UNION OF INDIAversusRADHA YADAV

                         [2019] 1 S.C.R. 741                              741


                         UNION OF INDIA                                   A
                                  v.
                          RADHA YADAV
                (Civil Appeal Nos. 1265-1266 of 2019)
                         JANUARY 29, 2019                                 B
   [UDAY UMESH LALIT AND INDIRA BANERJEE, JJ.]
       Railway Accidents and Untoward Incidents (Compensation)
Rules, 1990 – Schedule to the rules – Compensation payable in
respect of death – In the instant case, the accidental death of the
                                                                          C
deceased-victim took place when he was travelling in a train –
Victim peeped his head out of compartment door and his head
collided with a post by the side of railway track resulting in accident
in which he lost his life – During pendency of the matter by way of
amendment, amount of compensation which was earlier at the level
of Rs.4 lakhs in case of death was raised to Rs.8 lakhs – Tribunal        D
held that the deceased was victim of his own act and as such no
compensation was payable – On appeal, High Court awarded
compensation of Rs.8 lakhs with interest – Special Leave Petition
was filed in the month of September 2018 i.e. after the decision in
Rina Devi in which it was held that wherever it is found that the
                                                                          E
revised amount of applicable compensation as on the date of award
of the Tribunal is less than the prescribed amount of compensation
as on the date of accident with interest, higher of the two amounts
ought to be awarded on the principle of beneficial legislation –
Held: In view of the said decision, if the liability had arisen before
the amendment was brought in, the basic figure would be as per the        F
Schedule as was in existence before the amendment and on such
basic figure, reasonable rate of interest would be calculated – If
there be any difference between the amount so calculated and the
amount prescribed in the Schedule as on the date of the award, the
higher of two figures would be the measure of compensation – In
                                                                          G
view of this, High Court was in error in awarding interest on the
sum of Rs.8 lakhs in the instant case – Matter adjourned for eight
weeks only to consider the issues regarding safety in Indian Railways.


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                                 741
742            SUPREME COURT REPORTS                       [2019] 1 S.C.R.


A           Disposing of the appeals, the Court
            HELD: 1. In Rina Devi, this Court had laid down is that the
      amount of compensation payable on the date of accident with
      reasonable rate of interest shall first be calculated. If the amount
      so calculated is less than the amount prescribed as on the date of
B     the award, the claimant would be entitled to higher of these two
      amounts. Therefore, if the liability had arisen before the
      amendment was brought in, the basic figure would be as per the
      Schedule as was in existence before the amendment and on such
      basic figure reasonable rate of interest would be calculated. If
      there be any difference between the amount so calculated and
C     the amount prescribed in the Schedule as on the date of the award,
      the higher of two figures would be the measure of compensation.
      The idea is to afford the benefit of the amendment, to the extent
      possible. Where the accident had occurred before the amendment,
      it ought to have considered the matter in the light of the principle
D     laid down in Rina Devi. [Paras 10, 11][745-F-H; 746-C]
            2. The Railways must consider the matter in right earnest
      and see that the concerns regarding safety are immediately
      addressed. On the request of the Additional Solicitor General
      the matter was adjourned for eight weeks only to consider the
E     issues regarding the safety. [Para 13][746-G-H]
            Union of India v. Rina Devi [2018] 4 SCR 417 – relied on.
                              Case Law Reference
            [2018] 4 SCR 417          relied on               Para 6
F           CIVIL APPELLATE JURISDICTION: Civil Appeal Nos. 1265-
      1266 of 2019.
            From the Judgment and Order dated 03.03.2017 of the High
      Court at Calcutta in F.M.A. No. 858 of 2012 and order dated 30.11.2017
      in R.V.W. No. 127 of 2017.
G                                     WITH
            Civil Appeal Nos. 1267-1268 of 2019.
            Brijender Chahar, Sr. Adv. (Amicus Curie)

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                  UNION OF INDIA v. RADHA YADAV                                 743


