Smt. Bindu Devi Sharma @ Bipasha And Ors vs Rajendra And Ors

This appeal for enhancement of compensation is directed against the judgment and award dated 18.03.2017 passed by the Motor Accident Claims Tribunal, Shahpura, District Jaipur (for short 'the Tribunal'), whereby, the tribunal awarded a sum of Rs.11,71,448/- as compensation along with interest @ 6% per annum from the date of filing of the claim petition.

Learned counsel for the appellants has submitted that the tribunal committed an error in awarding lesser compensation. The tribunal erred in not awarding any amount towards future prospects of the deceased. The tribunal also erred in deducting only one third of the amount towards personal expenses while keeping in view the number of dependents, one fourth should have been deducted.

On the other hand, learned counsel for the respondents has opposed the appeal and supported the impugned judgment and award.

I have considered the rival submissions made by the learned counsel for the parties and have perused the material available on record.

The claim-petition was filed by the appellants for asking compensation on account of death of Mukesh Kumar Sharma in a motor vehicle accident which occurred on 04.09.2008. The tribunal assessed the income of the deceased as Rs.82,167/- per annum. As the deceased was aged about 33 years at the time of accident, therefore, in view of the judgment of Hon'ble Apex Court in National Insurance Company Limited Vs. Pranay Sethi & Ors., reported in AIR 2017 SC 5157, an addition of 40% is to be awarded towards future prospect of the deceased, which comes to Rs.32,867/-. Thus, the income of the deceased comes to Rs.1,15,034/- (82,167+32,867). Keeping in view the number of dependents, one fourth of the said income is liable to be deducted towards personal expenses of the deceased. Admittedly, the deceased was aged about 33 years at the time of accident. Thus, to work out the dependency of the claimants, the multiplier of 16 would be applied. In this way, the dependency of the claimants comes to Rs.13,80,408/- (1,15,034x3/4x16). The claimants would be entitled to receive Rs.70,000/- towards conventional heads. Thus, the total amount of compensation receivable by the claimants comes to Rs.14,50,408/-(13,80,408+70,000).

Accordingly, this appeal is partly allowed. Impugned award dated 18.03.2017 is modified to the extent that the compensation amount receivable by the claimants is Rs.14,50,408/- instead of Rs.11,71,448/- as awarded by the Tribunal. Remaining terms and conditions of the award shall be the same. The Insurance Company shall deposit the enhanced amount along with the interest @ 6% per annum from the date of filing of the claim petition till date of payment with the Tribunal within a period of two months from today. It is ordered that the share of the enhanced amount of the compensation shall be invested in fixed deposit with a nationalised bank initially for a period of 2 years and the interest accrued thereon shall be paid to the claimants on monthly basis.