National Insurance Co. Ltd vs Anita Singh And Others

Sudhanshu Dhulia, J

This appeal arises out of an award dated 24.03.2015 given by the motor accident claims Tribunal, Rudrapur, Udham Singh Nagar, whereby the claim petition of the claimants was partly allowed and an amount of Rs. 31,35,305/- (Rupees Thirty One Lakh Thirty Five Thousand Three Hundred and Five only) has been awarded in favour of the claimants towards compensation on account of death of Prem Singh in a motor accident.

Brief facts of the case are that on 03.08.2012, when Prem Singh (deceased) was going towards "Lalkurti" on his motor cycle bearing registration no. UP 34F-8070, a bus bearing registration no. UP 34C-7012 which was coming from the opposite direction and which was being driven by its driver rashly and negligently dashed the motor cycle of deceased Prem Singh. As a result of this, Prem Singh sustained grievous injuries. Prem Singh was then taken to hospital, from where he was referred to Medical College, Lucknow and ultimately on 04.08.2012 he passed away due to injuries sustained by him in the accident occurred on 03.08.2012.

A claim petition was preferred by the claimants before the learned Motor Accident Claims Tribunal for compensation stating that deceased Prem Singh 55 year of age. He was posted as Constable in 46th Battalion of PAC at Rudrapur and was getting a monthly salary of Rs. 33,043/- (Rupees Thirty Three Thousand Forty Three only). According to the claimants, the deceased was likely to be promoted to the post of Sub Inspector and after his promotion to the said post, he would have got monthly salary of Rs. 50,000/- (Rupees Fifty Thousand only). The deceased was also getting one month's additional salary and bonus. A compensation of Rs. 35,00,000/- (Rupees Thirty Five Lakh only) was claimed by the claimants.

It is an admitted case that though the accident took place in Sitapur (Uttar Pradesh), however, since the claimants resided at Rudrapur, under Section 166 of the Motor Vehicles Act, 1980 the District Udham Singh Nagar had jurisdiction to entertain the claim petition.

On the basis of the pleadings made by the rival parties, the learned motor accident claims tribunal framed the following issues:

"1. Whether on 3.8.2012 at 07:00 p.m. near 11th Battalion Quarter PAC, Sitapur, police station Sitapur, District Distruct, the accident occurred due to rash and negligent driving by the driver of bus No. UP 34C-7012, as a result of which Prem Singh sustained injuries and passed away? If yes, then its effect?

Whether on the date of accident the driver of the bus in question was not having any valid and effective driving licence and the insurance was not valid and effective? If yes, then its effect?

Whether the claimants are entitled for any amount of compensation? If yes, then to what extent and from which of the parties?"

As far as issue no. 1 is concerned, the learned motor accident claims tribunal came to the conclusion that the accident did take place due to rash and negligent driving by the driver of bus no. UP 34C-7012, as a result of which Prem Singh sustained grievous injuries and passed away.

So far as issue no. 2 is concerned, the learned motor accident claims tribunal in favour of the driverWhile deciding issue no. 2, the learned motor accident claims tribunal recorded the finding that the driver of the bus was having valid driving licence and the bus was validly registered with the insurance company.

While calculating the amount of compensation, the learned Tribunal recorded the finding that the deceased was posted as Head Constable in 46th Battalion of PAC, Rudrapur and was getting monthly salary of Rs. 34,186/- (Rupees Thirty Four Thousand One Hundred Eighty Six only) i.e. Rs. 4,10,232/- (Rupees Four Lakh Ten Thousand Two Hundred Thirty Two only) per annum. After deducting one-fifth of this amount, the annual income of the deceased was calculated as Rs. 3,28,186/-(Rupees Three Lakh Twenty Eight Thousand One Hundred Eighty Six only). The learned tribunal further deducted an amount of Rs. 4,819/- (Rupees Four Thousand Eight Hundred Nineteen only) towards the tax liable to be deducted from his income and thus calculated the annual income of the deceased as Rs. 3,23,367/- (Rupees Three Lakh Twenty Three Thousand Three Hundred Sixty Seven only) for the purposes of calculating the compensation.

The learned Tribunal keeping in view the age of the deceased as 56 year 2 month, applied the multiplier of 9 and thus calculated the amount of compensation as Rs. 29,10,303/- (Rupees Twenty Nine Lakh Ten Thousand Three Hundred Three only). Apart from this the learned Tribunal also awarded a sum of Rs. 25,000/- (Rupees Twenty Five Thousand only) towards funeral expenses, Rs. 1,00,000/- (Rupees One Lakh only) towards loss of consortium to claimant no. 1, Rs. 1,00,000/- (Rupees One Lakh only) towards loss of love and affection to the children. Thus a total compensation of Rs. 31,35,303/-(Rupees Thirty One Lakh Thirty Five Thousand Three Hundred Three only) was awarded by the Tribunal in favour of the claimants, along with seven per cent interest from the date of application till the date of actual payment, which shall be given by the insurance company. The learned Tribunal further directed that out of the total amount of compensation, a sum of Rs. 3,00,000/-(Rupees Three Lakh only) shall be given to claimant nos. 2 and 3 each, and an amount of Rs. 3,00,000/- (Rupees Three Lakh only) each shall be kept in a fixed deposit in favour of claimant nos. 4, 5, 6 & 7 till they attains majority. A sum of Rs. 3,00,000/- (Rupees Three Lakh only) was directed to be kept in a fixed deposit in favour of claimant no. 1 for a period of five years. The remaining amount was directed to be paid to claimant no. 1 for maintenance of her and her family.

Aggrieved by the award passed by the learned Motor Accident Claims Tribunal, the insurance company has filed the present appeal.

One of the principal arguments of the counsel for the appellant before this Court is that claimant no. 1, who is the widow of the deceased is getting pension from the Government and claimant no. 2, who is the daughter of the deceased has been given employment as constable on compassionate ground, but these facts have not been considered by the learned Tribunal.

This contention of the learned counsel for the appellant is not liable to be accepted. The learned tribunal has rightly came to the conclusion that the income received from the member of the family of the deceased who was given employment on compassionate ground cannot be deducted from the compensation award.

This Court finds no fault with the award passed by the learned tribunal. Consequently, appeal fails and is hereby dismissed.

Fifty per cent of the amount has already been deposited by the insurance company. This amount along with statutory amount be remitted to the tribunal concerned forthwith. The appellant shall deposit the remaining fifty per cent amount along with seven per cent interest calculating from the date of filing of the claim petition, within three weeks from the date of production of a certified copy of this order, which shall be given to the claimants forthwith on their moving an appropriate application and shall be distributed amongst the claimants as per the award passed by the learned Tribunal.