Delhi High Court
Reliance General Insurance Co. ... vs Reshma & Ors. on 18 July, 2017
$~22
* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Date of Decision:18th July, 2017
+ MAC.APP.386/2014
RELIANCE GENERAL INSURANCE CO. LTD. ..... Appellant
Through: Mr.Rajeev M. Roy, Advocate
versus
RESHMA & ORS. ..... Respondents
Through: Mr.Navneet Goyal, Advocate for
respondents no.1 to 9/claimants
CORAM:
HON'BLE MR. JUSTICE J.R. MIDHA
JUDGMENT (ORAL)
1. The appellant has challenged the award of the Claims Tribunal
whereby compensation of Rs.21,25,400/- has been awarded to respondents
no.1 to 9.
2. The accident dated 30th June, 2013 resulted in the death of Mehboob
Ali. The deceased was aged 28 years at the time of the accident and was
working as a driver earning Rs.12,000/- per month. The deceased was
survived by his widow, five minor children, mother and minor brother and
sister who filed the claim petition before the Claims Tribunal. The Claims
Tribunal took the minimum wages of Rs.7,722/- per month in respect of an
unskilled person as income of the deceased, added 50% towards future
prospects, deducted 1/5 towards his personal expenses and applied the
multiplier of 17 to compute the loss of dependency as Rs.18,90,400/-. The
Claims Tribunal awarded Rs.1 lakh towards loss of love and affection, Rs.1
lakh towads loss of consortium, Rs.10,000/- towards loss of estate,
Rs.25,000/- towards funeral expenses. Total compensation awarded is Rs.
Rs.21,25,400/- along with interest @ 9% per annum.
3. Learned counsel for the appellant urged at the time of the hearing that
the addition of 50% towards future prospects be set aside.
4. Learned counsel for the claimants submits that the deceased was a
professional driver earning Rs.12,000/- per month and the income of the
deceased be taken as Rs.12,000/- per month.
5. It is submitted that the widow of the deceased appeared in the witness
box as PW-1 and deposed that her husband was working as a driver with Mr.
Arun Gupta at Khanpur, J.J. Colony, New Delhi and was earning
Rs.12,000/- per month.
6. This Court is of the view that since the occupation of the deceased had
been proved as a professional driver, this Court can safely assume his
income as Rs.11,583.33 per month. This Court is of the view that it is not
mandatory to resort to minimum wages in each and every case. Reference in
this regard may be made to the judgment of the Supreme Court in Municipal
Corporation of Delhi v. Association of Victims of Uphaar Tragedy, AIR
2012 SC 100 in which 59 persons died in Uphaar tragedy and the Supreme
Court granted compensation of Rs.10,00,000/- to the victims of above 20
years of age and Rs.7,50,000/- to the victims below 20 years of age on the
basis of multiplier method. The Supreme Court applied the multiplier of 15
and deducted 1/3rd towards the personal expenses. The income of the victims
aged more than 20 years was assumed to be Rs.8,333/- per month and that
of victims aged less than 20 years was assumed to be Rs.6,249/- per month.
It is relevant to note that the Uphaar tragedy took place on 13th June, 1997
and the minimum wages at the relevant time were less than Rs.2600/- but
neither the Division Bench of this Court nor Supreme Court resorted to
minimum wages to compute the compensation although neither the income
nor the occupation of the victims was proved. The computation of the
compensation awarded by the Supreme Court would be as under :-
For victims aged more than 20 years:-
(Rs.8,333/- less 1/3rd)x 12 x 15 = Rs.10 lakhs.
For victims aged less than 20 years:-
(Rs.6249/- less 1/3rd) x 15 = Rs.7.5 lakhs.
7. Applying the principles laid down in Uphaar tragedy case, the income
of the deceased is presumed to be Rs.11,583.33. Accepting the contention of
learned counsel for the appellant, no future prospects are added to the
aforesaid income of the deceased. Taking the income of the deceased as
Rs.11,583.33, deducting 1/5th towards personal expenses and applying the
multiplier of 17, the loss of dependency is computed as Rs.18,90,400/- is
upheld. The compensation of Rs.1 lakh towards loss of love and affection,
Rs.1 lakh towads loss of consortium, Rs.10,000/- towards loss of estate,
Rs.25,000/- towards funeral expenses awarded by Claims tribunal is just, fair
and reasonable. The claimants are entitled to total compensation of
Rs.21,25,400/-.
8. The appeal is partially allowed. However, the compensation amount
of Rs.21,25,400/- is upheld for the reasons mentioned above.
9. The appellant has deposited the entire award amount which has been
disbursed to the respondents. The statutory amount be refunded back, to the
appellant in MAC.APP.386/2014.
10. Copy of this judgment be given dasti to counsel for the parties under
the signature of the Court Master.
JULY 18, 2017 J.R. MIDHA, J.
dk
