Delhi High Court
Ashok Kumar Gulati vs Reeta & Ors on 26 April, 2018
$~8 & 9
* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Date of Decision: 26th April, 2018
+ MAC.APP. 77/2017 & CM APPL. 2316/2017
ASHOK KUMAR GULATI ..... Appellant
Through: Mr. S. K. Vashistha along with
Mr.Kartikay Sharma, Advs.
versus
REETA & ORS ..... Respondents
Through: Mr. S. N. Parashar, Adv.
Mr. Sandeep Jha, Adv for R-4.
+ MAC.APP. 683/2017
REETA & ANR ..... Appellants
Through: Mr. S. N. Parashar, Adv.
versus
MANOJ KUMAR & ORS
(ICICI LOMBARD GENERAL INS. CO LTD) ..... Respondents
Through: Mr. Sandeep Jha, Adv for R-3.
CORAM:
HON'BLE MR. JUSTICE J.R. MIDHA
]
JUDGMENT (ORAL)
1. The accident dated 01st December, 2014 resulted in the death of
Anjani Kumar. The deceased aged about 22 years at the time of accident and
was survived by his mother and sister who claimed compensation before the
Claims Tribunal. The Claims Tribunal awarded compensation of Rs.
16,35,000/- to the claimants. The Claims Tribunal granted recovery rights to
the Insurance Company to recover the award amount from the owner of the
offending vehicle. The owner has filed MAC. APP. 77/2017 to challenge the
recovery rights whereas the claimants are seeking enhancement of the
compensations amount in MAC APP.683/2017.
2. Anjani Kumar was aged about 22 years at the time of accident and he
was working as process executive with M/s Cognizant Technology Solutions
India Pvt. Ltd. earning of Rs.1,60,008/- per annum after completing BCA
from Bangalore University. The occupation and income of the deceased was
duly proved by Ex. PW2/1. However, the Claims Tribunal deducted the
conveyance allowance of Rs.800/- and took income of deceased as
Rs.12,342/- per month. The Claims Tribunal deducted 1/3 towards the
personal expenses of the deceased and applied multiplier of 14 to compute
the loss of dependency at Rs.13,85,000/-. The Claims Tribunal awarded Rs.
1,50,000/- towards loss of estate and Rs.50,000/- towards funeral expenses.
Total compensation award is Rs. 16,35,000/-.
3. Learned counsel for the claimants/appellants in MAC APP No.
683/2017 urged at the time of hearing that the income of deceased be taken
as Rs.13,142/- as per Ex. PW2/1 and future prospects of 50% be added to
compute the loss of dependency.
4. Learned counsel for the Insurance Company submits that the
compensation towards love and affection be set aside and the compensation
for loss of estate and funeral would be reduced in terms of National
Insurance Co. Limited vs. Pranay Sethi and Ors. 2017 SCC Online SC
1270.
5. There is merit in the contentions urged by learned counsel for the
claimants. The income of the deceased is taken as Rs.13,142/- as per Ex.
PW2/1, 50% is added towards the future prospects, 1/2 is deducted towards
personal expenses, and the multiplier of 18 is applied to compute loss of
dependency as Rs.21,29,004/-. The compensation for loss of love and
affection is not a permissible head and is set aside. Rs.15,000/- is awarded
for loss of estate and Rs.15,000/- is awarded towards funeral expenses. The
claimants are entitled to total compensation of Rs.21,59,004/- along with
interest @ 9% per annum.
6. Learned counsel for the appellants in MAC.APP.77/2017 submits that
the recovery rights have been granted to the Insurance Company on the
ground that there was no fitness certificate. It is submitted that the appellants
had a valid permit in respect of the offending vehicle and the driver was
having valid driving licence at the time of incident. It is submitted that
fitness certificate is not a permissible ground for grant of recovery rights.
Reliance is placed on National Insurance Co. Ltd v. Nicolletta Rohtagi &
Ors., III (2002) ACC 292 (SC) and United India Insurance Company Ltd.
v. Shila Datta & Ors., Civil Appeal Nos. 6026-6027/2007 decided on 13th
October, 2011 in which this Court has declined the recovery rights on the
similar grounds. Following National Insurance Co. Ltd v. Nicolletta
Rohtagi (supra) and United India Insurance Company Ltd. v. Shila Datta
(supra), the recovery rights granted by the Claims Tribunal are set aside.
7. Both the appeals are allowed and the award amount is enhanced from
Rs.16,35,00/- to Rs.21,59,004/- along with interest @ 9% per annum in
favour of the claimants and against M/s ICICI Lombard Insurance Co. Ltd.
8. ICICI is directed to deposit the enhanced amount along with upto date
interest with the Registrar General of this Court within four weeks. The
proof of deposit along with computation of interest be filed within a week of
deposit.
9. List for disbursement of compensation amount on 24th July, 2018.
10. The Claimants shall remain present in the Court on next date along
with passbooks of their savings bank accounts near the place of their
residence as well as PAN card and Aadhaar card. The concerned bank is
directed not to issue any cheque book and/or debit card to the claimants and
if the same has already been issued, the concerned bank is directed to cancel
the same and make an endorsement on the passbook that no cheque book or
debit card shall be issued to respondents No.1 and 4 without the permission
of this Court. Claimants shall produce the copy of this order before the
concerned bank whereupon the bank shall make an endorsement on the
passbooks. Claimants shall produce the original passbooks with the
necessary endorsement on the next date of hearing.
11. Statutory amount be refunded back in MAC APP.77/2017 after
deposit of enhanced award amount.
12. Pending application is disposed of.
13. List on 24th July, 2018.
14. Copy of this order be given dasti to both the parties under the
signature of Court Master.
J.R.MIDHA, J.
APRIL 26, 2018
Pallavi
