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Bajaj Allianz General Insurance ... vs Preeti & Ors.
2012 Latest Caselaw 1531 Del

Citation : 2012 Latest Caselaw 1531 Del
Judgement Date : 5 March, 2012

Delhi High Court
Bajaj Allianz General Insurance ... vs Preeti & Ors. on 5 March, 2012
Author: G.P. Mittal
*        IN THE HIGH COURT OF DELHI AT NEW DELHI
                                 Reserved on: 2nd February, 2012
                               Pronounced on: 5th March, 2012
+        MAC. APP. No.747/2010

         BAJAJ ALLIANZ GENERAL INSURANCE CO. LTD.
                                            ..... Appellant
                       Through: Ms. Neerja Sachdeva, Advocate

                           Versus

         PREETI & ORS.                                      ..... Respondents
                                    Through:   Mr. Anshuman Bal, Advocate
                                               for the Respondents /Claimants

WITH
+   MAC. APP. No.277/2011

         PREETI & ORS.                                   ..... Appellants
                                Through        Mr. Anshuman Bal, Advocate
                           Versus

         BAJAJ ALLIANZ GENERAL INSURANCE CO. LTD.
                                         ..... Respondent

                                    Through:   Ms. Neerja Sachdeva, Advocate
                                               for the Respondent Insurance
                                               Company

         CORAM:
         HON'BLE MR. JUSTICE G.P.MITTAL

                                    JUDGMENT

G. P. MITTAL, J.

1. These are two Cross-Appeals. The MAC APP No.747/2010 is filed by Bajaj Allianz General Insurance Co. Ltd. seeking

reduction of compensation of `10,89,002/- awarded for the death of Sunny aged 22 years who died in a motor accident which occurred on 03.04.2010. In Cross-Objections registered as MAC APP No.277/2011, the Respondents No.1 to 4 seek enhancement of compensation on the ground that the increase of 50% towards future prospects ought to have been given on the deceased's income of `6,000/- per month. For the sake of convenience, Bajaj Allianz General Insurance Co. Ltd. shall be referred to as the Appellant and the Respondents No.1 to 4 who have filed the Cross-Objections as the Claimants.

2. The Claims Tribunal by impugned judgment took the deceased's income to be `4214/- per month on the basis of the salary certificate collected by the I.O. while filing the Detailed Accident Report before the Claims Tribunal; and added 50% towards future prospects to compute the loss of dependency.

3. Following contentions are raised on behalf of the Appellant:

i) The Claims Tribunal was not justified in giving the benefit of future increase in the income of the deceased in the absence of any evidence with regard to the permanent employment.

ii) The deceased's father should not have been considered as a dependent and there should have been deduction of 1/3rd towards personal and living expenses instead of 1/4th made by the Claims Tribunal.

4. Per contra, it is urged on behalf of the Claimants that the deceased's salary ought to have been taken as `6,000/- and not `4214/- per month and considering that the deceased was in

regular employment, 100% increase ought to have been given. It is stated that since the number of dependents were four including the father, the Claims Tribunal was justified in deducting 1/4th of the deceased's income towards his personal and living expenses.

5. During inquiry before the Claims Tribunal, the First Respondent filed her affidavit Ex.PW1/A and entered the witness box as PW1. She deposed that the deceased was getting a salary of `6,000/- per month. She proved the deceased's ESI Card as

Ex.PW1/1. In cross-examination, she admitted that the salary slip for March, 2010 issued by the Frontier Biscuit Factory showed that his salary was `4214/- per month. She testified that her father-in-law was not working. No evidence was produced by the Appellant to rebut PW1's testimony that the deceased's father was not earning.

6. It is important to note that the deceased was employed in a well-

known biscuit manufacturing company, i.e., Frontier Biscuit Factory Pvt. Ltd. which has wide-spread outlets throughout the N.C.T. of Delhi and in the N.C.R. The minimum wages of an unskilled worker on 01.08.2009 were `3,953/-. A Notification No.F.12(142)/02/MW/Lab/5573 dated 09.03.2010 was issued by the Government of N.C.T. of Delhi revising minimum wages of an unskilled worker retrospectively w.e.f. 01.02.2010

from `3,953/- to `5,278/- per month. Since the deceased was working in a reputed factory, he was getting more than the minimum wages. The revision in the salary in the factories takes some time since the minimum wages were revised in the month of March, 2010 and the deceased died on 03.04.2010. In view of the minimum wages being `5,278/-, I would consider the deceased's salary on the date of his death to be about ` 6,000/- per month.

7. Of course, it is established that the deceased was in employment in Frontier Biscuit Factory for the last about six months, ESI Card was also issued to him. But, there was no evidence that he was in permanent employment. In any case, to grant future prospects, it must be established that he was in stable employment. In the absence of any evidence in this regard, the Claimants were not entitled to addition on account of future prospects.

8. In the absence of any evidence to rebut the PW'1 testimony that the deceased's father was not earning, I would rely on the same and hold the number of dependents to be four. The Claims Tribunal, therefore, rightly deducted 1/4th towards the personal and living expenses of the deceased.

9. On taking the deceased's salary to be `6,000/- per month, the loss of dependency comes to `9,72,000/- (`6000 X 12 X 3/4 X

18). There is no challenge to the award of compensation of `10,000/- each to the four Claimants towards loss of love and

affection. Therefore, I would not interfere with the same.

10. On revised computation, the overall compensation comes to `10,37,000/- as against `10,89,002/-. The compensation is, therefore, reduced by `52,000/-.

11. There shall be reduction of the compensation of `52,000/- from the compensation in the share of the Third Respondent i.e. Shiv Sagar who is the deceased's father. Thus, he will get a compensation of ` 1,48,000/- with proportionate interest.

12. The excess sum of `52,000/- along with proportionate interest and the interest accrued, if any, during the pendency of the Appeal will be refunded to the Appellant Bajaj Allianz General Insurance Company Ltd.

13. Both the Appeals are disposed of in above terms.

14. The statutory amount shall also be returned to the Appellant Insurance Company.

(G.P. MITTAL) JUDGE MARCH 05, 2012 pst

 
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