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The New India Assurance Company ... vs Paikkaji Asuji Lambade And 3 ...
2017 Latest Caselaw 8404 Bom

Citation : 2017 Latest Caselaw 8404 Bom
Judgement Date : 3 November, 2017

Bombay High Court
The New India Assurance Company ... vs Paikkaji Asuji Lambade And 3 ... on 3 November, 2017
Bench: S.B. Shukre
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                   IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                        NAGPUR BENCH, NAGPUR


                           1)     FIRST APPEAL No.357 OF 2006  WITH
                            2)     FIRST APPEAL No.718 OF 2006  WITH
                            3)     FIRST APPEAL No.727 OF 2006  AND
                            4)     FIRST APPEAL No.729 OF 2006
                                            ===========

       1)  Cross Objection No.483 OF 2007 In First Appeal No.357/2006
       2) Cross Objection No.482 OF 2007 In First Appeal No.718/2006
       3)  Cross Objection No.485 OF 2007 In First Appeal No.727/2006
       4)  Cross Objection No.486 OF 2007 In First Appeal No.729/2006

                                            ===========

                                   FIRST APPEAL No.357 OF 2006

        The New India Assurance Company Limited,
        Through it's Manager, MECL, 4th Floor,
        Dr. Ambedkar Bhavan, Seminary Hills,
        Nagpur.                                                               :      APPELLANT

                         ...VERSUS...

        1.    Paikaji s/o. Asuji Lambade,
               Age - 47 years, Occ. Labour.   

        2.    Sau. Vatsala Paikaji Lambade,
               Age 40 years, Occ.-Household.

        3.    Akash s/o. Paikaji Lambade,
                Age 15 years, Occ.: Education.

        Respondent No.3 minor
        representing by his natural 
        Guardian Father i.e. non-applicant No.1.

        All R/o. Anand Nagar, Kothari, Tahsil-Ballarpur,
        District - Chandrapur.




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        4.    Namdeo s/o. Gajanan Butale,
               Age-Nil, Occ.-Owner of Vehicle,
               R/o. Kothari, Tahsil Ballarpur,
               Distt. Chandrapur.                                              :      RESPONDENTS

                                                            ------------

                               CROSS OBJECTION No.483 OF 2007
                                             IN
                                 FIRST APPEAL No.357 OF 2006

        Namdeo s/o. Gajanan Butale,
        Aged about 38 years,
        Occupation : Business,
        R/o. Kunbi, Ward No.2, 
        Kothari, Tq. Ballarpur,
        Distt. Chandrapur.                                                    :      CROSS-OBJECTOR
                                                                                     

                         ...VERSUS...

        1.    The New India Assurance Company Limited,
               Branch : Chandrapur, 
               Through it's Branch Manager, 
               Gupta Building, Kasturba Road,
               Chandrapur, Tahsil and
               District Chandrapur.

        2.    Paikaji s/o. Asuji Lambade,
               Age about - 47 years, 
               Occupation Labour work.   

        3.    Sau. Vatchala w/o. Paikaji Lambade,
               Age about 40 years, Occ.-Household.

        4.    Akash s/o. Paikaji Lambade,
               Age about 15 years, Occ.: Education.

        Respondent Nos.3 and 4 being minor,
        represented by father natural guardian 
        i.e. Applicant No.2, all R/o. Anandnagar, 
        Kothari, Tah. Kothari, Dist. Chandrapur.                              :        RESPONDENTS

                                                            -----------




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                                   FIRST APPEAL No.718 OF 2006

        The New India Assurance Company Limited,
        Through it's Manager, MECL, 4th Floor,
        Dr. Ambedkar Bhavan, Seminary Hills,
        Nagpur.                                                               :        APPELLANT
                    ...VERSUS...

        1.    Mohammad Karim Kureshi,
               Aged about 46 years, Occ.: Nil.   

        2.    Rabiya w/o. Mohammad Kureshi,
               Aged about 39 years, Occ.-Household.

        3.    Sufiya d/o. Mohammad Kureshi,
               Aged about 17 years, Occ.: Education.

        4.    Salim s/o. Mohammad Kureshi,
               Age about 15 years, Occ.- Education.

        5.    Sakinabee Karim Kureshi,
               Aged about 60 years, Occu.: Nil,
           
        Applicant Nos.3 and 4 are being minors,
        represented by their natural 
        guardian father i.e. non-applicant No.1.

