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The Branch Manager vs Smt Indiramma
2023 Latest Caselaw 2645 Kant

Citation : 2023 Latest Caselaw 2645 Kant
Judgement Date : 26 May, 2023

Karnataka High Court
The Branch Manager vs Smt Indiramma on 26 May, 2023
Bench: H.P.Sandesh
                            1



       IN THE HIGH COURT OF KARNATAKA AT BENGALURU

           DATED THIS THE 26TH DAY OF MAY, 2023

                          BEFORE

           THE HON'BLE MR. JUSTICE H.P. SANDESH

                 M.F.A. NO.7502/2016 (WC)
                           C/W.
                 M.F.A. NO.4205/2017 (WC)

IN M.F.A. NO.7502/2016:

BETWEEN:

THE BRANCH MANAGER
SHRIRAM GENERAL INSURANCE
COMPANY LTD.
E-8, EPIP RIICO, INDUSTRIAL AREA
SITAPUR, JAIPUR, RAJASTHAN.

NOW REPRESENTED BY ITS MANAGER
M/S. SHRIRAM GENERAL INSURANCE
COMPANY LTD.
NO.5/4, 3RD FLOOR, S.V. ARCADE
BILAKAHALLI MAIN ROAD
OFF BG ROAD, IIM POST
BANGALORE - 560 076.                         ... APPELLANT

        (BY SRI H.N.KESHAVA PRASHANTH, ADVOCATE)

AND:

1.     SMT. INDIRAMMA
       W/O LATE ONKARAPPA
       NOW AGED ABOUT 23 YEARS
       COOLIE WORK.

2.     AKSHITHA
       D/O LATE INKARAPPA
       NOW AGED ABOUT 9 YEARS
                            2



     MINOR, STUDENT
     REPRESENTED BY HER NATURAL MOTHER
     I.E., PETITIONER-1 AS NATURAL GUARDIAN

3.   SMT. PARVATHAMMA
     W/O LATE HANUMANTHAPPA,
     NOW AGED ABOUT 46 YEARS
     COOLIE WORK

     ALL ARE R/O.
     MEDEHALLI UPPARCHATTI VILLAGE
     CHITRADURGA TALUK
     AND DISTRICT-577501.

4.   H. NAGARAJ
     S/O HANUMAPPA,
     MAJOR,
     R/O PEDDATHIMAIAHANAPALYA
     CHALLAKERE TALUK
     CHITRADURGA DISTRICT-577501.
                                         ... RESPONDENTS

           (BY SRI R.SHASHIDHARA, ADVOCATE;
     RESPONDENT - 2 IS MINOR & REPRESENTED BY R1;
        SRI N.R.RANGE GOWDA, ADVOCATE FOR R4)

     THIS M.F.A. IS FILED UNDER SECTION 30(1) OF
EMPLOYEES COMPENSATION ACT AGAINST THE JUDGMENT AND
AWARD DATED 01.09.2016 PASSED IN ECA NO.19/2015 ON THE
FILE OF THE I ADDITIONAL SENIOR CIVIL JUDGE,
COMMISSIONER FOR COMPENSATION AND ETC.


IN M.F.A. NO.4205/2017:

BETWEEN:

1.   INDIRAMMA
     W/O LATE ONKARAPPA
     AGED ABOUT 24 YEARS
     COOLIE WORK
                             3



2.     AKSHITHA
       D/O LATE ONKARAPPA
       AGE: 10 YEARS
       STUDENT, MINOR
       REPRESENTED BY HER NATURAL
       MOTHER APPELLANT NO.1
       AS NATURAL GUARDIAN

3.     PARVATHAMMA
       W/O LATE HANUMANTHAPPA
       AGE: 47 YEARS
       COOLIE WORK

       ALL ARE R/O.
       MEDEHALLI UPPARAHATTI VILLAGE
       CHITRADURGA TALUK
       AND DISTRICT-577 501.
                                             ... APPELLANTS

             (BY SRI R.SHASHIDHARA, ADVOCATE)

AND:

1.     H. NAGARAJA
       S/O HANUMAPPA
       MAJOR,
       OWNER OF LORRY

       BEARING REGISTRATION NO.KA-18/9525
       R/O PEDDATHIMMAIAHANAPALYA
       CHALLAKERE TALUK
       CHITRADURGA DISTRICT-577501

