Delhi High Court
Brijpal Singh Teotia & Anr vs New India Assurance Co Ltd & Ors on 17 May, 2012
Author: G.P. Mittal
* IN THE HIGH COURT OF DELHI AT NEW DELHI
Date of decision: 17th May, 2012
+ MAC.APP. 687/2010
BRIJPAL SINGH TEOTIA & ANR ..... Appellant
Through: Mr. S.N.Parashar, Advocate
versus
NEW INDIA ASSURANCE CO LTD & ORS..... Respondent
Through: Mr. Kanwal Chaudhay,
Advocate for R-1.
CORAM:
HON'BLE MR. JUSTICE G.P.MITTAL
JUDGMENT
G. P. MITTAL, J. (ORAL)
1. The Appeal is for enhancement of compensation of `4,29,168/-
awarded by the Motor Accident Claims Tribunal (the Claims
Tribunal) for the death of Arvind Teotia, who died in a motor
accident which occurred on 03.06.2006.
2. In the absence of any Appeal by the Owner and Insurer of the
offending vehicle, the finding on negligence has become final
between the parties.
3. It is urged by the learned counsel for the Appellants that the
deceased was a final year student of Electrical and Electronics
Engineering in BAMS College, Lucknow. Within one year of
obtaining the degree, the deceased's classmate started earning
`20,000/- per month. His income would have increased in
future. It is urged that the compensation awarded is fully
inadequate.
4. Admittedly, the deceased did not have any income on the date
of the accident. Evidence was produced to show the deceased's
potential income. Admittedly, the deceased was a final year
student of Engineering. He would have started earning just
within a year of his death.
5. It is well settled that in the case of a student pursing a
professional course, the Tribunal is to consider the potential
income of the deceased after the completion of the course to
award compensation towards the loss of dependency.
6. In the case of Haji Zainullah Khan (Dead) by Lrs. v. Nagar
Mahapalika, Allahabad, 1994 (5) SCC 667, death of a young
boy, aged 20 years took place in an accident which happened in
the year 1972. The deceased was a student of B.Sc Ist year
(Biology), a compensation of `1,46,900/- was increased and
rounded off to ` 1,50,000/-.
7. In Ganga Devi & Ors. v. New India Assurance Co. Ltd. & Ors.,
MAC APP. 359/2008, decided by this Court on 23.11.2009,
which related to the death of a student (studying medicine) who
was doing internship and was to be awarded the MBBS degree
in a short time, the Tribunal awarded a compensation of `
9,35,352/- on the basis of the minimum wages of a Graduate.
This Court observed that although the deceased was getting a
stipend of ` 5,000/- per month at the time of his death due to the
accident, he would have ultimately joined as a doctor at a salary
ranging between ` 16,000/- per month to ` 25,000/- per month.
Thus, the average monthly income of the deceased was taken as
` 18,000/- and after adding 50% towards future prospects, the
compensation was enhanced to ` 21,36,000/-.
8. In Ramesh Chand Joshi v. New India Assurance Company
MAC APP.212-213/2006 decided on 20.01.2010 this Court
took the potential income of a BE (Bio-Technology) First year
student of Delhi College of Engineer (DCE) `38,333/- per
month.
9. No evidence was led by the Appellants as to the deceased's
academic record. The deceased was not pursing Engineering
from any prestigious college and thus the Appellants would not
be entitled to any addition on account of future prospects.
Considering the evidence of PW-2, the potential income of the
deceased can be taken to be `20,000/- per month.
10. It was proved on record that the deceased's father was 53 years.
No evidence was led as to the age of the deceased's mother in
spite of the direction given by the Claims Tribunal as noticed in
Para 10 of the impugned judgment. In the circumstances, I
would accept the age of the Second Appellant to be about 53
years. There has to be deduction of 50% towards the personal
and living expenses in case of a bachelor. The appropriate
multiplier on the age of 53 would be '11'. There is liability of
income tax of about `19,000/-. The loss of dependency thus
comes to `12,15,500/- (20,000/- x 12 - 19,000/- (tax) x 1/2 x
11).
11. I further award a sum of `25,000/- towards loss of love and
affection and `10,000/- each towards loss to estate and funeral
expenses.
12. The overall compensation is thus enhanced from ` 4,29,168/- to
` 12,60,500/-.
13. The enhanced compensation of `8,31,332/- shall carry interest
@ 7.5% per annum from the date of the filing of the Petition till
its deposit. The Respondent No.1 New India Assurance
Company Limited is directed to deposit the enhanced amount
along with interest in the UCO Bank, Delhi High Court Branch
within six weeks.
14. 70% of the enhanced amount along with proportionate interest
shall be payable to the Second Appellant and 30% along with
proportionate interest shall be payable to the First Appellant.
15. 60% of the enhanced compensation along with proportionate
interest shall be held in fixed deposit for a period of two years,
four years and six years in equal proportion. 40% of the
enhanced compensation along with proportionate interest shall
be released immediately on deposit.
16. The Appeal is allowed in above terms.
(G.P. MITTAL)
JUDGE
MAY 17, 2012
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