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The Oriental Insurance Company ... vs Bibha Devi
2021 Latest Caselaw 1146 Jhar

Citation : 2021 Latest Caselaw 1146 Jhar
Judgement Date : 8 March, 2021

Jharkhand High Court
The Oriental Insurance Company ... vs Bibha Devi on 8 March, 2021
        IN THE HIGH COURT OF JHARKHAND AT RANCHI
                  [Miscellaneous Appellate Jurisdiction]
                        M.A. No. 113 of 2015

       The Oriental Insurance Company Ltd., Ranchi .... .. ...              Appellant(s)
                                   Versus
       1.Bibha Devi
       2.Suggi Devi
       3.Niraj Kumar Mahato
       4. Puspa Kumari
       5.Kanchan Prasad                                     .. ... ... Respondent(s)
                        ...........

CORAM :HON'BLE MR. JUSTICE KAILASH PRASAD DEO (Through :-Video Conferencing) .........

     For the Appellant(s)           :    Mr. G. C. Jha, Advocate.
     For the Respondent(s)          :    Mr. Tarun Kr. Sinha, Advocate
                        ..........

06 / 08.03.2021. Heard, learned counsel for the parties.

Learned counsel for the appellant has submitted that appellant- The Oriental Insurance Company Ltd. has assailed the impugned award dated 11.12.2014 passed by learned Presiding Officer, Motor Vehicle Accident Claims Tribunal, Ranchi in Compensation Case No.228 of 2012 whereby, claimants, 1.Bibha Devi,

2.Suggi Devi, 3.Niraj Kumar Mahto and 4. Puspa Kumari have been awarded a compensation to the tune of Rs.10,45,000/- after deducting Rs.50,000/- paid under Section 140 M.V. Act along with interest @9% from the date of admission of the application under Section 166 M.V. Act i.e. from 26.11.2013 till the date of payment which shall be made within one month from the date of receipt of the copy of the judgment, failing which, the interest @12% per annum from the date of judgment shall be payable.

Learned counsel for the appellant has assailed the impugned award on three counts;

(i) That earlier the claimants have preferred PLA Case Nos.1907/06 and 1908/06 in which they have been awarded Rs.2 Lacs. Subsequently after withdrawing those PLA cases, they have preferred Motor Vehicle Claim Case, as such, issue has already been decided between the parties and the present proceeding is hit by principle of res judicata;

(ii)That under the conventional head, the learned Tribunal has paid Rs.2,25,000/- contrary to the judgment passed by the Apex Court in the case of National Insurance Company Limited vs. Pranay Sethi, reported in (2017) 16 SCC 680, at Para-59.8 [Loss of Estate- Rs.15,000/-, Loss of Consortium- Rs.40,000/- and Funeral expenses-Rs.15,000/-], as such, the excess amount (Rs.2,25,000-Rs.70,000/-) i.e. Rs.1,55,000/- may be deducted; and

(iii) That interest has been awarded on higher side i.e. @9% from the date of admission and if the judgment/ award is not honoured within a

period of 30 days then @12% which is contrary to the judgment passed by the Apex Court in the case of Dharmpal and Sons vs. UP State Road Transport Corporation, reported in 2008(4) JCR 79 SC, as such, the same may be taken note of, when modifying the impugned award.

Learned counsel for the appellant has further submitted that there is contributory negligence on the part of both the offending vehicles as there is a head-on collision between the vehicles. The other vehicle including insurance company of that vehicle were party in PLA proceeding, but they have not been impleaded as party in the present claim case, even after taking such pleading by the appellant-Insurance Company in the written statement, no issue has been framed by the learned Tribunal, as such, the contributory negligence may be considered by this Court.

Learned counsel for the respondents/claimants while opposing the same has submitted that so far res judicata is concerned, the same has been considered by the learned Tribunal in Para-8 where PLA Case Nos.1907/06 and 1908/06 have been permitted to be withdrawn to file a claim case before the competent court of law, as such, plea of res judicata is not coming in the way of the present claim case. Learned Tribunal has further considered that aspect of the matter in Para-20 of the impugned judgment and the amount of Rs.2 Lacs has already been deducted in the present claim case from the quantum of compensation assessed by the learned Tribunal, as the same has already been paid to the claimants.

Learned counsel for the respondents/claimants has further submitted that though the interest is prerogative of the learned Tribunal to grant, but whatever the Court thinks proper, it shall be granted to the claimants in view of the judgment passed by the Hon'ble Supreme Court.

Learned counsel for the respondents/claimants has opposed the contributory negligence agitated by the learned counsel for the appellant- Insurance Company and submitted that though the Insurance Company has taken a plea in the written statement, but no such issue was suggested at the time of framing of issue nor the Insurance Company has challenged the framing of the issue before any competent court of law.

Learned counsel for the respondents/claimants has further submitted that even though the issue has not been framed, but in absence of any evidence adduced by the Insurance Company, the entire grounds taken by the appellant have become meaningless. Learned counsel has thus, submitted that since no evidence has been brought on record, the same cannot be allowed to agitate at this

stage.

Considering the rival submissions of the Parties, this Court considers that plea of res judicata which has been taken by the learned counsel for the appellant has already been taken note of by the learned Tribunal at Para-8 and since the PLA Case Nos.1907/ 06 and 1908/ 06 were permitted to be withdrawn on the ground that claimants can file a claim application before the competent court of law, as such, the plea of res judicata is not hindrance to the claimants. Accordingly, the first objection raised by the counsel for the appellant is not acceptable to this Court.

So far contributory negligence is concerned, the same is not supported by any evidence adduced by the insurance Company, as such, this Court is not inclined to interfere with the same in absence of any material on record.

So far the conventional head is concerned, this Court considers the impugned judgment in Para-18 in the light of the judgment passed by Apex Court in the case of Pranay Sethi (supra) at Para-59.8 as instead of Rs.2,25,000/-, the claimants are only entitled for Rs.70,000/- [i.e. Loss of Estate as Rs.15,000/-, Loss of Consortium as Rs.40,000/- and Funeral expense as Rs.15,000/-].

Accordingly, this part of the order is modified to the extent that under the conventional head instead of Rs.2,25,000/-, it should be Rs.70,000/-. So there shall be a deduction of Rs.1,55,000/- under this head.

So far interest is concerned, in view of the judgment passed by the Apex Court in the case of Dharmpal and Sons Vs. UP State Road Transport Corporation, reported in 2008(4) JCR 79 SC as well as Section 171 of the M.V. Act, 1988, this Court considers that no reason has been assigned by the learned Tribunal for granting the interest from the date of admission, as such, in view of Section 171 of the M.V. Act, 1988 this shall be considered from the date of institution/filing of the claim application till the date of indemnifying the award with simple interest @7.5% per annum.

Accordingly, the instant Misc. Appeal stands disposed of, with only direction that instead of Rs.10,45,000/-, the total amount of compensation shall be [Rs.10,45,000/- minus Rs.1,55,000/-] Rs.8,90,000/- along with interest @7.5% per annum from the date of filing of the claim application till the date of indemnifying the award. However, the amount already paid shall be deducted by the insurance Company and rest amount shall be paid within a reasonable time.

The statutory amount deposited by the appellant-Insurance Company before this Court at the time of preferring the instant Misc. Appeal shall be remitted by the learned Registrar General of this Court to the learned Tribunal within a period of four weeks and the balance amount along with interest as awarded by this Court, if not already paid shall be deposited before the learned Tribunal/Executed Court by the appellant-Insurance Company within a reasonable time, as the accident is of dated 02.05.2006.

(Kailash Prasad Deo, J.)

Sandeep/

 
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