Bombay High Court

RELIANCE GENERAL INSURANCE CO. LTD.versusSUNITA RAGHUNATH DORALE AND ORS.

Disposal: Allowed

Holding

The Court condoned the 100‑day delay as there was no mala fides and permitted the claimants to receive 60% of the deposited compensation with interest, while directing the balance to be invested in a nationalized bank.

Summary

The insurance company Reliance General Insurance filed an appeal belatedly and sought condonation of a 100‑day delay, asserting no mala fides. The claimants, whose breadwinner died in an accident, also moved the court to withdraw Rs. 54,44,647 deposited by the insurer, requesting 60% of the amount with interest due to urgent financial needs. The court found no evidence of mala fides and therefore condoned the delay in filing the appeal. Regarding the withdrawal, the court held that while the full amount was excessive, the claimants were entitled to a partial release of funds to meet immediate needs. Consequently, the court ordered that 60% of the deposited amount be released with accrued interest, subject to an undertaking, and the balance be invested in a nationalized bank. The interim applications were disposed, and the first appeal was admitted for further hearing.

Issues considered

Whether the 100‑day delay in filing the appeal should be condoned.
Whether the claimants are entitled to withdraw a portion of the compensation amount deposited by the insurer.

Subjects

delay condonation
interim application
insurance claim
compensation withdrawal
partial payment
interest
appeal

Judgment

                                                             31 IA 535 OF 2026+.odt

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

                 31 INTERIM APPLICATION NO. 535 OF 2026
                                   IN
                     FIRST APPEALST NO. 2616 OF 2026
                                  WITH
                  INTERIM APPLICATION NO. 1567 OF 2026
                                   IN
                     FIRST APPEALST NO. 2616 OF 2026

                   RELIANCE GENERAL INSURANCE CO. LTD.
                                   VERSUS
                   SUNITA RAGHUNATH DORALE AND ORS.
                                      ...
     Advocate for Appellant/Insurance Company : Mr. Aditya Ghadge h/f Mr.
                                Akshay Kulkarni
       Advocate for Respondents/Claimants nos. 1 to 4 : Mr. R.S. Alange
                                       ...
                                       ...
                       CORAM               : SHAILESH P. BRAHME, J.

                       DATE                   : 07.10.2026


PER COURT :

 INTERIM APPLICATION NO. 535/2026 FOR DELAY CONDONATION :

1.      The applicant seeks to condone delay of 100 days.

2.      It is contended that there are no mala fides on the part of the
applicant in preferring the appeal belatedly.

3.      The application is contested by the respondents/claimants.

4.      There is no reason to infer any mala fides on the part of the applicant
in preferring the appeal belatedly. For the reasons stated in the application,
the delay stands condoned.

5.      Interim Application is disposed of.

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                                                           31 IA 535 OF 2026+.odt

INTERIM APPLICATION NO. 1567/2026 FOR WITHDRAWAL OF AMOUNT :

6.    Heard both sides.

7.    The applicants seek to withdraw amount of Rs. 54,44,647/- deposited
by the respondent-Insurance Company.

8.    It is contended that in an accident bread earner lost his life and
dependents are in dire need of money. It is submitted that there is cogent
material placed on record and the compensation is reasonable and just.

9.    The counsel for the respondent-Insurance Company would submit
that the income considered by the Tribunal is vulnerable. The exorbitant
amount is fixed by the Tribunal. The respondent has every hope of success
in the first appeal.

10.   The factum of death of Raghunath in the accident is undisputed.
Perusal of the impugned judgment and award would show that after
considering the material on record the quantum is arrived at. The grievance
of the respondent-Insurance Company is mainly pertains to the income. It is
unreasonable to withhold the amount of compensation in its entirety.

11.   The applicants have not been disbursed any amount after the
impugned judgment. The need expressed by them cannot be discarded.
Ends of justice would be met in permitting them to receive 60% of the
deposited amount of compensation with accrued interest.

12.   Interim Application is partly allowed, permitting the applicants to
receive 60% of the amount deposited with accrued interest on furnishing
undertaking to the satisfaction of the Presiding Officer of the jurisdictional
Tribunal. The Balance amount shall be invested in any nationalized bank.

FIRST APPEAL :

13.   Admit.
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                                                          31 IA 535 OF 2026+.odt

14.     Learned counsel     Mr. R. S. Alange, waives service for the
respondents/claimants.

15.     Call for record and proceedings.

16.     Print is dispensed with.

18.     Parties shall be at liberty to tender on record private paper book or
compilation of documents.



                                       ( SHAILESH P. BRAHME, J.)




mkd/-




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