Supreme Court Pulls Up States Over Laxity In Processing COVID Death Compensation Claims; Directs Them To Give Wide Publicity For Scheme

On perusal of the affidavit/status reports filed by the States, a Bench comprising Justices MR Shah and BV Nagarathna was displeased with the manner in which the States are dealing with the disbursal process of the ex-gratia payments. It is pertinent to mention, that out of all the affidavits filed by the States, the Court took up the affidavits of five States, namely, Maharashtra, West Bengal, Rajasthan, Uttar Pradesh and Gujarat, while assuring that the others would be taken up for consideration on the next date of hearing i.e. 10th December.

Maharashtra

The Counsel for the State of Maharashtra informed the Court that they have filed a compliance affidavit.

The Bench enquired, "In how many cases have you paid compensation?"

The Counsel responded, "More than one lakh profiles are being processed now."

The Bench wanted the Counsel to show from the affidavit the figure that he had stated before the Court, to which the Counsel retorted that the same was not available in the compliance affidavit as the numbers are increasing with every passing day.

Dissatisfied with the response, the Bench remarked, "As of today we can get, we cannot count for the future. You are hiding something Mister."

In his attempt to clarify, the Counsel stated that on the date of filling of the affidavit, the number was a little more than 12,000, but the latest projection is more than 1 lakh.

"On the date of filing it was 12,000 plus. Today it is more than 1 lakh."

The Court was informed that the portal was set up only on 01.12.2021.

Quite perturbed, the Bench stated, "After we take up the matter, you will do certain things?...When did we pass an order?"

The Counsel humbly submitted that some time was required to set up the portal, to which the Bench remarked -

"Portal can be done within one week Mister. Or within 2 days, like Gujarat had done now."

It further enquired -

"Where is the grievance redressal committee constituted, show us."

As the Counsel pointed out the relevant paragraph from the affidavit, the Bench asked him to take it to the format in which the application is to be made.

" Where is the form for application for compensation?"

Informing the Court that the said format was not available the Counsel sought permission to file an additional affidavit.

Irked, the Bench commented, "Then what affidavit have you filed?"

The Counsel emphasised on the point that the State had complied with the earlier order of the Court. The Bench stated, "This is no compliance" and asked the Counsel to show the format from the record. As the Counsel again sought time to file the same, in a fit of pique, the Bench stated -

"You, keep it in your pocket and give it to your Chief Minister."

The Bench added -

"Even as per the affidavit not a single person has been paid the compensation. You say that it will be paid."

The Counsel informed the Court that the payment would be paid within 30 days of receiving the applications. But the Court was not happy that the State was waiting for 30 days to disburse the payments.

"Why are you waiting 30 days?"

The Counsel responded, "For cross-referencing. We had filed the affidavit on 03.12.2021, as of then 12000 applications were filed."

Displeased, the Bench stated -

"According to this you will pay in Jan, 2022, because 30 days to be considered from the date of portal. This is absolutely ridiculous. We are not at all happy with this affidavit filed by the State of Maharashtra? You should not have waited till the date of portal, you could have taken it manually also."

At this juncture, the Bench asked if the Counsel was Mr. Sachin Patil who is to represent the State of Maharashtra.

"Are you Sachin Patil?"

The response was, "No Milords, he is held up before Court 3 in a part heard matter."

The Bench expressed its intention to reprimand the State if Mr. Patil does not appear before it.

"You call him or we will pass strictures against the State of Maharashtra."

The Bench started dictating its order -

"We are not at all satisfied with the compliance affidavit filed by the State of Maharashtra. This court passed a detailed judgment directing all states including State of Maharashtra to provide compensation to kin or family members of persons who have died due to Covid 19...In the affidavit it is reported that 1lakh 45 thousand 25 deaths were recorded as on 02.12.2021 and 12,000 claim forms are received as on 03.12.2021 on the online portal."

As Mr. Sachin Patil appeared before the Court, the Bench told him that the State should not have waited till the claims were made through the portal and should have acted on claims made physically.

"You should not have waited for the portal to come. You are not even submitting if any physical claims were made or not. You are giving figures that the claims received on portals and that too came after this Court intervened and issued notice...You are not receiving applications, not having the portal, what will the redressal committee do?

The Bench pointed out a difficulty from the affidavit -

" It is also that as of today you will pay after 30 days."

Mr. Sachin Patil apprised the Court about a scheme introduced by the State, wherein there is a provision for an objection mechanism raised by any other kin than the one who had placed the claim.

"We have a scheme, under which if any claim, which is made on the website, if another kin raises an objection the District Disaster Management Committee will…"

Reiterating the clarity of its earlier order, the Bench stated -

"Our order is very clear. Only RT PCR positive and death within 30 days automatically compensation will be paid. Your authority will not decide anything further."

