Delhi High Court
Smt. Mangli And Ors. vs Sh. Ajit Singh And Ors. on 18 August, 2003
Equivalent citations: I (2004) ACC 202, 2003 VIAD Delhi 317
Author: S Mahajan
Bench: S Mahajan
JUDGMENT
S.K. Mahajan, J.
1. ADMIT.
2. The appellant has filed this appeal for enhancement of compensation for the death of one Jai Prakash who had died in a road accident caused by the rash and negligent driving of the offending vehicle by its driver. While appellant No.1 is the mother, appellants No.2 to 6 are the brothers and sisters of the deceased. The Tribunal after holding that the accident was caused due to the rash and negligent driving of the offending vehicle by its driver and that the deceased had died because of the injuries sustained in the said accident, awarded a total compensation of Rs.96,048/- in favor of the claimants including the wife of the deceased. Since the wife of the deceased had married during the pendency of the claim petition, the Tribunal directed a sum of Rs.36,000/- along with interest @ 12 % p.a. to be paid to the widow of the deceased and the balance sum to his mother, namely, appellant No.1. The award is challenged only on one ground, namely, the Tribunal has not taken into consideration the future prospects in the life and career of the deceased. It is submitted by Mr. Goyal, learned counsel for the appellant, that after taking the income of the deceased at minimum wage payable under the Minimum Wages Act as in the year 1987 the Tribunal ought to have considered the future prospects in the life and career of the deceased and assessed compensation on the basis of such income.
3. There are merits in the arguments advanced by Mr. Goyal. It is now well settled that while assessing just compensation, the Courts and the Tribunals are required to take into consideration the future prospects in the life and career of the deceased. The deceased at the time of his death was 24 years of age. Income of the deceased at the time of his death has been taken to be Rs.1,000/- p.m. With the rise in the cost of living and inflation, the wages are increased every year by issue of successive Notifications by the Government. The minimum wages in 1990 were less than three times the wages in 2002. Thus applying the principles laid down in Sarla Dixit Vs. Balwant Yadav, , this Court would not be in error in taking the average income of the deceased at least at one and a half times his income as on the date of his death. Thus taking the income of the deceased at Rs.1,500/- p.m. and deducting 1/3rd from this towards his personal expenses, the loss of dependency to the family would come to Rs.1,000/- p.m. Applying the multiplier of 12 as has been applied by the Tribunal, to which there is no challenge, loss of dependency to the family would come to Rs.1,44,000/-. Adding to this the conventional figure of Rs.15,000/- towards loss of estate, funeral expenses, etc. compensation payable to the family would come to Rs.1,59,000/-. Since the widow of the deceased had re-married, the Tribunal has awarded 37.5% of compensation in favor of the widow and the balance 62.5% in favor of the mother of the deceased. Appellant No.1 who is the mother of the deceased would, therefore, be entitled to the compensation of Rs.99,375/- rounded off to Rs.99,400/-.
4. Learned counsel for the respondent has submitted that the rate of interest has come down to almost 5% to 6% on fixed deposits and it would, therefore, not be appropriate to award interest @ 12 % p.a. as has been awarded by the Tribunal. While it is true that the rate of interest has come down to almost 6% on the fixed deposits during the last 4-5 years, however, the deceased had died in the year 1987 and the rate of interest during those days was almost 12% to 13% on fixed deposits. In my opinion, therefore, it would be appropriate to award 9% interest on the enhanced compensation from the date of death till the date of its payment. I am not in agreement with learned counsel for the respondent that not more than 5-6% interest should be awarded in favor of the appellants. The appellants having been deprived of the compensation for the last about 16 years, they are entitled to be paid the same along with interest.
5. I, accordingly, allow this appeal and modify the award to the extent that appellant No.1 would be entitled to the compensation of Rs.99,400/-. She will also be entitled to interest @ 9% per annum on the enhanced compensation from the date of filing the petition before the tribunal till realisation. Since the widow of the deceased had not filed any appeal, she will not be entitled to any enhanced compensation. In the facts of this case, I leave the parties to bear their own costs.
