Uttar Pradesh State Road ... vs Reena Devi & Ors

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*     IN THE HIGH COURT OF DELHI AT NEW DELHI
%                                 Date of Decision: 15th September, 2016

+     MAC.APP. 561/2016 and C.M. Appl. 26650/2016

      UTTAR PRADESH STATE
      ROAD TRANSPORT CORPORATION            ..... Appellant
                  Through: Ms. Garima Prashad and Mr. Shadab
                           Khan, Advocates

                         versus

      REENA DEVI & ORS                                  ..... Respondents
                    Through:         Mr. Suraj Prakash, Advocate


      CORAM:
      HON'BLE MR. JUSTICE J.R. MIDHA

                         JUDGMENT (ORAL)

1. The appellant has challenged the award of the Claims Tribunal whereby compensation of Rs.18,51,320/- has been awarded to the respondents.

2. The accident dated 17th July, 2012 resulted in the death of Rakesh Kumar. The deceased was aged about 33-34 years at the time of the accident and was working as a sales representative of Eureka Forbes Limited earning Rs.20,000/- per month. However, the Claims Tribunal took the minimum wages of Rs.7,020/-, added 50% towards future prospects, deducted 1/4th towards his personal expenses and applied the multiplier of 16 to compute the loss of dependency as Rs.15,16,320/-. The Claims Tribunal awarded Rs.2 lakh towards loss of love and affection, Rs.1 lakh towards loss of consortium, Rs.10,000/- towards loss of estate and Rs.25,000/- towards funeral expenses. The total compensation awarded is MAC.APP 561/2016 Page 1 of 1 Rs.18,51,320/-.

3. Learned counsel for the appellant urged at the time of hearing of the appeal that the future prospects should not be taken into consideration. This Court is of the view that since the occupation of the deceased had been proved as a sales representative of Eureka Forbes Limited, this Court can safely assume his income as Rs.10,530/- per month. This Court is of the view that it is not mandatory to resort to minimum wages in each and every case. Reference in this regard may be made to the judgment of the Supreme Court in Municipal Corporation of Delhi v. Association of Victims of Uphaar Tragedy, AIR 2012 SC 100 in which 59 persons died in Uphaar tragedy and the Supreme Court granted compensation of Rs.10,00,000/- to the victims of above 20 years of age and Rs.7,50,000/- to the victims below 20 years of age on the basis of multiplier method. The Supreme Court applied the multiplier of 15 and deducted 1/3rd towards the personal expenses. The income of the victims aged more than 20 years was assumed to be Rs.8,333/- per month and that of victims aged less than 20 years was assumed to be Rs.6,249/- per month. The computation of the compensation awarded by the Supreme Court would be as under :-

For victims aged more than 20 years:- (Rs.8,333/- less 1/3rd)x 12 x 15 = Rs.10 lakhs. For victims aged less than 20 years:- (Rs.6249/- less 1/3rd) x 15 = Rs.7.5 lakhs.

4. It is relevant to note that the Uphaar tragedy took place on 13th June, 1997 and the minimum wages at the relevant time were less than Rs.2600/-. Although there was no proof of the income of the victims, the Supreme Court did not find it proper to apply the minimum wages.

5. This Court has applied the principles laid down in Uphaar tragedy case to compute the compensation in United India Insurance Co. V.

Kanwar Lal, 2012 SCC Online Del 2411, New India Assurance Co. Ltd. v. Bal Kishan Pawar, 2012 SCC Online Del 3201, National Insurance Co. Ltd. v. Chander Dutt, 2012 SCC Online Del 2412, National Insurance Co. Ltd. v. Sewa Ram, 2012 SCC Online Del 2413 and National Insurance Co. Ltd. v. Komal, 2014 ACJ 1540, National Insurance Co. Ltd. v. Gaje Singh, 2012 ACJ 2346 and National Insurance Co. Ltd. v. Bhateri, 2012 SCC Online Del 2409.

6. Applying the principles laid down in Uphaar tragedy case, the income of the deceased is presumed to be Rs.10,530/-. Taking the income of the deceased as Rs.10,530/-, deducting 1/4th towards personal expenses and applying the multiplier of 16, the loss of dependency of Rs.15,16,320/- is upheld.

7. Learned counsel for the appellant next urged that the compensation of Rs.2 lakh towards loss of love and affection is on a higher side. There is merit in this contention of the appellant. The compensation for loss of love and affection is reduced from Rs.2 lakh to Rs.1 lakh.

8. The appeal is partially allowed and the award amount is reduced from Rs.18,51,320/- to Rs.17,51,320/- along with interest @ 9% per annum from the date of filing of the claim petition.

9. The appellant has deposited Rs.16 lakh with the Registrar General of this Court in terms of the order dated 10th August, 2016. The balance amount be deposited by the appellant with UCO Bank, Delhi High Court Branch by means of a cheque drawn in the name of UCO Bank A/c Reena Devi within a period of three weeks from today.

10. The appellant shall file the affidavit of compliance of this judgment within one week of the deposit. The affidavit shall contain the computation of the interest on the award amount upto the date of deposit. The appellant shall send the copy of the affidavit to the respondents.

11. The order of disbursement of the award amount shall be passed on the next date of hearing after examining the respondents, who shall remain present in Court along with particulars of their savings bank accounts.

12. List for directions on 05th October, 2016.

13. C.M. Appl. 26650/2016 is disposed of.

14. The statutory deposit be refunded back to the appellant after the deposit of the balance award amount.

15. Copy of this judgment be given dasti to learned counsels for the parties under signature of Court Master.

J.R. MIDHA, J.

SEPTEMBER 15, 2016 rsk MAC.APP 561/2016 Page 4 of 4