Amar Kaur and Others vs Tek Chand and Others

J.R. Midha, J.—The appellants have challenged the award of the learned Tribunal whereby compensation of Rs. 2,30,000/- has been awarded to the appellants. The appellants seek enhancement of the award amount.

The accident dated 22nd June, 1988 resulted in the death of Shiv Narain. The deceased was survived by his widow, two sons, two daughters and parents who filed the claim petition before the learned Tribunal.

The deceased was aged 42 years at the time of the accident and was working as Head Clerk with Delhi Administration earning Rs. 1,916/- per month. The learned Tribunal deducted Rs. 716/- towards the personal expenses of the deceased and applied the multiplier of 16 to compute the loss of dependency at Rs. 2,30,400/-, rounded of as Rs. 2,30,000/-.

The learned Senior Counsel for the appellant urged the following grounds at the time of hearing of this appeal.

(i) The future prospects of the deceased be taken into consideration.

(ii) The personal expenses of the deceased be reduced from 1/3rd to 1/5th.

(iii) The compensation under the heads of loss of consortium, loss of love and affection, loss of estate and funeral expenses be awarded.

The law with respect to the death of a person in a road accident is well settled by the recent judgment of the Hon''ble Supreme Court in the case of Smt. Sarla Verma and Others Vs. Delhi Transport Corporation and Another, where it has been held that the future prospects of the deceased between the age of 40 to 50 years has to be taken into consideration by adding 30% of his salary and the personal expenses of the deceased who left behind more than six legal representatives is 1/5th. The Hon''ble Supreme Court has further held that appropriate multiplier at the age of 42 is 14 and, therefore, the multiplier applied by the learned Tribunal is liable to be reduced from 16 to 14.

Following the aforesaid judgment of the Hon''ble Supreme Court, 30% of the salary of the deceased is added towards the future prospects, the personal expenses are reduced from Rs. 716/- per month to 1/5th and the multiplier is reduced from 16 to 14. The loss of dependency is computed to be Rs. 3,34,763.52 [(Rs. 1,916 + 30%) x 4/5 x 12 x 14] Rs. 10,000/- is awarded towards the loss of consortium, Rs. 10,000/- towards the loss of love and affection, Rs. 5,000/- towards the loss of estate and Rs. 5,000/- towards the funeral expenses. The total compensation is computed to be Rs. 3,64,763.52 (Rs. 3,34,763.52 + Rs. 10,000 + Rs. 10,000 + Rs. 5,000 + Rs. 5,000).

The appeal is allowed and the award amount is enhanced from Rs. 2,30,000/- to Rs. 3,64,763.52. The learned Tribunal has awarded interest @ 12% per annum which is not disturbed on the original award amount of Rs. 2,30,000/-. However, on the enhanced award amount, the rate of interest shall be @ 7.5% per annum from the date of filing of the petition till realization.

Respondent No. 3 is directed to deposit the enhanced award amount along with interest with the UCO Bank, Delhi High Court Branch within 30 days.

The deposit be made by means of a cheque drawn in the name of UCO Bank A/c Om Prakash.

The order with respect to disbursement of the award amount shall be passed on the next date of hearing after examining the appellants who are directed to remain present in Court on the next date of hearing.

List the appeal for directions on 14th December, 2009.