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Report No. 62

3A.15. Recommendation.-

The procedure for commutation of compensation is laid down1 in the Rules. We think that it should find a place in the Act. Hence we recommend that the following sub-section should be added2 in section 7:

"(2) Where an application is made to the Commissioner under sub-section (1) for the redemption of a right to receive half-monthly payments by the payment of a lump sum, the Commissioner-

(a) shall form an approximate estimate of the probable duration of the disablement, and

(b) shall order payment of a sum equivalent to the total of the half-monthly payments which would be payable for the period during which he estimates that the disablement will continue, less one-half per cent. of that total for each month comprised in that period:

Provided that fractions of a rupee included in the sum so computed shall be disregarded.

(3) When, in any case to which sub-section (2) applies, the Commissioner is unable to form an approximate estimate of the probable duration of the disablement, he may, from time to time, postpone a decision on the application for a period not exceeding two months at any one time."

1. Rule 5 of the rules under the Act.

2. Present section 7 to be re-numbered as sub-section (1).







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