Delhi High Court
The New India Assurance Company ... vs Ashrafi Devi & Ors. on 30 November, 2017
$~R-607
IN THE HIGH COURT OF DELHI AT NEW DELHI
Decided on: 30th November, 2017
+ MAC. APPEAL No.1042/2012 and CM No.16346/2012 (stay)
THE NEW INDIA ASSURANCE COMPANY LTD.
..... Appellant
Through: Mr. Pankaj Seth, Advocate
versus
ASHRAFI DEVI & ORS. .....Respondents
Through: Nemo.
CORAM:
HON'BLE MR. JUSTICE R.K.GAUBA
JUDGMENT (ORAL)
1. Soran Singh, aged 42 years, earning his livelihood from the
transport business, suffered injuries and died in the consequence, as a
result of motor vehicular accident that had occurred on 08.04.2008,
due to negligent driving of motor vehicle, described as truck bearing
registration No.UP-85E-9217, which was admittedly insured against
third party risk for the period in question with the appellant insurance
company (insurer). On the accident claim case (Petition
No.400/2008) instituted by his widow and six other members of the
family dependent on him, they being first to seventh respondents
(collectively, the claimants), the tribunal held inquiry, and by
judgment dated 05.07.2012, awarded compensation in the total sum
of Rs.26,75,800/-, fastening the liability on the insurer to pay the
same with interest @ 7.5% per annum, which have been calculated
thus:-
Sl.No. Heads Amount
(in Rs.)
1. Loss of dependency 26,20,800/-
2. Loss of consortium 10,000/-
3. Loss of love and affection to all the petitioners 25,000/-
4. Loss of estate 10,000/-
5. Funeral expenses 10,000/-
Total 26,75,800/-
2. The insurer questions the award on the ground that the loss of
dependency was wrongly calculated on the income of Rs.15,000/-
with the element of future prospects of increase in income to the
extent of thirty per cent (30%).
3. Having heard the counsel for the insurer and having gone
through the record, this court finds no substance in the questions
raised on the finding of income of the deceased. The deceased, it was
proved, was owner of a truck and earning his livelihood from
transport business. The evidence clearly shows that he was paying
equated monthly installments to repay the loan taken for purchase of
the said vehicle. In these circumstances, the finding on the issue of
income is not disturbed.
4. However, in view of the ruling of a Constitution Bench of the
Supreme Court rendered on 31.10.2017 in SLP (C) 25590/2014,
National Insurance Company Ltd. Vs. Pranay Sethi and Ors., the
element of future prospects has to be restricted to 25%. Thus, the loss
of dependency is re-computed as (15,000/- x 125/100 x 4/5 x 12 x 14)
Rs.25,20,000/-.
5. It is noted that the non-pecuniary heads of damages are required
to be readjusted as per dispensation in Pranay Sethi (supra). Thus, in
lieu of awards made by the tribunal, Rs.40,000/- towards loss of
consortium and Rs.15,000/- each on account of loss to estate and
funeral expenses are added.
6. The total compensation, thus, comes to (25,20,000/- + 40,000/-
+ 15,000/- + 15,000/-) Rs.25,90,000/- (Rupees Twenty Five Lacs
Ninety Thousand Only). The award is modified accordingly.
7. Following the consistent view taken by this Court, the rate of
interest is increased to nine per cent (9%) per annum from the date of
filing of the petition till realization. [see judgment dated 22.02.2016
in MAC.APP. 165/2011 Oriental Insurance Co Ltd v. Sangeeta Devi
& Ors.].
8. By order dated 17.09.2012, the insurance company had been
directed to deposit the entire awarded amount with upto date interest
with the tribunal and by subsequent order dated 16.11.2012, seventy
per cent (70%) of the deposited amount was released to the claimants.
9. Since the interest has been revised, the tribunal is directed to re-
calculate amount payable under the modified award as above and
release the balance to the claimants, and refund the excess, if any, to
the insurer. Conversely, if there is any deficiency in the amount, the
insurer is directed to deposit the same with the tribunal within thirty
days.
10. The statutory deposit shall be released to the insurer after the
proof of award having been satisfied is shown.
11. The appeal along with pending application stand disposed of in
above terms.
R.K.GAUBA, J.
NOVEMBER 30, 2017
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