Karnataka High Court
Mr. Binoy John vs United India Insurance Co. Ltd on 11 January, 2022
Bench: P S Kumar, Rajendra Badamikar
1
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 11TH DAY OF JANUARY, 2022
PRESENT
THE HON'BLE MR. JUSTICE P.S.DINESH KUMAR
AND
THE HON'BLE MR. JUSTICE RAJENDRA BADAMIKAR
MFA.NO.2441 OF 2018 (MV-D)
BETWEEN:
1. MR. BINOY JOHN
S/O K. C. JOHN
AGED 45 YEARS
2. NEAL BINOY
S/O BINOY JOHN,
AGED 16 YEARS, MINOR
3. NOEL BINOY
S/O BINOY JOHN
AGED 15 YEARS, MINOR
APPELLANTS NO.2 AND 3 ARE
MINORS REPRESENTED BY THEIR
NATURAL GUARDIAN-FATHER
APPELLANT NO.1
PREMANENT RESIDENT OF
SARANGI HOUSE SHIROOR POST
KUNDAPURA TALUK
UDUPI DISTRICT
PRESENTLY RESIDING AT
FLAT NO. 304
DIASTIC, 2ND CROSS
VALENCIA
MANGALURU-575 002
...APPELLANTS
(BY SHRI.B.R.GURUPRASAD, ADVOCATE)
2
AND:
1. UNITED INDIA INSURANCE CO. LTD.,
RAMBHAVAN COMPLEX
KODIALBAIL
MANGALURU-575 003
REPRESENTED BY ITS MANAGER
2. MR. S.A.ASHRAF
S/O. S. MOHAMMAD HAJI
AGED 53 YEARS
R/O. 25-26-2002-11, (1)
A1-ANAS, ASURA COTTAGE
MAHAKALI PADPU
JAPPINAMOGARU
MANGALURU-575 002
...RESPONDENTS
(BY SHRI. A.N. KRISHNA SWAMY, ADV. FOR R1;
VIDE ORDER DATED 16.09.2021-NOTICE
TO RESPONDENT NO.2 IS DISPENSED WITH)
THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST
THE JUDGMENT AND AWARD DATED 01/08/2017, PASSED IN
MVC NO.1424/2015, ON THE FILE OF THE I ADDITIONAL SENIOR
CIVIL JUDGE & MACT, MANGALURU, D.K., PARTLY ALLOWING THE
CLAIM PETITION FOR COMPENSATION AND SEEKING
ENHANCEMENT OF COMPENSATION AND ETC.,
THIS MFA COMING ON FOR ADMISSION, THIS DAY,
P.S.DINESH KUMAR J., DELIVERED THE FOLLOWING:
JUDGMENT
This appeal by the claimants seeking
enhancement of compensation is filed challenging the
judgment and award dated August 1, 2017, in
MVC.No.1424/2015 passed by the Motor Accidents
Claims Tribunal and I Additional Senior Civil Judge,
Mangaluru, Dakshina Kannada.
2. For the sake of convenience, parties shall be
referred as per their status before the Tribunal.
3. Heard Shri B.R.Guruprasad, learned advocate for
claimants-appellants and Shri A.N.Krishna Swamy,
learned advocate for first respondent-Insurer.
4. First claimant's wife Smt.Leela Binoy sustained
grievous injuries in a road traffic accident on
01.07.2015, when a motor cycle bearing
Reg.No.KA-19-EC-9476 coming from opposite side
dashed against her. She succumbed to the injuries on
03.07.2015 in the hospital. On adjudication of the claim
petition, Tribunal has awarded Rs.22,70,000/- with
interest at 9% p.a., from the date of petition till
realization.
