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Bombay High Court

IFFCO-TOKIO GENERAL INSURANCE CO. LTD.versusSMT. KUMARIDEVI MAHENDRA MAHATO AND ORS.

Decided
Disposal
Disposed Off

Holding

The Court held that the Commissioner’s finding of an employer‑employee relationship was based on factual considerations and did not raise a substantial question of law, warranting dismissal of the appeal.

Summary

The appellant, Iffco‑Tokio General Insurance Co. Ltd., appealed a decision of the Commissioner for Workmen that held an employer‑employee relationship existed between the deceased and Opponent No.1, thereby making the insurer liable under the Employees Compensation Act. The Commissioner’s finding was based on the deceased’s presence at the accident site, the station diary, and the lack of opposition from Opponent No.1, despite Opponent No.2’s denial of employment due to lack of documentary proof. The insurer argued that the Commissioner’s conclusion did not raise a substantial question of law and that the findings were purely factual. The Court examined whether the Commissioner was justified in finding an employer‑employee relationship and whether the appeal raised any substantial legal issue. Concluding that the findings were factual, not perverse, and did not involve a substantial question of law, the Court dismissed the appeal. The accompanying civil applications regarding condonation of delay and stay of the Commissioner’s order were disposed of as per the Court’s directions.

Issues considered

  • Whether the Commissioner was justified in holding that an employer‑employee relationship existed between the deceased and Opponent No.1.

Legislation cited

Subjects

  • Employer‑employee relationship
  • Employees Compensation Act
  • Insurance liability
  • Substantial question of law
  • Appeal dismissal
  • Civil application

Judgment

                                                                                     16-FA(ST)-29063-2015.doc


                                                                                                        rsk
                                          IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                                  CIVIL APPELLATE JURISDICTION

                                                 FIRST APPEAL (ST)NO.29063 OF 2015
                                                                WITH
                                                 CIVIL APPLICATION NO.1814 OF 2016
                                                                WITH
                                                 CIVIL APPLICATION NO.1813 OF 2016

                              Iffco-Tokio General Insurance
                              Co. Ltd.                                      … Appellant
                                     Versus
                              Smt. Kumaridevi Mahendra
                              Mahato And Ors.                               ...Respondents
                                     _____________________________________________________
                              Mr. Abhijit P. Kulkarni a/w. Ms. Sweta Shah, for the Appellant.
                              None for the Respondent.
                                   _____________________________________________________

                                                                CORAM :      JITENDRA JAIN, J.
                                                                DATED :      18 MARCH 2026

                              P. C.:
                              CIVIL APPLICATION NO.1813 OF 2016

                              1.       This application is filed for condoning delay of 94 days in

                              challenging the order passed by the Commissioner for Workmen.

                              2.       For the reasons stated in paragraph 5, delay is condoned.

                              3.       Application is allowed. Registry to number the appeal finally.
           Digitally signed
           by
           RAJESHWARI
RAJESHWARI SUBODH
SUBODH     KARVE
KARVE      Date:
           2026.03.18
           17:13:35
           +0530              CIVIL APPLICATION NO.1814 OF 2016

                              4.       This application is filed for stay of the order passed by the

                              Commissioner for Workmen dated 14 May 2015 . The learned counsel




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for the applicant/appellant states that the decretal amount may have

been deposited as condition under Section 30 of the Employees

Compensation Act but however she is not sure.

5.    If the decretal amount has been deposited then the present

application is allowed. If the decretal amount has not been deposited

then subject to applicant/appellant depositing decretal amount within

four weeks from today, operation of the impugned order is stayed till

disposal of appeal. Civil Application is disposed of.

FIRST APPEAL (ST)NO.29063 OF 2015

6.    Present appeal is filed under Section 30 of the Employees

Compensation Act, 1923 by the Insurance Company and following

substantial question of law is proposed.

           1.      Whether the Commissioner was justified in

           holding that relationship between the deceased and

           opposite party no.1 was of employer and employee ?



7.    The Commissioner has given his findings in paragraph 9 which

reads as under:

           “9. From the submissions it is important to note that
           admittedly the opponent No. 1 inspite of receipt of
           notice has failed to appear. Though the O.P. No. 2 made
           an attempt to deny the employer-employee relationship
           for want of documentary proof but, the station diary




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           Exh-19 shows that the present applicant met with an
           accident. It is further important to note that the
           employer-employee relationship between the applicant
           and the opposite party No. 1 is a fact specially within the
           knowledge of the applicant and his employer. Here the
           opponent No. 1 is disputing the employment as he did
           not come forward. It is therefore clear that if deceased
           has not been employed a driver by opposite party No. 1
           he would have no reason to drive the said vehicle. In
           view of this, I do not find any substance in the objection
           raised by the opposite party No. 2 about the employment
           of the applicant.”


8.    In my view, the findings are purely based on the facts. The

Insurance Company has not brought on record any material to show

that the vehicle which met with the accident was owned by a person

other than opponent No.1.

9.    In my view the findings given in paragraph 9 does not raise any

substantial questions of law but it is based purely on facts and in any

case the findings are not perverse for this Court to admit the appeal on

substantial question of law.

10.   Appeal is dismissed.

                                                [ JITENDRA JAIN, J. ]




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