Karnataka High Court
Bajaj Allianz General Insurance ... vs Smt Sujathamma on 9 November, 2021
Bench: P.S.Dinesh Kumar, P.Krishna Bhat
-1-
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 09TH DAY OF NOVEMBER, 2021
PRESENT
THE HON'BLE MR. JUSTICE P.S.DINESH KUMAR
AND
THE HON'BLE MR. JUSTICE P.KRISHNA BHAT
M.F.A. NO.8685 OF 2018(MV)
BETWEEN:
BAJAJ ALLIANZ GENERAL INSURANCE CO LTD
NO.21, 4TH FLOOR,
GOLDEN HEIGHTS COMPLEX,
56TH C CROSS, NEAR SUJATHA THEATRE,
RAJAJI NAGAR,
BANGALORE-560 010
REP BY BAJAJ ALLIANZ GIC LTD
NO.31, T.B.R TOWERS
NEW MISSION ROAD
BANGALORE- 560 002 ...APPELLANT
(BY SHRI A.N.KRISHNA SWAMY, ADVOCATE)
AND:
1. SMT SUJATHAMMA
W/O SHIVANNA,
AGED ABOUT 44 YEARS
2. KUMARI MANI
D/O LATE SHIVANNA,
AGED ABOUT 21 YEARS,
3. KUMARI BHARGAVI
D/O LATE SHIVANNA,
AGED ABOUT 19 YEARS
ALL ARE RESIDING AT
DEVARAMALLURU
-2-
VILLAGE AND POST,
SIDLAGHATT TALUK,
CHICKBALLAPUR DISTRICT,
PIN CODE 562 105.
4. SRI MANDELA VASU
S/O VENKATARAMANA,
AGE:MAJOR,
PLOT NO.17-461E, N.V.R. STREET,
MOTHINAGAR, MADANAPALLI,
CHITTUR DISTRICT,
ANDHRA PRADESH,
PIN CODE-517 325. ...RESPONDENTS
(BY SHRI K.M.SOMASHEKARA, ADV. FOR R1 TO R3;
NOTICE TO R4 IS DISPENSED WITH
VIDE ORDER DATED 09.11.2021)
THIS MFA FILED UNDER SECTION 173(1) OF MV ACT
AGAINST THE JUDGMENT AND AWARD DATED 26/06/2018,
PASSED IN MVC NO.58/2013, ON THE FILE OF THE SENIOR
CIVIL JUDGE & JMFC., AND MACT, SIDLAGHATTA,
AWARDING COMPENSATION OF RS.16,25,000/- WITH
INTEREST AT THE RATE OF 9% P.A. FROM THE DATE OF THE
PETITION TILL PAYMENT.
THIS MFA COMING ON FOR ORDERS THIS DAY,
P.S.DINESH KUMAR J., DELIVERED THE FOLLOWING:
JUDGMENT
This appeal is filed by the insurer in
M.V.C.No.58/2013 on the file of Senior Civil Judge &
J.M.F.C., and MACT, Shidlaghatta, challenging the
quantum of compensation awarded vide judgment and
award dated 26.06.2018 passed by the Tribunal.
2. For the sake of convenience, parties shall be
referred as per their status before the Tribunal.
3. We have heard Shri.A.N.Krishna Swamy,
learned Advocate for the insurer and
Shri.K.M.Shomashekara, learned Advocate for the
claimants.
4. The private respondents No.1 to 3 are claimants
before the Tribunal. They have filed the instant claim
petition contending inter alia that the first claimant's
husband Shivanna sustained grievous injuries in a road
traffic accident on 03.07.2013 when an auto rickshaw
bearing Reg.No.AP-03-TC-1250 dashed against him
when he was walking on the road. Shivanna succumbed
to the injuries in the hospital on 15.07.2013. On
consideration of material on record, the Tribunal has
awarded compensation of Rs.16,25,000/- payable with
interest at the rate of 9% per annum.
5. Shri Krishna Swamy, learned Advocate for the
insurer urged two contentions. Firstly, the Tribunal has
erred in considering the notional income at Rs.9,000/-
per month, whereas this Court is consistently
considering notional income of an able bodied person for
the year 2013 as Rs.8,000/- per month. Secondly, the
Tribunal has erred in awarding interest at the rate of
9% per annum.
6. Shri Somashekhara, learned Advocate for the
claimants opposing the appeal submitted that the
deceased was an agriculturist and was also dealing in
vegetables and particularly selling tomatoes. It is
submitted that Ex.P97, the Bank Pass Book shows
entries of income and Ex.P98-P170 show that the
deceased was selling tomatos to the wholesale shops.
7. To substantiate the contention that the deceased
was an agriculturist, learned Advocate placed reliance
on Ex.P171, the RTC extract. He submitted that in the
event this Court were to hold that the appeal merits
consideration, this Court may consider taking the
notional income at Rs.8,500/- per month.
8. Shri.Krishna Swamy, learned Advocate for the
insurer submits that he has no objection to consider the
notional income at Rs.8,500/- per month.
9. Deceased was aged 45 years, hence the
applicable multiplier is 14 and future prospects is to be
added at 25%.
10. First claimant is the wife, claimants No.2 and 3
are children of the deceased. Hence, 1/3rd is deductible
from the earnings of the deceased while calculating loss
of dependency.
11. In view of the above, compensation towards loss
of dependency is worked out as follows;
The monthly notional income out to Rs.10,625/-
(Rs.8500*25%) by adding 25% towards future
prospects, after deducting 1/3rd it works out to
Rs.7,083/- per month (Rs.10,625/3). The Annual
income works out to Rs.84,996/- (Rs.7,083*12).
Accordingly, by applying 14 as multiplier, the loss of
dependency works out to Rs.11,89,944/-
(Rs.84,996*14). Compensation awarded towards
Transportation charges, Medical expenses and attendant
charges awarded by the Tribunal remain undisturbed.
12. The compensation is re-computed as follows;
Sl.
Amount
No Description
(in Rs.)
Loss of dependency
a 11,89,944
b ADD: Transportation charges, 1,40,000
medical charges, and attendant
charges
c ADD:Consortium (Rs.40,000*3) 1,20,000
d ADD: Conventional Heads 30,000
e Total (a+b+c+d) 14,79,944
f LESS: Compensation awarded by 16,25,000
the Tribunal
Reduced Compensation (e-f) (1,45,056)
13. So far as the second ground with regard to
interest is concerned, Shri Krishna Swamy is right in his
submission that this Court has consistently awarding
6% interest in motor vehicle compensation cases.
The compensation awarded must be just and
appropriate and we have re-computed the
compensation. In our considered view, awarding 6%
interest throughout is just and appropriate. The
Tribunal has directed the insurer to satisfy the award
amount with liberty to recover the same from owner of
the vehicle. Owner has not challenged the said
direction.
14. Hence, the following;
ORDER
(i) Appeal is allowed in part by holding
that claimants are entitled for a total
compensation of Rs.14,79,944/-, as
against Rs.16,25,000/- awarded by the
Tribunal, payable with interest at 6%
p.a., from the date of filing claim
petition till the date of deposit;
(ii) The Tribunal has directed the insurer to
satisfy the award with liberty to
recover the same from owner of the
vehicle; and
(iii) Insurer shall deposit the entire
modified compensation amount of
Rs.14,79,944/- with interest at 6%
p.a., excluding the amount paid if any,
within eight weeks from the date of
receipt of a copy of this order.
Disbursement shall be made as
directed by the Tribunal with liberty to
recover from the owner by executing
the decree in this appeal.
No costs.
Sd/-
JUDGE
Sd/-
JUDGE
DL/AV
