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Bombay High Court

Mithun so Machindra SalunkeversusPrakash so Ramji Inkar

Disposal
Admitted/Allowed/Granted/Rule Absolute

Holding

The court permitted the applicants to withdraw 75% of the deposited compensation with interest, subject to an undertaking, and ordered the balance to be held in a fixed deposit until further orders.

Summary

The insurance company appealed against the compensation awarded by a tribunal to the applicants, Mithun S/o Machindra Salunke. The applicants filed a civil application seeking to withdraw a portion of the compensation amount that had been deposited by the insurer pending the appeal. The court examined the tribunal’s endorsement of the applicants’ entitlement and the competing interests of the parties. It allowed the applicants to withdraw 75% of the deposited amount, together with accrued interest, subject to an undertaking that disbursement remains contingent on the final outcome of the appeal. The remaining balance was ordered to be kept in a fixed deposit with a nationalized bank for an initial period of three years, renewable until further orders. The application was therefore partly allowed.

Issues considered

  • Whether the applicants may withdraw a portion of the compensation amount deposited by the insurer pending the resolution of the appeal
  • Whether the court can condition the withdrawal on an undertaking and direct the balance to be kept in a fixed deposit

Subjects

  • insurance
  • compensation
  • withdrawal
  • appeal
  • fixed deposit
  • interest

Judgment

2026:BHC-AUG:39408



                                                               36 CA No.9183.2026
                                              -1-

                      IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                 BENCH AT AURANGABAD

                             CIVIL APPLICATION NO. 9183 OF 2026
                                       IN FA/1621/2026

                              MITHUN SO MACHINDRA SALUNKE
                                         VERSUS
                                 PRAKASH SO RAMJI INKAR
                                              ***
              Advocate for Applicant : Mr. G. P. Ghule
              Advocate for Respondent No. 2 : Mr. Aniruddha S Usmanpurkar

                                            ***
                                           WITH
                               FIRST APPEAL NO. 1621 OF 2026

                      UNIVERSAL SHAMPO GENERAL INSURANCE CO LTD
                                       VERSUS
                            MITHUN S/O MACHINDRA SALUNKE
                                              ***
              Advocate for Appellant : Mr. Aniruddha S. Usmanpurkar
              Advocate for Respondents : Mr. G. P. Ghule
                                            WITH
                             CIVIL APPLICATION NO. 6334 OF 2026
                                       IN FA/1621/2026

                      UNIVERSAL SHAMPO GENERAL INSURANCE CO LTD
                                       VERSUS
                            MITHUN S/O MACHINDRA SALUNKE
                                              ***
              Advocate for Appellant : Mr. Aniruddha S. Usmanpurkar
              Advocate for Respondents : Mr. G. P. Ghule
                                              ***

                               CORAM : SACHIN S. DESHMUKH, J.
                                  Date : 31st August, 2026

              PER COURT :-


              Civil Application No. 9183 of 2026
                                                         36 CA No.9183.2026
                                  -2-

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

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

permit the applicants to withdraw the amount.



4.          Thus, the application is partly allowed.



5.          The applicants are permitted to withdraw 75% of the

deposited amount in this court, alongwith interest accrued thereon.



6.          The   applicants   shall    furnish   an   undertaking    that

disbursement would remain subject to final outcome of this appeal.
                                                        36 CA No.9183.2026
                                   -3-

7.            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.



First Appeal No. 1621 OF 2026

1.            Heard.

2.            Admit.

3.            Call Record and Proceedings.

4.            Mr. G. P. Ghule waives service on behalf of respective

respondent.

5.            Hearing expedited.



                                         (SACHIN S. DESHMUKH, J.)



Omkar Joshi


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