Oriental Insurance Company Ltd vs Rajesh Manubhai Brahmbhatt
2021 Latest Caselaw 10274 Guj

       C/FA/2176/2020                                   IA ORDER DATED: 02/08/2021




         IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
CIVIL APPLICATION (FOR WITHDRAWAL/DISBURSEMENT OF AMOUNT)
                           NO. 1 of 2021
                In R/FIRST APPEAL NO. 2176 of 2020
==========================================================

RAJESH MANUBHAI BRAHMBHATT Versus ORIENTAL INSURANCE COMPANY LTD ========================================================== Appearance:

MR MOHSIN M HAKIM for the PETITIONER(s) No. MR GC MAZMUDAR for the RESPONDENT(s) No. MR MONAL S CHAGLANI for the RESPONDENT(s) No. MR RATHIN P RAVAL for the RESPONDENT(s) No. MS AMI N BHATT for the RESPONDENT(s) No. ========================================================== CORAM:HONOURABLE MR. JUSTICE N.V.ANJARIA

Date : 02/08/2021 IA ORDER

Heard learned advocates for the respective parties.

2. In this application, the claimant has prayed for disbursement of the amount of compensation deposited by the insurance company.

3. While granting the stay of the impugned judgment and award of the Motor Accident Claims Tribunal, this court put a condition of depositing the awarded amount. Accordingly, the respondent insurance company has deposited the amount with cost and interest with the Tribunal concerned, it was stated before the court.

4. On one hand the amount of compensation awarded by the Claims Tribunal is deposited by the insurance company, and on the other hand, the appeal of the insurance company is pending and would take time before it is finally decided. In that view, if part of the deposited amount is disbursed in favour of the claimant in the interregnum to his benefit, the same shall serve the ends of justice. Therefore, the following directions

C/FA/2176/2020 IA ORDER DATED: 02/08/2021

are issued,

(i) Out of the total amount of liability fixed upon the appellant insurance company by the Claims Tribunal and deposited by the appellant insurance company to that extent, the Tribunal shall disburse 30% of the amountin favour of the claimant after verifying his identity, following necessary procedure and by issuing account payee cheque in his name.

(ii) The remainder 70% amount shall be deposited with the nationalised bank in a fixed deposit of non-cumulative nature.

(iii) The Fixed Deposit shall be created initially for a period of one year and renewable subject to further orders.

(iv) The claimant shall be entitled to earn periodical interest which may accrue on the invested amount.

(v) The Fixed Deposit receipts shall remain in the custody of the Nazir of the Claims Tribunal and the same shall not be permitted to be utilised to raise any loan or finance or for any other such purpose without permission of the court.

5. The present application stands allowed and disposed of in the aforesaid terms.

(N.V.ANJARIA, J) C.M. JOSHI