In a significant ruling, the High Court of Andhra Pradesh at Amaravati has modified an order passed by the Railway Claims Tribunal, Secunderabad, concerning the payment of interest on a compensation amount awarded to the parents of a deceased passenger.
The civil miscellaneous appeal was filed by Kuruva Kullayappa and Smt. Kuruva Lakshmi Devi, parents of the deceased Kuruva Sekhar. They challenged the Tribunal’s order dated April 6, 2011, in O.A.A. No.275 of 2006, which granted them compensation of Rs. 4,00,000 but awarded interest only from the date of the order until realization, not from the date they originally filed the application.
The case dates back to January 30, 2006, when the deceased, a 20-year-old, was traveling from Kalluru to Anantapur. Due to heavy rush in the train, he accidentally fell after crossing Garladenne Railway station and succumbed to his injuries. His parents, being his legal heirs, filed a claim under the Railways Act, 1989.
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The Railway Claims Tribunal allowed the compensation but limited the interest payout. The appellants argued that they were entitled to interest from the date of application, as there was no delay or previous filing on their part. The respondent, Union of India represented by the South Central Railway, had contested the claim initially, stating the death was due to the passenger’s own negligence.
Hon’ble Smt. Justice Sumathi Jagadam, after hearing both sides, observed that the Tribunal erred in not granting interest from the date of application. The Court noted the profound emotional and symbolic loss suffered by parents upon the death of a child, emphasizing the financial and emotional hardship caused by delayed compensation.
The Court modified the Tribunal’s order and directed the railways to calculate and pay simple interest at 6% per annum on the compensation amount of Rs. 4,00,000 from the date of filing the original application until the date of actual payment. The respondent was also instructed to release the amount immediately.
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The appeal was disposed of accordingly, with no order as to costs. All pending miscellaneous applications were closed.
This judgment reinforces the principle that claimants should not suffer due to procedural delays and are entitled to interest for the entire period during which the compensation amount was withheld.
Case Title: Kuruva Kullayappa & Anr. vs. Union of India.
Case Number: Civil Miscellaneous Appeal No. 849 of 2012
