Delhi High Court
Smt. Shakti Mahajan & Ors. vs Uoi & Anr. on 30 March, 2012
Author: J.R. Midha
R-56(part-1)
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ MAC.APP.No.110/2009
% Reserved on : 16th March, 2012
Date of decision : 30th March , 2012
SMT. SHAKTI MAHAJAN & ORS. ..... Appellants
Through : Mr. Ashok Popli, Adv.
versus
UOI & ANR. ..... Respondents
Through : Ms. Amita Singh, Adv. for R-1
CORAM :-
THE HON'BLE MR. JUSTICE J.R. MIDHA
JUDGMENT
1. The appellants have challenged the award of the Claims
Tribunal whereby compensation of `5,20,000/- has been award
to them. The appellants seek enhancement of the award
amount.
2. The accident dated 15th February, 2000 resulted in the
death of Anand Prakash Mahajan. The deceased was survived
by his widow and two sons who filed the claim petition before
the Claims Tribunal. The deceased aged 55 years, at the time
of the accident, was a practicing advocate. The Claims Tribunal
took the income of the deceased as `7,500/- per month,
deducted 1/3rd towards his personal expenses and applied the
multiplier of 8 to compute the loss of dependency at
`4,80,000/-. `25,000/- has been awarded towards loss of
consortium and `15,000/- towards funeral expenses. The total
compensation awarded is `5,20,000/-.
3. The learned counsel for the appellant seeks
enhancement of the award amount on the following grounds:-
(i) The income of the deceased be taken as `30,000/- per
month.
(ii) The multiplier be enhanced from 8 to 11.
(iii) The compensation be awarded for loss of love and
affection and loss of estate.
(iv) The rate of interest be enhanced from 7% per annum to
12% per annum.
4. The learned counsel for the respondents submit as
under:-
(i) The income of the deceased has not been sufficiently
proved.
(ii) The penal rate of interest @12% per annum be set aside.
5. The widow of the deceased appeared in the witness box
as PW-1 and proved the enrolment certificate and law degree
of the deceased as Ex.P-1 and Ex.P-2. She also proved the
Income Tax Returns and assessments as Ex.P-13 to Ex.P-22.
As per the Income Tax Return for the year 1996-97, the
professional income of the deceased was `54,470/- per annum.
The professional income of the deceased for the assessment
year 1997-98 was `65,280/- per annum. No Income Tax Return
was filed after 1997-98. The Claims Tribunal assumed the
income of the deceased as `7,500/- per month (`90,000/- per
annum). However, the Claims Tribunal has not given any basis
for assessing the income of the deceased as `7,500/- per
month. The Claims Tribunal ought to have taken the annual
income of the deceased as `65,280/- as per his last Income Tax
Return. The finding of the Claims Tribunal with respect to
income of the deceased is modified and the income of the
deceased is reduced from `7,500/- per month (`90,000/- per
annum) to `5,440/- per month (`65,280/- per annum).
6. The Claims Tribunal has applied the multiplier of 8
whereas appropriate multiplier according to the judgment of
the Supreme Court in the case of Sarla Verma v. Delhi
Transport Corporation, 2009 (6) Scale 129 is 11 as the
deceased was aged 55 years at the time of the accident. The
multiplier is therefore enhanced from 8 to 11.
7. The Claims Tribunal has not awarded any compensation
towards loss of love and affection. `25,000/- is awarded
towards loss of love and affection.
8. The Claims Tribunal has also not awarded any
compensation towards loss of estate. `10,000/- is awarded
towards loss of estate.
9. The Claims Tribunal has awarded interest @ 7% per
annum. However, the appropriate rate of interest as per the
judgment of the Supreme Court in the case of Municipal
Corporation of Delhi v. Association of Victims of Uphaar
Tragedy & Ors., AIR 2012 SC 100 is 9% per annum. The
rate of interest is enhanced from 7% per annum to 9% per
annum. The Claims Tribunal has also awarded penal interest
@ 12% per annum which is not justified in the facts and
circumstances of this case. The direction of the learned Trial
Court with respect to the penal rate of interest is therefore set
aside.
10. Taking the annual income of the deceased as `65,280/-,
deducting 1/3rd towards his personal expenses and applying
the multiplier of 11, the loss of dependency is computed to be
`4,78,720/-. Adding `25,000/- towards loss of consortium,
`25,000/- towards loss of love and affection, `15,000/- towards
funeral expenses and `10,000/- towards loss of estate, the
total compensation is computed to be `5,53,720/-.
11. The appeal is allowed and the award amount is enhanced
from `5,20,000/- to `5,53,720/- along with interest @ 9% per
annum from the date of filing of the claim petition till
realization. The share of the appellants in the enhanced award
amount shall be as under:-
Appellant No.1 (widow) - 50%
Appellant No.2 (son) - 25%
Appellant No.3 (son) - 25%
12. The enhanced award amount along with interest be paid
by respondent No.1 within 30 days with UCO Bank by means of
a cheque drawn in the name of UCO Bank A/c Shakti Mahajan.
Upon the aforesaid amount being deposited, UCO Bank shall
release the same to the appellants as per their shares by
transferring the same to their savings bank accounts.
13. Copy of this judgment be sent to Mr. M.S. Rao, AGM, UCO
Bank, Delhi High Court Branch, New Delhi (Mobile
No.09871129345).
J.R. MIDHA, J
MARCH 30, 2012
