Universal Sompo General ... vs Jinabhai Kalabhai Aalgotar
2021 Latest Caselaw 1197 Guj

           C/FA/223/2021                                            ORDER




           IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                    R/FIRST APPEAL NO.               223 of 2021

                            With
        CIVIL APPLICATION (FOR STAY) NO. 1 of 2020
              In R/FIRST APPEAL NO. 223 of 2021
==========================================================
           UNIVERSAL SOMPO GENERAL INSURANCE CO.LTD.
                              Versus
                   JINABHAI KALABHAI AALGOTAR
==========================================================
Appearance:
MR RATHIN P RAVAL(5013) for the Appellant(s) No. 1
 for the Defendant(s) No. 1,2,3,4
==========================================================

 CORAM: HONOURABLE MS. JUSTICE VAIBHAVI D. NANAVATI

                                 Date : 27/01/2021

                                      ORAL ORDER

1. This appeal is preferred by the appellant Insurance Company against the interim award dated 04.03.2020 passed below Exhibit: 6 by the Ld. Motor Accident claims Tribunal (Auxi.), at Amreli in MACP No. 33 of 2015 granting interim compensation of Rs. 50,000 under Section 140 of the Motor Vehicles Act, 1988 (for short 'the MV Act').

2. Heard Mr. Rathin P. Raval, learned advocate appearing for the appellant Insurance Company and perused the impugned judgment and order.

3. Mr. Rathin Raval, learned advocate for the appellant Insurance Company has, inter alia contended that the deceased was travelling in Rickshaw No. GJ- 1-AY-6577 as a passenger. The deceased received fatal injuries and died.

C/FA/223/2021 ORDER

4. The claim has been preferred by heirs and legal representatives of the deceased. It is the contention of the appellant that there was "no insurance coverage on the date of accident." The Tribunal has not considered the fact that the insurance policy was cancelled by the insurance company as the cheque paid by the insured returned due to insufficient funds. The policy was cancelled ab-initio. It is stated by learned advocate for the appellant that the appellant filed application below Exh.23 stating that the insurance company is not liable to pay any compensation and hence, it should be deleted from the proceedings. The said application was dismissed by order dated 04.03.2020. The Tribunal passed NFL order to allow statutory compensation of Rs.50,000/- to be paid by the appellant and all opponents jointly and severally along with 9% interest. In this view of the matter, the claim petition is not maintainable as such against the appellant.

5. Learned advocate for the appellant further submitted that this is an award under Section 140 of the M.V. Act, consequently therefore, the aforesaid contentions were raised by the Insurance Company before the Learned Tribunal but the same has not been considered by the Learned Tribunal.

6. Taking into consideration the above contentions raised by Mr. Rathin Raval, learned advocate for the appellant Insurance Company that deceased was travelling in Rickshaw No. GJ-1-AY-6577 as passenger and there was no insurance coverage on the date of

C/FA/223/2021 ORDER

accident. This is an interim award passed under Section 140 of the MV Act. Consequently, therefore, the rival parties have not got any opportunity of adducing and producing evidence before the Learned Tribunal. This issue cannot be decided at the interim stage and taking into consideration the intention of legislature for interim award, the appellant is at liberty to raise such issue while defending the main claim petition and the Learned Tribunal shall decide the same on its own merits without being influenced by the decision rendered by the learned Tribunal itself while considering the application under Section 140 of the MV Act and without treating it as resjudicata.

7. While considering the main claim petition, the learned Tribunal shall afford reasonable opportunity to the rival parties to proceed so far as the controversy raised in this matter is concerned and the Learned Tribunal shall decide the said issue without being influenced by any of the observations made by this Court at this stage.

8. With these directions, present appeal is disposed of. The insurance company is hereby directed to deposit the entire award amount (excluding the amount already deposited) which shall be disbursed to the claimants forthwith. Consequently civil application for stay also stands disposed of.

(VAIBHAVI D. NANAVATI,J)

NEHA