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H Prema vs The Managing Director
2021 Latest Caselaw 491 Kant

Citation : 2021 Latest Caselaw 491 Kant
Judgement Date : 8 January, 2021

Karnataka High Court
H Prema vs The Managing Director on 8 January, 2021
Author: Alok Aradhe Rangaswamy
                                1



     IN THE HIGH COURT OF KARNATAKA AT BENGALURU

        DATED THIS THE 8TH DAY OF JANUARY 2021

                         PRESENT

         THE HON'BLE MR. JUSTICE ALOK ARADHE

                              AND

     THE HON'BLE MR. JUSTICE NATARAJ RANGASWAMY

               M.F.A. NO.700 OF 2017 (MV-D)
BETWEEN:

1.     H. PREMA
       AGED ABOUT 50 YEARS
       W/O M N BALARAMA.

2.     M B SUPRIYA
       AGED ABOUT 25 YEARS
       D/O M N BALARAMA.

3.     M B KAVYA
       AGED ABOUT 21 YEARS
       D/O M N BALARAMA.

4.     SANNATHAYAMMA
       AGED ABOUT 84 YEARS
       W/O LATE M B NANJAPPA.

       APPELLANTS NO. 1 TO 4 ARE
       R/AT MURUKANAHALLY VILLAGE
       SEELANERE HOBLI
       KR PET TALUK
       MANDYA DISTRICT 571423.
                                              ... APPELLANTS
(BY MR. P. NATARAJU, ADV.,)
                                     2



AND:

THE MANAGING DIRECTOR CUM
CUSTODIAN OF INTERNAL
INSURANCE FUND, SARIGE BHAVANA
K H DOUBLE ROAD
KSRTC, BENGALURU 560027.
                                                     ... RESPONDENT
(BY MR. K. NAGARAJA, ADV.)

                                   ---

     THIS M.F.A. IS FILED UNDER SECTION 173(1) OF MV ACT
AGAINST THE JUDGMENT AND AWARD DATED 13.06.2014 PASSED
IN MVC NO.1178/2012 ON THE FILE OF THE SENIOR CIVIL JUDGE
AND JMFC, K.R. PET, PARTLY ALLOWING THE CLAIM PETITION FOR
COMPENSATION        AND     SEEKING   ENHANCEMENT       OF
COMPENSATION.

     THIS M.F.A. COMING ON FOR FURTHER ORDERS, THIS DAY,
ALOK ARADHE J., DELIVERED THE FOLLOWING:

                              JUDGMENT

This appeal under Section 173(1) of the Motor Vehicles

Act, 1988 (hereinafter referred to as 'the Act', for short) has

been filed by the claimants seeking enhancement of the

amount of compensation against the judgment dated

13.06.2014 passed by the Motor Accident Claims Tribunal.

2. Facts giving rise to the filing of the appeal briefly

stated are that on 14.10.2011, the deceased MN Balaramu

was proceeding in Karantaka State Road Transportation

Corporation (hereinafter referred to as 'KSRTC' for short) bus

bearing registration No.KA-17-F-1255. At that time, a bus

bearing registration No.KA-38-F-421 which was being driven

by its driver in a rash and negligent manner, came from the

hind side and dashed against the KSRTC bus in which the

deceased was travelling. As a result of the aforesaid accident,

the deceased sustained grievous injuries and succumbed to

the same.

3. The claimants thereupon filed a petition under

Section 166 of the Act claiming compensation on the ground

that the deceased was aged about 55 years at the time of

accident and was employed in Karnataka State Warehouse

Corporation, Challakere and was earning a sum of

Rs.19,982/- per month. It was further pleaded that accident

took place solely on account of rash and negligent driving of

the offending bus by its driver. The claimants claimed

compensation to the tune of Rs.41,05,000/- along with

interest.

4. The insurance company filed written statement,

in which the mode and manner of the accident was denied. It

was further pleaded that the accident occurred on account of

negligence of the driver of the KSRTC bus who suddenly

applied brakes without giving any signal or indication. It was

also pleaded that the claimants in collusion with the police

have filed a false complaint against the driver of the

offending bus. The age, avocation and income of the

deceased was also denied and it was pleaded that the claim

of the claimants is exorbitant and excessive.

