Shivanna and Others vs Pyare Jan and Others

N.K. Patil, J.—1. This appeal by the claimants/appellants is arising out of the impugned judgment and award dated 07/08/2015, passed in MVC No. 394/2014, by the Additional Senior Civil Judge and Motor Accident Claims Tribunal-XI, Tumakuru, (hereinafter referred to as ''Tribunal'' for short), for enhancement of compensation, on the ground that a sum of Rs. 7,00,000/- awarded by the Tribunal under different heads, with interest at 6% per annum against the claim of Rs. 15,00,000/-, on account of the death of the deceased Sri. Udayakumar, in the road traffic accident is inadequate.

In brief, the facts of the case are:

"The appellant Nos. 1 and 2 are the parents and appellant No. 3 is the physically handicapped brother of the deceased. They have filed a claim petition before the Tribunal under Section 166 of M.V. Act, claiming compensation against the respondents, on account of the death of the deceased in the road traffic accident, contending that, on 14.9.2013 at about 11.30 a.m. deceased was proceeding from Gubbi towards Tumkur in his motor cycle bearing Reg. No. KA.44.K.4983 near Bheemasandra, infront of the house of Chikkahanumanthaiah, at that time, the driver of the lorry bearing Reg. No. KA. 18.8046 came from opposite direction in a rash and negligent manner and dashed against the deceased. Due to which, deceased fell down and sustained grievous injuries and subsequently, he succumbed to the injuries on the spot."

It is the further case of the appellants that, deceased was aged about 23 years, hale and healthy prior to the accident and was working as Driver of a Tractor and trailer and also doing electrical work and getting the income of Rs. 10,000/- per month. The untimely death of the deceased has affected the social and financial condition of the family apart from mental shock and agony.

The said claim petition had come up for consideration before the Tribunal. The Tribunal, after appreciating the oral and documentary evidence and other material available on file, has allowed the claim petition in part and awarded the compensation of Rs. 7,00,000/- under different heads, with interest at 6% per annum from the date of petition till its realization.

Being dis-satisfied with the quantum of compensation and the rate of interest awarded by the Tribunal, the appellants have presented this appeal.

We have heard the learned counsel appearing for the appellant and learned counsel for Insurer.

Learned counsel Sri. K. Shantharaj, appearing for the appellants, at the outset submitted that, the Tribunal has erred in not assessing the income of the deceased reasonably and what is assessed is on the lower side, on the ground that, deceased was aged about 23 years, working as Driver of Tractor and Trailor and also doing Electrical work. Therefore, he submitted that the income of the deceased may be reassessed between Rs. 9,000/- to Rs. 10,000/- per month, after deducting 1/3rd towards personal expenses of the deceased and applying ''18'' multiplier taking the age of the deceased, reasonable compensation may be awarded towards loss of dependency. Further, he submits that the compensation awarded by the Tribunal towards conventional heads and the rate of interest awarded at 6% p.a. is also on the lower side and contrary to the law laid down by the Apex Court and this Court and liable to be enhanced reasonably. Therefore, he submitted that the impugned judgment and award is liable to be modified.

As against this, learned counsel Sri. C. Shankar Reddy, appearing for the Insurer, inter-alia, sought to substantiate that, the Tribunal, after appreciating the oral and documentary evidence available on file, has justified in awarding reasonable compensation towards loss of dependency and conventional heads and therefore, it does not call for interference.

After hearing the learned counsel for the parties and after perusing the material available on record, including the impugned judgment and award passed by the Tribunal, the only point that arises for our consideration is:

"Whether the compensation awarded by the Tribunal is just and reasonable?"

The occurrence of the accident and the resultant death of the deceased are not in dispute. The dependants are the parents and physically handicapped brother of the deceased. It is the case of the appellants that, deceased was aged about 23 years, working driver of a Tractor and Trailor and also doing electrical work. But appellants have not produced any documents to prove the income of deceased. Therefore, having regard to the age and occupation of the deceased and year of the accident, we re-assess his income at Rs. 8,500/- per month instead of Rs. 7,500/- per month as assessed by the Tribunal to meet the ends of justice. Out of which, if 50% ( Rs. 4,250/-) is deducted towards his personal expenses since he was a bachelor, his contribution to the family comes to Rs. 4,250/- per month. The proper multiplier applicable taking the age of the younger parent-mother of the deceased as 40 years, is ''15'', in view of the law laid down by the Apex Court in Sarla Verma''s case reported in , 2009 ACJ 1298 instead of ''14'' adopted by the Tribunal. Therefore, we re-determine the loss of dependency at Rs. 7,65,000/- ( Rs. 4,250/- x 12 x 15) instead of Rs. 6,30,000/- awarded by the Tribunal and accordingly, it is awarded.

Having regard to the facts and circumstances of the case and following the law laid down by the Apex Court and this Court, we award a sum of Rs. 1,50,000/- towards loss of love and affection at the rate of Rs. 50,000/- each to the appellant Nos. 1 to 3, Rs. 25,000/- towards loss of estate and Rs. 25,000/- towards transportation and funeral expenses. In all, the appellants are entitled to the total compensation of Rs. 9,65,000/- instead of Rs. 7,00,000/- awarded by the Tribunal.

Regarding rate of interest, as rightly pointed out by the learned counsel appearing for appellants, 6% interest per annum awarded by the Tribunal is on the lower side, since the accident is of the year 2013. In the light of the judgment of Apex Court and this Court, we award the rate of interest at 9% per annum from the date of petition till its realization on the enhanced compensation instead of 6% awarded by the Tribunal.

There would be an enhancement of Rs. 2,65,000/- with interest at 9% p.a., from the date of petition till its realization.

For the foregoing reasons, the appeal filed by the appellants is allowed in part and the impugned judgment and award dated 07/08/2015, passed in MVC No. 394/2014, by the Additional Senior Civil Judge and Motor Accident Claims Tribunal-XI, Tumakuru, is hereby modified, awarding the compensation of Rs. 2,65,000/- with interest at 9% p.a., from the date of petition till its realization, in addition to the compensation awarded by the Tribunal.

The 2nd respondent/Insurer is directed to deposit the enhanced compensation of Rs. 2,65,000/- with interest at 9% p.a., from the date of petition till the date of realization, within a period of three weeks from the date of receipt of a copy of this judgment.

Immediately on such deposit by the 2nd respondent-Insurer, out of the enhanced compensation of Rs. 2,65,000/-, a sum of Rs. 1,00,000/- with proportionate interest shall be invested in Fixed Deposit, in the name of the appellant No. 2, mother of the deceased, in any Nationalized or Scheduled Bank, for a period of five years and renewable by another five years, with liberty reserved to her to withdraw the interest accrued on it, periodically.

The remaining sum of Rs. 1,65,000/- with proportionate interest shall be released in favour of the appellant Nos. 1 and 2 in equal proportion immediately.

Draw the award, accordingly.