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The New India Assuranc Co Ltd vs Sanjo Devi And Ors
2009 Latest Caselaw 1531 Del

Citation : 2009 Latest Caselaw 1531 Del
Judgement Date : 20 April, 2009

Delhi High Court
The New India Assuranc Co Ltd vs Sanjo Devi And Ors on 20 April, 2009
Author: J.R. Midha
12
*IN THE HIGH COURT OF DELHI AT NEW DELHI

                     +    MAC.APP. 601/2008

                                 Date of Decision: 20th April, 2009
%

      THE NEW INDIA ASSURANC CO LTD       ..... Appellant
                    Through : Mr. Pankaj Seth, Adv.

                     versus

      SANJO DEVI AND ORS          ..... Respondents
                    Through : None.


CORAM :-
THE HON'BLE MR. JUSTICE J.R. MIDHA

1.      Whether Reporters of Local papers may                   No
        be allowed to see the Judgment?

2.      To be referred to the Reporter or not?                  No

3.      Whether the judgment should be                          No
        reported in the Digest?

                         JUDGMENT (Oral)

1. The appellant has challenged the award of the learned

Tribunal whereby compensation of Rs.7,20,000/- has been

awarded to respondents No.1 to 6.

2. The accident dated 20th - 21st January, 2005 resulted in

the death of Dev Narain. Dev Narain was survived by his

widow, parents and children who filed the claim petition

before the learned Tribunal for compensation.

3. The deceased was aged 30 years at the time of the

accident and was working as Electrician with the tent house

earning Rs.5,500/- per month. However, in the absence of

documentary evidence, the learned Tribunal took the

minimum wages of Rs.3,044/- per month and after

considering the increase in minimum wages, the income for

the purpose of computation was taken as Rs.5,000/- per

month. The learned Tribunal deducted 1/3rd towards

personal expenses of the deceased and applied the multiplier

of 17 to compute the compensation of Rs.6,80,000/-.

Rs.5,000/- was awarded towards funeral expenses,

transportation of dead body and loss of estate, Rs.10,000/-

towards loss of consortium to and Rs.15,000/- towards loss of

love and affection. The total compensation awarded was

Rs.7,20,000/-.

4. The appellant has challenged the impugned award on

various grounds inter alia that increase in minimum wages

should not have been considered; secondly, even if

considered, the increase would be Rs.4,566/- [(Rs.3,044 +

Rs.3,044 x 2)/2]; and lastly, lower multiplier should have

been applied.

5. With respect to the income of the deceased, the

increase in minimum wages should be taken by taking the

average of Rs.3,044/- and its double which comes to Rs.

4,566/-. As such, the learned Tribunal was in error in taking

Rs.5,000/-. However, the learned Tribunal was also in error

in deducting 1/3rd towards personal expenses of the

deceased considering that the deceased left behind six legal

representatives/dependents. Deduction of 1/3rd towards

personal expenses is not the thumb rule and in the present

case, the deduction should have been 1/5th instead of 1/3rd.

The learned Tribunal has also awarded lower amount

towards loss of consortium and towards loss of love and

affection. In Mohinder Kaur vs. Hira Nand Sindhi, 2007

ACJ 2123, the Apex Court has awarded interest @9% per

annum on the compensation of Rs.50,000/- towards loss of

consortium relating to the accident of 1982. The Madras

High Court in the case of United India Insurance Co. Ltd.

vs. Sulochana, III (2007) ACC 50 (DB), has awarded

Rs.50,000/- towards loss of consortium and Rs.25,000/- to

each of the claimants towards loss of love and affection. This

Court has also awarded Rs.50,000/- towards loss of

consortium in the case of New India Assurance Co. Ltd.

Vs. Amresh Kumar, 2005 ACJ 538.

6. Considering the aforesaid judgments, the compensation

towards the loss of consortium and also towards loss of love

and affection is on a lower side.

7. The award of the learned Tribunal does not warrant

reduction considering the effect of excess of Rs.434/- per

month in computing that personal expenses of the deceased

have been deducted @ 1/3rd instead of 1/5th and the lower

amount awarded towards loss of consortium and loss of love

and affection.

8. The appeal is, therefore, dismissed in limine.

9. The Registry is directed to refund the statutory amount

of Rs.25,000/- to the appellant within two weeks.

CM No.17270/2008

1. For the reasons stated in the application, the delay of

66 days in filing of this appeal is condoned.

2. CM stands disposed of.

CM No.17269/2008

Dismissed.

J.R. MIDHA, J

APRIL 20, 2009 aj

 
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