L.R. Ferro Alloys Ltd. vs Mahavir Mahto And Anr.

The Supreme Court held that under the Workmen's Compensation Act, the liability to pay interest on compensation is distinct from the liability to pay penalty. The Court clarified that while the Insurance Company is liable to reimburse the employer for compensation and interest, it is not liable for the penalty imposed due to the employer's personal fault. The Court modified the High Court's order to reflect this distinction, allowing the appeal in part.