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Judgment
The appellants have challenged the award of the Claims Tribunal whereby compensation of Rs.7,92,000/- has been awarded to the appellants. The
appellants seek enhancement of the award amount.
The accident dated 24th December, 2010 resulted in the death of Neeraj Sindhu. The deceased was aged 23 years at the time of the accident and
was survived by his parents who claimed compensation. The deceased was a student who was giving tuitions and earning Rs.10,000/- per month.
The Claims Tribunal took minimum wages of Rs.6,448/- per month as income of the deceased, deducted 50% towards his personal expenses and
applied the multiplier of 14 to compute the loss of dependency as Rs.5,41,632/-. The Claims Tribunal awarded Rs.1,50,000/- towards loss of love and
affection, Rs.50,000/- towards loss of estate and Rs.50,000/-towards funeral expenses. The total compensation awarded is Rs.7,92,000/-.
Learned counsel for the appellants urged at the time of the hearing that the appellants are entitled to future prospects of 40% and enhancement of
multiplier from 14 to 18.
Learned counsel for the respondent No.3 submits that the non-pecuniary compensation be reduced to Rs.30,000/- (Rs.15,000/- towards loss of
estate and Rs.15,000/- towards funeral expenses). It is further submitted that loss of love and affection is no more a permissible head in terms of
principles laid down in National Insurance Co. Limited v. Pranay Sethi, (2017)16 SCC 68 0and the compensation of Rs.1,50,000/- awarded under the
head of loss of love and affection be set aside.
There is merit in the contentions urged by learned counsel for both the parties. The future prospects of 40% is awarded to the appellants, the
multiplier is enhanced from 14 to 18 and non-pecuniary compensation is reduced to Rs.30,000/- (Rs.15,000/- towards loss of estate and Rs.15,000/-
towards funeral expenses). The Claims Tribunal has awarded Rs.1,50,000/-towards loss of love and affection which is not a permissible head in view
of judgment of the Supreme Court in Pranay Sethi (supra) and is therefore, set aside.
Taking the income of the deceased as Rs.6,448/- per month, adding 40% towards future prospects, deducting 50% towards personal expenses and
applying the multiplier of 18, the loss of dependency is computed as Rs.9,74,937.60. Adding Rs.30,000/- towards non-pecuniary compensation
(Rs.15,000/- towards loss of estate and Rs.15,000/- towards funeral expenses), the appellants are entitled to total compensation of Rs.10,04,937.60
rounded off to Rs.10,05,000/-.
The appeal is allowed and the award amount is enhanced from Rs.7,92,000/- to Rs.10,05,000/- along with interest @ 9% from the date of filing of
the petition i.e. 21st May, 2011.
The enhanced award amount be deposited by respondent No.3 with the Registrar General of this Court within six weeks from today.
List for disbursement of the enhanced award amount on 18th January, 2019.
The appellants shall remain present in Court on the next date of hearing along with the passbook of their savings bank account near the place of
their residence as well as PAN card and Aadhaar card. The concerned banks of the appellants are directed not to issue any cheque book or debit
card to them and if the same have already been issued, the banks are directed to cancel the same and make an endorsement on their passbooks to this
effect. The appellants shall produce the copy of this judgment to the concerned banks, whereupon the bank shall make an endorsement on the
passbook of the appellants that no cheque book and/or debit card shall be issued to them without the permission of this Court. However, the concerned
banks shall permit the appellants to withdraw money from their savings bank account by means of a withdrawal form.
Copy of this judgment be given dasti to the counsels for the parties under signature of the Court Master.