2.     THE BRANCH MANAGER
       SRI RAM GENERAL INSURANCE CO. LTD.
       E-8, EPIP, RIICO INDUSTRIAL AREA
       SITAPURA, JAIPUR,
       RAJASTHAN STATE -302022
                                            ... RESPONDENTS

        (BY SRI N.R.RANGEGOWDA, ADVOCATE FOR R1;
       SRI H.N.KESHAVA PRASHANTH, ADVOCATE FOR R2)
                                4



     THIS M.F.A. IS FILED UNDER SECTION 30(1) OF W.C. ACT
AGAINST THE JUDGMENT AND AWARD DATED 01.09.2016
PASSED IN ECA.NO.19/2015 ON THE FILE OF THE I ADDITIONAL
SENIOR CIVIL JUDGE AND COMMISSIONER FOR COMPENSATION
AND ETC.

    THESE APPEALS HAVING BEEN HEARD AND RESERVED
FOR JUDGMENT ON 19.04.2023, THIS DAY, THE COURT
PRONOUNCED THE FOLLOWING:

                        JUDGMENT

These two appeals are filed by the claimants as well as the

Insurance Company challenging the judgment an award dated

01.09.2016 passed in E.C.A.No.19/2015 on the file of the I

Additional Senior Civil Judge and Commissioner for

Compensation at Chitradurga (for short 'the Commissioner')

questioning the quantum of compensation and also the liability.

2. The factual matrix of the case of the claimants

before the Commissioner is that the first and second claimants

are the wife and son of the deceased Onkarappa and third

claimant is the mother of the deceased Onkarappa. The

deceased was working as a coolie (loader and un-loader) in a

lorry bearing Reg.No.KA18-9525 under the employment of

respondent No.1. On 25.01.2012 at about 6.00 p.m., he along

with other hamalies after loading cotton bales at Jagalur,

boarded said lorry for unloading and proceeded towards

Chitradurga. When the lorry reached near Bogalerahatti Gate,

NH-13 road, Chitradurga taluk, the driver of said lorry drove the

same in a rash and negligent manner with high speed and ran

over towards road side ditch. As a result, Onkarappa who was

sitting on the loaded cotton bales fell down from the lorry and

sustained severe injuries and while shifting to the Government

hospital at Chikkagondanahalli, he died on the way. PM was

conducted at Chitradurga Government hospital and the claimants

have performed funeral ceremony, rites and rituals by spending

Rs.50,000/-. The claimants further contended that the deceased

Onkarappa was very healthy and was getting salary of

Rs.6,000/- per month and batta at Rs.100/- per day. Due to

untimely death of Onkarappa, the claimants are suffering from

mental shock, agony, loss love and affection. Hence, prayed the

compensation.

3. In pursuance of notice, respondent Nos.1 and 2

appeared through their respective counsel and filed their

separate written statement. Respondent No.1 denied the entire

averments and called upon the claimants to prove their claims.

Further it is contended that offending lorry is insured with

respondent No.2 and the policy was in force at the time of the

accident. The amount of compensation claimed by the claimants

is highly excessive, abnormal, exorbitant and not in accordance

with law. It is further contended he has paid Rs.10,000/- to the

claimants for shifting the deceased to the hospital and to his

native place for performing funeral ceremony.

4. The learned counsel for respondent No.2 in the

written statement contended that the driver of the lorry was not

holding a valid and effective driving licence at the time of

accident. Even though, respondent No.1 has allowed the driver,

who possessed no driving license, to drive hence, has violated

the terms and conditions of insurance policy. The relationship

between the claimants is disputed contending that they are not

the dependants. It is contended that respondent No.1 has used

the said vehicle for carrying passengers and the said lorry is

meant for transportation of goods but respondent No.1 knowing

the said fact, permitted the deceased to travel as gratuitous

passenger. Respondent No.1 has not paid premium towards said

risk and violated the policy, RC and permit conditions. There is

no relationship of employer and employee between respondent

No.1 and the deceased. Hence, the Insurance Company is not

liable to pay the compensation.

