Can High Courts Modify Interim Withdrawal Limits in Railway Compensation Appeals?

Orissa High Court permits 50% interim withdrawal of awarded compensation instead of 10% on grounds of financial hardship, illustrating appellate jurisdiction to adjust interim relief in railway claims.

 

Summary

Category Data
Case Name FAO No. 376 of 2025 of PRMESHWAR NAYAK@PARMESHWAR NAYAK Vs UNION OF INDIA
CNR ODHC010562432025
Decision Date 18-08-2025
Disposal Nature Disposed Off
Judgment Author Dr. Justice Sanjeeb K. Panigrahi
Court Orissa High Court
Questions of Law Whether the High Court can modify the tribunal’s limit on interim withdrawal of awarded compensation based on financial hardship.
Facts as Summarised by the Court
  • Deceased passenger fell from running train on 09.09.2019 between Belpahar and Lajkura and died on the spot.
  • GRPS/Jharsuguda registered UD Case No. 32/2019 and investigated.
  • Deceased held a valid ticket from Pune to Hatia.
  • Railway Claims Tribunal awarded ₹8,00,000 but permitted withdrawal of only 10%.
  • Appellants sought permission to withdraw 50% of their share due to financial hardship.

What’s New / What Lawyers Should Note

  • High Court may increase the percentage of interim withdrawal from an awarded sum on proof of financial hardship.
  • Even when a tribunal fixes an interim release limit, appellate courts retain jurisdiction to modify that limit in the interest of justice.
  • This decision can be cited to argue for larger interim payments from compensation awards in railway‐related claims.

Summary of Legal Reasoning

  1. The court heard submissions regarding the appellants’ financial difficulties and the tribunal’s original order of 10% interim release.
  2. Noting the appellants’ hardship and the purpose of interim relief, the court found it just to adjust the percentage.
  3. The court modified only the impugned portion of the Railway Claims Tribunal’s award order, allowing 50% withdrawal of the appellants’ share.
  4. The rest of the tribunal’s compensation award remained undisturbed.

Arguments by the Parties

Petitioner / Appellants

  • The tribunal’s limit of 10% interim withdrawal causes undue hardship.
  • Financial difficulties warrant permission to withdraw 50% of the awarded amount.

Factual Background

On 09.09.2019, the deceased was travelling as a bona fide passenger from Pune to Hatia when he accidentally fell from the running train between Belpahar and Lajkura stations and died instantly. The GRPS/Jharsuguda registered an Unnatural Death case (No. 32/2019) and investigated. The deceased held a valid ticket (No. UFF-82217629). The Railway Claims Tribunal awarded ₹8,00,000 compensation but permitted only 10% interim withdrawal. The appellants appealed, seeking to increase the interim withdrawal to 50% on grounds of financial hardship.

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