Citation : 2017 Latest Caselaw 3533 Bom
Judgement Date : 22 June, 2017
2206 FA 418/2008 1 Judgment
IN THE HIGH COURT OF JUDICATURE AT BOMBAY,
NAGPUR BENCH AT NAGPUR.
FIRST APPEAL NO. 418/2008
1] Raghunath s/o Kisanrao Dhole,
Aged 50 years, Occu: service,
2] Smt. Geetabai w/o Raghunath Dhole,
Aged 45 years, Occu: Household,
3] Waman s/o Kisanrao Dhole (Handicap)
Aged 35 years, Occu: Nil,
4] Madhuri d/o Raghunath Dhole,
Aged 20 years, Occu: Student,
5] Pradeep s/o Raghunath Dhole,
Aged 18 years, Occu: Student,
All R/o. Amarjyoti Nagar,
Bhim Chowk, Nagpur. APPELLANTS
.....VERSUS.....
1] Bhawarlal s/o Trilokchand Jain,
R/o. Digambar Coop. Housing Society,
Azamshah Layout, Nagpur.
2] The Divisional Manager,
National Insurance Co. Ltd.,
Mount Road, Sadar, Nagpur. RESPONDE NTS
Shri Asghar Hussain, counsel for appellants.
Mrs. Smita P. Deshpande, counsel for respondents.
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2206 FA 418/2008 2 Judgment
CORAM : DR. SMT. SHALINI PHANSALKAR-JOSHI, J.
DATE : JUNE 22, 2017. ORAL JUDGMENT :
This appeal is preferred by the original claimants, being
aggrieved by the meager amount of compensation awarded by the
Motor Accident Claims Tribunal, Nagpur, vide its judgment and
order dated 02/05/2003 in Claim Petition No. 503/1999.
2] Brief facts of the appeal are as follows ;-
Appellant nos.1 and 2 are the parents, appellant no.3 is
the uncle, appellant no.4 is the married sister and appellant no.5 is
the major brother of the deceased Satish, who has died in the
vehicular accident, that took place on 22/02/1999. It is case of the
appellants that deceased was doing the business of Cushion making
and repairs under the name and style as "S.R. Cushion Works" at
Nagpur. From the said business, he was earning the income of
Rs.4,000/- per month and maintaining his parents, uncle, brother
and sister. On account of untimely death of the deceased, they have
lost their only source of income, and hence, considering his future
prospects and the financial loss which they have suffered due to his
2206 FA 418/2008 3 Judgment
death, they claimed the compensation of Rs.5,00,000/- from the
respondent no.2, the insurance company and respondent nos.1, the
owner of the offending vehicle.
3] In support of their case, appellant no.1 examined
himself and produced various documentary evidence on record to
prove the income of the deceased.
4] On appreciation of the said evidence, the Tribunal by
considering the age of the deceased, which was 25 years and also
the age of appellant nos.1 and 2, who were the parents, applied the
multiplier of '13' and in the absence of any evidence produced on
record to show that deceased was earning Rs.4,000/- per month,
considered his notional income of Rs.15,000/- per annum; then by
deducting 1/3 rd of the said income towards his personal expenses,
the Tribunal awarded compensation of Rs.1,30,000/- only, inclusive
of Rs.50,000/- towards no fault liability.
5] As the respondent nos.1 and 2 had not challenged the
findings of the Tribunal, holding them jointly and severally liable to
2206 FA 418/2008 4 Judgment
pay the amount of compensation to the appellants, the only issue
raised for consideration in this appeal is whether the amount of
compensation, as awarded by the Tribunal, is just, adequate and
fair?
6] In this respect, as regards the age of the deceased that
at the time of accident he was 25 years of age, is not disputed.
Similarly, having regard to the fact that he was unmarried for
deciding the multiplier, as the age of his parents, which was on
higher side, was necessary to be considered, and accordingly the
multiplier applied by the Tribunal of '13' is also correct.
7] However, the only aspect in which the Tribunal has
gone wrong is about income of the deceased. It is pertinent to note
that the claimant no.1 Raghunath, who was the father of deceased,
has examined himself and produced on record the Shop Act Licence
at Exh.34 to show that deceased was running the business of
Cushion making and repairs, under the name and style as "S.R.