5. The Commissioner having considering the pleadings

of the parties framed the issues and allowed the parties to lead

their evidence. The claimants in order to prove their case, first

claimant got examined herself as PW1 and one witness as PW2

and got marked the documents at Ex.P1 to P10. On the other

hand, respondent No.2 examined its Legal Officer as RW1 and

got marked the document at Ex.R1. The Commissioner having

considered the material available on record answered Issue No.1

as affirmative and granted the compensation of Rs.6,35,370/-

and also directed respondent No.2 to pay the compensation.

Being aggrieved by the said judgment and award, these appeals

are filed.

6. The learned counsel for appellants/claimants in MFA

No.4205/2017 vehemently contends that the Commissioner has

grossly erred in taking the wages of the deceased at Rs.6,000/-

per month though the evidence on record goes to shows that the

deceased was a loader and un-loader in the lorry and he used to

earn more than Rs.6,000/- per month as wages and Rs.100/-

per day as batta hence, the same is liable to be enhanced. The

contention also raised that the Commissioner has grossly erred

in awarding interest at 9% p.a. from the 30th day of the accident

till realization and hence, the same is liable to be enhanced.

Hence, this Court has to consider the points regarding quantum

of compensation as well as with regard to the interest.

7. The learned counsel in support of his argument

would vehemently contend that the very contention of the

Insurance Company that Rule 100 of Karnataka Motor Vehicles

Rules, 1989 (for short 'the Rule 100 of 1989') applies hence,

liability on the Insurance Company does not arise and the said

contention cannot be accepted since it is only the claim under

the Workmen Compensation Act and the Insurance Company is

statutorily liable under Section 147 of the Motor Vehicles Act (for

short 'the M.V.Act') and also under Section 3 of the Workmen

Compensation Act (for short 'W.C. Act'). The counsel also

submits that though Insurance Company would contend that

there is no relationship of employer and employee, respondent

No.1 categorically admitted that deceased was a coolie under

him. The counsel also would contend that extra premium was

paid and IMT 40 also mentioned in the policy hence, the

Insurance Company is liable to pay the compensation

contractually and statutorily and the Court also committed an

error in granting interest at 9% p.a.

8. The learned counsel for the claimants in support of

his argument relied upon the judgment passed in MFA

No.10463/2011 and MFA Crob.No.24/2012. The counsel would

vehemently contend that in the said judgment it is categorically

held that Rule 100o of 1989 is not applicable and also held that

coolies who are employees in a goods vehicle are compulsorily

covered under Section 147 (1)(b) of the M.V. Act and apart from

that premium is also collected hence, the Insurance Company

cannot avoid its liability.

9. The learned counsel for the appellant/Insurance

Company in MFA No.7502/2016 would vehemently contend that

the finding of the Commissioner that there is a employer and

employee relationship between the insured and the deceased is

nothing but a perverse finding and the same is not based on

proper appreciation of the evidence and documents produced

before the Court hence, the same is liable to be set aside. It is

contended that the police documents clearly demonstrate that

the deceased was working as a Hamali in RMC yard at

Chitradurga and hence, it is clear that he was not working as a

loader and un-loader under respondent No.4 and there was no

employer and employee relationship between the insured and

the deceased. On the date of the accident, he was traveling only

as gratuitous passenger in the insured goods vehicle along with

other persons and therefore, the Commissioner ought to have

held that the deceased was traveling in the insured goods

vehicle as a gratuitous passenger. It is also contended that the

documents produced by the claimants and evidence on record

clearly demonstrate that the deceased was traveling from one

city to another city in a goods vehicle against the Karnataka

Motor Vehicle Rules and against the conditions of the policy and

hence, the Commissioner ought to have fastened the liability on

the owner of the vehicle instead of Insurance Company.

10. It is further contended in the appeal that the

Commissioner ought to have seen that the documents produced

by the claimants and the evidence placed on record which clearly

demonstrate that the deceased was traveling on the carriage of

lorry and not in the cabin and also contended that he was sitting

on the carriage of the lorry which was completely loaded with

cotton bales in a dangerous position, which makes clear that this

is a clear violation of terms and conditions of the policy,

provisions of the Act, permit issued by the RTO authorities and

against the Karnataka Motor Vehicles Rules. Hence, the

Commissioner ought not to have fastened the liability on the

Insurance Company. It is also contended that it is a case of

clear violation of Rule 100 of 1989 and at any stretch of

imagination, liability should not have been fastened on the

Insurance Company and hence, the Commissioner committed an

error in considering the factual aspects and also the question of

law. Hence, it requires interference by framing the points that

whether the finding of the Commissioner is correct in holding

that there was a employer and employee relationship between

the insurer and the deceased and whether the liability fastened

on the Insurance Company is in accordance with law.

