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The New India Assurance Company Limited vs Gudditi Lakshmi Rajeswari 5 Others
2024 Latest Caselaw 4551 AP

Citation : 2024 Latest Caselaw 4551 AP
Judgement Date : 20 June, 2024

Andhra Pradesh High Court - Amravati

The New India Assurance Company Limited vs Gudditi Lakshmi Rajeswari 5 Others on 20 June, 2024

APHC010183502013
                   IN THE HIGH COURT OF ANDHRA PRADESH
                                 AT AMARAVATI             [3368]
                          (Special Original Jurisdiction)

              THURSDAY ,THE TWENTIETH DAY OF JUNE
                TWO THOUSAND AND TWENTY FOUR

                               PRESENT

     THE HONOURABLE SRI JUSTICE B V L N CHAKRAVARTHI

MOTOR ACCIDENT CIVIL MISCELLANEOUS APPEAL NO: 948/2013

Between:

The New India Assurance Company Limited             ...APPELLANT

                                 AND

Gudditi Lakshmi Rajeswari 5 Others and Others   ...RESPONDENT(S)

Counsel for the Appellant:

   1. JAVVAJI SARATH CHANDRA

Counsel for the Respondent(S):

   1. INENI VENKATA PRASAD

The Court made the following:
 BVLNC,J                                           MACMA: 948 of 2013
                                                      Dt: 20.06.2024




          HON'BLE SRI JUSTICE B.V.L.N. CHAKRAVARTHI

                     M.A.C.M.A.No.948 OF 2013


J U D G M E N T:

Heard Ms.Mandava Abhigna, learned counsel representing Sri

Javvaji Sarath Chandra, learned counsel for the appellant/Insurance

Company appeared through virtual mode and Sri Ineni Venkata Prasad,

learned counsel for the respondents/claimants.

2. This an appeal is filed by the appellant/Insurance Company

against order and decree dated 30.10.2012 in M.V.O.P.No.261 of 2012

on the file of VI Additional District Judge, Ananthapuram at Gooty.

3. In an application filed under Section 163-A of Motor Vehicles Act

by the claimants for awarding compensation for the death of Sri Gudditi

Ramanjaneyulu (hereinafter referred to as 'deceased') in a motor vehicle

accident occurred on 19.03.2012. The learned Tribunal awarded a sum

of Rs.6,00,000/- with interest @ 7.5% per annum towards compensation.

4. The parties are arrayed as parties before the learned Tribunal for

the sake of convenience.

 BVLNC,J                                             MACMA: 948 of 2013
                                                        Dt: 20.06.2024




5. The case of the claimants is that the deceased died in a road

accident occurred on 19.03.2012 at about 08.30 p.m. near Pennappa

Temple under the jurisdiction of Pamidi P.S., Ananthapuram District: the

deceased was working as an agricultural labour, earning Rs.3,000/- per

month: the claimants are the wife, two minor children and parents of the

deceased; hence, they filed application under Section 163-A against the

appellant/Insurance Company and owner of the crime vehicle for

compensation.

6. The learned Tribunal on consideration of the evidence placed

before the Tribunal, fixed the monthly income of the deceased as an

agriculture labour at Rs.3,000/- per month. The learned Tribunal

considering the age of the deceased as 36 years, applied the multiplier

'16' as per the Schedule-II. The learned Tribunal arrived the

compensation amount of Rs.5,76,000/-, apart from the said amount the

Tribunal has awarded Rs.50,000/- towards loss of love and affection,

Rs.20,000/- towards loss of consortium, the tribunal also awarded

Rs.20,000/- towards funeral expenses. Therefore the tribunal in all

arrived the amount at Rs.6,66,000/- as the compensation amount

entitled by the claimants, but restricted the same to Rs.6,00,000/- only,

as the claim petition was filed for Rs.6,00,000/- only.

 BVLNC,J                                              MACMA: 948 of 2013
                                                         Dt: 20.06.2024




7. The main contention of the appellant is that the learned Tribunal

failed to follow Schedule-II of the M.V.Act 1988, though the application

was filed under Section 163-A of the said Act seeking compensation.

