COVID-19 Death Compensation : Supreme Court Dissatisfied With Poor Rate Of Disbrual In Maharashtra & Kerala

On perusal of the data collated by the Union Government, a bench comprising Justices M.R. Shah and BV Nagarathna were displeased with the rate of disbursal as compared to the applications received or the recorded deaths, particularly with respect to the States of Maharashtra and Kerala. The Bench noted that in Maharashtra, compensation has been paid to only 12,000 applicants out of 1 lakh 41 thousand applications. As far as Kerala was concerned, the bench noted that out of 40,000 registered deaths in the State of Kerala, only 528 claims have been approved.

The bench was also dissatisfied with the rate of disbursal in other states as well.

The Bench directed the States to complete the entire process and make payments within a period of one week. Apprised by Additional Solicitor General, Ms. Aishwarya Bhati about the high rates of death recorded in Chhattisgarh, Delhi and Karnataka, the Bench issued fresh notices to them.

At the outset, Ms. Bhati handed over an affidavit wherein the Union of India had collated the data of 8 States as per the information provided by them; data for Rajasthan and Tamil Nadu was collated as per their affidavit on 15th Dec; date for the rest of the states were collated on the basis of their previous affidavits.

Andhra Pradesh

The Bench was not satisfied with the disbursal made by the State of Andhra Pradesh

"What is this out of 36000 you have only awarded 11464."

Advocate, Mr. Mahfooz A. Nazki appearing for the State of Andhra Pradesh informed the Court that initially the recorded deaths tolled to 24000, however there has been an increase in the number pursuant to the order of the Bench.

"In fact earlier it was only 24000 recorded deaths, because of your lordships' order the claims are now more than recorded deaths…."

The Bench was also disturbed that the State had not given wide publicity to the scheme, even after its repeated directions. Though Mr. Nazki submitted that he had provided information with respect to the newspaper reports, the Bench insisted that the advertisements as per the Gujarat model is to be published by the State.

Mr. Nazki assured the Court that publication as per the Court's direction would be published on the next day.

"They will be published…Tomorrow it would be published in the format that your lordships directed."

Accordingly, the Bench dictated the order for the State of Andhra Pradesh as under -

"Ms. Bhati, Ld ASG has placed on record the chart giving the particulars with respect to 10 states, namely, AP, Assam, Bihar, Gujarat, MP, Punjab, WB, Rajasthan and TN..so far as AP is concerned against 14471 deaths recorded, after the earlier order passed by this court the court has received approx. 36205. Against 36205 claims State has paid compensation to 11464 claimants only. It also does not appear that wide publicity is being given by the State as ordered earlier…We direct the state to complete the process and pay the amount of ex-gratia compensation to the remaining claimants within a period of one week from today. We also direct the State to give wide publicity by giving advertisements in local newspapers…also in vernacular language similar to that of Guj. Govt's advertisement, which shall contain full particulars…Wide publicity to be given within one week from today."

Assam

At the outset, the Bench enquired about the publicity given to the scheme by the State of Assam.

"Where is the wide publicity given?"

Advocate, Ms. Diksha Rai Goswami appearing for the State of Assam, submitted that though publicity had already been given, but Monday onwards the State would publish advertisement following the Gujarat format, as had been directed by the Court on earlier occasion.

"In our affidavit dated 03.12.2021, we indicated the publicity we had given. Subsequent to your lordships' order we will publicise using the Gujarat model from Monday onwards we will circulate."

Accordingly, the Bench passed its order -

"Ld. Counsel appearing for State of Assam has assured the Court that the advertisements in the similar format as Guj. shall be published in the newspapers....in all the districts within a period of one week from today and the same shall be repeated. She has also stated …that wide publicity would be given w.r.t. the compensation of ex-gratia to be paid to the family members of those who died due to COVID 19. We also direct the state to complete the process and make payment within one week from receipt of such claims."

