Chhayabai Prakash Shelke And ... vs United India Insurance Company ...
2021 Latest Caselaw 17175 Bom

                                                                               967-FA-823-15.odt




               IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                          BENCH AT AURANGABAD

                            FIRST APPEAL NO. 823 OF 2015

Chhayabai Prakash Shelke and Others                            ..APPELLANTS
      VERSUS
United India Insurance Co. Ltd.
Through Branch Manager, Parbhani
and Another                                                    ..RESPONDENTS

                                     ....
Mr. S.S. Deshmukh, Advocate for appellants
Mr. S.S. Rathi, Advocate for respondent no.1
                                     ....

                                                 CORAM : R.G. AVACHAT, J.

DATED : 09th DECEMBER, 2021

PER COURT :

1. Heard. This is an appeal for enhancement of compensation

granted on account of death in vehicular accident.

2. Learned counsel for the appellants - claimants would submit that

the deceased was a professional rickshaw driver. His monthly income was

not less than Rs.6,000/-. He was repaying Rs.4,000/- per month as loan

installment. He would further submit that nothing has been awarded

towards future prospects. A meager amount has been granted under

conventional heads. He would further submit that the multiplier has wrongly

been applied. He, therefore, urged for enhancement of compensation.

1 / 3

967-FA-823-15.odt

3. Learned counsel for Respondent No1. - insurance company would,

on the other hand, submit that it was a joint family of the deceased i.e. the

appellants and other siblings. There is evidence that the loan installment was

being paid out of the joint family funds. He further submits that the amount

awarded under the impugned award is just and reasonable one and no

interference is warranted therewith. He brought to the notice of this Court

that there was delay of 1449 days in preferring the appeal. Same was

condoned on condition that no interest for the delayed period shall be

awarded.

4. Considered the submissions advanced. Perused the impugned

award. The incident dates back to 2007. There is evidence to indicate that

the loan installment was being paid out of the joint family funds. Income of

Rs.3,000/- per month is modest one in the days of the accident. As such, this

Court is not inclined to make any enhancement in the notional income of the

deceased. The amount of compensation is required to be re-worked out in

terms of the Apex Court judgments in National Insurance Company Vs.

Pranay Sethi reported in (2017) 16 SCC 680 and Magma General Insurance

Co. Ltd. Vs. Nanu Ram alias Chuhru Ram and Others reported in (2018) 18

SCC 130, same would be as under :-

2 / 3

967-FA-823-15.odt

Sr. Particulars Amount No.

 1. Monthly income of the deceased                                                        3,000

 2. Annual income of the deceased (3,000 x 12)                                           36,000

 3. Plus : 40% towards future prospects                                   14,400         50,400

 4. Less : Since the dependents are three in number, 1/3rd thereof        16,800         33,600

to be deducted towards living and personal expenses

5. Applying multiplier of 18 6,04,800

6. Plus : Each of the claimants awarded Rs.40,000/- towards 1,20,000 7,24,800 loss of love and affection

7. Plus : Funeral expenses and loss of estate 30,000 7,54,800

This way, the total amount of compensation would come to

Rs.7,54,800/-.

5. The appeal thus stands disposed of in terms of following order :-

            (i)         The appeal partly succeeds.


            (ii)        The      amount        of   compensation     is     enhanced          from
                        Rs.3,93,500/- to Rs.7,54,800/-


            (iii)       Amount of Rs.1,50,000/- shall not carry interest pendente

lite.(i.e. from the date of petition to the date of this order)

(iv) The appellants shall also not be entitled for interest for a period of 1449 days.

( R.G. AVACHAT, J. ) SSD

3 / 3