* IN THE HIGH COURT OF DELHI AT NEW DELHI
Decided on: 6th February, 2012
+ MAC.APP. 796/2010
BALPREET KAUR & ORS. ..... Appellant.
Through Mr. Nitin Yadav, Advocate
versus
NEW INDIA INSURANCE COMPANY LTD & ORS.
..... Respondents
Through Nemo.
CORAM:
HON'BLE MR. JUSTICE G.P.MITTAL
JUDGMENT
G. P. MITTAL, J. (ORAL)
1. The Appeal is for enhancement of compensation of ` 19,62,200/- for the death of Sachin who was aged about 27 years at the time of the accident which took place on 10.03.2008.
2. The sole ground of challenge is that the deceased was carrying on business of sale of mobile phones in the name and style of „Shiv Mobile Point‟. The deceased‟s income was gradually increasing on year to year basis, the same is proved on record though Income Tax Return (ITR) filed for the assessment year 2005-06, 2006-07 and 2007-08 as ` 78,950/-, ` 1,03,200/- and ` 1,49,000/- respectively. Although, the Motor Accident Claims MAC APP 796/2010 Page 1 of 3 Tribunal (the Claims Tribunal) awarded the loss of dependency on the basis of deceased's last year income, but did not take into account the deceased's future prospects.
3. The Appeal must succeed.
4. In Shakti Devi v. New India Assurance Company Limited 2011 ACJ 15, relying on the judgment of the Sarla Verma & Ors. v. Delhi Transport Corporation & Anr., (2009) 6 SCC 121, it was held that where the deceased was self-employed the Court shall usually take only the actual income at the time of death; a departure from the said rule shall only be made in rare and exceptional cases involving special circumstances.
5. Coming to the present facts of the case, as mentioned earlier, the ITRs filed by the deceased (self-employed) reflects a constant increase in income on year to year and further the deceased was young man when he expired. Therefore, this case is squarely covered under the "special circumstances" as enunciated in Sarla Verma (supra) and Shakti Devi (supra).
6. Thus, in this case the Appellants are entitled to an addition of 50% to the income of the deceased towards future prospects as the deceased was 27 years of the age at the time of the accident.
7. On applying the ratio of Sarla Verma (supra) deduction of one-
fourth towards personal and living expenses has to be made as the number of dependants were four with the multiplier of „17‟, MAC APP 796/2010 Page 2 of 3 the loss of dependency works out as ` 26,11,200/- (1,49,000/- + 50% - 18,700/- (tax) - ¼ x 17).
8. The Appellants are further entitled to a sum of `25,000/-
towards loss of love and affection, `10,000/- towards consortium, `10,000/- towards loss to estate and `5,000/- towards funeral expenses. The total compensation thus, comes to ` 26,61,200/-.
9. The compensation is thus enhanced from `19,62,200/- to ` 26,61,200/-. The enhanced compensation shall carry interest @ 7.5% per annum from the date of filing of the petition till the date of payment.
10. The Respondent No.1 The New India Assurance Company Limited is directed to deposit the enhanced amount along with the upto date interest within 30 days with UCO Bank, Delhi High Court Branch, New Delhi.
11. The enhanced amount along with the proportionate interest shall be held in fixed deposit/released to the Appellants (the Claimants) in the proportion as directed by the Claims Tribunal.
12. The Appeal is allowed in above terms.
13. No costs.
(G.P. MITTAL) JUDGE FEBRUARY 06, 2012 vk MAC APP 796/2010 Page 3 of 3