Bihar

Advocate, Mr. Abhinav Mukerji appearing for the State of Bihar informed the Court that it had given wide publicity to the scheme in all its 38 districts via vernacular as well as English newspapers. Additionally, the scheme has been published on AIR and FM radio and also on social media platforms.

"In all 38 districts..there are 14 vernacular newspapers and one English newspaper. The schedule for the future is given…Today we carried a series, 23rd Dec is next and also 30th Dec. We have advertised on AIR and radio. On social media it is done by the Information and public relations dept."

The Bench enquired, "Where is the advertisement?"

Mr. Mukerji replied that the same had not been filed. Apart from this he also apprised the Court that the State is paying Rs. 4,50,000 for each COVID death.

"We have not filed it…We are paying 4lakh 50 thousand for each COVID death. So far the State has paid 416.38 crore from Aug, 2020."

The Bench emphasised that they were only on the point of ex-gratia payments of Rs. 50,000.

"We are concerned about the ex-gratia over and above state scheme."

Mr. Mukherji replied, "We are paying a total of 4 lakh 50 thousand."

Gujarat

Senior Advocate, Ms. Manisha Luvkumar appearing for the State of Gujarat informed the Court that the State had made payments to 26433 claimants.

The Bench asked Ms. Luvkumar, "Rest when?"

She responded that the State would be going in for the Panchayat election and some time might be needed in view of the same.

Displeased the Bench remarked -

"What does Panchayat election have anything to do? Do not give reasons that cannot be accepted".

Ms. Luvkumar apologetically submitted, "I stand corrected, within a week shall be done."

Accordingly, the Bench dictated the order for the State of Gujarat -

"So far as State of Guj is concerned, Ms. Luvkumar…has submitted that against the total deaths recorded of 10094. As of today State has received 40467 claims out of which 26836 claimants already paid and the compensation to the remaining will be paid one week from today."

Punjab

Advocate, Ms. Ranjeeta Rohatgi appearing for the State of Punjab submitted -

"Out of total death recorded of 16234 we have received 5431 claims and we have made payment to 2840. Others are in process."

The Bench pointed out that 16234 deaths were registered deaths and the information of those persons are already with the Govt. Therefore, the disbursal of payment to these 16234 should be made at the earliest.

"So, 16234 are registered with you, so their particulars are with you…Make payment within one week."

The Bench observed that the claims received by the State was only 5431, when the recorded death was 16234.

"Even the claims received are only 5431."

Ms. Rohatgi apprised the Court that the State has already published the advertisement as per the Gujarat model, as was directed by the Court.

"Advertisements have been issued once on 15th Dec…Again today as per the Gujarat model."

The Bench dictated the order as under -

"So far as the State of Punjab is concerned despite the fact that 16234 deaths were registered only payment is made to 2840 claimants. Ms Rohatgi…has submitted that recently on 15.12.2021 the advertisement was given, giving wide publicity. Fresh advertisement as per Guj format published on 17.12.2021 and the same shall be repeated periodically…State is directed to make payment to the remaining claimants, at least those cases where death are registered with State Gov."

West Bengal

Advocate, Mr. Raghenth Basant appearing for the State of West Bengal submitted that they have disbursed the payment to 3355 person till date.

"As of now we have disbursed to 3355 persons and we have started advertisement in accordance with your lordships' judgment. We started from 3rd Dec in all TV channels, FM channels…I have instructed them to replicate the Gujarat model. It would be done tomorrow."

The Bench noted that 19000 deaths were already registered and the State had the particulars of these 19000 people. In view of the same, the State is to ensure that the payment to atleast the 19000 persons are made at the earliest.

"19000 deaths are registered with you but payment made only to 3355 persons. So something is lacking."

Mr. Basant assured the Court -

"That lacunae should be plugged. By next date this 19000 we will do, milords."

