Puran vs Mohammad Farid

This appeal arises out of the award dated 12.03.2015 passed by Motor Accident Claims Tribunal, District - Kabirdham (C.G.), in Claim Case No. 116/2014 awarding a compensation of Rs.1,47,500/- with interest @ 8% per annum, in favour of the appellants/claimants for their irreparable loss.

The averment in the claim petition, in brief, is that on 24.04.2013, Santosh (now deceased) was going to Kawardha from his village and when he reached to Chandaini Nawagaon, at that time, driver/respondent No. 1 driving the offending vehicle registration No. CG-05-ZA-2093 in rash and negligent manner caused an accident, due to which Santosh suffered grivious injuries and died on the spot. A report was lodged, based on which offence was registered. It is stated that on the date of the accident, the age of the deceased was 20 years. Due to the casual death of the son of the appellants/claimants, there is an irreparable loss to the appellants. Therefore, the appellants (parents and sister of the deceased) preferred an application to claim a total compensation of Rs. 26,50,000/-.

When the claim application for compensation was filed by parents & sister of deceased Santosh before the claims tribunal against the driver & owner of the alleged vehicle, the tribunal has taken notional income of the deceased as Rs 15,000/- per annum in absence of any documentary proof of income. The deceased was aged about 20 years and the claimants are the parents and sister of the deceased so after deduction ½ towards personal expenses i.e. Rs. 7,500/- the annual income of the deceased was taken as Rs.7,500/- and considering the age of the deceased, after applying multiplier of 18, the total loss of dependency calculated to Rs. 1,35,000/- and on other heads Rs. 12,500/- has been calculated and awarded total compensation of Rs. 1,47,500/- (1,35,000 + 12,500 = 1,47,500) with interest @ 8% per annum, in favour of the appellants/claimants. Hence, this appeal for enhancement.

Learned counsel for the appellants/claimants submits that the compensation awarded by the Tribunal is on the lower side and needs to be enhanced suitably. He further submits that the learned Claims Tribunal has only assessed the notional income of the deceased as Rs. 15,000/- per annum and total compensation of Rs. 1,47,500/- has been awarded including the amount of other conventional heads of Rs. 12,500/-. The learned counsel urged that the tribunal erred in not considering future prospects while computing compensation as it failed to appreciate that the deceased could have earned much more in the near future if he had not met with the accident as he was only aged about 20 years and could have lived for another 40-45 years. The learned counsel further submits that the tribunal has awarded lesser compensation on other heads, therefore, this appeal may be allowed and needs to be enhanced suitably.

None appeared on behalf of the respondent No. 1.

On the other hand, it has argued on behalf of the counsel for respondent No. 2 that in the facts and circumstances of case, the compensation awarded by the Claims Tribunal is just and proper and requires no further enhancement.

Heard counsel for the parties and perused the documents on record.

In a motor accident claim case, what is important is that, the compensation to be awarded by the Courts/Tribunals should be just and proper compensation in the facts and circumstances of the case. It should neither be a meager amount of compensation, nor a Bonanza.

Now this Court shall examine as to whether the compensation of Rs.1,47,500/- awarded by the Tribunal is just and proper compensation in the given facts and circumstances of the case.

As regards the income of the deceased, the deceased was aged about 20 years at the time of the accident and in support of the income of the deceased no documentary evidence has been produced, therefore, in the absence of any reliable evidence regarding the income of the deceased, keeping in mind the date of the accident, wage structure prevailing on the date of the accident, price index and cost of living etc. especially notification by Labour Department for minimum wages. Upon considering the aforementioned factors, I find it appropriate to take income of deceased as Rs. 4,943/- per month as minimum wages, at the relevant time of accident i.e. 24.04.2013. The annual income comes to Rs. 59,316/- per annum. As per National Insurance Company Ltd., Vs. Pranay Sethi and Others, (2017) 16 SCC 680 after adding 40% towards future prospects i.e. Rs. 23,726/-, the annual income comes to Rs. 83,042/-.

The deceased was aged about 20 years and was unmarried and the claimants are the parents and sister of the deceased so deduction towards personal expenses would be ½ which is Rs. 41,521/-. In view of judgment of the Hon’ble Supreme Court in Sarla Verma (Smt.) and others vs. Delhi Transport Corporation and another reported in (2009) 6 SCC 121 and National Insurance Company Ltd., Vs. Pranay Sethi and Others, (2017) 16 SCC 680 considering the age of the deceased, after applying multiplier of 18, the total loss of dependency works out to Rs. 7,47,378/-. The claimants are further entitled for loss of estate Rs. 15,000/-, for funeral expenses Rs. 15,000/- and as per 'Magma General Insurance Co. Ltd. Vs. Nanu, reported in AIR Online 2018 SC 189, the claimants are further entitled for loss of love and affection Rs. 40,000/- each i.e. Rs. 1,20,000/-. Therefore, the claimants would become entitled for total compensation of Rs. 8,97,378/-. Thus, the claimants would become entitled for compensation in the following manner:-

S.No.

Heads

Calculation

01

Towards loss of dependency

Rs. 7,47,378/-

02

Towards loss of estate

Rs. 15,000/-

03

Towards love and affection to all the three claimants @ Rs. 40,000/-

Rs. 1,20,000/-

04

Funeral Expenses

Rs. 15,000/-

Total

Rs. 8,97,378/-

Thus, the total compensation is recomputed as Rs. 8,97,378/-. After deducting Rs. 1,47,500/- as awarded by the tribunal, the enhancement would be Rs. 7,49,878/-.

In the result, the appeal is partly allowed. The claimants shall be entitled to Rs. 7,49,878/- in addition to what is already awarded by the claims Tribunal. The enhanced amount will carry interest @ 6% from the date of enhancement of the award till its realization. The impugned award stands modified to the above extent and rest of the conditions shall remain intact.

The Registry is further directed to communicate the claimants in writing “the enhanced amount” in this appeal as against the award made by the Tribunal below. The said communication be made in Hindi Deonagri language and the help of paralegal workers may be availed with a co-ordination of Secretary, Legal Aid of the concerned area wherein the claimants resides.