Karnataka High Court
United India Insurance Co. Ltd vs Sri. Shrinivas S/O Kallappa Hosur on 2 April, 2026
Author: Shivashankar Amarannavar
Bench: B M Shyam Prasad, Shivashankar Amarannavar
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MFA No. 104017 of 2017
AND CONNECTED MATTERS
HC-KAR
IN THE HIGH COURT OF KARNATAKA AT DHARWAD
DATED THIS THE 2ND DAY OF APRIL 2026
PRESENT
THE HON'BLE MR. JUSTICE B.M.SHYAM PRASAD
AND
THE HON'BLE MR. JUSTICE SHIVASHANKAR AMARANNAVAR
MISCELLANEOUS FIRST APPEAL NO.104017 OF 2017 (MV-D)
C/W
MISCELLANEOUS FIRST APPEAL NO.103974 OF 2017 (MV-I)
MISCELLANEOUS FIRST APPEAL NO.104016 OF 2017 (MV-I)
MISCELLANEOUS FIRST APPEAL NO.103743 OF 2018 (MV-D)
IN MFA No. 104017/2017:
BETWEEN:
UNITED INDIA INSURANCE CO. LTD.,
THE DIVISIONAL MANAGER,
P.B. NO. 60, SANGAMA BUILDING,
S.S. FRONT ROAD, VIJAYAPUR,
NOW REPRESENTED THROUGH
VISHAL AUTHORIZED SIGNATORY.
NINGAPPA ...APPELLANT
PATTIHAL (BY SRI. SHASHANK S.HEGDE, ADVOCATE)
Digitally signed by
VISHAL NINGAPPA
PATTIHAL
Location: HIGH
AND:
COURT OF
KARNATAKA
DHARWAD BENCH
1. SMT. BHAGYASHREE
W/O. SHRIKANT KOLIGUDDA,
AGED ABOUT 23 YEARS,
OCC: HOUSEWIFE.
2. SMT. SUSHAILA CHANNAPPA KOLIGUDDA,
AGED ABOUT 48 YEARS, OCC: NIL,
BOTH ARE R/O: MAHALINGPUR, TQ: MUDHOL,
DIST: BAGALKOT-587312.
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MFA No. 104017 of 2017
AND CONNECTED MATTERS
HC-KAR
3. SRI. CHANNAPPA
S/O. GIRAMALIAPPA KOLIGUDDA,
AGE: 56 YEARS, OCC: AGRICULTURE,
R/O: MAHALINGPUR, TQ: MUDHOL,
DIST: BAGALKOT-587312.
...RESPONDENTS
(BY SRI. PRASHANT S.KADADEVAR,
ADVOCATE FOR R1 AND R2;
NOTICE TO R3 IS DISPENSED WITH)
THIS MISCELLANEOUS FIRST APPEAL IS FILED
U/S.173(1) OF MOTOR VEHICLES ACT, 1988, AGAINST
THE JUDGMENT AND AWARD DATED 20.07.2017
PASSED IN MVC NO.454/2014 ON THE FILE OF THE
MEMBER, MOTOR ACCIDENT CLAIMS TRIBUNAL-XIV,
MUDHOL, AWARDING COMPENSATION OF
RS.14,40,068/- WITH INTEREST AT 9% P.A. FROM THE
DATE OF PETITION TILL ITS DEPOSIT; AND ETC.
IN MFA NO.103974/2017:
BETWEEN:
SHRI. SHRINIVAS S/O. KALLAPPA HOSUR
AGE: 35 YEARS, OCC: AGRICULTURE,
R/O: MAHALINGPUR, TQ: MUDHOL,
DIST: BAGALKOT, PRESENTLY R/AT:
DODDANAYAKANKOPPA, DHARWAD.
...APPELLANT
(BY SRI. SRINIVAS B.NAIK, ADVOCATE)
AND:
1. SHRI. CHANNAPPA
S/O. GIRAMALLAPPA KOLIGUDDA,
AGE: 56 YEARS, OCC: AGRICULTURE,
R/O: MAHALINGPUR, TQ: MUDHOL,
DIST: BAGALKOT.
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MFA No. 104017 of 2017
AND CONNECTED MATTERS
HC-KAR
2. THE DIVISIONAL MANAGER
THE UNITED INDIA INSURANCE
COMPANY LIMITED,
PB NO.60, SANGAMA BUILDING,
SS FRONT ROAD, VIJAYAPURA-586101.
