Compensation for Electrocution Incident Reversed to Actual Employer, Refund Ordered to Uttarakhand Power Corporation Ltd.
In a significant ruling on June 11, 2026, the Uttarakhand High Court, under Justice Ravindra Maithani, has clarified the scope of liability under the Employees Compensation Act, 1923. The court held that compensation for the death of an employee due to workplace accidents can only be imposed on the actual employer of the deceased, not any other entity.
The case revolved around the tragic demise of Dinesh Prasad Dimri, who was employed as a Watchman at the Forest Guest House in Augustmuni, District Rudraprayag. On October 21, 2012, while checking a water supply issue, Dimri was electrocuted upon contact with an electrified pole, leading to his untimely death.
The initial order by the Employees Compensation Commissioner had directed Uttarakhand Power Corporation Ltd. to pay a compensation of Rs. 4,15,480/- to the claimant, Smt. Bhagirathi Devi, the widow of the deceased. However, the Uttarakhand High Court overturned this decision, emphasizing that liability for compensation under the Act is restricted to the actual employer of the deceased, which in this case was determined to be the Divisional Forest Officer, Rudraprayag, under whom Dimri was employed at the time of his death.
The court further directed that the compensation amount, along with interest, must be paid by the Divisional Forest Officer to the claimant within two months. Additionally, the court ordered the refund of the amount deposited by Uttarakhand Power Corporation Ltd., provided it had not already been withdrawn by the claimant.
This ruling reinforces the principle that compensation liabilities under the Employees Compensation Act are specifically tied to employer-employee relationships and cannot be extended to parties not in direct employment of the deceased.
Bottom line:-
Employees Compensation Act, 1923 - Liability for compensation under the Act cannot be imposed on a person who is not the employer of the deceased.
Statutory provision(s): Employees Compensation Act, 1923, Section 30
