New India Assrance Co. Ltd. vs Ranabhai Jujabhai and 10

Honorable Mr. Justice K.S. Jhaveri

These appeals have been preferred against the common judgment and award dated 17.05.2001 passed by the Motor Accident Claims Tribunal [Aux.], Rajkot at Gondal in M.A.C.P. No. 186/1991, M.A.C.P. No. 212/1991, M.A.C.P. No. 236/1991, M.A.C.P. No. 271/1991 and in M.A.C.P. No. 289/1991 whereby, the claim petitions were partly allowed and respondents-original claimants, were awarded total compensation of Rs. 64,500/-, Rs. 38,600/-, Rs. 82,000/- and Rs. 22,300/- along with interest at the rate of 9% per annum from the date of application till its realization with proportionate costs. The above claim petition came to be filed in respect of the vehicular accident that took place on 29.04.1991. in which original claimants sustained severe bodily injuries while they were traveling in a goods vehicle insured with the appellant-Insurance Company.

The main contention raised on behalf of the appellant-Insurance Company is that the deceased and injured persons were traveling as a gratuitous passengers in a ''goods vehicle'' and therefore, no liability of making payment of compensation could be saddled upon the Insurance Company. In support of the above submission, reliance has been placed on the decision of the Apex Court in the case of New India Assurance Co. Ltd. Vs. Asha Rani and Others, .

Heard learned counsel for the appellants. It appears from the record that the vehicle in which the deceased and injured persons were traveling at the time of accident was a ''goods vehicle''. Under the provisions of the M.V. Act. the Insurance Company of a ''goods vehicle'' cannot be fastened with the liability of making payment of compensation, if any injury is caused or death takes place while traveling in such vehicle. Considering the facts of the case and the principle rendered in Asha Rani''s case (supra), the Insurance Company cannot be held liable to make payment of compensation. For the foregoing reasons, the appeals are allowed. The impugned common judgment and award passed by the Tribunal is quashed and set aside only qua the extent of imposition of liability upon the appellant-Insurance Company to make payment of compensation. It is, however, observed that if the amount deposited before the Tribunal is already withdrawn by the original claimants, the same shall not be recovered from the original claimants but, the appellant-Insurance Company shall be at liberty to recover the same from the owner of the offending vehicle. If the amount has not been withdrawn by the original claimants, the same shall be refunded to the Insurance Company and the claimants shall be at liberty to recover the balance amount from the owner of the offending vehicle. The appeals stand disposed of accordingly. No order as to costs.