Accordingly, the Bench directed the State of West Bengal -

"So far as the State of WB is concerned, against a total death of registered i.e.19630, payment is made to 3355 claimants only. Even applications received are very less i.e. 5445. When 19630 deaths are registered with the State the particulars of those are already with the Govt and therefore the Govt. must see to it that payment is made at least to those whose particulars are with the State Govt…within a period of 10 days from today."

Rajasthan

Senior Advocate, Dr. Manish Singhvi appearing for the State of Rajasthan informed the Court that 90% disbursal has been made by the State. Out of 8955 deaths registered, 8577 disbursals have already been made.

The Bench opined that it was quite impossible that a large state like Rajasthan would have only 8955 COVID deaths and indicated that the claims would be more if effective advertisement is given to the scheme.

"Who would believe that in a State like Rajasthan only 8955 persons have died due to COVID.How many applications have you received?"

Dr. Singhvi submitted -

"We have started to advertise from today…on the Gujarat Model."

The Bench enquired, "As of today how many applications you have received."

As Mr. Singhvi was unable to answer, the Bench observed -

"Last time also we asked. That means the State is suppressing something. You must have information on how many claims you have received."

Thereafter, the Bench passed order with respect to the State of Rajasthan -

"So far as the State of Rajasthan is concerned no particular is given as to how many claims have been received. Ld. Counsel states he has no info. on how many claim forms are received. The State Government must have the info. available w.r.t. the claims received so far. Unfortunately, no particulars are furnished. Dr. Manish Singhvi has stated at the bar that the advertisement in the local newspaper in …the entire State and district would be given as per the Gujarat model within 2 days from today …He shall get information on how many claim forms have been received so far and the same shall be placed on record in next date of hearing…"

Tamil Nadu

Additional AG, Mr. Amit Anand Tiwari appealing for the State of Tamil Nadu submitted -

"As on yesterday evening we have received 31850 claims, we have made 17448 disbursals. On the Guj model, we got it the day before yesterday and carried out the advertisement in all districts today. And we are repeating tomorrow. We are also publishing on TV. Because TV is one media widely viewed in TN. We are processing in 7 to 8 days and making payment in 2 to 3 days."

The Bench noted that there was a huge gap between the application received and the disbursal made by the State.

"There is a lot of gap…Make payment in one week."

The Bench directed -

"So far as the State of TN is concerned Ld Add AG…has stated that …36481 deaths were registered and till date they have received 31850 claims out of which payment to 17448 claimants has been made. He has assured the payment to remaining claimants will be made within one week from today. He has also stated that the State shall give wide publicity as per the Guj model."

It was highlighted by Mr. Gaurav Bansal, the Petitioner that Tamil Nadu has prescribed a requirement for the legal heir certificate for payment of the ex-gratia compensation, as a result of which the disbursal rate is quite low.

The Bench clarified that as per its previous orders there would be no requirement for legal heir certificate and Mr. Tiwari should accordingly advise the State.

Goa

Advocate, Mr. Arun Pedneker appearing for the State of Goa submitted -

"We have paid 1972 of total deaths of 3482".

The Bench enquired, "How many applications received?"

He responded that only 127 applications were received. But, under the Goa State Scheme 1018 applications have been received. The State had made payment of ex-gratia compensation of Rs 50000 to these 1018 applicants as well.

Maharashtra

Irked, the Bench enquired,

"Who is for the State of Maharashtra ? 1 lakh 41 thousand applications and you have paid to 12000 only."

Advocate, Mr. Rahul Chitnis, appearing for the State of Maharashtra apologetically submitted -

"We will pay within a week. We have cleared 4000 today. We are a little behind, I agree. We have received 1 lakh 9 thousand claim received."

Highly disappointed with the manner in which the State had approached the issue of disbursal, the Bench remarked -

"This will increase. What Is the problem so far as the state is concerned. Tell your Govt. Whatever we say to Maharashtra should not be on the day-fair. If they do not listen to you, we know how to make them to listen."

