Supreme Court Addresses Pan-India Issue of Unclaimed Compensation

The Supreme Court has highlighted a national issue of unclaimed compensation lying with Motor Accident Claims Tribunals (MACTs) and labor courts. The court is investigating why claimants are not collecting awarded compensations, with particular focus on Gujarat, where Rs 2,000 crore remains unclaimed. Responses were sought from the Gujarat government and the High Court.

The Supreme Court has raised concern over the prevalence of unclaimed compensation held by Motor Accident Claims Tribunals (MACTs) and labor courts across India.

The bench, comprising Justices Abhay S Oka and Augustine George Masih, questioned why claimants fail to collect their awarded compensation.

Particularly troubled by Gujarat's Rs 2,000 crore unclaimed funds, the court called for responses from the Gujarat government and the High Court, emphasizing the need for directions to address this issue.

(With inputs from agencies.)