Puran Dai vs Bir Singh and Others

Rekha Mittal, J.

Puran Dai, an unfortunate mother of deceased Jitender is in appeal seeking enhancement of compensation awarded by the Motor Accident Claims Tribunal, Faridabad (for brevity, ''the Tribunal'') on 23.11.2010. The learned Tribunal assessed income of the deceased at Rs. 6,473.00 per month, allowed deduction to the extent of 50% for personal and living expenses, adopted multiplier of 14 and assessed loss of dependency to the tune of Rs. 5,43,732.00. Another amount of Rs. 10,000.00 for expenses on transportation of dead body and cremation and Rs. 5,000.00 for loss of love and affection has been awarded making total compensation of Rs. 5,58,732.00.

Counsel for the appellant contends that the multiplier adopted by the Tribunal is on lower side and is not in consonance with ratio laid down in Smt. Sarla Verma and Others Vs. Delhi Transport Corporation and Another, . The Tribunal has not awarded compensation for increase in income towards future prospects in the light of judgment of the Apex Court in Rajesh and Others Vs. Rajbir Singh and Others, . The compensation awarded under conventional heads also requires reconsideration and enhancement.

Counsel for the contesting respondent would submit that the matter with regard to increase in income for future prospects to a private employee or person involved in self occupation is under consideration of Hon''ble the Apex Court in view of reference made to a larger Bench in the case of National Insurance Company Limited v. Pushpa and others, (SLP (Civil) CC No. 8058 of 2014), therefore, contention of the appellant for grant of benefit for future prospects is not sustainable.

I have heard counsel for the parties and perused the records.

The learned Tribunal has allowed multiplier of 14 despite noticing the judgment passed by the Apex Court in Smt. Sarla Verma''s case (supra). Hon''ble the Supreme Court of India in an effort to bring fairness and firmness in the decision making process and the decisions put its best efforts to lay down certain principles with regard to multiplier to be adopted, deduction to be made in regard to personal and living expenses and benefit of future prospects to be allowed for computation of compensation has held in Smt. Sarla Verma''s case (supra) that when the deceased is between the age bracket of 15-25, multiplier of 18 should be applied.

Keeping in view the ratio laid down in Smt. Sarla Verma''s case (supra) affirmed in Reshma Kumari and Others Vs. Madan Mohan and Another, wherein Hon''ble the Apex Court also noticed the judgment passed in New India Assurance Company Ltd. Vs. Smt. Shanti Pathak and Others, , I am of the considered opinion that age of the deceased is the determining factor in regard to multiplier to be adopted. As the deceased in the present case was 22 years old, multiplier of 18 is allowed for computing loss of dependency.

So far as the plea with regard to benefit of increase in income for future prospects, till the time, judgment in Rajesh''s case (supra) is varied or set aside in an appropriate proceedings, the same holds the field for deciding the claims. As the deceased was less than 40 years of age, the appellant shall be entitled to increase in income for future prospects to the extent of 50%, thus, the loss of dependency is calculated at Rs. 38,838.00 x 18 = Rs. 6,99,084.00 + Rs. 3,49,542.00 = Rs. 10,48,626.00. The appellant shall be entitled to an amount of Rs. 25,000.00 towards expenses on funeral and last rites of the deceased. She is also entitled to an amount of Rs. 50,000.00 towards loss of love and affection of her son. The total amount of compensation payable to the appellant is calculated at (Rs. 10,48,626.00 + Rs. 25,000.00 + Rs. 50,000.00) Rs. 11,23,626.00 and enhanced amount of compensation comes to (Rs. 11,23,626.00 -Rs. 5,43,732.00) Rs. 5,79,894.00 which shall be payable with interest at the rate of 7.5% per annum from the date of petition till payment thereof. However, in case the Insurance Company deposits the amount within a period of 45 days in the Tribunal, the enhanced amount shall carry interest at the rate of 6% per annum from the date of petition till realization.

Disposed of in the aforesaid terms.