Gujarat High Court
The Oriental Insurance Company Limited vs Kaliben Wd/O Gavabhai Ramabhai Hathila on 21 February, 2025
NEUTRAL CITATION
C/FA/2486/2024 ORDER DATED: 21/02/2025
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IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/FIRST APPEAL NO. 2486 of 2024
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THE ORIENTAL INSURANCE COMPANY LIMITED
Versus
KALIBEN WD/O GAVABHAI RAMABHAI HATHILA & ORS.
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Appearance:
MS KARUNA V RAHEVAR(3818) for the Appellant(s) No. 1
NOTICE SERVED for the Defendant(s) No. 1,2,3,4
NOTICE UNSERVED for the Defendant(s) No. 5
REFUSED SERVED (N)(10) for the Defendant(s) No. 6
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CORAM:HONOURABLE MR. JUSTICE DEVAN M. DESAI
Date : 21/02/2025
ORAL ORDER
1. This Appeal is filed challenging the judgment and award
dated 21.02.2024 passed by the learned Motor Accident Claims
Tribunal (Main), at Dahod in M.A.C.P. No.258 of 2007.
2. Heard learned advocate Ms. Karuna V. Rahevar for the
appellant. Though served, respondent Nos.1 to 4 are not present.
3. The brief facts of the case are as under:-
3.1. On 21-03-2007, at about 18:30, the deceased along with
deceased Samubhai Ditabhai Hathila were standing beside the
road near village Kathla. All of a sudden, the respondent No.1
i.e. the driver of Tanker bearing Registration No. MP-07-HB-
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C/FA/2486/2024 ORDER DATED: 21/02/2025
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0196 came with his tanker being driven in a rash and negligent
manner as well as with an excessive and uncontrollable speed,
dashed with Auto Rickshaw and then turned turtled. Resultantly,
deceased-Ajaybhai and deceased Samubhai were crushed under
the tanker and sustained serious injuries and succumbed.
3.2. The legal heirs of deceased Ajaybhai filed M.A.C.P.
No.258 of 2007 before the learned Motor Accident Claims
Tribunal (Main), at Dahod under section 166 of the Motor
Vehicles Act for the compensation of Rs.5,10,000/-. The learned
Tribunal has allowed the claim application vide judgment and
award dated 21.2.2024 and directed the opponents jointly and
severally to pay Rs.5,00,000/- towards compensation for the
death of deceased Ajaybhai with interest at the rate of 9% from
the date of filing claim petition till 31.3.2021 and at the rate of
7% from 1.4.2021 till realization. Being aggrieved and
dissatisfied with the aforesaid judgment and award, the
appellant-original opponent No.3 is before this Court.
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C/FA/2486/2024 ORDER DATED: 21/02/2025
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4. At the outset, learned advocate for the appellant has
submitted that the challenge in the appeal is limited only to the
question of the period of interest. It is submitted that learned
Tribunal has awarded compensation of Rs.5,00,000/- along with
a simple interest at the rate of 9% per annum from the date of
claim petition till 31st March 2021 and at the rate of 7% from 01-
04-2021 till realization.
4.1. Learned advocate for the appellant has further submitted
that learned Tribunal vide order dated 01.08.2014 has closed the
right of claim of interest. The said order is reflected in the
Rojkam as well as below Exhibit-1. Despite this fact, learned
Tribunal has ignored the order dated 01.08.2014 and has
awarded interest for the period after 01.08.2014.
4.2. It is further submitted that the order dated 01.08.2014 was
never recalled at the instance of claimants and the said order
remained in force till disposal of main claim petition. It is
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further submitted respondent No.5 is the driver of the offending
vehicle though he is not served, is not required in the First
Appeal.
4.3. Learned advocate for the appellant has not canvassed any
other submissions except on the question of awarding interest
for the period after the right to claim interest was closed.
5. Having heard learned advocate for the appellant and on
perusal of the original record and proceedings, more
particularly, the Rozkam, it transpires that learned Tribunal has
ordered that the claimant as well as the advocate of the claimant
have remained absent when the matter was called out and
thereafter, learned Tribunal passed an order of closing the right
to claim interest from 01.08.2014. This Court has also found
from the record that vide order dated 15.02.2023, the claim
petition was dismissed for default. In the said order, it has been
observed by the learned Tribunal that since claim petition is of
2007, opponent No.1 and opponent No.2 being driver and owner
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C/FA/2486/2024 ORDER DATED: 21/02/2025
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of the vehicle have not been served till 15.02.2023. Orders were
also passed on 16.03.2022 and 22.06.2022 permitting the
claimant to serve opponent Nos.1 and 2 by RPAD. Neither the
claimant nor the learned advocate for the claimant remained
present to accept the notice to be served by RPAD. Resultantly,
claim petition came to be dismissed on 15.02.2023. Thereafter,
on 16.03.2023, claim petition was restored to its original file
upon an application for restoration of claim petition.
6. This Court feels that right throughout the proceedings,
claimant remained negligent and has taken the claim petition in
a very casual manner. When the claim petition is filed for
claiming compensation, claimants are expected to be vigilant
and cannot be allowed to stall the proceedings by remaining
absent and dragging the litigation for number of years to claim
more interest on the compensation. The proceedings under the
Motor Vehicles Act cannot be made an instrument of
investment. When the Insurance Companies are directed to
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C/FA/2486/2024 ORDER DATED: 21/02/2025
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indemnify the insured by paying huge amount of compensation,
it is the equal responsibility of the claimant to see that the
proceedings are concluded within a reasonable time so that the
Insurance Companies are not saddled with unnecessary liability
of payment of interest for no fault of Insurance Companies. The
claimants as well as learned advocate for the claimants are
expected to keep in their mind that public money are put to
stake and claimants cannot be allowed to claim the benefit of
delay on account of claimant. In the present case, when the
claimants are found lethargic and remained idle. Despite the
order of closure of their right to claim interest from 01.08.2014,
learned Tribunal while passing the award has overlooked the
order and awarded interest at the rate of 9% per annum from the
date of filing of claim petition till 31.03.2021 and 7% per annum
from 01.04.2021 till payment. When the records speak
voluminous about the conduct of the claimant, the judgment and
award dated 21.02.2024 is required to be modified to the effect
that the claimants are entitled to compensation of Rs.5,00,000/-
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with interest from the date of claim petition till 01.08.2014.
Claimants are not entitled to interest from 02.08.2014 from the
original opponents.
7. With the above observations, the First Appeal is allowed
to the aforesaid extent. Rest of the judgment and award shall
remain unaltered. The excess amount of compensation that has
been deposited by the Insurance Company with interest accrued
thereon is directed to be refunded back to the Insurance
Company after due verification and the prevailing procedure.
8. Record and proceedings be sent back to the concerned
Tribunal / Court.
(D. M. DESAI,J)
RINKU MALI
