Delhi High Court
The Oriental Insurance Co. Ltd vs Mohd. Akhtar Ahmed & Ors on 6 April, 2016
$~23
* IN THE HIGH COURT OF DELHI AT NEW DELHI
Date of Decision: 6th April, 2016
+ MAC.APP. 671/2014
THE ORIENTAL INSURANCE CO. LTD ..... Appellant
Through: Mr. Manoj Bhandari, Adv.
versus
MOHD. AKHTAR AHMED & ORS .... Respondents
Through: None.
CORAM:
HON'BLE MR. JUSTICE R.K.GAUBA
JUDGMENT
R.K.GAUBA, J (ORAL):
1. Mohd. Akram, a bachelor, aged 24 years, died in a motor
vehicular accident that occurred at 9 a.m. on 05.02.2009 involving rash
driving of motor vehicle described as radio taxi (car) bearing registration
no. DL 1RY 3144, which was admittedly insured against third party risk
with the appellant insurance company (insurer). His parents (first and
second respondents) brought a claim petition (suit no. 161/2009) on
13.04.2009 before the motor accident claims tribunal (the tribunal)
impleading the insurer, driver and owner of the offending vehicle as
respondents.
2. The tribunal, after inquiry, awarded compensation in the sum of
Rs. 7,72,308/- with interest @ 9% per annum from the date of filing of
the petition and called upon the insurer to satisfy the award. The said
compensation includes Rs. 6,37,308/-, calculated towards loss of
dependency on the basis of minimum wages (Rs. 3,934/-) on the
multiplier of 18, with addition of future prospects of increase to the
extent of 50%.
3. The insurer is aggrieved on the element of future prospects being
added and the multiplier of 18 being adopted. The appeal must succeed
on both contentions.
4. In the case reported as Sarla Verma & Ors. vs. Delhi Transport
Corporation & Anr., (2009) 6 SCC 121, Supreme Court, inter-alia, ruled
that the element of future prospects of increase in income will not be
granted in cases where the deceased was "self employed" or was
working on a "fixed salary". Though this view was affirmed by a bench
of three Hon'ble Judges in Reshma Kumari & Ors. Vs. Madan Mohan &
Anr., (2013) 9 SCC 65, on account of divergence of views, as arising
from the ruling in Rajesh & Ors. vs. Rajbir & Ors., (2013) 9 SCC 54, the
issue was later referred to a larger bench, inter-alia, by order dated
02.07.2014 in National Insurance Company Ltd. vs. Pushpa & Ors.,
(2015) 9 SCC 166.
5. Against the above backdrop, by judgment dated 22.01.2016 passed
in MAC Appeal No. 956/2012 (Sunil Kumar v. Pyar Mohd.), this Court
has found it proper to follow the view taken earlier by a learned single
judge in MAC Appeal No. 189/2014 (HDFC Ergo General Insurance
Co. Ltd. v. Smt. Lalta Devi & Ors.) decided on 12.1.2015, presently
taking the decision in Reshma Kumari (Supra) as the binding precedent,
till such time the law on the subject of future prospects for those who are
"self-employed" or engaged in gainful employment at a "fixed salary" is
clarified by a larger bench of the Supreme Court.
6. Since the deceased was bachelor, the monthly loss of dependency
is calculated as (3934÷ 2) Rs. 1967/-. As per the material on record, the
age of the father and mother was 55 years and 45 years respectively on
the date of accident. This would mean the average age was 50 years and
the multiplier of 13 would apply. Therefore, the loss of dependency is
calculated as (1,967 x 12 x 13) Rs. 3,06,852/- , rounded off to Rs.
3,07,000/-. Adding the non-pecuniary damages in the total sum of Rs.
1,35,000/- awarded by the tribunal, the total compensation payable in the
case comes to Rs. (3,07,000+ 1,35,000) Rs. 4,42,000/-.
7. The award is reduced accordingly. It shall carry interest as levied
by the tribunal.
8. By order dated 28.07.2014, the insurance company had been
directed to deposit the entire awarded amount with accumulated interest
within the period specified with the Registrar General of this Court and
out of such deposit 75% was allowed to be released.
9. The Registrar General shall calculate the amounts now payable to
the claimants in terms of the award modified as above and release the
same in terms of the impugned judgment.
10. The statutory deposit, if made, shall be refunded.
11. The appeal is disposed of in above terms.
12. Dasti.
R.K. GAUBA
(JUDGE)
APRIL 06, 2016/nk