        All R/o. Bazar Ward 5, Kothari,
        Tq. Ballarpur, Distt. - Chandrapur.

        6.    Namdeo s/o. Gajanan Butale,
               Age-Nil, Occ.-Owner of Vehicle,
               R/o. Kothari, Tahsil Ballarpur,
               Distt. Chandrapur.                                             :        RESPONDENTS

                                           ----------------------

                               CROSS OBJECTION No.482 OF 2007
                                             IN
                                 FIRST APPEAL No.718 OF 2006

        Namdeo s/o. Gajanan Butale,
        Aged about 38 years,




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        Occupation : Business,
        R/o. Kunbi, Ward No.2, 
        Kothari, Tq. Ballarpur,
        Distt. Chandrapur.                                                    :      CROSS-OBJECTOR
                                                                                     

                         ...VERSUS...

        1.    The New India Assurance Company Limited,
               Branch : Chandrapur, 
               Through it's Branch Manager, 
               Gupta Building, Kasturba Road,
               Chandrapur, Tahsil and
               District Chandrapur.

        2.    Mohammad Karim Kureshi,
               Aged about 42 years, Occ.: Nil.   

        3.    Rabiya w/o. Muhammad Karim Kureshi,
               Aged about 35 years, Occ.-Household.

        4.    Sufiya d/o. Mohammad Karim Kureshi,
               Aged about 17 years, Occ.: Education.

        5.    Salim s/o. Mohammad Karim Kureshi,
               Age about 15 years, Occ.- Nil.

        6.    Sakinabee Karim Kureshi,
               Aged about 60 years, Occu.: Nil,

        Respondent Nos.4 and 5 are being Minors,
        represented by there natural guardian 
        i.e. Respondent No.2.                                                 :        RESPONDENTS

                                                            ---------------

                                   FIRST APPEAL No.727 OF 2006


        The New India Assurance Company Limited,
        Through it's Manager, MECL, 4th Floor,
        Dr. Ambedkar Bhavan, Seminary Hills,
        Nagpur.                                                               :       APPELLANT




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                         ...VERSUS...

        1.    Sheikh Daut Shiek Ismile Sheikh,
               Aged 45 years, Occ.-Nil.   


        2.    Khurshidbano Sheik Daut Shiek,
               Age 40 years, Occ.-Household.

        3.    Pravinbano Sheik Daut Sheikh,
               Age 28 years, Occ.-Household.

        4.   Shahida Sheik Daut Shiek,
              Age 17 years, Occ.- Education.

        Respondent No.4 minor
        representing by her natural 
        guardian Father i.e. non-applicant No.1.

        All R/o. Kunbi Ward No.2 ,
        Kothari, Tah. Ballarpur,
        District - Chandrapur.

        5.    Namdeo s/o. Gajanan Butale,
               Age-Nil, Occ.-Owner of Vehicle,
               R/o. Kothari, Tahsil Ballarpur,
               Distt. Chandrapur.                                             :        RESPONDENTS

                                           -----------------------

                               CROSS OBJECTION No.485 OF 2007
                                             IN
                                 FIRST APPEAL No.727 OF 2006

        Namdeo s/o. Gajanan Butale,
        Aged about 38 years,
        Occupation : Business,
        R/o. Kunbi, Ward No.2, 
        Kothari, Tq. Ballarpur,
        Distt. Chandrapur.                                                    :      CROSS-OBJECTOR
                                                                                     

                         ...VERSUS...




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                            1.    The New India Assurance Company Limited,
                                   Branch : Chandrapur, 
                                   Through it's Branch Manager, 
                                   Gupta Building, Kasturba Road,
                                   Chandrapur, Tahsil and
                                   District Chandrapur.

