New India Assurance Company Limited vs Jai Ram & Others

Sudhanshu Dhulia, J

This appeal from order arises out of an award passed by the Motor Accident Claims Tribunal, Uttarkashi dated 27.04.2015 passed in MACP No. 05 of 2014, whereby a compensation of Rs.7,28,920/- (Rupees Seven Lakh Twenty Eight Thousand Nine Hundred Twenty only) has been awarded to the claimants.

Brief facts of the case are that on 02.09.2013 Brijmohan (deceased) was going to his house at "Sukki" on a Max Jeep bearing registration no. UA-09-5265 as a passenger. On the fateful day i.e. on 02.09.2013, the vehicle fell into the valley due to rash and negligent driving of the driver. As a result of this accident, Brijmohan sustained grievous injuries and died on the spot.

On account of the death of Brijmohan in the motor accident, a claim petition was filed by the legal heirs of the deceased stating that the deceased was aged about 28 years at the time of his death. He was working as a driver and was earning a sum of Rs. 8,000/- (Rupees Eight Thousand only) per month. It was further stated in the claim petition that due to sudden death of the deceased, the claimants have suffered mental, physical and monetary loss. In the claim petition, a compensation of Rs. 28,46,000/- (Rupees Twenty Eight Lakh Forty Six Thousand only) was claimed by the claimants.

Written statements were filed by the owner of the vehicle, driver of the vehicle as well as by the Insurance Company.

On the basis of the pleadings of the rival parties, the Motor Accident Claims Tribunal framed the following issues:-

"1. Whether on 02.09.2013 at about 7:30 P.M. when Brijmohan was going to "Sukki" in Vehicle No. UA-09-5265 as a passenger and the vehicle met with an accident and fell down from the road due to rash and negligent driving by its driver and as a result of this accident Brijmohan died on the spot?

Whether at the time of accident the vehicle in question was insured with respondent no. 3 The New India Insurance Company Limited and at the time of accident the driver was having valid and effective driving licence and the owner of the vehicle was having valid and effective documents of the vehicle?

Whether on account of death of Brijmohan, the claimants are entitled for any compensation, if yes, to what extent and from which of the respondents?"

While deciding issue no. 1, the learned Tribunal recorded a categorical finding that the accident occurred due to rash and negligent driving of the driver, as a result of which, Brijmohan died on the spot. This was clearly based on the evidence placed before the Tribunal in the form of PW-2 Ratan Bahudur who is the husband of one Smt. Radha Devi, who also died in the said accident, and is an eyewitness of the incident, as he was also travelling along with the deceased in the said vehicle.

So far as issue no. 2 is concerned, the learned Tribunal came to the conclusion that at the time of the accident, except the driving licence, all the documents with regard to the vehicle in question were valid and effective and the vehicle was duly insured with the insurance company.

While deciding as to the amount of compensation, the learned Tribunal recorded a finding that the claimants have not been able to prove the income of the deceased. Consequently, the learned Tribunal relying upon the Notification issued by the Rural Development Department, Government of India, by which the daily wage of a labourer has been fixed to Rs. 156/- per day, determined the monthly income of the deceased as Rs. 4,680/- (Rupees Four Thousand Six Hundred Eighty only) i.e. Rs. 56,160/- (Rupees Fifty Six Thousand One Hundred Sixty only) per annum. Out of this amount, the learned Tribunal deducted one-third of the amount towards personal expenses and fixed the annual dependency income of the deceased as Rs. 37,440/- (Rupees Thirty Seven Thousand Four Hundred Forty only). Thereafter considering the age of the deceased between 25 to 30 years, a multiplier of 18 was applied and an amount of Rs. 6,73,920/-(Rupees Six Lakh Seventy Three Thousand Nine Hundred Twenty only) was calculated.

Apart from this, the learned Tribunal also awarded an amount of Rs. 5,000/- (Rupees Five Thousand only) towards funeral expenses and Rs. 50,000/- (Rupees Fifty Thousand only) towards loss of care, love and affection to the minor children i.e. claimant nos. 4 to 7. Thus a total compensation of Rs. 7,28,920/- (Rupees Seven Lakh Twenty Eight Thousand Nine Hundred Twenty only) was awarded by the Tribunal.

Though the learned Tribunal has categorically recorded that the driver of the vehicle was not having a valid and effective driving licence, but the insurance company was directed to pay the compensation to the claimants and at the same time liberty was given to the insurance company to recover the amount of compensation from the owner of the vehicle. Aggrieved, the insurance company has filed the present appeal from order challenging the part of the award passed by the Tribunal, by which the insurance company has been directed to pay the amount of compensation to the claimants and then liberty was given to the insurance company to recover the amount of compensation from the owner of the vehicle.

Regarding the same incident, there is another casualty/death where the deceased Smt. Radha Devi also died in the said accident and the Motor Accident Claims Tribunal awarded a compensation of Rs.5,41,720/- (Rupees Five Lakh Forty One Thousand Seven Hundred Twenty only), with the similar directions to the insurance company to pay the amount of compensation first and thereafter liberty was given to the insurance company to recover the amount from the owner. The said award was challenged by the insurance company before this Court by means of A.O. No. 338 of 2015, which has been dismissed by this Court vide order dated 23.08.2019.

In the present case as well, this Court finds no illegality in the award passed by the learned Tribunal whereby the insurance company has been directed to pay the amount of compensation to the claimants and then the liberty has been given to the insurance company to recover the amount from the owner of the vehicle.

Consequently, no interference is called for by this Court. The appeal from order is liable to be dismissed and is hereby dismissed.

Let the entire amount along with the interest as directed by the Tribunal be deposited by the insurance company with the concerned Tribunal after adjusting the amount already deposited. After the entire amount is deposited by the insurance company, let the same be released in favour of the claimants within three weeks from the date of production of a certified copy of this order. The statutory amount of Rs. 25,000/- (Rupees Twenty Five Thousand only) be also remitted to the concerned Tribunal.

Let a copy of this judgment along with the lower court record be sent to the concerned Tribunal for onward compliance.