Calcutta High Court (Appellete Side)
The New India Assurance Co. Ltd vs Smt. Arati Pal & Ors on 2 July, 2021
S/L 20
02.7.2021
Court No.26
SD
FMAT 49 of 2020
With
CAN 1 of 2020
(Old CAN 945 of 2020)
(Via Video Conference)
The New India Assurance Co. Ltd.
Vs.
Smt. Arati Pal & Ors.
Mr. Sanjay Paul
... for the Appellants/Insurance Co.
Mrs. Susmita Saha Dutta
Mr. Niladri Saha
... for the Respondents/Claimants.
On the basis of oral application, delay in filing the
appeal is condone.
This instant appeal filed by the New India Assurance
Co. Ltd. against the award and/or Judgment dated August
29, 2019 passed by the Additional District & Sessions Judge,
M.A.C. Tribunal, F.T.C.- 1st, Islampur, Uttar Dinajpur in
C.I.S. No. (M.A.C.C.) No. 147 of 2018 ( Arati Pal & Anr. -vs-
Md. Bin Kashim Sarkar & Anr.).
The facts of the case are not in dispute.
The claim was filed under Section 163A of the M. V.
Act, 1988. Counsel for the appellant/insurance company
submits that the Tribunal committed error in law while
awarding compensation of Rs.5,00,000/ by relying upon a
Gazette notification dated 22nd May, 2018 published by the
Ministry of Road Transport and Highways Authorities
whereby the said authority amended the Second Schedule of
163A of the Motor Vehicles Act, 1988 and assessed
compensation of Rs.5,00,000/- lump sum basis irrespective
of age and income of the victim which has given effect from
22nd May, 2018 to those cases which shall be filed after the
said amendment but the accident as well as claim application
filed in the instant case prior to date of amendment.
Counsel for the appellant/insurance company
further submits that the Tribunal committed error in law
while directing the appellant/insurance company to pay
compensation instead of owner of the offending vehicle since
at the time of accident the insurance policy was not valid due
to dishonour of cheque issued by the insured for renewal of
insurance policy.
Counsel for the respondents/claimants submit that
due to non-payment of premium for insurance policy by the
owner of the offending vehicle the third party to the accident
cannot be suffered, therefore, the Tribunal is just while
directing the appellant/insurance company to pay
compensation. Regarding quantum of compensation the
counsel for the respondents/claimants fairly conceded over
the issue and submit that her clients are ready and willing to
take compensation by following the old II Schedule of the
M.V. Act, 1988.
Needless to mention here that despite service of
summons, the owner of the offending vehicle chose not to
contest the case before the Tribunal and claim case was
heard ex-parte against the said opposite party.
Be that as it may, considering the rival submissions of
the parties this Court assessing compensation by following
the old II Schedule of the M.V. Act, 1988 as follows:
Monthly income Rs.3,000/-
Annual Income Rs.36,000/-
Less personal expenses (1/3rd) Rs.12,000/-
Annual loss of dependency Rs.24,000/-
Multiplier 11 (51 years as per P.M. Report
(Rs. 24,000/ x 11) Rs.2,64,000/-
General Damages Rs.9,500/-
Total compensation = Rs.2,73,500/-
Counsel for the respondents/claimants acknowledges
that her clients have not received any compensation amount
in terms of the award dated 29.08.2019 passed by the
Tribunal.
The Appellant submits that they have already
deposited the statutory amount of Rs.25,000/- before this
Hon'ble Court. Therefore, the appellant/insurance company
is directed to pay a sum of Rs.2,73,500/- together with 6%
interest from the date of filing of claim application till
payment to the claimants within 45 days of receipt of
particulars of their bank accounts to be supplied by her
counsel to the counsel for the insurance company. It is made
clear that the payments shall be made by NEFT/ RTGS in the
proportion as ordered by the Court below. After payment of
the above compensation to the claimants, the
appellant/insurance company shall be at liberty to recover
the compensation amount paid to claimants from the owner
of the offending vehicle by initiating appropriate proceeding
in accordance with law.
The appellant/insurance company shall also be at
liberty to withdraw the statutory amount of Rs.25,000/-
together with accrued interest thereon from the Learned
Registrar General, High Court, Calcutta after payment to the
claimants.
With the aforesaid directions, the instant appeal is
disposed of.
There shall be no order as to costs.
In view of the disposal of this appeal, connected
applications, if any, are also disposed of.
The Registry is directed to send down the lower court
records at once, if received by this time.
Urgent photostat certified copy of this order, if applied
for, be given to the parties, upon compliance of all
formalities, on priority basis.
(Shekhar B. Saraf, J.)