                            2.    Sheikh Daut Sk. Ismile Sheikh,
                                   Aged about 47 years, Occ.-Nil.   

                            3.    Khurshidbano Sheikh Daud Sheikh,
                                   Age about 40 years, Occ.-Household.

                            4.    Pravenbano Sheikh Daut Sheikh,
                                   Aged about 30 years, Occ.-Household.

                            5.   Shahida Sheikh Daut Shiekh,
                                  Aged about 19 years, Occ.- Education.

                                   All residents of Kunbi, Ward No.2,
                                   Kothari, Tahsil Ballarpur,
                                   Distt. Chandrapur.                                             :        RESPONDENTS

                                                                        ---------------

                                                                              AND

                                                         FIRST APPEAL No.729 OF 2006

                            The New India Assurance Company Limited,
                            Through it's Manager, MECL, 4th Floor,
                            Dr. Ambedkar Bhavan, Seminary Hills,
                            Nagpur.                                                               :      APPELLANT

                                             ...VERSUS...
Respondent No.1 is 
                            1.    Sudhakar s/o. Maroti Amade (deleted)
deleted as per Courts 
order dt.4.7.2017.                  Age 46 years, Occ.- Labour.

                            2.    Sau. Sheela w/o. Maroti Amade,
                                   Age 47 years, Occ.-Household.

                            3.    Ku. Madhuri d/o. Sudhakar Amade,
                                   Age 15 years, Occ.: Education.




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        4.    Ku. Bhagyashree d/o. Sudhakar Amade,
               Age 15 years, Occ.- Education.

        Respondent Nos.3 and 4 minor
        representing by his natural 
        Guardian Father i.e. non-applicant No.1.

        All R/o. In front of Government Hospital
        Kothari, Tah. Ballarpur,
        District - Chandrapur.

        5.    Namdeo s/o. Gajanan Butale,
               Age-Nil, Occ.-Owner of Vehicle,
               R/o. Kothari, Tahsil Ballarpur,
               Distt. Chandrapur.                                             :        RESPONDENTS
                                               ------------

                               CROSS OBJECTION No.486 OF 2007
                                             IN
                                 FIRST APPEAL No.729 OF 2006

        Namdeo s/o. Gajanan Butale,
        Aged about 38 years,
        Occupation : Business,
        R/o. Kunbi, Ward No.2, 
        Kothari, Tq. Ballarpur,
        Distt. Chandrapur.                                                    :      CROSS-OBJECTOR
                                                                                     

                         ...VERSUS...

        1.    The New India Assurance Company Limited,
               Branch : Chandrapur, 
               Through it's Branch Manager, 
               Gupta Building, Kasturba Road,
               Chandrapur, Tahsil and
               District Chandrapur.

        2.    Sudhakar s/o. Maroti Amade 
               Aged about 42 years, Occupation : Labourer.

        3.    Sau. Shila w/o. Sudhakar Amade,
               Aged about 47 years, Occ.-Household.




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        4.    Ku. Madhuri d/o. Sudhakar Amade,
               Age about 16 years, Occ.: Education.

        5.    Ku. Bhagyashree d/o. Sudhakar Amade,
               Aged about 13 years, Occ.- Education.

               Respondent Nos.4 and 5 are being the
               Minors, Represented by their natural 
               guardian, the father i.e. respondent No.2.

               All residents of Ward No.4,
               in front of Government Hospital Kothari, 
               Tahsil Ballarpur, Distt. Chandrapur.      :        RESPONDENTS


        =-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-
        Shri Sahare h/f. Shri S.S. Sanyal, Advocate for the Appellant in all appeals.
        Shri B.B. Raipure, Advocate for the Claimants in all appeals.
        Ms.   Aakanksha   h/f.   Shri   Anilkumar,   Advocate   for   the   cross-objector   in   all
        appeals.
        =-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-=-


                                                   CORAM  :   S.B. SHUKRE, J.

rd DATE : 3 NOVEMBER, 2017.

ORAL JUDGMENT :

1. These appeals and cross-objections are being disposed of by a

common judgment as the claims involved in these appeals and cross-

objections arise out of the same accident and the issues involved are also

common.

2. These appeals question the legality and correctness of the

judgment and order dated 30th August, 2005 , rendered in MACP

Nos.133/2002, 132/2002 and Judgment and order dated 31 st August,

J-fa357.16,718.06,727.06&729.06.odt 9/21

2005, rendered in M.A.C.P. Nos.134/2002, 135/2002, by the Motor

Accident Claims Tribunal, Chandrapur. Same is true about the cross-

objections as well filed by the owner of the offending vehicle.

