Delhi High Court
The Oriental Insurance Co Ltd vs Pankaj Kumar Jha & Ors on 23 August, 2016
$~18 & 19
* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Date of Decision: 23rd August, 2016
18
+ MAC.APP. 153/2016 & CM Nos.5680/2015, 23227/2016
THE ORIENTAL INSURANCE CO LTD ..... Appellant
Through: Mr. Shoumik Mazumdar, Adv. for
Mr.Pankaj Seth, Adv.
versus
PANKAJ KUMAR JHA & ORS ..... Respondents
Through: Mr. Peeosh Sharma, Mr. Kartikey
Nayyar, Ms. Shaurya M. Tomar,
Advs.
19
+ MAC.APP. 159/2016 & CMs 5925/2016, 25724/2016
THE ORIENTAL INSURANCE CO LTD ..... Appellant
Through: Mr. Shoumik Mazumdar, Adv. for
Mr.Pankaj Seth, Adv.
versus
PANKAJ KUMAR JHA & ORS ..... Respondents
Through: Mr. Peeosh Sharma, Mr. Kartikey
Nayyar, Ms. Shaurya M. Tomar,
Advs.
CORAM:
HON'BLE MR. JUSTICE J.R. MIDHA
JUDGMENT (ORAL)
1. The appellant has challenged the award dated 4th December, 2015
whereby the compensation of Rs.10,04,536/- has been awarded in respect of
the death of Nawal Kishore Jha and Rs.11,38,688/- has been awarded in
respect of the death of late Gaurav Kumar Jha.
2. The accident dated 10th May, 2013 resulted in the death of Nawal
Kishore Jha and his son, Gaurav Kumar Jha. Nawal Kishore Jha aged 55
years was survived by his two sons and mother whereas Gaurav Kumar Jha
aged 19 years was survived by two brothers and grandmother.
3. Nawal Kishore Jha was a daily wager and the Claims Tribunal took
minimum wages of Rs.7,722/- in respect of unskilled worker, deducted 1/3rd
towards his personal expenses and applied the multiplier of 11 to compute
the loss of dependency at Rs.6,79,536/-. The Claims Tribunal awarded
Rs.2,00,000/- towards loss of love and affection, Rs.1,00,000/- towards loss
of estate and Rs.25,000/- towards funeral expenses. Total compensation
awarded is Rs.10,04,536/-.
4. Gaurav Kumar Jha, aged 19 years was a student and was also
imparting computer coaching. The Claims Tribunal took minimum wages
of Rs.9,386/- in respect of a matriculate, added 50% towards future
prospects, deducted 1/3rd towards personal expenses and applied the
multiplier of 18, to compute Rs.10,13,688 towards loss of estate. The
Claims Tribunal awarded Rs.1,00,000/- towards loss of love and affection
and Rs.25,000/- towards funeral expenses. Total compensation awarded is
Rs.11,38,688/-.
5. Learned counsel for the appellant has urged at the time of the hearing
that the future prospects of 50% should not be taken into consideration in the
case of Gaurav Kumar Jha. It is further submitted that the multiplier
according to the age of the claimants be taken into consideration instead of
the multiplier of 18 according to the age of the deceased. Learned counsel
for the appellant submits that the deduction of 50% be made towards the
personal expenses of the deceased. It is further submitted that the penal rate
of interest @ 12% per annum be set aside as the appellant had filed the
appeal before this Court.
6. On consideration of the contentions raised, this Court is of the view
that the compensation awarded in both the cases is fair and reasonable.