...RESPONDENTS
(BY SRI. SHASHANK S.HEGDE, ADVOCATE FOR R2;
NOTICE TO R1 IS DISPENSED WITH)
THIS MISCELLANEOUS FIRST APPEAL IS FILED
U/S.173(1) OF MOTOR VEHICLES ACT, 1988, AGAINST
THE JUDGMENT AND AWARD DATED 20.07.2017
PASSED IN MVC NO.455/2014 ON THE FILE OF THE
MEMBER, MOTOR ACCIDENT CLAIMS TRIBUNAL-XIV,
MUDHOL, PARTLY ALLOWING THE CLAIM PETITION
FOR COMPENSATION AND SEEKING ENHANCEMENT
OF COMPENSATION; AND ETC.
IN MFA NO.104016/2017:
BETWEEN:
UNITED INDIA INSURANCE CO. LTD.,
THE DIVISIONAL MANAGER,
P.B.NO. 60, SANGAMA BUILDING,
S.S. FRONT ROAD, VIJAYAPUR,
NOW REPRESENTED THROUGH
AUTHORIZED SIGNATORY.
...APPELLANT
(BY SRI. SHASHANK S.HEGDE, ADVOCATE)
AND:
1. SRI. SHRINIVAS S/O. KALLAPPA HOSUR,
AGED ABOUT 35 YEARS,
OCC: AGRICULTURE WORK
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MFA No. 104017 of 2017
AND CONNECTED MATTERS
HC-KAR
(AT PRESENT NIL), R/O: MAHALINGPUR,
TQ: MUDHOL, DIST: BAGALKOT-587312.
2. SRI. CHANNAPPA
S/O. GIRAMALIAPPA KOLIGUDDA,
AGE: 56 YEARS, OCC: AGRICULTURE,
R/O: MAHALINGPUR, TQ: MUDHOL,
DIST: BAGALKOT-587312.
...RESPONDENTS
(BY SRI. SRINIVAS B.NAIK, ADVOCATE FOR R1;
NOTICE TO R2 IS DISPENSED WITH)
THIS MISCELLANEOUS FIRST APPEAL IS FILED
U/S.173(1) OF MOTOR VEHICLES ACT, 1988, AGAINST
THE JUDGMENT AND AWARD DATED 20.07.2017
PASSED IN MVC NO.455/2014 ON THE FILE OF THE
MEMBER, MOTOR ACCIDENT CLAIMS TRIBUNAL-XIV,
MUDHOL, AWARDING COMPENSATION OF
RS.8,10,932/- WITH INTEREST AT 9% P.A. FROM THE
DATE OF PETITION TILL ITS DEPOSIT; AND ETC.
IN MFA NO.103743/2018:
BETWEEN:
1. SMT. BHAGYASHREE
W/O. SHRIKANT KOLIGUDDA,
AGE: 24 YEARS, OCC: HOUSEWIFE.
2. SMT. SUSHAILA
W/O. CHANNAPPA KOLIGUDDA,
AGE: 49 YEARS, OCC: NIL,
BOTH ARE R/O: MAHALINGPUR,
TQ: MUDHOL, DIST: BAGALKOT.
...APPELLANTS
(BY SRI. PRASHANT S.KADADEVAR, ADVOCATE)
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MFA No. 104017 of 2017
AND CONNECTED MATTERS
HC-KAR
AND:
1. SHRI. CHANNAPPA
S/O. GIRAMALLAPPA KOLIGUDDA,
AGE: 57 YEARS, OCC: AGRICULTURE,
R/O: MAHALINGPUR, TQ: MUDHOL,
DIST: BAGALKOT.
2. THE DIVISIONAL MANAGER
THE UNITED INDIA INSURANCE
COMPANY LIMITED, PB NO.60,
SANGAMA BUILDING,
SS FRONT ROAD, VIJAYAPUR-586101.
...RESPONDENTS
(BY SRI. SHASHANK S.HEGDE, ADVOCATE FOR R2;
NOTICE TO R1 IS DISPENSED WITH)
THIS MISCELLANEOUS FIRST APPEAL IS FILED
U/S.173(1) OF MV ACT, 1988, AGAINST THE JUDGMENT
AND AWARD DATED 20.07.2017 PASSED IN MVC
NO.454/2014 ON THE FILE OF THE MEMBER, MOTOR
ACCIDENT CLAIMS TRIBUNAL-XIV, MUDHOL, PARTLY
ALLOWING THE CLAIM PETITION FOR COMPENSATION
AND SEEKING ENHANCEMENT OF COMPENSATION;
AND ETC.
