Reliance General Insurance ... vs Mutyala Vijaya Lakshmi

          THE HON'BLE SRI JUSTICE P.SAM KOSHY
                                    AND
THE HON'BLE SRI JUSTICE LAXMI NARAYANA ALISHETTY
                    M.A.C.M.A. No. 1043 of 2023

JUDGMENT:(per Hon'ble Sri Justice P.SAM KOSHY)

      Heard Mr.Harinath Reddy Soma, learned counsel for the appellant

  and perused the material on record.


  2. The instant appeal has been filed challenging the award dated

  20.03.2023 passed in M.V.O.P.No.399 of 2022 by the Chairman Motor

  Accidents   Claims    Tribunal-cum-I    Additional   District   Judge,

  Hanumakonda District.


  3. The learned counsel for the appellant while contesting the appeal

  submitted that the learned Tribunal has heard in as much has not

  properly appreciated the fact that the driver of the offending vehicle

  was not having a valid driving license at the time of accident. Thus,

  there is a clear breach of policy conditions and in the given factual

  backdrop, the learned Tribunal has wrongly passed the liability on the

  Insurance Company. Rather, it ought to have been passed upon the

  owner of the offending vehicle.


  4. Perusal of the pleadings and the evidence which have come on

  record, particularly taking note of the fact that the deceased in the
                                     2



instant case was returning home from office on 03.02.2020 on his

Honda Activa Scooter bearing Registration No.TS 07 GN 9404, when

it was hit by the offending vehicle i.e., a car bearing Registration

No.TS 07 GY 1192 which was driven by the respondent No.5 and

owned by respondent No.6. The respondent No.5 did not have a valid license at the time of accident. As a result of the accident, the deceased sustained grievous injuries to which he later succumbed. The deceased was working as a Senior Assistant in the office of the Commissioner of Police, Hyderabad, and was aged around 55 years. After considering the entire evidence which have been led before the Tribunal and taking into account the age and salary particulars of the deceased, the Tribunal has quantified the compensation at Rs.75,78,000/-. While passing the liability, the Tribunal has applied the principle of pay and recover against the appellant insurance company holding that the liability of payment of compensation shall be discharged by the Insurance Company first and thereafter the Insurance Company would be at liberty to recover the same from the respondent No.6 i.e., the owner of the vehicle on account of the alleged breach of policy conditions. It is this passing of liability of payment of compensation first upon the Insurance Company which is under challenge in the present appeal. Perusal of the records and the evidence 3 would clearly give an indication that it has been admitted that the vehicle was duly insured with the appellant herein and the policy was valid from 26.09.2019 to 25.09.2020 that is covering the period of the accident as well.

5. Considering the fact that the offending vehicle involved in the accident was duly insured with the appellant herein, the learned Tribunal relying upon the decision of the Hon'ble Supreme Court in the case of United India Insurance Company Limited vs. S.Iyyapan 1 has applied the principle of pay and recovery against the appellant herein. The Tribunal has ordered that the liability of payment of compensation shall be first upon the Insurance Company and the right of the Insurance Company stands reserved for recovering the same from the respondent No.6 i.e., the owner of the said vehicle. The said decision of the Hon'ble Supreme Court in the case of the S.Iyyapan subsequently, has also been reiterated in the case of Divisional Manager, New India Assurance Company Limited vs. Acchigari Prasad and others 2 which has further also been reiterated on many occasions subsequently.

1 2013 (7) SCC 62.

2015 (3) ALT 238.

6. Given the aforesaid facts and circumstances of the case, more particularly, the finding of the Tribunal being strictly in accordance with the dictum of the Hon'ble Supreme Court, we do not find any strong case made out by the appellant, calling for an interference with the impugned award. Thus, the appeal is being devoid of merits and is accordingly rejected affirming the award/order of the Tribunal.

7. As a sequel, miscellaneous applications pending if any in this appeal, shall stand closed. No order as to costs.

_________________ P.SAM KOSHY, J _________________________________ LAXMI NARAYANA ALISHETTY, J 05.09.2023 Aqs/ hfm 5 THE HON'BLE SRI JUSTICE P.SAM KOSHY AND THE HON'BLE SRI JUSTICE A. LAXMI NARAYANA M.A.C.M.A. No. 1043 of 2023 (per the Hon'ble Sri Justice P.SAM KOSHY) 05.09.2023 Aqs/hfm