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Judgment
N.K. Patil, J.—These two appeals by the claimants and the Karnataka State Road Transport Corporation (Corporation for short) are directed against the judgment and award dated 23.2.2012 passed in MVC No. 393/2009 by the Principal Civil Judge (Sr. Dn.) and CJM, Tumkur. The Tribunal by its judgment and award has awarded a sum of Rs. 20,000/- under different heads with interest at 6% per annum from the date of petition till the date of deposit, as against the claim of the claimants for a sum of Rs. 1,10,00,000/-, on account of the death of their daughter Smt. Asha Hugar, in the road traffic accident.
The claimants have filed MFA No. 3974/2012 contending that the quantum of compensation is inadequate and requires enhancement, whereas the Corporation has filed MFA No. 10309/2012 challenging the liability and also for fixing reasonable contributory negligence on the part of the driver of the Volvo bus.
In brief, the facts of the case are that the claimants are none other than the parents of the deceased Smt. Asha Hugar and they filed a claim petition before the Tribunal u/s 166 of M.V. Act, claiming compensation of Rs. 1,10,00,000/- on account of untimely death of the deceased in the road traffic accident, contending that, the deceased was aged 23 years and hale and healthy at the time of the accident. She was working as Software Engineer at HCL Technologies Ltd., Chennai drawing salary of Rs. 2,50,000/- per annum and she had bright academic career. She was looking after the welfare of the family and due to untimely death of the deceased, the family has suffered socially and economically. She lost bright future due to fatal injuries sustained the road traffic accident. The said claim petition had come up for consideration before the Tribunal. The Tribunal after appreciating the oral and documentary evidence and the other material available on file, has allowed the claim petition in part and awarded the compensation of Rs. 20,000/- with interest at 6% p.a., from the date of petition till the date of deposit. It is the case of the claimants that the Tribunal without conducting the case as envisaged under the provisions of the Act and without following the ratio of law laid down in catena of decisions by the Apex Court and this Court has disposed of the claim petition in a casual manner. Not being satisfied with the compensation awarded by the Tribunal, the claimants have filed MFA No. 3974/2012 for enhancement of compensation and the Corporation has filed MFA No. 10309/2012 challenging the liability and also for fixing reasonable contributory negligence on the part of the driver of the Volvo bus.
Learned counsel appearing for the claimants, at the outset submitted that, the Tribunal has committed grave error in conducting the proceedings. There is no application of mind on the part of the Tribunal while passing the impugned judgment and award. Without taking the relevant factors into consideration and the documents produced by the claimants that the deceased was aged about 23 years and was working as Software Engineer at HCL Technologies Ltd., Chennai drawing salary of Rs. 20,833/- per month, the Tribunal has passed the impugned judgment and award. He submits that the Tribunal ought to have taken the basic pay of Rs. 6,050/- and Dearness Allowance at Rs. 6,699/- and arrived at Rs. 12,749/- as net income of the deceased. Further, relying on the judgment reported in Santosh Devi Vs. National Insurance Company Ltd. and Others, , as held in paragraph 18, he submitted that, while calculating the income of the deceased, the future prospects at 30% ought to have been added to the income as the deceased was working in a private company. He further submitted that regarding contributory negligence, fastening 100% liability on the Corporation has been confirmed by this Court in MFA No. 9512/2011 c/w. MFA Nos. 9513/2011 to 9517/2011 disposed of on 29.11.2013 arising out of the same accident. Therefore, the Tribunal is justified in fastening 100% negligence on the part of the driver of the bus belonging to the Corporation. Therefore, interference is not called for. He submitted that reasonable compensation may be awarded by modifying the impugned judgment and award passed by the Tribunal.
Per contra, the learned counsel appearing for the respondent-Corporation inter alia contended and substantiated that, the Tribunal ought to have fastened contributory negligence on the part of driver of the Volvo bus and the driver of the bus belonging to the Corporation where the deceased was the inmate of the bus belonging to the Corporation. Therefore, he submitted that the appropriate order may be passed in accordance with law. He fairly submitted that in the light of the judgment reported in A. Manavalagan Vs. A. Krishnamurthy and Others, , 25% as the savings of the deceased may be taken towards loss of estate in the instant case.