11. The learned counsel for the Insurance Company in

support of his arguments, mainly contends that the averments

made in the claim petition is that the deceased was a co-worker

as a loader and un-loader in the lorry. But considering the

pleadings and evidence it is clear that he was working as a coolie

in RMC yard and not an employee under respondent No.1. The

counsel would vehemently contend that he was a paid passenger

and material discloses that he was proceeding in the carriage

lorry. The Commissioner fails to take note of Rule 100 of 1989,

sub-sections 1, 3 and 4 of the said Rules and as per said Rules,

the deceased cannot sit and travel on goods vehicle. The

counsel also submits that the material discloses that he was

traveling from Jagaluru to Chitradurga i.e., from one city to

another city and the same is also prohibited under Rule 100 of

1989. The counsel would vehemently contend that the

Commissioner has committed an error in fastening the liability

on the Insurance Company instead of the owner who violated

the terms and conditions of the policy.

12. The learned counsel for the Insurance Company with

regard to seeking enhancement of compensation would

vehemently contend that the very pleading of the claimants

before the Commissioner that the deceased was drawing salary

of Rs.6,000/- per month and the same was considered hence, no

grounds are made out to enhance the compensation. The

counsel also vehemently contends that the claiming of batta of

Rs.100/- per day cannot be entertained since the same is not a

part of his earning.

13. The learned counsel in support of his argument relied

upon the judgment of this Court passed in MFA Nos.9192/2018

and other connected appeals. The counsel would vehemently

contend that in this judgment, this Court discussed in detail

regarding Section 147 of M.V. Act and also considered Rule 100

of 1989 wherein provisions are made to carry the persons in a

light transport goods vehicle and also in the light transport

goods vehicle having registered laden weight less than 990 kgs

and also any goods vehicle not more than seven provided that

the provisions of sub-clauses (ii) and (iii) of the above proviso

shall not be applicable to the vehicles plying on interstate routes

or the vehicles carrying goods from one city to another city and

also this Court discussed the principles laid down in the case of

Smt. Bellamma and allowed the appeal filed by the Insurance

Company and directed the owner of the offending vehicle to pay

the compensation and exonerated the liability of the Insurance

Company. The said judgment is aptly applicable to the facts of

the case on hand also and prayed this Court to set aside the

judgment and award of the Commissioner.

14. Having heard the respective counsel and also on

perusal of the material available on record, the following points

would arise for consideration of this Court that:

(1) Whether the Commissioner committed an error in not awarding just and reasonable compensation?

(2) Whether the Commissioner committed an error in awarding interest at the rate of 9% p.a?

(3) Whether the Commissioner committed an error in holding that there is a employer and employee relationship between the insurer and the deceased?

(4) Whether the Commissioner committed an error in fastening the liability on the Insurance Company?

(5) What order?

15. All the points in these appeals are interrelated with

regard to the relationship between the employer and employee

and quantum of compensation and also the liability hence, they

are taken up together for consideration.

16. Before answering the said points for consideration,

this Court has to mention in brief the factual aspects. It is not in

dispute that the deceased was traveling in a goods vehicle sitting

on loaded cotton bales and he fell down from the lorry when the

driver of the lorry drove the same towards the road side ditch

and he had sustained injuries and succumbed to the injuries.