8. The further contention of the learned counsel for the

appellant/Insurance Company is that the Tribunal failed to deduct 1/3 rd

amount towards personal expenses of the deceased as per Schedule-II.

9. The Schedule-II of the Motor Vehicles Act 1988, says that the loss

of dependency so arrived at in the case of fatal accident claim shall be

reduced by 1/3rd in consideration of the personal expenses, which the

victim would have incurred towards maintaining himself had he been

alive.

10. Therefore, the learned Tribunal ought to have deducted 1/3rd

amount towards personal expenses of the deceased. Therefore, if 1/3rd

amount is deducted, the loss of dependency amount entitled by the

claimants will come to Rs.5,76,000 - 1,92,000 = Rs.3,84,000/-.

11. As per the Schedule-II of the Motor Vehicles Act 1988, the

claimants are entitled to Rs.2,000/- towards funeral expenses,

Rs.5,000/- only towards loss of consortium and Rs.2,500/- towards loss BVLNC,J MACMA: 948 of 2013 Dt: 20.06.2024

of estate i.e., total Rs.9,500/-. Hence, the claimants in all are entitled to

Rs.3,84,000 + 9,500 = Rs.3,93,500/- only towards compensation under

Section 163-A of the M.V. Act, instead of Rs.6,00,000/- awarded by the

learned Tribunal.

12. The claimants are entitled to interest on the compensation amount

of Rs.3,93,500/- as per Section 171 of the MV Act. The learned Tribunal

has awarded interest @ 7.5% per annum on the compensation amount.

In view of the Hon'ble Apex Court judgement in the case of National

Insurance Company Limited Vs. Mannat Johal1, there are no grounds

to interfere with the rate of interest awarded by the learned Tribunal,

considering the facts and circumstances of the case.

13. In the result, the appeal is allowed partly, holding that the

claimants are entitled to Rs.3,93,500/- (Rupees Three Lakhs, Ninety

Three Thousand and Five Hundred only), with interest at 7.5% from the

date of petition, till the date of realization, instead of Rs.6,00,000/-

awarded by the learned Tribunal. The respondents No.1 and 2 are

jointly and severally liable to pay the compensation amount to the

claimants. There shall be no order as to costs.



    2019 ACJ 1849 (SC)
 BVLNC,J                                          MACMA: 948 of 2013
                                                     Dt: 20.06.2024




14. The appellant/Insurance Company is directed to deposit the

compensation amount of Rs.3,93,500/- (Rupees Three Lakhs, Ninety

Three Thousand and Five Hundred only), along with accrued interest

thereon, within eight (08) weeks from the date of judgment. In the event

of the appellant/Insurance Company had already deposited some

amount, the said amount be excluded, and the balance amount shall be

deposited within eight (08) weeks from the date of judgment.

15. On such deposit, the 1st claimant being the wife of the deceased is

entitled to an amount of Rs.1,50,000/- (Rupees One Lakh and Fifty

Thousand only), and she is permitted to withdraw the said amount along

with accrued interest thereon.

16. The claimants No.4 and 5 being the mother and father of the

deceased are entitled to an amount of Rs.46,750/- (Rupees Forty Six

Thousand Seven Hundred and Fifty only) each, and they are permitted

to withdraw their respective share amount along with accrued interest

thereon.

17. The claimants No.2 and 3 being the minor children of the

deceased are entitled to an amount of Rs.75,000/- (Rupees Seventy

Five Thousand only) each, and the said compensation amount shall be BVLNC,J MACMA: 948 of 2013 Dt: 20.06.2024

deposited in any nationalised bank till they attain the age of majority, and

after attaining the age of majority, they are permitted to withdraw their

respective share amount along with accrued interest thereon.

As a sequel, miscellaneous applications pending, if any, shall

stand closed.



                                   _______________________________
                                    JUSTICE B.V.L.N. CHAKRAVARTHI

Date: 20.06.2024
Pmk
 BVLNC,J                                   MACMA: 948 of 2013
                                              Dt: 20.06.2024






          HON'BLE SRI JUSTICE B.V.L.N.CHAKRAVARTHI




                   M.A.C.M.A.No.948 OF 2013




                        20th June, 2024


Pmk
 

 
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