Mulema Devi @ Sulema Devi & Ors vs Mohammad Aarif & Ors
2010 Latest Caselaw 1811 Del

*IN THE HIGH COURT OF DELHI AT NEW DELHI

                  +       MAC.APP.No.572/2009

                                 Date of Decision: 7th April, 2010
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      MULEMA DEVI @ SULEMA DEVI & ORS ..... Appellants
                   Through : Mr. K.K. Dubey, Adv.

                      versus

      MOHAMMAD AARIF & ORS        ..... Respondents
                  Through : Ms. Neerja Sachdeva, Adv.
                            for R-2.

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.5,28,160/-

has been awarded to the appellants. The appellants seek

enhancement of the award amount.

2. The accident dated 27/28th October, 2006 resulted in

the death of Mahavir Prasad. The deceased was survived by

his widow, mother and five minor children who filed the claim

petition before the Claims Tribunal.

3. The deceased was aged 41 years at the time of the

accident and was working as a driver with M/s Capital Tempo

Transport Company earning Rs.8,000/- per month. However,

in the absence of sufficient proof of income, the Claims

Tribunal took the minimum wages of Rs.3,716/- per month

into consideration, deducted 1/4th towards personal expenses

and applied the multiplier of 15 to compute the loss of

dependency at Rs.5,01,660/-. Rs.10,000/- has been awarded

towards loss of consortium, Rs.4,000/- towards funeral

expenses and Rs.12,500/- towards loss of estate. The total

compensation awarded is Rs.5,28,160/-.

4. The learned counsel for the appellants has urged the

following grounds at the time of hearing of this appeal:-

(i) The increase in minimum wages due to inflation

and rise in price index be taken into

consideration.

(ii) The personal expenses of the deceased be

reduced from 1/4th to 1/5th.

(iii) The compensation for loss of estate, loss of love

and affection and funeral expenses be enhanced.

(iv) The rate of interest be enhanced from 7% per

annum to 7.5% per annum.

5. It is well settled by catena of judgments of this Court in

the cases of Kanwar Devi vs. Bansal Roadways, 2008

ACJ 2182, National Insurance Company Limited vs.

Renu Devi III (2008) ACC 134 and UPSRTC vs. Munni

Devi, MAC.APP.No.310/2007 decided on 28.07.2008 that

the Court should take judicial notice of increase in minimum

wages to meet the increase in price index and inflation rate.

The Court has taken the view that the minimum wages get

doubled over the period of 10 years and increase in

minimum wages is not akin to future prospects. Following

the aforesaid judgments, the income of the deceased for

computation of compensation is taken to be Rs.5,574/- per

month [(Rs.3,716 + Rs.7,432)/2].

6. The learned counsel for respondent No.2 submits that

the deceased was aged 41 years at the time of the accident

and the appropriate multiplier according to the judgment of

the Hon'ble Supreme Court in the case of Sarla Verma Vs.

Delhi Transport Corporation, 2009 (6) Scale 129 is 14

whereas the Claims Tribunal has applied the multiplier of 15.

The learned counsel for respondent No.2 further submits that

the deceased has left behind seven legal representatives and

the appropriate deduction towards personal expenses

according to the judgment of the Hon'ble Supreme Court in

the case of Sarla Verma (supra) is 1/5th whereas the Claims

Tribunal has taken the personal expenses to be 1/4th.

Following the aforesaid judgment, the multiplier is reduced

from 15 to 14 and the personal expenses of the deceased

are reduced from 1/4th to 1/5th.

7. Taking the income of the deceased as Rs.5,574/- per

month, deducting 1/5th towards personal expenses and

applying the multiplier of 14, the loss of dependency is

computed to be Rs.7,49,145.60 (Rs.5,574 x 12 x 4/5 x 14).

8. The Claims Tribunal has awarded Rs.4,000/- towards

funeral expenses which is enhanced to Rs.10,000/-. The

compensation for loss of estate and loss of love and affection

is enhanced from Rs.12,500/- to Rs.20,000/-. The appellants

are entitled to total compensation of Rs.7,89,145.60

(Rs.7,49,145.60 + Rs.10,000 + Rs.20,000 + Rs.10,000).

