High CourtsSingle Bench(2010) 12 GUJ CK 0160

New India Assurance Co. Ltd. vs Shantaben Kantibhai Jodhani and Others

Gujarat High Court · Decided on 2 December 2010

HON’BLE JUDGES
K. S. Jhaveri, J
CASE NUMBER
First Appeal No. 3918 of 2008

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Judgment

11 paragraphs · 561 words

K.S. Jhaveri, J.

1 This appeal has been filed challenging the judgment and award passed u/s 140 of the Motor Vehicles Act, 1988 by the Motor Accident Claims Tribunal (Aux.), Amreli in application Exhibit-6 filed in M.A.C.P. No. 207/2001 dated 19.02.2008, whereby, the said application was allowed and an amount of Rs. 50,000/-was awarded as compensation to the original claimants along with interest @ 7.5% p.a. from the date of application till its realization.

2 The facts in brief are that on 03.05.2000 Dr. Kantibhai Madhubhai Jodhani died in a vehicular accident involving Respondent No. 3 herein. Therefore, the legal heirs of the deceased filed M.A.C.P. No. 207/2001 before the Tribunal claiming compensation of Rs. 5,00,000/-. Along with the claim petition, the legal heirs had also filed an application Exhibit-6 u/s 140 of the Act claiming interim compensation of Rs. 50,000/-. The said application came to be allowed by impugned award dated 19.02.2008. Hence, this appeal.

3 The main contention raised by the Appellant-Insurance Company is that the day on which the impugned award u/s 140 of the said Act came to be passed, the original claimants had withdrew the claim petition filed u/s 163A, which was earlier converted from a claim petition filed u/s 160. It has also been contented that the criminal complaint filed in connection with the accident in question came to filed only after a period of 17 days and no reasons have been stated in the complaint for the said delay. It is, therefore, contented that the claim petition has been filed fraudulently.

4.

Heard learned Counsel for the respective parties and perused the documents on record. This appeal has been filed against an award passed u/s 140 of the Act. Considering the facts and circumstances of the case and keeping in mind the interest of the original claimants, the following directions are issued;

(i) Out of the total amount deposited by the Appellant-Insurance Company, the original claimants shall be permitted to withdraw 30% (thirty) of the said amount, by way of Account Payee cheque, after proper verification, as directed by the Tribunal. The balance 70% (seventy) of the amount shall be invested in F.D.R. with a nationalized Bank, initially, for a period of one year and the same shall be renewed from time to time until the final disposal of the main claim petition pending before the Tribunal concerned.

(ii) The quarterly interest accruing on such deposit shall be paid to the original claimants on regular basis.

(iii) If, ultimately, the claim petition is allowed and the Appellant-Insurance Company is held liable, then necessary compensation shall be paid out of the aforesaid amount; lest the amount of deposit with interest shall be returned to the Appellant-Insurance Company. Further, if the claim petition is withdrawn, then also the amount of deposit with interest be returned to the Appellant-Insurance Company.

(iv) The Tribunal concerned is directed to dispose of the claim petition within a period of three years from today.

It is made clear that this Court has not entered into the merits of the case and therefore, the Tribunal concerned shall decide the main claim petition on merits and being uninfluenced by this order. The application filed u/s 166 of the Act has already been disposed of.

5.

With the above observation and direction, the appeal is partly allowed and is disposed of accordingly. No costs.