Warning the State Government of strictures, the Bench passed its order -

"So far as the state of Maharashtra is concerned, despite our earlier strong observations made against the state against the total death of 141025 approx. 8000 payments are made. Mr. Chitnis stated at the bar that the payment to the remaining claimants /family members of the person who had died due to COVID 19 shall be made within a period of one week from today. We direct the State to make the payment to the remaining claimants after completing the due procedure within a period of one week from today, failing which a very strict view shall be taken."

Kerala

Ms. Bhati apprised the Court that out of 40,000 registered deaths in the State of Kerala, only 528 claims have been approved.

Advocate, Mr. G. Prakash appearing for the State of Kerala submitted -

"10778 applications we have revised as of yesterday. Approved 1927 application and payment was given to 548 persons."

Surprised with the low rate of disbursal, the Bench stated -

"Only 528, why? You have received 10778 and making payment to only 1927…We will direct that the process of payment has to be done within one week"

The Bench added -

"You give advertisements as per the Gujarat model."

Noting the sorry state of affairs, the Bench dictated the order for the State of Kerala -

"So far as State of Kerala is concerned it is still a very sorry state of affairs that against 40855 deaths 10778 forms have been received and actual payment is made to 548 claimants. As a welfare state it is the duty of the state to pay compensation ex-gratia to the person who have already suffered. We direct the State to comply with our earlier direction and we further direct the State of Kerala to complete the process w.r.t. the other claimants. The State also must give wide publicity like other states…as per the Gujarat format within a period of one week from today at the same shall be periodically repeated…submit status report on next date of hearing."

Mr. Bansal informed the Court that Kerala has two committees - one at the District level and the other at the State Committee. According to him, the multiplicity of committees have slowed down the process of disbursal.

The Bench stated that irrespective of the number of committees the State ought to make the remaining payments within the span of a week.

"We have asked them to pay within one week."

Uttar Pradesh

Advocate, Mr. Ardhendumauli Prasad appearing on behalf of U.P. informed the Court that they have already published the scheme as per the Gujarat format.

Haryana

The Additional AG, Anil Grover, appearing for the State of Haryana submitted that since the advertisements have not been responded to, the State officials are to go from door to door to make payments. He further stated that out of 2000 claims they have already made payments towards 1100 claims.

Looking at the records of the States to which notice had not been issued, Ms. Bhati suggested -

"I have a suggestion. Your lordship can consider issuing notice to Karnataka, Chhattisgarh, Delhi and Telangana. These states also have a high number of recorded deaths."

Telangana

Advocate, Mr. P. Mohith Rao appearing on behalf of Telangana informed the Court that they have already filed as affidavit and submitted -

"I have filed an affidavit indicating 24317 claims received, we have appeared 10543 and paid 5707."

The Bench reckoned, "We don't appreciate this.Whenever Court says you make the payment."

Mr. Rao requested the Bench to pass orders, and assured that the same would be followed by the State. With respect to advertisement he informed the Bench that he would advise the State on the Gujarat model.

"I will follow the Gujarat model, give instructions today."

The Bench directed -

"So far as the State of Telangana is concerned it is reported that after this Court intervened more payments are made. Ld Counsel stated so far as remaining claims are concerned they shall be paid within one week from today. He has also stated…wide publicity would be given on the scheme…as per the Gujarat Model within one week and the same shall be repeated…"

As per Ms. Bhati's suggestion, the Bench decided to issue fresh notice to the State of Karnataka, Chhattisgarh and NCT of Delhi.

"We issue notice to the Chief Secretary of the State of Karnataka, NCT of Delhi, Chhattisgarh. We direct the Chief Secretary of the concerned State to file a status report on how many deaths register; how many claims received and how many payments made. Notice returnable on or before 17.01.2022. Put up on 17.01.2022 so as to enable the respective states to file the updated status report on or before 12.01.2022."

[Case Title: Gaurav Kumar Bansal v. UOI]

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