5. On the basis of the pleadings of the parties, the

Claims Tribunal framed the issues and thereafter recorded

the evidence. The claimant No.1 examined herself as PW-1,

Loknath L (PW2) and got exhibited documents namely Ex.P1

to Ex.P5. The respondents examined Jeevan (RW1) and did

not adduce any documentary evidence. The Claims Tribunal,

by the impugned judgment, inter alia, held that the accident

took place on account of rash and negligent driving of the

offending bus by its driver. It was further held, that as a

result of aforesaid accident, the deceased sustained injuries

and succumbed to the same. The Tribunal further held that

the claimants are entitled to a compensation of

Rs.9,15,493/- along with interest at the rate of 8% per

annum. Being aggrieved, this appeal has been filed seeking

enhancement of the amount of compensation.

6. Learned counsel for the claimant submitted that

the Tribunal has grossly erred in assessing the income of the

deceased at Rs.5,000/- per month when Ex.P3 Salary

Certificate clearly discloses that the deceased was employed

in Karnataka Warehouse Corporation, Challakere and was

earning Rs.19,982/- per month. It is further submitted that

the Tribunal has erred in not making an addition to the tune

of 10% to the income of the deceased on account of future

prospects in view of the law laid down by the Supreme Court

in 'NATIONAL INSURANCE COMPANY LIMITED Vs.

PRANAY SETHI AND OTHERS' AIR 2017 SC 5157. It is

also submitted that the Tribunal erred in deducting 1/3rd of

the income towards personal expenses instead of 1/4th when

the number of dependents on the income of the deceased is

4. It is also urged that the sums awarded under the heads

'loss of consortium' and 'funeral expenses' are on the lower

side and deserves to be enhanced suitably. On the other

hand, learned counsel for the KSRTC submitted that the

employer of the deceased has not been examined to prove

the contents of Ex.P3 Salary Certificate evidence and

therefore, the Tribunal has rightly assessed the income of the

deceased notionally at Rs.5,000/- per month. It is further

submitted that the amount of compensation awarded by the

Tribunal is just and proper and does not call for any

interference.

7. We have considered the submissions made by

learned counsel for the parties and have perused the record.

The only question which arises for our consideration in this

appeal is with regard to the quantum of compensation.

Admittedly, the claimants have not examined the author of

Ex.P3 Salary Certificate to prove it contents. Therefore, the

income of the deceased has to be assessed notionally as per

the guidelines issued by the Karnataka Legal Services

Authority. Since the accident is of the year 2011, the notional

income of the deceased is assessed at Rs.6,500/- per month.

8. In view of the law laid down by the Constitution

Bench of the Supreme Court in 'NATIONAL INSURANCE

COMPANY LIMITED Vs. PRANAY SETHI AND OTHERS'

AIR 2017 SC 5157, 10% of the amount has to be added on

account of future prospects. Thus, the monthly income

comes to Rs.7,150/-. Since, the number of dependents is 4,

therefore, 1/4th of the amount has to be deducted towards

personal expenses and therefore, the monthly dependency

comes to Rs.5,363/-. Taking into account the age of the

deceased which was 55 years at the time of accident, the

multiplier of '11' has to be adopted. Therefore, the claimants

are held entitled to (Rs.5,363x12x11) i.e., Rs.7,07,916/- on

account of loss of dependency.

9. In view of laid down by the Supreme Court in

'MAGMA GENERAL INSURANCE CO. LTD. VS. NANU RAM

& ORS.' (2018) 18 SCC 130, which has been subsequently

clarified by the Supreme Court in 'UNITED INDIA

INSURANCE CO. LTD. Vs. SATINDER KAUR AND ORS.'

IN CIVIL APPEAL NO.2705/2020 DECIDED ON

30.06.2020 each of the claimant's are entitled to a sum of

Rs.40,000/- on account of loss of consortium and loss love

and affection. Thus, the claimants are held entitled to

Rs.1,60,000/-. In addition, claimants are held entitled to

Rs.30,000/- on account of loss of estate and funeral

expenses. The amount of compensation awarded under the

heads 'medical expenses' and 'transportation charges' are

maintained. Thus, in all, the claimants are held entitled to a

total compensation of Rs11,48,585/-. Needless to state that

the aforesaid compensation shall carry interest at the rate of

8% per annum from the date of filing of the petition till the

payment is made. To the aforesaid extent, the judgment

passed by the Claims Tribunal is modified.

Accordingly, the appeal is disposed of.

Sd/-

JUDGE

Sd/-

JUDGE

ss

 
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