      Vikramjit Banerjee, ASG, Vikas Singh Jangra, Shashi Bhushan,.             A
Amit Kumar Pathak, Nachiketa Joshi, Ms. Bharti Tyagi, Sachin Sharma,
A.K. Sharma, Mrs. Anil Katiyar, Raj Bahadur Yadav, Advs. for the
appearing parties.
         The Judgment of the Court was delivered by
                                                                                B
         UDAY UMESH LALIT, J. 1. Leave granted.
       2. While travelling from Burdwan Railway Station to Howrah
Railway Station on 02.10.2003 in a local train one Dasarath Yadav had
peeped his head out of the compartment door and his head collided with
a post by the side of the railway track resulting in an accident where he
lost his life. The Railway Claims Tribunal, Kolkata by its judgment and         C
order dated 27.09.2007 found that the deceased was a bona fide railway
passenger and that the incident was an “untoward incident” in terms
of the provisions of Section 123 of the Railways Act, 1989 (hereinafter
referred to as “the Act”). The Tribunal, however, found that the deceased
was victim of his own act and as such no compensation was payable.              D
      3. The dismissal of the Claim Petition was challenged by the
respondent i.e. widow of the deceased by filing FMA No.858 of 2012 in
the High Court at Calcutta.
       4. The Railway Accidents and Untoward Incidents
(Compensation) Rules, 1990 (hereinafter referred to as “the Rules)              E
provide for a Schedule prescribing the amount of compensation payable
in respect of death and injuries. During the pendency of the matter by
way of amendment, the amount of compensation which was earlier at
the level of Rs.4,00,000/- in case of death was raised to Rs.8,00,000/-.
       5. It was found by the High Court that in terms of Section 124-A         F
of the Act the ‘Principle of Strict Liability’ would arise and as such the
Tribunal was not right in denying compensation to the respondent. While
allowing the appeal, the High Court held the respondent to be entitled to
compensation of Rs.8,00,000/- with interest @ 9% per annum. The
judgment of the High Court in the present case was delivered on                 G
03.03.2017. The challenge raised by way of review petition was also
rejected on 30.11.2017.
       6. On 09.05.2018 in the case of Union of India v. Rina Devi1
this Court considered the following questions:
1
    2018 SCC OnLine SC 507 =2018 AIR 2362 = 2018 SCR 417 = 2018 (7) SCALE 274   H
744             SUPREME COURT REPORTS                            [2019] 1 S.C.R.


A           i) Whether the quantum of compensation should be as per the
            prescribed rate of compensation as on the date of application/
            incident or on the date of order awarding compensation;
            ii) Whether principle of strict liability applies;
            iii) Whether presence of a body near the railway track is enough
B           to maintain a claim;
            iv) Rate of interest.
            As regards the first question this Court ruled as under:-
            “18. ……. We are of the view that law in the present context
C           should be taken to be that the liability will accrue on the date of
            the accident and the amount applicable as on that date will be the
            amount recoverable but the claimant will get interest from the
            date of accident till the payment at such rate as may be considered
            just and fair from time to time. In this context, rate of interest
D           applicable in motor accident claim cases can be held to be
            reasonable and fair. Once concept of interest has been introduced,
            principles of Workmen Compensation Act can certainly be applied
            and judgment of 4-Judge Bench in Pratap Narain Singh Deo2
            will fully apply. Wherever it is found that the revised amount of
            applicable compensation as on the date of award of the Tribunal
E           is less than the prescribed amount of compensation as on the date
            of accident with interest, higher of the two amounts ought to be
            awarded on the principle of beneficial legislation. Present legislation
            is certainly a piece of beneficent legislation.
            19. Accordingly, we conclude that compensation will be payable
F           as applicable on the date of the accident with interest as may be
            considered reasonable from time to time on the same pattern as
            in accident claim cases. If the amount so calculated is less than
            the amount prescribed as on the date of the award of the Tribunal,
            the claimant will be entitled to higher of the two amounts. This
            order will not affect the awards which have already become final
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            and where limitation for challenging such awards has expired,
            this order will not by itself be a ground for condonation of delay.
            Seeming conflict in Rathi Menon3 and Kalandi Charan Sahoo4
      2
        (1976) 1 SCC 289
      3
        (2001) 3 SCC 714
      4
H       2018 (7) SCJ 159 = (2017) SCC Online SC 1638
               UNION OF INDIA v. RADHA YADAV                                   745
                   [UDAY UMESH LALIT, J.]

