Bombay High Court
THE NEW INDIA ASSURANCE CO. LTD.versusSMT. DHOBUNI SANTOSH NAYAK AND ORS.
- Decided
- Disposal
- Disposed Off
Holding
The Court did not decide the merits but stayed the Commissioner’s order and admitted the two questions of law for determination.
Summary
The New India Assurance Co. appealed against an order of the Commissioner who had awarded interest against the insurer contrary to the policy terms and had held that a sub‑contractor employee was entitled to compensation under the Employees Compensation Act, 1923. The appellant sought to stay the order and raised two substantial questions of law: whether the Commissioner was justified in awarding interest and whether the employee of a sub‑contractor could claim compensation. The High Court, after condoning a 47‑day delay in filing the appeal, stayed the impugned order pending the disposal of the appeal. The Court admitted the two questions of law, directed the compilation of a private paper book of documents within six months, and ordered that the appeal be heard after the paper book is filed. No final merits decision was rendered; the matter was remanded for further proceedings.
Issues considered
- Whether the Commissioner was justified in awarding interest against the Insurance Company contrary to the terms and conditions of the Insurance Policy?
- Whether the Commissioner was justified in concluding that the applicant is entitled to compensation though he was an employee of a sub‑contractor?
Legislation cited
Subjects
- interest on insurance policy
- sub‑contractor employee
- compensation
- Employees Compensation Act
- insurance policy terms
Judgment
17-FA(ST)-31857-2015.doc
rsk
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
FIRST APPEAL (ST) NO.31857 OF 2015
WITH
CIVIL APPLICATION NO.1675 of 2016
WITH
CIVIL APPLICATION NO.1676 of 2016
The New India Assurance Co.
Ltd … Appellant
Versus
Smt. Dhobuni Santosh Nayak
And Ors. ...Respondent
_____________________________________________________
Ms. Poonam Mittal for the Appellant.
Mr. Prathamesh Mandlik a/w. Ms. Sejal Singh i/b Mr. Nitesh V. Bhutekar
for the Respondent.
_____________________________________________________
CORAM : JITENDRA JAIN, J.
DATED : 18 MARCH 2026
P. C.:
CIVIL APPLICATION NO.1675 of 2016
1. There is delay of 47 days in filing the present appeal. For the
reasons stated in the Civil Application, delay is condoned. Registry to
number the appeal finally. Civil Application is allowed.
CIVIL APPLICATION NO.1676 of 2016
Digitally signed
by
RAJESHWARI
RAJESHWARI SUBODH
SUBODH
KARVE
KARVE
Date:
2. This application is filed for stay of the impugned order dated 29
2026.03.18
17:13:36
+0530
July 2015 passed under the Employees Compensation Ac,t 1923.
Learned counsel for the applicant states that decretal amount has been
deposited with the Commissioner.
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17-FA(ST)-31857-2015.doc
3. In view thereof, operation of the impugned order dated 20 July
2015 is stayed till the disposal of the Appeal.
4. Civil Application is disposed of.
FIRST APPEAL (ST) NO.31857 OF 2015
5. Admit on the following substantial questions of law:
1. Whether the Commissioner was justified in
awarding interest against the Insurance Company
contrary to the terms and conditions of the Insurance
Policy ?
2. Whether the Commissioner was justified in
coming to the conclusion that the applicant is entitled to
compensation though he was an employee of a sub-
contractor ?
6. Issue notice to the respondents. Mr. Bhutekar, learned counsel
waives service for respondent.
7. Compilation of documents in the format of private paper book to
be filed within six months from today failing which Appeal shall stand
dismissed without recourse to the Court and no application for
extension will be entertained.
8. Records & Proceedings be called.
9. Appeal to come up for hearing after paper book is filed and same
is not dismissed.
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17-FA(ST)-31857-2015.doc
[ JITENDRA JAIN, J. ]
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