3. These four appeals have been filed taking an objection that in

cases like these, no order of pay and recover could have been passed by

the Tribunal against the appellant. The cross-objections have been filed

primarily on the ground that the insurance company i.e. the appellant in

all these appeals, ought not to have been exonerated of its liability as the

risk of the owner of the goods or the representative of the goods was

covered under the insurance policy.

4. I have heard Shri Sahare holding for Shri S.S. Sanyal, learned

counsel for the appellant in all these appeals, Shri B.B. Raipure, learned

counsel for the claimants in these appeals and Ms. Aakanksha holding for

Shri Anilkumar, learned counsel for the cross-objector/owner of the

offending vehicle. (For the sake of convenience, the appellant, claimants

and the cross-objector are being hereinafter referred to as the insurance

company, claimants and owner of the offending vehicle respectively.)

5. I have also gone through the record of these cases including

the impugned judgment and order.

6. Now, following points arise for my determination :

i) Whether the insurance company is liable to pay compensation and if not, whether it could be directed to first pay and recover later ?

J-fa357.16,718.06,727.06&729.06.odt 10/21

ii) Whether the compensation awarded by the Tribunal is just and proper ?

7. It is seen from the record that the accident in the present case

occurred on 10th May, 2002, when a mini-truck bearing registration

No.MH-34-A-6503 belonging to the cross-objector/owner of the

offending vehicle and insured with the appellant carrying 31 passengers

in its body, bumped off the speed breaker on Ballarpur to Alapalli road,

near village Enbodi at about 10.30 p.m. As a result, several passengers of

the truck sustained injuries and some of them later on succumbed to

those injuries. In the present appeals, which involve death claims, the

deceased were Dinesh Paikaji Lambade (First Appeal No.357/2006),

Firoz Sheikh Mohammad Kureshi (First Appeal No.718/2006), Jahir

Sheikh Daut Sheikh (First Appeal No.727/2006) and Santosh Sudhakar

Amade (First Appeal No.729/2006). At the time of their death, they

were aged about 18 years, 20 years, 22 years and 20 years respectively.

The claim petitions under Section 166 of the Motor Vehicles Act were

filed by their parents and other dependents. The owner as well as the

insurance company resisted these claim petitions by filing their respective

written statements. However, no evidence was adduced by either the

owner of the offending vehicle or by the insurance company in support of

their respective defences. On merits of the cases, the Tribunal found that

the claimants were entitled to receive compensation only from the owner

of the offending vehicle, but also found that in the facts of these cases,

J-fa357.16,718.06,727.06&729.06.odt 11/21

the insurance company should first pay the compensation amount and

then recover it from the owner of the offending vehicle. Accordingly, the

claim petitions were partly allowed and the impugned judgments and

orders were passed.

8. It is the contention of the learned counsel for the appellant

that since there was a fundamental breach of the insurance policy no

order of pay and recover later should have been passed against the

insurance company by the Tribunal. Learned counsel for the cross-

objector/owner of the offending vehicle submits that the deceased

persons being the representatives of the owner of the goods being carried

by the offending vehicle, their risk was covered under the insurance

policy and, therefore, the insurance company should also have been held

to be liable to pay compensation along with the owner of the offending

vehicle. She also submits alternately that she supports the order of pay

and recover passed by the Tribunal. In the opinion of the learned

counsel for the claimants, although the order of pay and recover is

properly passed, the compensation granted in the present case is

inadequate and even though in these appeals, no cross-objection has

been filed by any of the claimants, as held in the case of Jitendra

Khimshankar Trivedi and others vs. Kasam Daud Kumbhar and

others, reported in 2015(1) T.A.C. 673 (S.C.), this Court would have to

consider granting of fair and reasonable compensation and as such, it can

J-fa357.16,718.06,727.06&729.06.odt 12/21

certainly enhance the compensation awarded by the Tribunal.

9. I would have accepted argument of learned counsel for the

cross-objector/owner of the offending vehicle that the deceased persons

were travelling by the offending vehicle as representatives of the goods

being transported by the vehicle, had there been any evidence based

upon a specific plea taken in that regard present on record of the case.