The Bench further asked -

"Where is the payment?"

Mr. Patil informed the Court that disbursal would begin from 15.12.2021.

However, the Bench expressed its dissatisfaction with the affidavit.

"Nothing Mister. We are not satisfied with this counter at all...Where is the application format?"

The Bench enquired -

"Mr. Patil, what were you doing till 03.12.2021. Tell us. Do not say you have constituted a grievance redressal committee."

Mr. Patil responded that the State had published about the ex-gratia payments. Not only that, as early as on 12.10.2021, the State had written to the DM for disbursal of the ex-gratia payments.

Exasperate, the Bench remarked -

"Unless applications are invited, unless they are made known, what is the question of all correspondences...This is nothing but a delay.

The Bench asked Mr. Patil, "When will you disburse?"

He replied -

"Immediately from 15 Dec. That is your Lordship order that within 30 days payment has to be made."

Clarifying its order, the Bench informed Mr. Patil -

"That has gone, Mister. That 30 days have gone."

Thereafter, the Bench went ahead to dictate the order with respect to the State of Maharashtra.

"It is reported that thereafter the number of applications have increased to 37,000. Nothing on record to show what actual steps were taken before the online portal was created to invite the applications and pay the compensation. Shri Sachin Patil has stated at the Bar, that the actual payment will start from 15.12.2021 and the same shall be paid in 30 days from receipt of application. Our order to pay compensation was made on 04.10.2021...No portal was created by then. Even inviting further declaration on claimant that there is no further kin who is claiming compensation is also unwarranted. Once applications are received and other documents are produced as per our earlier order dated 04.10.202, there is no question of further waiting for a period of 30 days. 30 days time is the maximum time...that does not mean the govt. must wait till 30 days period is over. The form in which application is to be made in the State of Maharashtra is also not provided. Till date not a single person has been paid compensation in the State of Maharashtra. Put up on 10.12.2021 so as to enable the State of Maharashtra to file a better compliance report in affidavit will all details including the format in which application is to be made. The State of Maharashtra must start making payment of compensation immediately with respect to the applications which are found in order and in compliance with our earlier order.. And they need not wait till 30 days are over."

West Bengal

Next the Bench pulled by the State of West Bengal.

Mr. Sayandeep Pahari, appearing on behalf of West Bengal informed the Court that even though the affidavit was filed on 04.12.2021, the office report does not reflect the same.

The Bench asked him certain questions.

"How many persons are paid? How many deaths are recorded?"

He responded -

"Around 19000 deaths recorded, 467 claims received till 02.12.2021."

Surprised by the number of claims, the Bench asked,

"Why 467 claims?.. Have you started any portal?"

Mr. Pahari apprised the court that the exclusive portal has not been created till date. However all the concerned departments have already been instructed to do the needful. As per his submissions, the DM office in their own websites have a portal to assist the people to file applications for ex-gratia payments.

"We have instructed all the departments to come up with. All the DM office in their website had a portal giving them links of the application form. An exclusive portal is under the process."

As the Bench observed that like Maharashtra, West Bengal had also not made any payments, Mr. Pahari interjected to point out that West Bengal has paid 110 people out of the 467 claimants.

The Bench noted -

"A similar situation so far as WB is concerned, 19000 cases in WB only 467 applications have been received. You do not publicise, then what will happen."

Elucidating on the efforts of the State to publicise, Mr. Pahari submitted -

"It is being publicised. Pamphlets are stuck in hospitals and public offices.We will take a special drive and publicise more."

The Bench emphasised that the registered deaths need to be dealt with urgently. The minimum the State can do is disburse the ex-gratia payment for the family members of the person whose deaths are already registered with the State.

"So far as 19000 people, they are already registered with you. So you have the particulars with respect to those 19000. It is also your duty to find them out."

Mr. Pahari informed the Court -

"Out of these 467 claims received, the officer just now told me that, within 7 days all 467 people will be paid."

The Bench asked -

"Why 467. You have to first pay the 19000 people who are already registered with you."

As Mr. Pahari attempted to show the bonafide of the State, the Bench commented -

"What is the question of bona fide in such a matter? Your bonafide will be reflected from your conduct."

Thereafter, the Bench went ahead to dictate the order in respect to the State of West Bengal -

"Listen to our order… approx 100 claimants are paid the compensation. Even there is no exclusive portal created by the Govt. When 19000 deaths were already registered with the State Govt., then on the basis of that registration itself, the State Govt. ought to have made payment to at least those persons whose particulars are already with the State Govt. And therefore they were not required to wait even for the application to be filed...It also appears no wide publication was given in social media, electronic media and print media by the State, so that the concerned persons are made known that they are entitled to the scheme. So as to give an additional opportunity to the State to make payment at least to those whose names are registered i.e. 19000. Put up on 10.12.2021. In the meantime the State Govt. must give wide publicity with respect to the application, the format of application, purpose of application, namely, RT PCR positive and death within 30 days and other directions in our order dated. 04.10.2021."

