appealed, objecting to the withdrawal. The High Court examined the tribunal’s endorsement of the applicants’ entitlement and balanced the competing interests of the parties. It held that the applicants could be allowed to withdraw only a portion of the deposited sum. Accordingly, the court ordered that fifty percent of the amount, together with accrued interest, may be withdrawn, subject to an undertaking that further disbursement will depend on the final outcome of the appeal, while the balance must remain in a fixed deposit for three years.

Issues considered

Whether the applicants are entitled to withdraw part of the compensation deposited by the insurance company pending the final decision on the appeal

Subjects

civil procedure
compensation
insurance
withdrawal of funds
appeal
fixed deposit
interest

Judgment

2026:BHC-AUG:38831



                                                                     28 CA No.6349.2026
                                                -1-

                       IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                  BENCH AT AURANGABAD

                             CIVIL APPLICATION NO. 6349 OF 2026
                                        IN FA/937/2026

              SANTOSH MADHAV TANWADE DEAD THROUGH LRS NISHIGANDHA
                  DIED THR LRS PRAMOD SANTOSH TANWADE AND ANR
                                     VERSUS
                           BALWANT VENKATRAO BIRAJDAR
                                               ***
              Advocate for Applicants : Ms. Ashwini A. Lomte
              Advocate for Respondent No. 2 : Mr. Atul B. Gatne (VC)
                                               ***

                                CORAM : SACHIN S. DESHMUKH, J.
                                   Date : 28th August, 2026

              PER COURT :-


              1.          The Appellant – Insurance Company has presented the

              appeal, while raising an objection to the compensation awarded by

              the tribunal, allowing the claim petition of the applicants.



              2.          The applicants have presented this application seeking

              withdrawal of the amount of compensation awarded by the

              tribunal, which is deposited by the Insurance Company.



              3.          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
                                                           28 CA No.6349.2026
                                    -2-

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.



6.            The applicants are permitted to withdraw 50% of the

deposited amount in this court, alongwith interest accrued thereon.



7.            The   applicants   shall    furnish   an   undertaking    that

disbursement would remain subject to final outcome of this appeal.



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

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

the same shall be renewed periodically until further orders of this

court.



                                          (SACHIN S. DESHMUKH, J.)



Omkar Joshi

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