In the present case, only one witness has been examined in each of the

cases and the witness has been examined in each of these cases only by

the respective claimants. No witness has been examined by the owner of

the offending vehicle. The owner of the offending vehicle, has not raised

any specific plea that the driver of the offending vehicle carried the

passengers without his knowledge. It was also not his case that he did

not give the offending vehicle to Gohokar or Bahekar family on hire and

it was also not his case that deceased persons were travelling by the

offending vehicle as owners of the goods or representatives of the owner

of the goods. No specific pleas in this regard were taken and as said

earlier, there has been no evidence adduced in this regard and it could

also not have been adduced in the absence of any specific defence having

been taken by the owner of the offending vehicle. In such a case, it has

to be held that the deceased persons were travelling by the offending

vehicle only as gratuitous passengers. Now the question would be

whether any risk of gratuitous passengers was covered under the

J-fa357.16,718.06,727.06&729.06.odt 13/21

insurance policy and the answer, considering the evidence available on

record, has to be recorded as in the negative. The premium that was

accepted was for covering the liability arising out of damage to the

vehicle and also out of any injuries or death claims in respect of the

driver, coolie or other employees, in connection with the maintenance,

operation or loading and unloading of the goods from the motor vehicle,

which included in all six persons. Obviously, risk of gratuitous

passengers was not covered under the insurance policy. The Tribunal has

made a detailed discussion in this regard in its impugned judgment and

order by referring to the evidence available on record as well as the

insurance policy and certificates of insurance. The Tribunal has found

that the insurance policy does not cover the liability of the gratuitous

passengers and in the context of what has been noted earlier I have no

reason to take any different view.

10. Such being the nature of evidence, the inevitable conclusion

would be that the risk of the gratuitous passengers which the deceased

persons were in the present case, was not covered by the insurance policy

and, therefore, it has been rightly held by the Tribunal in all these four

cases that the insurance company was not liable to pay any compensation

to the dependents of the deceased persons, who filed claim petitions

under Section 166 of the Motor Vehicles Act.

11. Now, what falls for consideration is, whether the order of pay

J-fa357.16,718.06,727.06&729.06.odt 14/21

and recover could have been passed or not in the present cases. There is

no dispute about the fact that such an order in principle can be passed by

the Tribunal. There is also no dispute about the fact that it is not that in

every case such an order, as a matter of course, must be passed by the

Tribunal. In the present cases, the Tribunal has passed such an order by

exercising its discretion. If some discretionary relief has been granted by

a Court below, it would not be proper for this Court to withdraw the

relief so granted unless it is shown that such discretion was not available

or that it has been exercised in an arbitrary or manifestly illegal manner.

Such relief cannot be surely taken away just because another view is

possible. Learned counsel for the insurance company could not show to

me that the relief so granted by the Tribunal is manifestly illegal or is the

result of arbitrariness committed by the Tribunal. Another view of not

granting such a relief may be possible but only because such a view is

possible, it would not be appropriate for this Court to take that view,

especially when arbitrariness or commission of patent illegality is not

seen. Therefore, I do not see any reason for making interference with the

order of pay and recover passed by the Tribunal against the insurance

company in all these four cases. The first point is answered accordingly.

12. In each of these four appeals, cross-objection has been filed

only by the owner of the offending vehicle and that too on the point of

need for imposition of liability also upon the insurance company. This

J-fa357.16,718.06,727.06&729.06.odt 15/21

objection has been rejected already by this Court. The claimants,

however, have not filed any cross-objection in order to seek enhancement

in compensation. But, as held by the Hon'ble Apex Court in the case of

Jitendra Khimshankar Trivedi and others vs. Kasam Daud Kumbhar

and others, reported in 2015(1) T.A.C. 673(S.C.), the mandate of

Section 168 of the Motor Vehicles Act being to "pass awards determining

the amount of compensation as to be fair and reasonable and accepted by

the legal standards." notwithstanding no appeal or cross-objection

having been filed by claimants, "it is obligatory on the part of

Courts/Tribunals to award just and reasonable compensation." I am,

therefore, of the view that learned counsel for the claimants in all four

cases can be heard on the question of grant of just and fair compensation

even if it means granting enhanced compensation without filing of

appeal or cross-objection and accordingly, the hearing has been granted

not only to the claimants, but also to the insurance company and the

owner of the offending vehicle.

