Bombay High Court

VIJAY KISANRAO MUNDE DIED THROUGH LRS ARCHANA VIJAY MUNDEversusTHE MANAGER NEW INDIA INSURANCE COMPANY

Disposal: PARTLY ALLOWED AND PARTLY DISMISSED

Holding

The court held that the applicants may withdraw the awarded compensation amount, subject to an undertaking and the balance being kept in a fixed deposit until the appeal is finally decided.

Summary

The applicants filed a civil application seeking to withdraw the compensation awarded by a tribunal in a claim against New India Insurance Company. The insurance company appealed the award but deposited the amount as ordered by the court. The High Court examined the competing interests of the parties and the tribunal's endorsement of the applicants' entitlement. It concluded that allowing the applicants to withdraw the awarded sum, subject to conditions, would balance the interests. Consequently, the court permitted withdrawal of Rs.25,00,000 with accrued interest and ordered the remaining balance to be kept in a fixed deposit for three years pending the final outcome of the appeal.

Issues considered

Whether the applicants are entitled to withdraw the compensation awarded by the tribunal pending the appeal.
Whether the court can condition the withdrawal on an undertaking and retain the balance in a fixed deposit.

Subjects

compensation
insurance claim
withdrawal of amount
civil application
tribunal award
fixed deposit
appeal

Judgment

2026:BHC-AUG:38327
                                                  1                     37-CA-7680-26.odt



                       IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                  BENCH AT AURANGABAD

                      CIVIL APPLICATION NO. 7680 OF 2026 IN FA/1484/2026

                VIJAY KISANOTHERAO MUNDE DIED THROUGH LRS ARCHANA VIJAY
                                             MUNDE
                                            VERSUS
                         THE MANAGER NEW INDIA INSURANCE COMPANY
                                                ...
                        Advocate for Applicants : Mr. Rajendra K. Jadhavar
                          Advocate for Respondent No.1 : Mr. S. S. Rathi
                                                ...

                                           CORAM :        SACHIN S. DESHMUKH, J.
                                           DATE       :   21-08-2026
                PER COURT:-

                1.    The   applicants    have    presented     application   seeking

                withdrawal of the amount of compensation.


                2.    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.

                Pursuant to the order of this court, the insurance company has

                deposited the amount awarded by the tribunal.


                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 the balance in

                the competing interest, it will be appropriate to permit the

                applicants to withdraw the amount.


                4.    Thus, the civil application is partly allowed.
                                   2                       37-CA-7680-26.odt



5.    The applicants are permitted to withdraw the amount of

Rs.25,00,000/- (Rs.Twenty Five Lakhs) with the accrued interest of

the amount deposited in this court to the extent of apportionment

given in the order of the tribunal.


6.    The    applicants    shall       furnish   an   undertaking     that

disbursement remains contingent upon the final outcome of this

appeal, to the satisfaction of the Registrar (Judicial) of this Court.


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

Nationalized Bank initially for the period of three (3) years, which

is to be renewed periodically until further orders of this court.




                                   [SACHIN S. DESHMUKH]
                                           JUDGE

rrd

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