Bombay High Court

SANGITA MANIKRAO GHABAK AND ORS.versusTHE NATIONAL INSURANCE COMPANY LIMITED

Disposal: Allowed

Holding

The court ordered that 70% of the deposited compensation be released pending the appeal, with the balance invested, and that the 151‑day filing delay be condoned.

Summary

The applicants, including the mother of a deceased, sought the withdrawal of Rs.1,00,03,073 deposited by the National Insurance Company as compensation. The insurer argued that the appeal before the tribunal was on the quantum of award and that releasing the full amount would jeopardize recovery if the appeal succeeded. The court held that only 70% of the deposited sum could be released, subject to an undertaking, with the balance to be invested in a nationalized bank, as the applicant's occupation was irrelevant. The court also condoned a 151‑day delay in filing the appeal, finding no mala fides. Additionally, an earlier stay order on the entire amount was confirmed. All interim applications were disposed of.

Issues considered

Whether the deposited compensation amount can be partially disbursed pending the appeal on quantum.
Whether the 151‑day delay in filing the appeal should be condoned.
Whether the stay of the entire amount should continue.

Subjects

compensation
insurance
quantum of damages
interim relief
delay condonation
stay
partial disbursement

Judgment

                                                         78 IA 1230 OF 2026.odt

              IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                       CIRCUIT BENCH AT KOLHAPUR
                      CIVIL APPELLATE JURISDICTION

                 78 INTERIM APPLICATION NO. 1230 OF 2026
                                    IN
                     FIRST APPEALST NO. 16147 OF 2025
                                  WITH
                 78 INTERIM APPLICATION NO. 9293 OF 2026
                                    IN
                     FIRST APPEALST NO. 16147 OF 2025
                                  WITH
                 78 INTERIM APPLICATION NO. 9294 OF 2026
                                    IN
                     FIRST APPEALST NO. 16147 OF 2025

                   SANGITA MANIKRAO GHABAK AND ORS.
                                    VERSUS
                THE NATIONAL INSURANCE COMPANY LIMITED
                                       ...
       Advocate for Applicants/Claimants : Mr. Umesh Hanmantrao Pawar
     Advocate for Respondent/Insurance Company : Mr. Atharva Bhingardeve
                            i/by Adv. Poonam Mital
                                       ...
                       CORAM               : SHAILESH P. BRAHME, J.

                       DATE              : 27.08.2026


PER COURT :

        INTERIM APPLICATION NO. 1230 OF 2026 FOR WITHDRAWAL OF
AMOUNT

         Heard both sides.

2.      The applicants seek to withdraw an amount of Rs.1,00,03,073/-
deposited by the respondent Insurance Company. It is submitted that for the
reasons stated in the application, amount needs to be disbursed. The fourth
claimant was mother of the deceased who passed away.

3.      The learned counsel for the respondent Insurance Company submits

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                                                             78 IA 1230 OF 2026.odt

that the appeal has been preferred on the ground of quantum. The Tribunal
has awarded exorbitant compensation which is unfounded. It is submitted
that if the amount is disbursed, it would be difficult to recover in case the
respondent succeeds in the appeal.            It is further submitted that the
application no. 2 has been given appointment on compassionate ground.
There is no need to disburse the amount exceeding 30% at this stage.

4.      I have gone through the impugned judgment and award. The appeal
has been preferred on the point of quantum.               Learned counsel for
respondent is right in contending that entire amount cannot be disbursed.
The present occupation of the applicant no. 2 is not relevant for
disbursement of the amount. Ends of justice would be met in holding 30%
of the deposited amount and disbursing the balance amount.

5.      Civil Application is partly allowed. The applicants shall be entitled to
receive 70% of the deposited amount of compensation with accrued interest
on furnishing undertaking to the satisfaction of the Presiding Officer of the
jurisdictional Tribunal. Balance amount shall be invested in any nationalized
bank.

6.      Interim Application is disposed of.

        INTERIM     APPLICATION       NO.     9293   OF   2026   FOR      DELAY
CONDONATION

7.      The applicant seeks to condone delay of 151 days caused in filing
appeal.

8.      The averments in the application have not been controverted by the
respondents. There are no mala fides on the part of applicant in causing the
delay in filing the appeal.

9.      For the reasons stated in the application, the delay stands condoned.
Interim Application is disposed of.

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                                                             78 IA 1230 OF 2026.odt

FIRST APPEAL :

10.     Admit.

11.     Learned counsel Mr. Pawar waives service for the Claimants.

12.     Call for record and proceedings.

13.     Print is dispensed with.

14.     Parties shall be at liberty to file compilation of documents and private
paper book.

INTERIM APPLICATION NO. 9294/2025 FOR STAY :

15.     As the entire amount has been deposited by the Insurance Company,
ad interim relief granted earlier shall stand confirmed.

16.     Interim Application is disposed of.



                                        ( SHAILESH P. BRAHME, J.)




mkd/-




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