      stands explained accordingly. The 4-Judge Bench judgment in              A
      Pratap Narain Singh Deo2 holds the field on the subject and
      squarely applies to the present situation. Compensation as
      applicable on the date of the accident has to be given with
      reasonable interest and to give effect to the mandate of beneficial
      legislation, if compensation as provided on the date of award of
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      the Tribunal is higher than unrevised amount with interest, the
      higher of the two amounts has to be given.”
      7. This Special Leave Petition was filed in the month of September,
2018 i.e. after the aforesaid decision of this Court in Rina Devi1.
       8. When the matter was taken up, it was submitted on behalf of          C
the appellant that grant of interest on the sum of Rs.8,00,000/- was not
consistent with the law laid down by this Court in the case of Rina
Devi1. It was contended that despite said decision, in number of cases
interest was being awarded on the revised amount of Rs.8,00,000/-. In
the peculiar facts and circumstances, this Court did not find it appropriate
to issue notice to the respondent but appointed Mr. Brijender Chahar,          D
learned Senior Advocate as amicus curiae to assist the Court. It was
made clear that the respondent shall be entitled to the benefit ordered by
the High Court irrespective of the decision as regards question of law
raised in the matter.
     9. We heard Mr. Vikramjit Banerjee, learned Additional Solicitor          E
General for the appellant and Mr. Brijender Chahar, learned
amicuscuriae.
       10. The issue raised in the matter does not really require any
elaboration as in our view, the judgment of this Court in the case of Rina
Devi1 is very clear. What this Court has laid down is that the amount of       F
compensation payable on the date of accident with reasonable rate of
interest shall first be calculated. If the amount so calculated is less than
the amount prescribed as on the date of the award, the claimant would
be entitled to higher of these two amounts. Therefore, if the liability
had arisen before the amendment was brought in, the basic figure would         G
be as per the Schedule as was in existence before the amendment and
on such basic figure reasonable rate of interest would be calculated. If
there be any difference between the amount so calculated and the amount
prescribed in the Schedule as on the date of the award, the higher of two
figures would be the measure of compensation. For instance, in case of
a death in an accident which occurred before amendment, the basic              H
746            SUPREME COURT REPORTS                          [2019] 1 S.C.R.


A     figure would be Rs.4,00,000/-. If, after applying reasonable rate of
      interest, the final figure were to be less than Rs.8,00,000/-, which was
      brought in by way of amendment, the claimant would be entitled to
      Rs.8,00,000/-. If, however, the amount of original compensation with
      rate of interest were to exceed the sum of Rs.8,00,000/- the compensation
      would be in terms of figure in excess of Rs.8,00,000/-. The idea is to
B
      afford the benefit of the amendment, to the extent possible. Thus,
      according to us, the matter is crystal clear. The issue does not need any
      further clarification or elaboration.
             11. Consequently, we must hold that the High Court was in error
      in awarding interest on the sum of Rs.8 lakhs in the instant case. Where
C     the accident had occurred before the amendment, it ought to have
      considered the matter in the light of the principle laid down in Rani
      Devi1. We, therefore, set aside the impugned judgment and allow the
      appeals. However, the respondent, in any case, would not be affected
      in any manner and will be entitled to the sum awarded by the High
D     Court.
            12. We must also note an important aspect which was brought to
      our notice by the learned amicus curiae. He placed summary of four
      Reports regarding safety in Indian Railways. Those Reports are:-
                1. Anil Kakodkar High Level Safety Review Committee,
E               17.02.2012;
                2. Twelfth Report of 16th Lok Sabha on safety and security in
                Railways;
                3. Report No.14 of 2016 of the Comptroller and Auditor General
F               of India on Suburban Train Services in Indian Railways; and
                4. Twenty-Third Report of Standing Committee on Railways
                (2013-14) Fifteenth Lok Sabha, Ministry of Railways Report
                on Suburban Train Services of Indian Railways, with particular
                emphasis on Security of Women Passengers.
G            13. The learned Additional Solicitor General readily agreed to the
      suggestion that the Railways must consider the matter in right earnest
      and see that the concerns regarding safety are immediately addressed.
      On the request of the learned Additional Solicitor General, we, therefore,
      adjourn the matter for eight weeks only to consider the issues regarding
      the safety as highlighted by the learned amicus curiae.
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                UNION OF INDIA v. RADHA YADAV                                 747
                    [UDAY UMESH LALIT, J.]

       14. Ordered accordingly.                                               A
      15. In view of the order passed in the lead matter, namely, Civil
Appeals arising out of Union of India v. Radha Yadav, Civil Appeal Nos
1267-1268 of 2019 @ SLP(C) Nos.2993-2994 of 2019 (D.No.33760 of
2018) are disposed of in the same terms.
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Devika Gujral                                          Appeals disposed of.




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