13. It is submitted by the learned counsel for the claimants that

the income of the deceased persons has not been appropriately

determined, however, I do not see any merit in the contention. In these

four cases, only one witness each has been examined by the claimants

and their evidence suggests that all the deceased persons were in the age

group of 18 to 22 years and were students. Some of the witnesses have

J-fa357.16,718.06,727.06&729.06.odt 16/21

stated additionally that they were also working as labourers. But, such

additional evidence cannot be accepted once it is asserted by the

witnesses themselves that the deceased persons were studying either in

10th Standard or 12th Standard. While pursuing such kind of education,

performance of labour work is not possible as attendance in the

schools/colleges is compulsory and it is for substantial number of hours

during day time of every academic day. Therefore, the concept of

notional income would have to be employed in the present case and it

has been rightly adopted by the Tribunal. Going by the principle of

notional income, the Tribunal has determined the income of each of the

deceased persons to be at Rs.15,000/- p.a. and deducting 1/3 rd amount

for the own expenses, the Tribunal has arrived at the annual dependency

to be at Rs.10,000/- p.a. The Tribunal has applied the multiplier of '13'

or '15' in these cases. However, in all these cases, the Tribunal has not

considered any income on account of future prospects. It is also seen

that the selection of multiplier was not based upon the case of Sarla

Verma (Smt.) and others vs. Delhi Transport Corporation and

another, reported in (2009) 6 SCC 121. Therefore, a correction in this

regard seems necessary which is made in the subsequent paras.

14. Annual income on notional basis of the deceased persons

would have to be taken at Rs.15,000/- p.a. Since this income has been

determined by considering the deceased persons to be falling in the

J-fa357.16,718.06,727.06&729.06.odt 17/21

category of self employed persons as eventually they would have at least

earned their livelihood by performing labour work, addition of 40% of

the established income would have to be made as per the latest law of

the Hon'ble Apex Court laid down in the case of National Insurance

Company Limited vs. Pranay Sethi and others, passed in Special

Leave Petition (Civil) No.25590 of 2014, decided on 31st October,

2017. The appropriate multiplier as per Sarla Verma's case would have

to be applied. In addition, amount of Rs.15,000/- as per Pranay Sethi

and others (supra) on account of funeral expenses will also have to be

allowed. However, no compensation can be granted under the other

additional heads of loss of consortium and loss of estate, as the deceased

were unmarried and students whose income has been determined on

notional basis. Thus, calculated the compensation payable to the

claimants in all these four appeals would be as follows :

        First Appeal No.357/06    :
                    Annual income                                                              Rs.15,000/- 
                    + 40%                                                                      Rs. 6,000/-
                                                                                               ---------------
                                                                                               Rs.21,000/-
                         (-) one-half, deceased being unmarried                                Rs.10,500/-
                                                                                               ----------------
                                                                                               Rs.10,500/-
                         Appropriate multiplier '18'                                               X 18           
                         (deceased was 18 years at the 
                         time of accident (10,500 X 18)
                                                                                               ----------------
                                                                                               Rs.1,89,000/-
                         + Funeral expenses                                                    Rs.   15,000/-
                                                                                               -----------------





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                         Total Compensation                                                    Rs.2,04,000/-
                                                                                               =======


        First Appeal No.718/06  :
                    Annual income                                                              Rs.15,000/- 
                    + 40%                                                                      Rs. 6,000/-
                                                                                               ---------------
                                                                                               Rs.21,000/-
                         (-) one-half, deceased being unmarried                                Rs.10,500/-
                                                                                               ----------------
                                                                                               Rs.10,500/-
                         Appropriate multiplier '18'                                           X 18  
                         (deceased was 20 years at the 
                         time of accident (10,500 X 18)                                        ----------------
                                                                                               Rs.1,89,000/-
                         + Funeral expenses                                                    Rs.   15,000/-
                                                                                               -----------------
                         Total Compensation                                                    Rs.2,04,000/-
                                                                                               =======