Cushion Works" at Nagpur. He has also produced on record the
experience certificate of the deceased at Exh.35, which shows that
deceased was working with Maharashtra Body Works and also with
2206 FA 418/2008 5 Judgment
A to Z Cushion Works. According to his evidence, deceased was
earning the income of Rs.4,000/- per month from his business.
Except for the fact that he has not produced any document in
respect of the actual amount earned by the deceased and that his
income was not regular, nothing worthwhile is elicited in his cross-
examination conversely. In cross-examination of claimant no.1 it is
brought on record that deceased was giving him Rs.3,000/- per
month for household expenses. Therefore, the Tribunal has
committed an error in holding that there was no evidence to show
that deceased was earning the income of Rs.4,000/- per month and
held his notional income as Rs.15,000/- per annum. As deceased
was of the age of 25 years and running the business since 3 years
with necessary experience for the said business, then the income of
Rs.4,000/- per annum as stated by his father from the said business,
cannot be called as unreasonable or on higher side, so as to
disbelieve the same.
8] In view of the judgment of Hon'ble Apex Court in the
case of Santosh Devi -Vs- National Insurance Co. Ltd., (2012) 6
SCC 421 and the subsequent decision in the case of Rajesh -Vs-
Rajbir Singh, 2013 (9) SCC 54, there has to be addition of 50% of
2206 FA 418/2008 6 Judgment
the income towards future prospects of deceased. Therefore, if 50%
of his income is added towards future prospects, then his income
can be calculated at the rate of Rs.6,000/- per month. As he was
unmarried, 50% of the said amount was required to be deducted
towards his personal expenses. Thus, the amount of compensation
to which the claimants becomes entitled for loss of dependency is
Rs.3,000/- per month x 12 = Rs.36,000/- per annum x 13 =
Rs.4,68,000/-.
9] In this case, the Tribunal has not awarded any amount
towards funeral expenses or even towards the loss of love and
affection, considering that appellant nos.1 and 2 are the father and
mother of the deceased. As per the above referred decision of
Hon'ble Apex Court in the case of Rajesh -Vs- Rajbir Singh, amount
of Rs.1,00,000/- each is required to be awarded to appellant nos.1
and 2 towards the loss of love and affection of their son and
Rs.25,000/- towards funeral expenses.
10] Thus, the total amount of compensation to which
appellants become entitled comes to Rs.6,93,000/-. This amount is
inclusive of the amount already awarded by the Tribunal, which is
2206 FA 418/2008 7 Judgment
to the tune of Rs.1,30,000/-, inclusive of no fault liability amount of
Rs.50,000/-. Appellants become entitled, therefore, to recover
amount of Rs.6,93,000/- - Rs.1,30,000/- = Rs.5,63,000/- from the
respondents.
11] As regards the interest, it is submitted by learned
counsel for appellants that, having regard to the recent trend of the
decisions of the Hon'ble Supreme Court, the appellants are entitled
to the interest at the rate of 9 % per annum. Per contra, learned
counsel the insurance company has submitted that this appeal
remained pending in the court from the year 2008. No efforts were
made by the appellants to circulate the matter for final hearing. It is
urged that the accident has also taken place in the year 1999. Hence
for no fault of the insurance company, the insurance company
should not be fastened with the liability of paying the interest at the
rate of 9% per annum.
12] In my considered opinion, though it is true that the
appeal has remained pending in the court for last 6 to 7 years, but it
is for no fault on the part of either the appellants or respondents, it
may be on account of pendency of several matters in this court, and
2206 FA 418/2008 8 Judgment
therefore, for that, the appellants cannot be penalised and deprived
from the rate of interest at 9% per annum which is awarded by the
Hon'ble Apex Court as the correct rate of interest in the decision of
Municipal Corporation of Delhi -Vs- Association of Victims of
Uphaar Tragedy, 2012 ACJ 48 (SC) and further confirmed in the
decision of Asha Verman and others -Vs- Maharaj Singh and
others, 2015 ACJ 1286.
13] In view of above discussion, appeal is allowed.
14] Respondent nos.1 and 2 are directed to pay jointly and
severally, enhanced amount of compensation of Rs.5,63,000/-, to
the appellants along with future interest at the rate of 9% per
annum from the date of filing of the petition till realization of the
entire amount.
15] Appeal, is thus disposed of in above terms, with no
order as to costs.
JUDGE
Yenurkar
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