Lalita Sharma Wife vs India Assurance Company Limited

This appeal has been filed by the claimants for enhancement of compensation against the judgment and award dated 30.11.2010 passed by the Special Court of Communal Riots cum Motor Accident Claims Tribunal, Jaipur (for short 'the Tribunal'), whereby, the tribunal awarded a sum of Rs.7,09,600/ as compensation along with interest @ 6% per annum.

Learned counsel for the appellant has submitted that the tribunal committed an error in awarding lesser compensation.

On the other hand, learned counsel for the respondents has opposed the appeal and supported the impugned judgment and award. It is submitted by the learned counsel for respondents that the compensation awarded by the tribunal is already on higher side.

The tribunal erred in assessing the income of the deceased as Rs.5,100/- per month without any evidence.

The tribunal also erred in applying the multiplier of 17 whereas the deceased was aged about 35 years at the time of accident, therefore, the multiplier of 16 should have been applied.

I have considered the rival submissions made by the learned counsel for the parties and have perused the material available on record.

The claim-petition was filed by the appellants praying for compensation on account of death of Mahesh Chand Alias SERE Mahesh Kumar Sharma in a motor vehicle accident which occurred on 30.09.2004. The tribunal assessed the income of the deceased as Rs.5,100/- per month without any basis. Even, at the relevant time, prevalent rate of minimum wages fixed by the State was Rs.1,898/- per month i.e. Rs.22,776/- per annum only.

Therefore, annual income of the deceased is liable to be assessed as Rs.22,776/-. As the deceased was aged about 35 years, therefore, in view of the judgment of the Hon'ble Apex Court in National Insurance Company Limited Vs. Pranay Sethi & Ors., reported in AIR 2017 SC 5157, an addition of 40% is liable to be added towards future prospect of the deceased, which comes to Rs.9,110/-. Thus, the income of the deceased comes to Rs.31,886/- (22,776+9,110). Keeping in view the number of dependents, one fourth of the said income is liable to be deducted towards personal expenses of the deceased. As the deceased was aged about 35 years at the time of accident, therefore, multiplier of 16 would be applied to work out the dependency of the claimants. In this way, the amount of compensation comes to Rs.3,82,632/- (31,886x3/4 x16]. The claimants would be further entitled to receive a sum of Rs.70,000/- towards conventional heads. Thus, the total amount of compensation receivable by the claimants comes to Rs.3,82,632+70,000=4,52,632/--

The tribunal has already awarded a sum of Rs.7,09,600/-, which is just and reasonable, therefore, no ground is made out to enhance the amount of compensation.

Consequently, the appeal fails and is accordingly DO dismissed.