SHRI ARUN GULAB CHAVANversusUNIVERSAL SOMPO GENERAL INSURANCE CO.LTD. AND ORS

                                                                            905-IA-7195-2026.DOC



               IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                      CIVIL APPELLATE JURISDICTION

                    INTERIM APPLICATION NO. 7195 OF 2026
                                      IN
                       FIRST APPEAL ST. NO. 9361 OF 2026

Shri Arun Gulab Chavhan                                               ...Applicant(s)
IN THE MATTER OF

Universal Sompo General Insurance Co. Ltd. And ors                    …Appellant(s)
       Versus
Shri Arun Gulab Chavhan                                               ...Respondent(s)
                                    ______
Mr. Vasant More, Advocate for the Applicant.
Ms. Yogita Deshmukh, Advocate for Respondent No. 1.
                                          _______

                        CORAM:                  AARTI SATHE, J.

                        DATE:                   11th SEPTEMBER, 2026

P.C.

1.       This Interim Application has been filed praying for the following reliefs.

         “(a) That, the compensation amount deposited by the Appellant before the
         Learned Commissioner for employees compensation and Judge, 5 th Labour
         Court, Mumbai may be released and handover to the applicant alongwith accrued
         interest thereon.”


2.       In the facts of the present case, the Applicant who has filed the present

Application was granted compensation of an amount of Rs. 16,32,330/- and

medical expenses of Rs. 9,80,716/- with interest realization within three months

from the order dated 5th October 2024 passed by the 5th Labour Court (‘impugned

award’). This compensation was granted by the 5 th Labour Court to the Applicant

as the Applicant had suffered an accident on 24 th July 2020 at Mumbai Pune Road

near Kalamboli within the jurisdiction of Khandeshwar Police Station during the



                                       Page 1 of 4
Tiwari
                                                                     905-IA-7195-2026.DOC



course of and arising out of his employment with his employer M/s. Nilesh Tours

and Travels i.e. Respondent No. 2.

3.       The 5th Labour Court on the basis of the pleadings filed and specifically in

view of the averments made by the employer M/s. Nilesh Tours and Travels held

that an employer-employee relationship existed between the Applicant and

Respondent No. 2 and that the Applicant was in employment of Respondent No. 2

at a monthly salary of Rs. 15,000/- and above the offending vehicle No. MH-02-

EH-5350. The aforesaid vehicle was insured with the Appellant-Insurance

Company. The Appellant-Insurance Company has deposited an amount of Rs.

42,40,248 in the 5th Labour Court towards the compensation as per the impugned

award.

4.       Learned Counsel on behalf of the Applicant submitted that the Applicant is

a poor person and requires this money to run his day-to-day expenses and to carry

out his livelihood.

5.       He further submitted that the amount represents compensation awarded to

an employee under the Employees Compensation Act, 1923 and that the

Applicant ought not be deprived of the benefit of the award merely because the

insurer has preferred an appeal. It is submitted that the employer as well as the

insurer have been held liable under the impugned award.

6.       Learned counsel appearing on behalf of the Appellant- Insurance Company

has opposed the relief as sought in the present Interim Application and has

submitted that an amount of Rs. 42,40,248/- has been deposited before the Trial

Court pursuant to the order dated 5 th October 2025, passed by Learned



                                    Page 2 of 4
Tiwari
                                                                       905-IA-7195-2026.DOC



Commissioner for Employees Compensation. She has further submitted that the

Appellant- Insurance Company has seriously disputed its liability in the First

Appeal and therefore the Applicant ought not to be permitted to withdraw the

amount pending adjudication of the Appeal.

7.       Considering the averments in the Application, this Court deems it fit to

allow the Application. At this stage it is not necessary to finally adjudicate upon the

grounds raised in the First Appeal. The rights and contentions of the parties on the

merits of the Appeal are expressly kept open. Merely because the Appellant-

Insurance Company has filed the Appeal, cannot result in the Applicant being

deprived of the benefit of the amount. At the same time the interest of the

Appellant-Insurance Company also requires to be protected in the event the

ultimately succeeds. The withdrawal of the amount is therefore subject to the

outcome of the Appeal. In the circumstances and without expressing any opinion

on the merits of the First Appeal, the following order is passed:-

                                        ORDER

I.       The Applicant may withdraw 60% of the amount as deposited in the 5 th

Labour Court along with the accrued interest thereon within a period of three

weeks from today.

II.      The aforesaid withdrawal is subject to the outcome of the First Appeal, and

the Applicant shall abide by any directions regarding return of money as passed by

this Court at the time of disposal of First Appeal in the event the Appellant-

Insurance Company succeeds.

III.     In view of the aforesaid, this Interim Application stands disposed of.



                                     Page 3 of 4
Tiwari
                                                                      905-IA-7195-2026.DOC



IV.      The 5th Labour Court to act on the authenticated copy of this order.




                                                  (AARTI SATHE, J.)




                                    Page 4 of 4
Tiwari