Delhi High Court
United India Insurance Co. Ltd vs Sajitha Muhammed &Ors. on 19 March, 2010
Author: J.R. Midha
22
*IN THE HIGH COURT OF DELHI AT NEW DELHI
+ MAC.APP.No.106/2007
Date of Decision: 19th March, 2010
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UNITED INDIA INSURANCE CO. LTD ..... Appellant
Through Mr. Udit Kumar Chaturvedi for
Mr. A.K. De, Adv.
versus
SAJITHA MUHAMMED &ORS. ..... Respondents
Through Mr. K.P. Menon, Adv. for
R-1 to R-3.
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 compensation of Rs.23,21,940/-
has been awarded to claimants/respondents No.1 to 3.
2. The accident dated 31st December, 2002, resulted in
the death of K.P. Muhammed. The deceased was survived by
his widow and two minor children who filed the claim petition
before the learned Tribunal.
3. The deceased was aged about 38 years at the time of
the accident and was carrying on business of import and
export of vegetables. The learned Tribunal took the income
of the deceased as Rs.2,65,147/- per annum on the basis of
his Income Tax Returns. The Claims Tribunal deducted 1/3 rd
towards the personal expenses of the deceased and applied
the multiplier of 13 to compute the loss of dependency at
Rs.22,97,940/-. Rs.5,000/- has been awarded towards the
transportation of dead body, funeral expenses and loss of
estate, Rs.4,000/- towards embalming charges and
Rs.5,000/- towards loss of consortium. The learned Tribunal
has awarded total compensation of Rs.23,21,940/- to
claimants/respondents No. 1 to 3.
4. The learned counsel for the appellant has urged
following two grounds at the time of hearing of this appeal:-
(i) The driver of the offending vehicle was holding a
driving licence to drive LMV (transport vehicle) but
was not authorized to drive heavy goods vehicle
and, therefore, the appellant is entitled to
recovery rights against the owner of the offending
vehicle.
(ii) The rate of interest on the award amount be
reduced from 9% to 7%.
5. With respect to the first ground relating to the driving
licence, it is noted that notice of this appeal was issued on
the limited ground of quantum and, therefore, this ground
cannot be agitated by the appellant at this stage.
Notwithstanding the above objection, it is noted that the
driver of the offending vehicle was holding a valid driving
licence to drive LMV and it was endorsed to drive transport
vehicles. The learned counsel for the appellant submits that
the driver was not authorized to drive heavy vehicle carrying
hazardous substances for which a special licence is required.
The Claims Tribunal has discarded this plea of the appellant
on the ground that by virtue of the endorsement on the
licence, the driver was authorized to drive transport vehicle
which was not carrying any hazardous substance. There is no
infirmity in the finding of the Claims Tribunal and the same is
upheld.
6. The Claims Tribunal has awarded interest @ 7.5% per
annum from the date of filing of the claim petition till the
date of the award and future interest @ 9% per annum after
one month of the award, till realization. The interest awarded
by the Claims Tribunal is upheld.
7. The deceased was aged 38 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 15, whereas the Claims Tribunal has applied the
multiplier of 13. The Claims Tribunal has also not awarded
any compensation for loss of love and affection. The
impugned award warrants enhancement of multiplier by two.
However, since the claimants have not preferred any cross-
objections, no further orders are warranted.
8. For the aforesaid reasons, the appeal is dismissed.
9. The appellant has deposited 60% of the award amount
with the Claims Tribunal in terms of the order dated 21 st
February, 2007 and the same has been released to the
claimants as per the award.
10. The remaining 40% of the award amount, i.e.
Rs.14,11,802/- has been deposited by the appellant in UCO
Bank A/c Sajitha Muhammed, Delhi High Court Branch, in
terms of order dated 11th December, 2009.
11. The claimants/respondents are present in Court and they
have been examined with respect to their financial status
and financial needs. UCO Bank is directed to keep a sum of
Rs.13,00,000/- in fixed deposit in the following manner and
the remaining amount be released to respondent No.1 by
transferring the same to her Savings Bank Account:-
(i) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of six months.
(ii) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of one year.
(iii) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of one and a half
years.
(iv) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of two years.
(v) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of two and a half
years.
(vi) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of three years.
(vii) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of three and a half
years.
(viii) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of four years.
(ix) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of four and a half
years.
(x) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of five years.
(xi) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of five and a half
years.
(xii) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of six years.
(xiii) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of six and a half
years.
(xiv) Fixed deposit of Rs.50,000/- in the name of
respondent No.1 for a period of seven years.
(xv) Fixed deposit of Rs.3,00,000/- in the name of
respondent No.2 till he attains the age of 20
years.
(xiv) Fixed deposit of Rs.3,00,000/- in the name of
respondent No.3 till she attains the age of 20
years.
12. The interest on the aforesaid fixed deposits shall be
paid monthly by automatic credit of interest in the Savings
Account of respondent No.1.
13. Withdrawal from the aforesaid account shall be
permitted to respondent No.1. after due verification and the
Bank shall issue photo Identity Card to respondent No.1. to
facilitate identity.
14. No cheque book be issued to appellant No.1 without the
permission of this Court.
15. The Bank shall issue Fixed Deposit Pass Book instead of
the FDRs to the appellants and the maturity amount of the
FDRs be automatically credited to the Saving Bank Account
of the beneficiary at the end of the FDR.
16. No loan, advance or withdrawal shall be allowed on the
said fixed deposit receipts without the permission of this
Court.
17. Half yearly statement of account be filed by the Bank in
this Court.
18. On the request of respondent No.1, the Bank shall
transfer the Savings Account to any other branch according
to the convenience of respondent No.1.
19. The respondent Nos.1 to 3 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.
20. Statutory amount of Rs.25,000/- deposited by the
appellant along with this appeal, be refunded back to the
appellant through counsel within four weeks.
21. Copy of the order be given dasti to counsel for both the
parties under the 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
MARCH 19, 2010
HL