        First Appeal No.727/06   :
                    Annual income                                                              Rs.15,000/- 
                    + 40%                                                                      Rs. 6,000/-
                                                                                               ---------------
                                                                                               Rs.21,000/-
                         (-) one-half, deceased being unmarried                                Rs.10,500/-
                                                                                               ----------------
                                                                                               Rs.10,500/-
                         Appropriate multiplier '18'                                
                         (deceased was 22 years at the                                              X 18
                         time of accident (10,500 X 18)                                        -----------------
                                                                                               Rs.1,89,000
                         + Funeral expenses                                                    Rs.   15,000/-
                                                                                               -----------------
                         Total Compensation                                                    Rs.2,04,000/-
                                                                                               =======

        First Appeal No.729/06  :
                    Annual income                                                              Rs.15,000/- 
                    + 40%                                                                      Rs. 6,000/-
                                                                                               ---------------
                                                                                               Rs.21,000/-





         J-fa357.16,718.06,727.06&729.06.odt                                                                   19/21 


                         (-) one-half, deceased being unmarried                                Rs.10,500/-
                                                                                               ----------------
                                                                                               Rs.10,500/-
                         Appropriate multiplier '18'                                           X 18  
                         (deceased was 20 years at the 
                         time of accident (10,500 X 18)                                        ----------------
                                                                                               Rs.1,89,000/-
                         + Funeral expenses                                                    Rs.   15,000/-
                                                                                               -----------------
                         Total Compensation                                                    Rs.2,04,000/-
                                                                                               =======

15. Thus, in each of these cases, the claimants would be entitled

to receive the afore-stated amounts as final compensation inclusive of no

fault liability amount together with interest at the rate of 9% p.a. from

the date of petition till actual realization from the cross-objector/owner

of the offending vehicle.

16. However, in the interest of justice, the insurance company

i.e. appellant in all these appeals would also have to be directed to first

pay the compensation amount to the claimants and then recover it later

from the owner of the offending vehicle in accordance with law. The

second point is answered accordingly.

17. In the circumstances, the appeals and the cross-objections

would have to be dismissed, with slight modification of the impugned

judgment and order as made in the subsequent paragraph.

18. The appeals stand dismissed.

19. The Cross-objections filed by the owner of the offending

vehicle stand dismissed.

J-fa357.16,718.06,727.06&729.06.odt 20/21

20. Oral prayer made by the claimants in these appeals for grant

of just and fair compensation, however, is granted in the following terms

:

(A) In First Appeal No.357/2006, the claimants shall

be entitled to receive Rs.2,04,000/- as compensation together with

interest at the rate of 9% p.a from the date of petition till actual

realization, which shall be inclusive of amount on account of no fault

liability from the owner of the offending vehicle.

(B) In First Appeal No.718/2006, the claimants shall

be entitled to receive Rs.2,04,000/- as compensation together with

interest at the rate of 9% p.a from the date of petition till actual

realization, which shall be inclusive of amount on account of no fault

liability from the owner of the offending vehicle.

(C) In First Appeal No.727/2006, the claimants shall

be entitled to receive Rs.2,04,000/- as compensation together with

interest at the rate of 9% p.a from the date of petition till actual

realization, which shall be inclusive of amount on account of no fault

liability from the owner of the offending vehicle.

(D) In First Appeal No.729/2006, the claimants shall

be entitled to receive Rs.2,04,000/- as compensation together with

interest at the rate of 9% p.a from the date of petition till actual

realization, which shall be inclusive of amount on account of no fault

J-fa357.16,718.06,727.06&729.06.odt 21/21

liability from the owner of the offending vehicle.

22. In the interest of justice, the insurance company i.e. the

appellant is directed to first pay compensation so determined by this

judgment to the claimants in each of the appeals and recover it later from

the owner of the offending vehicle in accordance with law.

23. It is directed that the amounts deposited by the insurance

company in this Court shall be transferred to the Reference Court and the

Reference Court shall not allow the claimants to withdraw these amounts

till the owner of the offending vehicle furnishes security for the entire

amount of compensation granted in each of these cases and all the

directions given by the Hon'ble Apex Court in the case of Shri Pramod

Kumar Agrawal and another vs. Mustari Begam and others, reported in

(2004) 8 SCC 667 are complied with.

24. Additional Court fees, if any, shall be paid within two months

from the date of order in each of the appeals.

JUDGE okMksns

 
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