5. Shri Guruprasad for the claimants urged following
contentions:
• Firstly, the victim Smt.Leela Binoy had met with
the accident on 01.07.2015. She was admitted
in the Fr.Muller Hospital, Kankanady,
Mangaluru, and later shifted to A.J.Hospital,
Mangaluru. She succumbed to the injuries on
03.07.2015. Claimants have incurred medical
expenses of Rs.76,693/-. The Tribunal has
erred in not awarding the said amount; and
• Secondly, the deceased was aged about
42 years. Learned Tribunal has not added future
prospects at 25% while computing the
compensation.
6. Shri A.N.Krishna Swamy for the insurer, in his
usual fairness, submitted that claimants are entitled for
medical expenses and 25% will have to be added
towards future prospects while calculating loss of
dependency. He further submitted that Tribunal has not
correctly calculated the compensation so far as
conventional heads are concerned and prayed that the
same may be recomputed.
7. Learned advocate for the claimants submitted that
deceased was working as a Software Engineer and
running a school under name and style "Euro Kids
International Pre School" and earning Rs.2,44,614/-
p.a. Learned Tribunal has erred in considering the
income of the deceased as Rs.18,000/- p.m., and
accordingly sought for enhancement.
8. Claimants have produced the Statements of
income marked as Exhibits P.22 to P.24. Exhibit P.25
is the summary of account from 01.01.2015 to
14.07.2015 issued by ICICI Bank. Exhibits P.26 to 29
are account extracts from South Indian Bank and
Corporation Bank respectively. Tribunal has considered
the income of the deceased at Rs.18,000/- per month.
We have also perused the said documents and satisfied
that based on the material on record, Tribunal has
rightly assessed the income of the deceased as
Rs.18,000/- per month.
9. Deceased was aged 42 years, hence the applicable
multiplier is 14 and future prospects is to be
added at 25%.
10. First claimant is the husband, claimants No.2 and
3 are minor sons of the deceased. Hence, 1/3rd is
deductible from the earnings of the deceased while
calculating loss of dependency.
11. Thus, compensation towards loss of dependency is
worked out as follows;
The monthly notional income works out to
Rs.22,500/- (Rs.18,000+4,500) [by adding 25%
towards future prospects (Rs.18,000*25%=Rs.4,500)].
After deducting 1/3rd, it works out to Rs.15,000/-
per month (Rs.22,500*2/3). The Annual notional
income works out to Rs.1,80,000/- (Rs.15,000*12).
By applying 14 as multiplier, the loss of dependency
works out to Rs.25,20,000/- (Rs.1,80,000*14).
12. The total compensation is re-computed as follows;
Sl. Description Amount
No
a. Loss of dependency
Rs.25,20,000
b. ADD:Consortium
Rs.1,20,000
(Rs.40,000*3)
c. ADD: Conventional heads,
Rs.30,000
funeral expenses, etc.,
d. ADD: Medical expenses Rs.76,693
e. Total (a+b+c+d) Rs.27,46,693
f. LESS: Compensation Rs.22,70,000
awarded by the Tribunal
Enhanced Compensation Rs.4,76,693
13. Shri Krishna Swamy has argued that in motor
vehicle compensation cases, this Court has consistently
awarded interest at 6%. Learned advocate for the
claimants objected to consider Shri Krishna Swamy's
argument on the ground that insurer has not filed any
appeal. The compensation awarded must be just and
appropriate and we have re-computed the total
compensation. This court has been consistently
awarding interest at 6%. Therefore, in our considered
view, awarding 6% interest throughout is just and
appropriate. Hence, the following;
ORDER
(i) Appeal is allowed in part by holding
that claimants are entitled for a total
compensation of Rs.27,46,493/-, as against
Rs.22,70,000/- awarded by the Tribunal,
payable with interest at 6% p.a., from the
date of filing claim petition till the date of
deposit. The enhanced compensation is
Rs.4,76,693/-; and
(ii) Insurer shall pay the entire
compensation amount of Rs.27,46,493/- 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.
No costs.
Sd/-
JUDGE
Sd/-
JUDGE
NS/AV
