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Judgment
G.P. Mittal, J.—The Appellant United India Insurance Co. Ltd. seeks reduction of compensation of Rs. 16,70,000/- awarded by the Motor
Accident Claims Tribunal (the Claims Tribunal) for the death of Puneet Mishra who died in a motor vehicle accident which occurred on
18.03.2010. The only ground of challenge raised by the Appellant is that the potential income of Rs. 2,50,000/- taken by the Claims Tribunal was
on the higher side. During inquiry before the Claims Tribunal, it was proved that the deceased had already completed his BBA from LP.
University. At the time of his death in the accident, he was pursuing B.Com. from Delhi University. He was working as a part time accountant and
earning a salary of Rs. 7,000/- per month.
It is now well settled that potential income of a student pursuing a professional course should be taken into consideration to compute the loss of
dependency.
In the case of Haji Zainullah Khan (Dead) by Lrs. Vs. Nagar Mahapalika, Allahabad, , death of a young boy, aged 20 years took place in an
accident which happened in the year 1972. The deceased was a student of B.Sc Ist year (Biology), a compensation of Rs. 1,46,900/- was
increased and rounded off to Rs. 1,50,000/-.
In Ganga Devi & Ors. v. New India Assurance Co. Ltd. & Ors., MAC APP. 359/2008, decided by this Court on 23.11.2009, which related
to the death of a student (studying medicine) who was doing internship and was to be awarded the MBBS degree in a short time, the Tribunal
awarded a compensation of Rs. 9,35,352/- on the basis of the minimum wages of a Graduate. This Court observed that although the deceased
was getting a stipend of Rs. 5,000/- per month at the time of his death due to the accident, he would have ultimately joined as a doctor at a salary
ranging between Rs. 16,000/- per month to Rs. 25,000/- per month. Thus, the average monthly income of the deceased was taken as Rs.
18,000/- and after adding 50% towards future prospects, the compensation was enhanced to Rs. 21,36,000/.
In Ramesh Chand Joshi v. New India Assurance Company MAC APP.212-213/2006 decided on 20.01.2010 this Court took the potential
income of a BE (Bio-Technology) First year student of Delhi College of Engineer (DCE) Rs. 38,333/- per month.
Admittedly, the deceased was working as a part time accountant. He was spending most of his time in pursuing B.Com. The salary of a Lower
Division Clerk(LDC) in the Government and public sector was over Rs. 15,000/- per month in the year 2010. In the circumstances, the potential
income of Rs. 20,000/- taken by the Claims Tribunal for computation of loss of dependency cannot be said to be exorbitant or excessive.
It is also urged that the interest @ 9% per annum awarded by the Claims Tribunal is on the higher side.
The rate of interest on long term fixed deposits in recent years is in the vicinity of 9% per annum. The Claims Tribunal was, therefore, justified in
granting interest @ 9% per annum. The impugned judgment does not call for any interference.
The Appeal is accordingly dismissed in limine.
Statutory amount of Rs. 25,000/-, if any, shall be refunded to the Appellant Insurance Company. Pending Applications stand disposed of.