THESE APPEALS COMING ON FOR ADMISSION
THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS
UNDER:
CORAM: HON'BLE MR. JUSTICE B.M.SHYAM PRASAD
AND
HON'BLE MR. JUSTICE SHIVASHANKAR AMARANNAVAR
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MFA No. 104017 of 2017
AND CONNECTED MATTERS
HC-KAR
ORAL JUDGMENT
(PER: HON'BLE MR. JUSTICE SHIVASHANKAR AMARANNAVAR) MFA No.104017/2017 is filed by Insurance Company challenging the quantum of compensation and MFA No.103743/2018 is filed by claimants seeking enhancement of the compensation awarded in MVC No.454/2014.
2. MFA No.104016/2017 is filed by Insurance Company challenging the quantum of compensation and MFA No.103974/2017 is filed by the claimant seeking enhancement of the compensation awarded in MVC No.455/2014.
3. Injured -Srinivas has filed MVC No.455/2014 seeking compensation for injuries sustained by him in road traffic accident occurred on 21.06.2013. MVC No.454/2014 is filed by legal heirs of Srikanth who died in road accident occurred on 21.06.2013.
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4. The facts leading to filing of claim petitions are as under:
a) That on 21.06.2013, Srinivas (claimant in MVC No.455/2014) along with Srikanth (deceased), Mallikarjun and Jagdish have went to Bagalakote for their personal work in Mahindra Scorpio Vehicle bearing registration No.KA-48/M-
2225. After finishing their work they were returning to Mahalingapur and Jagdish was driving the vehicle. At about 10.15p.m., when they are moving on Biligi-Galgali road, the driver of the said vehicle drove it in very high speed, in rash and negligent manner and dashed to small concrete pillar of bridge near Bisnal village and vehicle fell in ditch. Due to this, the claimant in MVC No.455/2014 -8- NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR sustained fractures and Srikant died on the spot.
b) The injured was aged 32 years and doing agriculture. The father of the claimant -injured owns land property which he was cultivating and due to accident he is not in position to work as earlier.
c) Srikant -deceased was aged 26 years
and he was agriculturist and
businessman earning Rs.25,000/- per
month and due to his death claimants in MVC No.454/2014 lost their source of income. Claimant No.1 is wife and Claimant No.2 is the mother of deceased - Srikanth.
d) The said Mahindra Scorpio vehicle bearing No. KA-48 /M-2225 was owned by Respondent No.1 and was insured with -9- NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR respondent No.2 and they are jointly and severally liable to pay compensation.
5. Respondent No.2 -insurer denied each and every statement of the claim petitions and contented that vehicle bearing No.KA-48/M-2225 is covered under valid insurance policy and contented that the driver was not having valid license at the time of the accident.
6. On the basis of the said pleadings, the Tribunal has framed the issues in both claim petitions. The joint trial was conducted in both petitions. The injured - Srinivas has been examined as P.W.1, got marked documents as Ex.P1 to P103 and also got examined doctor as P.W.2. Claimant No.2 in MVC No.454/2014 has been examined as P.W.3, got marked documents as Ex.P104 to P121 and also got examined two witnesses as P.W.4 and P.W.5. With the consent of the claimants, the insurance policy has been marked as Ex.R1. The
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR insurer has not lead any oral evidence. The Tribunal after hearing arguments and appreciating evidence on record has awarded compensation of Rs.8,10,932/- in MVC No.455/2014 under different heads as under:
1. Loss of future income Rs. 3,57,000.00
2. Towards medical expenses Rs. 3,87,932.00
3. Towards pain and sufferings Rs. 25,000.00
4. Loss of income during the Rs. 21,000.00 period of treatment and rest
5. Towards traveling and Rs. 10,000.00 attendant charges
6. Towards loss of amenities Rs. 10,000.00 Total Rs. 8,10,932.00 The tribunal has awarded compensation of Rs.14,40,068/- in MVC No.454/2014 under different heads as under:
1. Towards loss of Dependency Rs. 13,60,068.00
2. Towards Loss of Love and Rs. 50,000.00 Affection
3. Towards Loss of Estate Rs. 20,000.00
4. Towards Funeral Expenses Rs. 10,000.00 Total Rs.14,40,068.00
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7. Heard learned counsels appearing for insurer and claimants.
8. Learned counsel for Insurer would contend that the disability taken by the Tribunal at 25% is on higher side. The injured has sustained two fractures and it is not affected his work of agriculture and he can get agriculture work done though other persons. The claimant did not own any properties and his father owns the properties. Considering said aspect, the Tribunal has erred in taking the disability at 25% which requires to re reduced. The Tribunal has also not justified in awarding interest at the rate of 9% per annum. Learned counsel for insurer further contended that the Tribunal has erred in taking income of the deceased at Rs.10,000/- as no income proof is produced. With these, he prays to dismiss the appeals.