Rajasthan

Senior Advocate, Mr. Manish Singhvi, appearing on behalf of State of Rajasthan apprised the Court that there are separate schemes of the State and by which money has already been released.

"...In other schemes the State had already released the amount"

The Bench informed Mr. Singhvi that, the amount to be paid ex-gratia is over and above the money paid through State made schemes.

"We have already said in our order that it would be over and above the scheme by the State Government."

Mr. Singhvi responded that, they have already created a portal, but was unable to find out when it was made operational.

The Bench asked -

"How many deaths are registered?"

Mr. Singhvi responded -

"About 8955. In the next 5 days we will disburse a substantial amount."

The Bench asked Mr. Singhvi to see to it that disbursal is made at the earliest for at least the registered deaths.

Mr. Singhvi assured the Court -

"We'll do that. I will myself see to it that the amount is disbursed."

Thereafter, the Bench went ahead to dictate the order with respect to the State of Rajasthan.

"So far the State of Rajasthan is concerned also we are not satisfied at all with the compliance report. No particulars whatsoever are stated in the status report. The State is not aware when the online portal is created for inviting the applications. It is reported that in the State of Rajasthan, 8955 deaths were registered on 26.11.2021 in the State. It is also stated that these numbers are where the confirmed RT PCR tests were positive for COVID 19. At least with respect to those people, the State ought to have paid compensation. Adv. Manish Singhvi...stated at the Bar that w.r.t. 8955 deaths reported, and where RT PCR was found to be positive for COVID-19, the ex-gratia payment of Rs.50,000 shall be paid to the family members….on or before the next death of hearing. For further compliance report, put on 10.12.2021."

Uttar Pradesh

The Bench asked Mr. Tanmaay Agarwal appearing for the State of U.P., "How many registered cases?"

Mr. Agarwal responded that, "As on 03.12.2021 it is 22911."

Next, the Bench enquired, "How many you have made the compensation?"

Mr. Agarwal submitted -

"As on 3.1.22021 claims received was 14636, but as on 5.12.2021 post the portal being online it has increased to 16518 and payment of compensation has happened in 9372 applications."

The Bench asked about the rest of the matters. To this, Mr. Agarwal informed the Court that, "The DM is getting in touch with the family of the deceased and facilitating the process."

Dissatisfied that Bench remarked -

"It is too late Mister. When 22911 are registered, then those particulars are with you.

Then the Court asked for the date when the portal was set up.

Hearing Mr. Agarwal submission that the portal was set up on 03.12.2021, an irked Bench commented -

"So, everyone woke up when the court had compelled them to do?"

Thus, the Bench dictated the order for the State of U.P. -

"So far as UP is concerned, it is reported that no. of deaths recorded is 22911 as on 03.12.2021. The online portal was opened on 03.12.2021 i.e. after this court had issued the notice in the present matter. As of today approx 16000 claims have been received physically or through a portal. It is reported that as of today 9372 claims are accepted and the payment is made. There is no reason for the State to wait w.r.t at least those deaths registered with the State. Nothing on record w.r.t any wide publicity given. The State must give wide publicity through local channels, print media and electronic media. So as to enable the State to pay the ex-gratia at least w.r.t. those cases registered with the State Govt. Put up on 13.12.2021."

Gujarat

Next the Bench asked, Ms. Manisha Lavkumar, appearing for the State of Gujarat

"From when the online portal?"

Ms. Lavkumar responded -

"Since 03.12.2021 it is operational. We have received 12000 applications. 7000 sanctioned and 6000 odd payments already made."

The Bench followed it up with -

" How many registered deaths?"

"10,022", responded Ms. Lavkumar.

The Bench further enquired -

"How many applications have you received?"

Ms. Lavkumar informed the Court, "More than 12600"

The Bench asked the Counsel to see to it that all these people are paid by this Friday. Thereafter, the Bench dictated the order for the State of Gujarat as under:

"Ms. Manisha Lovkumar Ld. Counsel for the State of Gujarat has reported that an exclusive online portal is created and in public domain from 03.12.2021. It is reported that 12718 applications are received, out of which 6515 claims are accepted and payment is made. She has stated at the Bar that with respect to the rest of the application received, the payment shall be made on or before the next date of hearing i.e. 10.12.2021.See to it, wide publicity be given."

The Bench added -

"For the rest of the States the status reports to be considered on the next date of hearing. Put up on 10.12.2021."

[Case Title: Gaurav Kumar Bansal v. UOI, M.A. 1805/2021 in W.P.(C) No. 539 of 2021]

Click Here To Read/Download Order