#compensation release

Allahabad HC rules that compelling major adult claimants to invest motor accident compensation in fixed deposits violates their right to immediate access. The court directed full release of funds with accrued interest, reinforcing autonomy over compensation awards.

The Allahabad High Court has ruled that when a claimant suffers permanent disability due to a railway accident, the Tribunal cannot withhold 90% of the awarded compensation in fixed deposits. The court emphasized that financial urgency for medical care and rehabilitation overrides speculative long-term security, setting a precedent for immediate disbursement in cases of severe personal injury under the Railway Claims Tribunal framework.