Ajay Kumar and Others vs Chhokhe Lal and Others

Rajeev Gupta, C.J.

This is claimants'' appeal for enhancement of the compensation awarded by the Additional Motor Accident Claims Tribunal Dhamtari (for short ''the Tribunal'') vide award dated 21.08.2002, passed in Claim Case No. 31/2002.

As against the compensation of 12,50,000/- claimed by the appellants and respondents No. 4 and 5/claimants, unfortunate widow, minor children and parents of deceased Chhabi Lal Sahu, by filing a claim petition u/s 166 of the Motor Vehicles Act, for his death in the motor accident on 28.01.2001, the Tribunal awarded a total sum of Rs. 1,66,000/- as compensation along with interest 7.5% per annum from the date of filing of the claim petition till the date of actual payment.

The Tribunal on a close scrutiny of the entire evidence led before it held that deceased Chhabi Lal Sahu died on account of the injuries sustained by him in the motor accident on 28.01.2001; the accident occurred due to rash and negligent driving of the driver of the offending vehicle Jeep bearing registration No. MBY-220; as the above offending vehicle Jeep on the date of the accident was insured with the Oriental Insurance Company Limited, the Insurance Company was liable to pay compensation of the claimants.

As the respondents have not filed any appeal against the award, the above findings recorded the Tribunal have now attained finality.

The Tribunal assessed the income of the deceased at Rs. 1,800/- per month. By deducting Rs. 500/- towards the personal expenses of the deceased, the claimants'' dependency was assessed at Rs 1,300/- per month and Rs. 15,600/- per annum. By multiplying the annual dependency of Rs. 15,600/ - with the multiplier of 10, the compensation was worked out to Rs. 1,56,000/ -. By awarding further sum of Rs. 10,000/- under other heads, the Tribunal awarded a total sum of Rs. 1,66,000/- as compensation to the claimants for the death of deceased Chhabi Lal Sahu in the motor accident. The Tribunal further directed payment of interest on the above amount of compensation of Rs. 1,66,000/- @ 7.5% per annum from the date of filing of the claim petition till the date of actual payment.

Shri Sanjeev Banjare, learned counsel for the appellants submitted that the Tribunal has erred in selecting the lower multiplier of 10; and in awarding low compensation of Rs. 1,66,000/- only.

Shri Raj Awasthi, learned counsel for respondent No. 3 the Oriental Insurance Company Limited, on the other hand supported the award and contended that the compensation of Rs. 1,66,000/- awarded by the Tribunal is just and proper compensation in the facts and circumstances of the present case.

Shri R.N. Jha, learned counsel for respondent No. 2 Chhokhe Lal, owner of the offending vehicle Jeep also supported the award.

In a motor accident claim case what is important is that the compensation to be awarded by the Courts / Tribunals should be just and proper compensation in the facts and circumstances of the case. It should neither be a meager amount of compensation, nor a bonanza.

Now, we shall examine as to whether the compensation of Rs. 1,66,000/ -awarded by the Tribunal is just and proper compensation in the facts and circumstances of the present case.

As the claimants themselves pleaded that deceased Chhabi Lal Sahu used to earn Rs. 1,800/- per month by working as Home Guard and the Tribunal assessed the income of the deceased at Rs. 1,800/- per month, the claimants cannot have any legitimate grievance about the assessment of the income of the deceased by the Tribunal.

The Tribunal has been quite liberal in deducting less than 1/3rd of the income of the deceased towards his personal expenses.

The multiplier of 10 selected by the Tribunal is certainly on the lower side and requires reconsideration. Considering that deceased Chhabi Lal Sahu was aged about 30 years as shown in his postmortem report, we are of the opinion that multiplier of 16 would be appropriate in the present case.

By multiplying the annual dependency of Rs. 15,600/- with the multiplier of 16, the compensation works out to Rs. 2,49,600/-. The claimants are further entitled to receive Rs. 5,000/- towards funeral expenses; Rs. 5,000/ - for loss of consortium to the widow and Rs. 5,000/- for loss of estate. The claimants, thus, become entitled to receive a total sum of Rs. 2,64,600/- as compensation for the death of deceased Chhabi Lal Sahu in the motor accident.

Learned counsel for the parties submitted that with a view to avoid any possible dispute between the parties about the period for which the claimants are entitled to receive interest on the enhanced amount of compensation, the amount of interest on the enhanced amount of compensation may be quantified in this appeal itself.

Considering all the relevant aspects of the matter including the delay in disposal of the claim petition and the present appeal, and the fact that the Insurance Company alone is not to be blamed for the entire delay in the matter, we quantify the amount of interest on the enhanced amount of compensation of Rs. 98,6007- at Rs. 6,400/-.

For the foregoing reasons, the appeal filed by the appellants claimants for enhancement of the compensation is allowed in part. The compensation of Rs. 1,66,000/- awarded by the Tribunal is enhanced to Rs. 2,64,600/- with further quantified amount of interest of Rs. 6,400/- on the enhanced amount of compensation of Rs. 98,600/-.

Respondent No. 3 the Oriental Insurance Company Limited is granted three months'' time for depositing the total sum of Rs. 1,05,000/- (Rs. 98,600/ - towards enhanced amount of compensation + Rs. 6,400/- towards quantified amount of interest on the enhanced amount of compensation of Rs. 98,600/-) before the concerning Claims Tribunal.

The entire above amount of Rs. 1,05,000/- shall be payable to the appellants, unfortunate widow and children of deceased Chhabi Lal Sahu. Respondents No. 4 Dukhuram and No. 5 Basanta Bai, parents of the deceased shall not be entitled to get any share from this amount.

No order as to costs.