There is no infirmity in the Claims Tribunal taking 50% as future prospects
in respect of Gaurav Kumar Jha aged 19 years who was a student and was
also imparting computer coaching. The deceased, Gaurav Kumar Jha was
survived by his two brothers and grandmother who were all major and
therefore, the Claims Tribunal awarded loss of estate to them in terms of the
principles laid down by this Court in Keith Rowe v. Prashant Sagar, 2011
ACJ 1734. With respect to the Nawal Kishore Jha, the Claims Tribunal has
rightly deducted 1/3rd towards his personal expenses to compute the loss of
dependency. The compensation awarded towards loss of love and affection
and loss of estate is also fair and reasonable. However, there is merit in the
appellant's contention that penal rate of interest @ 12% per annum is liable
to be set aside as the appellant's had preferred appeal before this Court. The
direction of the Claims Tribunal with respect to the penal interest is
therefore, liable to be set aside.
7. Both the appeals are dismissed and the award of the Claims Tribunal
are upheld except to the extent that the appellant is not liable to pay the
penal interest.
8. The appellants have deposited Rs.12,02,196/- in MAC.APP. 153/2016
and Rs.13,62,744/- in MAC.APP. 159/2016 with the Claims Tribunal,
Karkardooma Courts on 13th April, 2016 and the said amount is lying in
FDR with UCO Bank, Karkardooma Courts.
9. Respondent no.3 has expired and her share has devolved upon
respondents No.1 and 2 who are present in Court.
10. The share of respondents No.1 and 2 in the amount deposited by the
appellants shall be equal.
11. With respect to the 50% share of respondent no.1, the Claims
Tribunal shall release 10% of his share to him by transferring the same to his
savings bank account. The balance 90% of the 50% share of respondent no.1
be kept in fixed deposits in the following manner:
Resp. 1
Sr. No. Duration of FDR 50%
1. 1 yr 10%
2. 2 yrs 10%
3. 3 yrs 10%
4. 4 yrs 10%
5. 5 yrs 10%
6. 6 yrs 10%
7. 7 yrs 10%
8. 8 yrs 10%
9. 9 yrs 10%
TOTAL 90%
12. With respect to the 50% share of respondent no.2, the Claims
Tribunal shall release 10% thereof to respondent no.2. The balance 90% of
the 50% share of respondent no.2 be kept in fixed deposits in the following
manner:
Resp. 2
Sr. No. Duration of FDR 50%
1. 6 months 10%
2. 1½ yrs 10%
3. 2½ yrs 10%
4. 3½ yrs 10%
5. 4½ yrs 10%
6. 5½ yrs 10%
7. 6½ yrs 10%
8. 7½ yrs 10%
9. 8½ yrs 10%
TOTAL 90%
13. Monthly interest on the FDRs of respondent No.1 and respondent
No.2 shall be credited in their individual savings bank accounts.
14. At the time of maturity, the fixed deposit amount shall be
automatically credited in the savings bank accounts of the beneficiaries.
15. All the original FDRs shall be retained by UCO Bank. However, the
photocopies of the same shall be provided to the respondents.
16. No cheque book or debit card to be issued to the
claimants/respondents without permission of the Court.
17. No loan or advance or pre-mature discharge shall be permitted
without the permission of this Court.
18. The order of the disbursement of the award amount by the Claims
Tribunal is modified to the above extent. The Claims Tribunal shall direct
the UCO Bank, KKD Branch to disburse the award amount in terms of this
judgment.
19. The claimants/respondents shall approach the UCO Bank, KKD
Branch for disbursement of the award amount in terms of this judgment.
20. UCO Bank, KKD Branch shall ensure that the savings bank accounts
of respondent No.1 and respondent No.2 are individual accounts and not
joint accounts.
21. The claimants/respondents are at liberty to approach this Court for
release of further amount in case of any financial exigency.
22. The Accounts Officer of this Court shall verify whether the amount
deposited by the appellant covers the interest upto the date of the deposit and
thereafter, statutory amount be refunded back to the appellant. However, in
the event of any short deposit, the Registry shall deduct the same from the
statutory amount and send the same to respondents no.1 and 2 through UCO
Bank and balance statutory amount be refunded back to the appellant.
23. Copy of this judgment be given dasti to learned counsel for the parties
under signatures of Court Master.
24. All pending applications are disposed of.
J.R. MIDHA, J.
AUGUST 23, 2016
dk
