Lajwanti & Ors. vs Ram Narayan & Ors.
2009 Latest Caselaw 2071 Del

7
*IN THE HIGH COURT OF DELHI AT NEW DELHI

                     +      FAO No.290/2002

                                Date of Decision: 15th May, 2009
%

      LAJWANTI & ORS.              ..... Appellants
                    Through : Mr. Anuj Jain, Adv.

                   versus

      RAM NARAYAN & ORS.                ..... Respondents
                  Through :        Mr. D.K. Sharma, Adv.


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

1.      Whether Reporters of Local papers may      YES
        be allowed to see the Judgment?

2.      To be referred to the Reporter or not?     YES

3.      Whether the judgment should be             YES
        reported in the Digest?

                         JUDGMENT (Oral)

1. The appellants have challenged the award of the

learned Tribunal whereby the compensation of Rs.2,40,000/-

has been awarded to the appellants. The appellants seek

enhancement of the award amount.

2. The accident dated 5th November, 1999 resulted in the

death of Bhuru Ram aged 40 years. The deceased was

survived by his widow, three sons and a daughter who filed

the claim petition before the learned Tribunal.

3. The learned Tribunal awarded Rs.1,90,400/- to the

appellants. The learned Tribunal has deducted 1/3 rd

towards personal expenses of the deceased and has applied

the multiplier of 12 to compute the loss of dependency. The

learned Tribunal has awarded Rs.10,000/- towards loss of

estate and consortium but no amount has been awarded for

loss of love and affection. The interest has been awarded

@9% per annum but the appellants have been disentitled for

interest for a period of two years.

4. The learned counsel for the appellants has made the

following submissions:-

(i) The multiplier be enhanced from 12 to 15.

(ii) The personal expenses of the deceased be reduced

from 1/3rd to 1/4th.

(iii) The compensation be awarded for loss of love and

affection.

(iv) The interest be also awarded for a period of two years.

5. The Hon'ble Supreme Court in the recent judgment of

Sarla Verma Vs. Delhi Transport Corporation, 2009 (6)

Scale 129 decided on 15th April, 2009 has held the

appropriate multiplier at the age of 40 to be 15. Following

the aforesaid judgment, the multiplier is enhanced from 12

to 15. The Hon'ble Supreme Court has further held that

where the deceased has left behind four to six legal

representatives, the personal expenses be deducted as 1/4 th.

In the present case, the deceased has left behind five legal

representatives and, therefore, the personal expenses of the

deceased are taken to be 1/4th instead of 1/3rd.

6. The learned Tribunal has not awarded any

compensation for loss of love and affection. Considering the

facts and circumstances of this case, the compensation of

Rs.10,000/- is awarded to each of the appellants towards

loss of love and affection.

7. The learned Tribunal has disentitled the appellants to

claim interest for a period of two years on the ground that

they had delayed the proceedings. The view taken by the

learned Tribunal is clearly erroneous. Under Section 168 of

Motor Vehicles Act, it is the duty of the learned Tribunal to

conduct an enquiry. Instead of discharging its statutory

duty, the learned Tribunal kept on waiting for the poor and

helpless claimants to proceed in the matter. The award

amount became due and payable at the time of the death of

the deceased and the Insurance Company despite having

verified all the relevant facts including the age, occupation,

income and number of dependents withheld the amount and

kept on earning interest on the award amount invested by

them. The Insurance Company cannot deny the award of

interest to the claimants on the ground that there was some

delay on the part of the poor and helpless claimants. The

appellants are, therefore, entitled to interest on the entire

award amount from the date of filing of the petition till the

date of payment including the period of two years in respect

of which the learned Tribunal has not awarded interest.

8. The appellants are entitled to a sum of Rs.3,80,017.50

(Rs.2,370.50 x 3/4 x 12 x 15 + Rs.10,000 + Rs.10,000 +

Rs.10,000 + Rs.10,000 + Rs.10,000 + Rs.10,000) which is

rounded off as Rs.3,80,000/-. The shares of the appellants in

the award amount shall be as under:-

        Appellant No.1       :       50%
        Appellants No.2 to 4 :       10% each
        Appellant No.5       :       20%

9. The appeal is allowed and the award amount is

enhanced from Rs.1,90,400/- to Rs.3,80,000/-. The rate of

interest on the original award amount @9% is not disturbed.

However, on the enhanced amount, the rate of interest is

awarded @7.5% per annum from the date of filing of the

petition till the date of payment.

10. Respondent No.3 is directed to deposit the enhanced

amount along with interest with the learned Tribunal within

30 days.

11. Upon the enhanced amount being deposited, the

learned Tribunal is directed to release 10% of the award

amount to appellant No.1. The remaining amount shall

remain in the fixed deposit with a nationalized bank in the

name of the appellants as per their share for the period of

seven years on which periodical interest be paid to them but

no advance, loan or withdrawal be permitted without the

prior permission of the learned Tribunal. However,

appellant No.1 shall be at liberty to approach the learned

Tribunal for withdrawal of appropriate amount at the time of

marriage of appellant No.5.

12. Copy of this order be given 'Dasti' to learned counsel

for the parties under signatures of Court Master.

J.R. MIDHA, J

MAY 15, 2009 aj