Delhi High Court
National Insurance Co. Ltd. vs Vishalakshy & Ors. on 14 December, 2011
Author: G.P. Mittal
* IN THE HIGH COURT OF DELHI AT NEW DELHI
Reserved on: 8th December, 2011
Pronounced on: 14th December, 2011
+ MAC APP. 566/2004
NATIONAL INSURANCE CO. LTD. ..... Appellants
Through: Ms. Shantha Devi Raman, Adv.
Versus
VISHALAKSHY & ORS. ..... Respondents
Through: Mr. Ashok Popli, Adv. for R-1.
Mr. Hem C. Vashisht, Adv. for R-3.
CORAM:
HON'BLE MR. JUSTICE G.P.MITTAL
JUDGMENT
G. P. MITTAL, J.
1. The Appellant National Insurance Co. Ltd. impugns the award
dated 21.09.2004 whereby a compensation of ` 6,00,000/- was
awarded by the Motor Accident Claims Tribunal (the Tribunal)
for the death of a young boy Master V. Mani, who was aged 17
years and was a student of 12th standard on the date of accident,
which took place on 22.09.1992.
2. The contentions raised on Appellant's behalf are: -
(i) The deceased's monthly income was wrongly taken as `
3,000/-. One half of the income ought to have been
deducted towards personal expenses as against 1/3rd taken
by the Tribunal.
(ii) The minimum wages of a matriculate on the date of the
accident were ` 1,273/-. Even if an increase of 50% is
given towards future prospects, the monthly income
would have been ` 1,900/- per month. The deceased was
still a minor studying in 12th standard and the Tribunal
erred in taking the deceased's monthly income to be `
3,000/-.
3. In Manju Devi v. Musafir Paswan, VI (2005) SLT 257 the
Supreme Court took the notional income of ` 15,000/- as per
second schedule of the Motor Vehicles Act and granted a
compensation of ` 2,25,000/- in respect of death of a boy aged
13 years.
4. In the case of Sham Narayan v. Kitty Tours & Travels, 2006
ACJ 320 relating to the death of a child aged 5 years this Court
relying on Manju Devi (supra) took the notional income of `
15,000/- and enhanced the compensation from ` 1,00,000/- to `
2,75,000/-.
5. In the case of R. K. Malik v. Kiran Pal, III (2006) ACC 261, this
Court granted a compensation of ` 75,000/- towards non-
pecuniary damages in addition to the compensation of `
2,25,000/- on account of loss of dependency. This case relates
to the death of 22 children, who lost their lives on account of
the school bus falling in the Yamuna as a result of rash and
negligent driving of the bus driver. The claimants in R. K.
Malik (supra) took the matter to the Supreme Court. The
Hon'ble Supreme Court in R. K. Malik v. Kiran Pal, (2009) 8
SCALE 451 enhanced the compensation by awarding a further
compensation of ` 75,000/- towards future prospects. All these
judgment were relied on by this Court in National Insurance
Co. Ltd. v. Farzana & Ors., 2009 ACJ 2763 and it was held that
in case of the death of a minor the Claimants would be entitled
to total compensation of ` 3,75,000/- (i.e. ` 2,25,000/- towards
loss of dependency + ` 75,000/- towards loss of love and
affection and ` 75,000/- towards future prospects). Even if the
minimum wages of a matriculate on the date of the accident
with future prospects are considered the compensation would
come to almost this amount.
6. The Tribunal erred in assuming the deceased's income as `
3,000/- per month. The compensation awarded is reduced from
` 6,00,000/- to ` 3,75,000/- along with interest @ 7.5% per
annum from the date of filing of the petition till the date of
deposit. The award amount was ordered to be deposited by the
order of this Court dated 03.01.2005 and an amount of `
3,00,000/- was ordered to be released to Respondent No.1. The
balance amount in terms of this order shall be released to
Respondent No.1.
7. The excess amount deposited shall be refunded to the Appellant
National Insurance Co. Ltd.
8. The appeal is allowed in above terms.
(G.P. MITTAL)
JUDGE
DECEMBER 14, 2011
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