9. Learned counsel for the claimant -injured would contend that the injured has sustained two
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR comminuted fractures and they are all united fractures and implants are inserted. Due to those fractures, the claimant -injured is unable to walk properly and unable to carry any articles. It is said that fractures have affected the working of the injured in his agricultural land. Considering the evidence of P.W.2 -doctor, the Tribunal ought to have taken the disability of more than 25%. The claimant is owning 40 acres of agriculture land, he was cultivating it and getting income from the agriculture. Considering the said aspect, the income of the claimant taken at Rs.7,000/- is on lower side. The Tribunal considering the evidence of P.W.2 and fractures sustained by the injured has rightly taken the disability as 25%.
10. Learned counsel for claimants claiming compensation in respect of death of Srikanth would contend that the deceased was doing business and in that regard Form Vat 7 certificate -EX.P119 and
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR income tax returns -Ex.P104 to 106 have been produced. The deceased also owned agricultural land and RTC's are at Ex.P107 to P111 and sugar cane bills -Ex.P112 to P118 are produced. Considering the said aspects, the income of the diseased taken by the Tribunal at Rs.10,000/- is on lower side. The Tribunal has not awarded future prospectus and loss of consortium. On these grounds, they prayed to enhancement of compensation as awarded by the Tribunal.
11. Having heard learned counsels, we have perused impugned judgment and trial court records.
12. The accident and liability of Insurance Company is not in dispute. Considering the arguments advanced by learned counsels, the following points arise for our consideration:
i) Whether Insurer has made out case for reduction of compensation awarded in
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR MVC No.454/2014 in respect of death of Srikanth?
ii) Whether claimants in MVC No.454/2014 have made out case for enhancement of compensation?
iii) Whether Insurer has made out case for reduction of compensation awarded in MVC No.455/2017?
iv) Whether claimant in MVC No.455/2014 has made out case for enhancement of compensation?
Point Nos.1 and 2: The deceased -Srikanth was aged 29 years as on the date of the accident. The deceased being agriculturalist and also business earning Rs.25,000/- per month. The Tribunal has taken the income of the deceased at Rs.10,000/- per month. Ex.P104 -income tax returns, Ex.P105 - income tax payment counterfoil and Ex.P106 -income tax assessment form are filed subsequent to the
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR accident. RTC extracts - Ex.P107 to P111 of agriculture lands and sugar cane bills -Ex.P112 to P118 are in the name of father of the deceased - Srikanth. Ex.P119 -Form Vat 7 certificate show that the deceased was Proprietor of Girish Tractors and he has been registered as Dealer under Section 22 of Karnataka Value Added Tax Act and Ex.P120 is Authorization letter issued by Harsha Motors. The Marketing Manager of Harsha Motors has been examined as P.W.5. Considering these aspects, the income of the deceased has to be taken at Rs.12,000/- per month as against Rs.10,000/- as taken by the Tribunal.
13. The deceased was aged 29 years and therefore, as per National Insurance Co. Ltd. Vs Pranay Sethi1 case, future prospects requires to be taken at 40%. The Tribunal has rightly deducted 1 In 2017 ACJ 2700
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR 1/3rd towards personal expenses of the deceased and applied multiplier 17.
14. Considering the above aspects, the claimants are entitled to loss of dependency as under:
1,44,000/- (12,000x12) + 40%(57,600) -1/3rd (67,200) x17 = Rs.22,84,800/-
15. Claimant No.1 is the wife and claimant No.2 is the mother of the deceased. Therefore, they are entitled to consortium in a sum of Rs.40,000/- each i.e., Rs.80,000/- as against Rs.50,000/- as awarded by the Tribunal towards loss of love and affection. Claimants are entitled to a sum of Rs.30,000/- towards loss of estate and funeral expenses. Considering the above aspects, claimants in MVC No.454/2014 are entitled total compensation as under:
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NC: 2026:KHC-D:5006-DB
MFA No. 104017 of 2017
AND CONNECTED MATTERS
HC-KAR
Sl.No. Heads Amount in
Rs.
1 Loss of dependency 22,84,800/-
2 Loss of consortium 80,000/-
3 Loss of estate 20,000/-
4 Funeral expenses 10,000/-
Total 23,94, 800/-
Considering the above aspects, point Nos.1 and 2 answered accordingly.