Learned Counsel for the insurance company contends that in view of the judgment of this Court in M.F.A. No. 9512/2011 c/w. MFA Nos. 9513/2011 to 9517/2011 disposed of on 29.11.2013 wherein this Court has fixed 100% negligence on the part of the driver of the bus belonging to the Corporation, interference by this Court is not called for.
After considering the submissions made by the learned counsel appearing for all the parties and on perusal of the material available on record, including the impugned judgment and award passed by the Tribunal, the only point that arises for consideration is:
Whether the quantum of compensation awarded by the Tribunal is just and reasonable?
It is not in dispute that the deceased Smt. Asha Hulgar died in the road traffic accident and that the claimants are none other than the parents of the deceased. It is also not in dispute that the deceased was aged about 23 years at the time of accident, hale and healthy and was working as Software Engineer at HCL Technologies Ltd., Chennai, drawing Rs. 20,833/- per month. Out of the said income, we can take-Rs. 6,050/- towards basic pay and Rs. 6,699/- towards D.A. and the total income per month comes to Rs. 12,749/-. As rightly pointed out by the learned Counsel for the claimants, if 30% of the income towards future prospects is added in view of the decision in Santosh Devi''s Case (supra), net income comes to Rs. 16,573/- per month and the annual income comes to Rs. 1,98,876/-. Out of the income of Rs. 1,98,876/- p.a., if 10% approximately (i.e., 8,800/-) should be deducted towards income tax on 88,000/- after statutory exemption of Rs. 1,10,000/-, the income comes to Rs. 1,90,076/-. Out of this, if Rs. 2,400/- is deducted towards Professional tax, the net income comes to Rs. 1,87,676/-. The mother of the deceased was aged 48 years at the time of the accident. In the light of the decision in Sarla Verma''s case, the appropriate multiplier applicable is 13. Thus, the loss of estate comes to Rs. 6,09,947/- (Rs. 46919/- x ''13''). We award Rs. 50,000/- towards conventional heads towards loss of love and affection and transport and funeral expenses. The total compensation comes to Rs. 6,59,947/- as against Rs. 20,000/- awarded by the Tribunal.
Having regard to the facts and circumstances of the case as stated above, the appeal filed by claimants in MFA. No. 3974/2012 is allowed in part. The appeal filed by the Corporation in MFA No. 10309/2012 is dismissed. The impugned judgment and award dated 23.2.2012 passed in MVC No. 393/2009 by the Principal Civil Judge (Sr. Dn.) and CJM, Tumkur, is hereby modified. The total compensation payable comes to Rs. 6,59,947/- as against Rs. 20,000/- awarded by the Tribunal Enhanced compensation comes to Rs. 6,39,947/-.
The Corporation is directed to deposit the enhanced compensation of Rs. 6,39,947/- with interest at 6% p.a., from the date of petition till the date of realization, within three weeks from the date of receipt of a copy of this judgment.
Out of the enhanced compensation, Rs. 4,00,000/- with proportionate interest shall be invested in the Fixed Deposit in any Nationalized or Scheduled Bank, in the name of the 2nd claimant for a period of ten years and renewable for another five years, with liberty to her to withdraw the periodical interest accrued on it.
Rs. 1,00,000/- with proportionate interest shall be invested in the Fixed Deposit in any Nationalized or Scheduled Bank, in the name of the 1st claimant for a period of ten years and renewable for another five years, with liberty to him to withdraw the periodical interest accrued on it.
The remaining Rs. 1,39,947/- with proportionate interest shall be released in favour of both the claimants in equal proportion, immediately, on deposit by the Corporation.
The amount deposited by the Corporation shall be transferred to the jurisdictional tribunal, forthwith.
Draw the award, accordingly.
Sri. Janardhan Reddy is permitted to file vakalath on behalf of R-4 in MFA No. 10309/2012 within 4 weeks from today.