Citation : 2011 Latest Caselaw 6314 Del
Judgement Date : 22 December, 2011
* IN THE HIGH COURT OF DELHI AT NEW DELHI
Decided on: 22nd December, 2011
+ MAC APP. 106/2011
PANNA LAL & ORS. ...... Appellants
Through: Mr. Manish Maini, Advocate.
Versus
ANJIT KUMAR JHA & ORS. ..... Respondent
Through: Mr. L.K.Tyagi, Advocate for R-3.
CORAM:
HON'BLE MR. JUSTICE G.P.MITTAL
JUDGMENT
G. P. MITTAL, J. (ORAL)
1. The Appellant claims enhancement of compensation for the death of Smt. Tripta who was re-employed as a teacher in the MCD. The deceased at the time of the accident was getting a salary of Rs.28,955/- including ` 2160/- per month towards transport allowance. In addition, the deceased Smt. Tripta was also getting a pension of ` 6990/- per month.
2. The Motor Accident Claims Tribunal (the Tribunal) by the impugned award dated 08.10.2010 held that only Appellant No.3 Ms. Ritu was dependant on the deceased as she was handicapped. The husband and the son were not financially dependants. The Tribunal, therefore, took the deceased's net salary as ` 26,795/-, deducted 50% towards personal expenses
of the deceased and computed loss of dependency for the period of 17 months of re-employment as ` 2,27,800/-. Thereafter, the Tribunal went on to add a sum of ` 2,52,000/- towards the loss of household services, which would have been rendered by the deceased after her retirement. A total compensation of ` 5,42,300/- was awarded.
3. At the time of hearing of the Appeal a short submission has been made by the learned counsel for the Appellants. It is submitted that the deceased had worked as a teacher all her life. Deceased was re-employed and would not have spent half of the amount which she would be earning towards her personal expenses, particularly when she had a handicapped daughter (Appellant No.3).
4. On the other hand, it is urged by the learned counsel for respondent No.3 Bharti Axa General Insurance Company Limited that while computing the loss of income, no provision was made for payment of the income tax.
5. I agree with the learned counsel for the Appellants that in the circumstances when the deceased was getting salary of ` 26,795/- per month apart from transport allowance of ` 2160/- per month and a pension of about ` 7,000/- she would not spent 50% of her income towards her personal living expenses, in view of the fact that the deceased had to look after a handicapped daughter. The mother would save the maximum
amount of her income and spend it on her handicapped child. In the circumstances of the case, I am of the view that one-third of the amount ought to have been deducted towards her personal expenditure.
6. The deceased would have got a total salary of ` 4,55,515/- for 17 months for which she was still to work and was liable to pay income tax.
7. The income tax for the assessment year 2010-11 on an income of ` 4,55,515/- would be about 15,000/- though the deceased was alive till 7th August, i.e. for a period of four months only in the AY-2010-11. Considering all this, the liability of tax for eight months in the year 2010-11 and for nine months in the next year would be about ` 25,000/-.
8. The loss of income for 17 months minus income tax of ` 25,000/- comes to ` 4,30,000/-. If one-third is deducted towards personal expenses, the loss of dependency comes to ` 2,87,010/- instead of ` 2,27,800/-.
9. The compensation is enhanced by ` 60,000/- which shall carry interest @ 7.5% per annum from 1.12.2010 till the date of payment.
10. Respondent No.3 Insurance Company is directed to deposit the enhanced amount along with the interest within six weeks with Registrar General of this Court. On deposit the entire amount
shall be converted into FDR for a period of five years in the name of Appellant No.3. Appellant No.3 shall be entitled to be paid quarterly interest till the date of maturity of the FDR.
11. The Appeal is allowed in above terms.
12. Pending application stands disposed of.
(G.P. MITTAL) JUDGE DECEMBER 22, 2011 vk
Publish Your Article
Campus Ambassador
Media Partner
Campus Buzz
LatestLaws.com presents: Lexidem Offline Internship Program, 2026
LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!