16. Point Nos.3 and 4: The claimant -injured in MVC No.455/2014 is aged 30 years and he was doing agriculture work. Ex.P88, 88(a), 88(b) -RTCs extracts are in the name of father of the claimant. Sugar cane bills Ex.P87 and P89 are in the name of the claimant. These documents indicate that the claimant -injured is an agriculturalist. Even though, the Tribunal has considered the claimant -injured is an agriculturalist doing agricultural work has not justified in taking the income of the injured at Rs.7,000/- per month. Being an agriculturalist, he cannot be considered as unskilled labour. Therefore,
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR the income of the claimant - injured has to be taken at Rs.11,000/- per month.
17. The claimant has sustained comminuted fracture of shaft femur on upper third right side and left comminuted fracture. P.W.2 is doctor who has been examined to prove the disability. Ex.P90 is disability certificate. P.W.2 has stated that disability of left upper limb at 32% and disability of right lower limb at 45%. The Tribunal has not accepted the evidence of P.W.2 on the ground that proper grounds or calculations to arrive at such conclusion have not been given. The Tribunal has considered the occupation of the claimant as agriculturist. He is unable to stand, walk or sit continuously for long period, to do his agricultural work and cannot lift the agricultural articles. The Tribunal has rightly taken the disability at 20% of the whole body.
18. Considering the age of the claimant as 30 years, the Tribunal has rightly taken the multiplier
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17. Considering the said aspect, the total loss of future income is calculated as under;
Rs.11,000/- x12 x17 x25% =5,61,000/-
19. Considering the medical bills -Ex.9 to P79, the Tribunal has rightly awarded medical expenses at Rs.3,87,932/-. Considering the fact that the claimant has sustained two fractures of upper limb and lower limb, the claimant is entitled to Rs.1,00,000/- towards pain and suffering as against Rs.25,000/- as awarded by the Tribunal. The claimant has been admitted in different hospitals for a period of 18 days. The claimant has taken treatment in Hubbali and Sparsh Hospital, Bengaluru and he traveled from Bagalakote to Hubballi and Bengaluru. Considering the said aspect, the claimant is entitled to attendant charges, diet and nourishment in sum of Rs.18,000/- (18 x Rs.1000/-). The Tribunal has awarded loss of income during laid up period for a period of 03 months. Now considering
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR the income taken, a sum of Rs.11,000/- per month. The claimant is entitled to in a sum of Rs.33,000/- per month (Rs.11,000/- x 3) towards loss of income during laid up period. Considering the fact that the claimant has sustained two fractures is entitled to loss of amenities in a sum of Rs.50,000/- as against Rs.10,000/- as awarded by the Tribunal. Considering the above, the claimant in MVC No.455/2014 is entitled to total compensation as under:
Sl.No. Heads Amount in
Rs.
1 Loss of future income 5,61,000/-
2 Medical expenses 3,87,932/-
3 Pain and Suffering 1,00,000/-
4 Loss of income during 33,000/-
laid period
5 Towards Traveling and 18,000/-
attendant charges
6 Loss of amenities 50,000/-
Total 11,49,932/-
20. The Tribunal has awarded the interest at the rate of 9%. Considering the Bank interest rate, the interest awarded by the Tribunal at 9% is not proper. Claimants are entitled to interest at the rate
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NC: 2026:KHC-D:5006-DB MFA No. 104017 of 2017 AND CONNECTED MATTERS HC-KAR of 6% p.a., from the date of petition till realization of the compensation. Considering the above aspects, appeals filed by the insurer requires to be dismissed and appeals filed by claimants require to be allowed in part.
21. In the result, the following ORDER
i) MFA No.104017/2017 and MFA No.104016/2017 are dismissed.
ii) MFA No.103974/2017 and MFA No.103743/2018 are allowed in part.
iii) The appellants in MFA No.103743/2018 are entitled to total compensation of Rs.23,94,800/-as against Rs.14,40,068/- as awarded by the Tribunal with interest at the rate of 6% per annum from the date of petition till realisation of entire amount of compensation.
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iv) The appellants in MFA No.103974/2017 are entitled to total compensation of Rs.11,49,932/- as against Rs.8,10,932/- as awarded by the Tribunal with interest at the rate of 6% per annum from the date of petition till realisation of entire amount of compensation.
v) The apportionment of compensation awarded by the Tribunal among claimants in MVC No.454/2014 is remained unaltered.
vi) Claimants are entitled to release of entire enhanced compensation with interest.
vii) The insurer shall deposit the entire amount of compensation with interest at the rate of 6% per annum within a period of 08 weeks from this day failing which it is liable to pay interest at the rate of 9% per annum.
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viii) The office is directed to transfer the amount in deposit to the Tribunal.
Sd/-
(B.M.SHYAM PRASAD) JUDGE Sd/-
(SHIVASHANKAR AMARANNAVAR) JUDGE DSP CT:VH List No.: 3 Sl No.: 3