9. The Claims Tribunal has awarded interest @7% per

annum. Following the judgment of the Hon'ble Supreme

Court in the case of Dharampal vs. U.P. State Road

Transport Corporation, III 2008 ACC (1) SC, the rate of

interest is enhanced from 7% per annum to 7.5% per annum.

10. The appeal is allowed with costs. The award amount is

enhanced from Rs.5,28,160/- to Rs.7,49,145.60 along with

interest @7.5% per annum from the date of filing of the claim

petition up to the date of notice of deposit under Order XXI

Rule 1 of the Code of Civil Procedure. The cost of the appeal

is assessed at Rs.25,000/- based on the memo of fees filed

by the counsel for the appellant at the time of hearing of this

appeal.

11. The enhanced award amount along with interest be

deposited by respondent No.2 with UCO Bank A/c Mulema

Devi @ Sulema Devi, Patiala House Branch through Mr. M.M.

Tandon, Member-Retail Team, UCO Bank Zonal, Parliament

Street, New Delhi (Mobile No. 09310356400) within 40 days.

The cost of Rs.25,000/- of this appeal be deposited by

respondent No.2 by means of separate cheque in the name

of K.K. Dubey, Advocate along with the deposit of the

enhanced award amount. In view of the judgment of this

Court in Sat Prakash vs. Jagdish, FAO.No.365/1999

decided on 26th March, 2010, the legal fee of the counsel

for respondent No.2 be also deposited with UCO Bank by

means of a separate cheque in the name of Ms. Neerja

Sachdeva, Advocate.

12. Upon the enhanced award amount being deposited,

UCO Bank is directed to release 10% of the amount to

appellant No.1 by transferring the same to her Savings Bank

Account. The remaining amount be kept in the fixed

deposits in the following manner:

(i) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.2 for a period

of one year.

(ii) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.1 for a period

of two years.

(iii) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.1 for a period

of three years.

(iv) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.1 for a period

of four years.

(v) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.1 for a period

of five years.

(vi) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.3 till she

attains the age of 18 years.

(vii) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.4 till she

attains the age of 18 years.

(viii) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.5 till he

attains the age of 18 years.

(ix) Fixed deposit in respect of 10% of the award

amount in the name of appellant No.6 till he

attains the age of 18 years.

13. The interest on the aforesaid fixed deposits shall be

paid monthly by automatic credit of interest in the Savings

Account of appellant No.1.

14. Withdrawal from the aforesaid account shall be

permitted to the appellants after due verification and the

Bank shall issue photo Identity Card to the appellants to

facilitate identity.

15. No cheque book be issued to the appellants without the

permission of this Court.

16. The Bank shall issue Fixed Deposit Pass Book instead of

the FDRs to the appellant and the maturity amount of the

FDRs be automatically credited to the Saving Bank Account

of the beneficiary at the end of the FDR.

17. No loan, advance or withdrawal shall be allowed on the

said fixed deposit receipts without the permission of this

Court.

18. Half yearly statement of account be filed by the Bank in

this Court.

19. On the request of the appellants, the Bank shall

transfer the Savings Account to any other branch of UCO

Bank according to the convenience of the appellants.

20. The appellants shall furnish all the relevant documents

for opening of the Saving Bank Account and Fixed Deposit

Account to Mr. M.M. Tandon, Member-Retail Team, UCO Bank

Zonal, Parliament Street, New Delhi (Mobile No.

09310356400).

21. Copy of the order be given dasti to counsel for both the

parties under signatures of the Court Master.

22. Copy of this order be also sent to Mr. M.M. Tandon,

Member-Retail Team, UCO Bank Zonal, Parliament Street,

New Delhi (Mobile No. 09310356400) through the UCO Bank,

High Court Branch under the signature of Court Master.

J.R. MIDHA, J

APRIL 07, 2010 aj