17. The main contention of the counsel for the Insurance

Company is that he was not an employee of respondent No.1

and he has not established the relationship of employer and

employee. In order to consider the contention that there was no

relationship of employer and employee, the Court has take note

of the material available on record. Respondent No.1 appeared

and filed his written statement and in paragraph 1 of the written

statement he categorically admitted that the deceased

Onkarappa was working as an employee and he was under the

employment of respondent No.1 and he was discharging his

legitimate duties under employer and employee relationship

hence, it is clear that respondent No.1 has categorically admitted

that the deceased was an employee under him and also he

admits that he used to pay the amount of Rs.8,000/- as a salary

including batta and same has not been rebutted. In the cross-

examination of PW1 it is suggested that the deceased was not an

employee and the same was denied. But no doubt, in Ex.P1 it is

mentioned that he was working in APMC Yard as a coolie and no

document is produced to show that he was working under

respondent No.1 and PW1 though admits that the deceased was

proceedings as a passenger, PW1 was not present at the time of

the accident. In order to prove the case of the claimants, they

have examined one witness as PW2 who is also a co-worker of

the deceased. PW2 categorically says that all of them were

proceeding in the said lorry after loading the cotton bales from

Jagaluru to Chitradurga and accident was occurred due to

negligence on the part of the driver of the lorry who drove the

same towards road side ditch as a result, the deceased fell down

from the lorry. In his cross-examination, he also admits that he

was working in the market but he categorically says that he is

not working in any shop of the market, but he used to go to

work in the lorry and on that date, he was proceeding along with

the deceased and other coolies and also he admits that they

were carrying 175 cotton bales in the said lorry and all of them

sitting on the cotton bales and a suggestion was made that all of

them were traveling as passengers and the same was denied. It

is suggested that either the deceased or himself not worked

under respondent No.1 and the same was denied.

18. On the other hand, the Insurance Company also

examined the Legal Officer as RW1 who contends that as per the

police records they were traveling from Jagaluru in the aforesaid

vehicle and they are the paid passengers and not a Hamalies of

loader and un-loader but in the cross-examination, he admits

that policy was in force and he claims that the deceased was an

unauthorised passenger and also admits that he has not

produced any document to shows that the deceased was an

unauthorized passenger. RW1 also produced the document at

Ex.P1 i.e., the copy of the policy. In order to prove the fact that

the deceased was a paid passenger, no material is placed before

the Court as admitted by him and in order to comes to the

conclusion that he was not an employee of respondent No.1 also

no material is placed. But respondent No.1 categorically

admitted that the deceased was working as a coolie under him

and he was paying the salary with batta of Rs.8,000/- per

month. Apart from that in the complaint which is marked as

Ex.P2 is clear that on the date of the accident, all of them were

proceeding in the goods lorry by loading the cotton bales to

transport the same from Jagaluru to Chitradurga and this

complaint was given on the date of the accident i.e., on

25.01.2012 at 9.45 p.m. and the accident took place at 6.00

p.m.

19. It is also clear from the document that the deceased

was working in RMC as a loader and un-loader but the

contention of the Insurance Company that he was working at

RMC but it is not under the meaning that he was working in any

RMC shops and on the date of the accident, he loaded the cotton

bales and proceeded in the lorry hence, the very contention that

no relationship is established cannot be accepted since no cogent

evidence is placed before the Court to show that the deceased

was not an employee of respondent No.1 and even Insurance

Company is not summoned respondent No.1 to prove the fact

that the deceased was not an employee of respondent No.1

Hence, I do not find any force in the contention of the counsel

for Insurance Company that there is no relationship of employer

and employee.

20. The other contention of the counsel for the Insurance

Company that the deceased was a paid passenger and in order

to prove the said fact, no material is placed and document at

Ex.P1 is very clear that they have loaded the cotton bales and

proceeded in the goods lorry and respondent No.1 also admitted

that he was an employee under him and apart from RW1 also in

the cross-examination categorically admitted that he has not

produced any document to show that he was a paid passenger

and apart from that Insurance Company took the contention that

as per the police records, the deceased was a passenger and

same is also averred in the affidavit of RW1. On perusal of

police records it discloses that nowhere it is stated that he was a

passenger hence, the said contention cannot be accepted.

21. The other point for consideration is with regard to

quantum of compensation. It is the claim of the claimants that

the deceased was working as a loader and un-loader and

respondent No.1 used to pay a sum of Rs.6,000/- per month as

coolie and batta of Rs.100/- per day and the written statement

filed by respondent No.1 is also clear that including the batta he

was paying the amount of Rs.8,000/- per month to the

deceased. The Commissioner considered the income of

Rs.6,000/-. The counsel for the Insurance Company also

brought to notice of this Court that their pleading itself is that

the deceased was getting Rs.6,000/- per month and batta

cannot be added and the same is only a daily expenses. The

Commissioner in the judgment while answering Issue No.2

comes to the conclusion that admittedly there is no documents

to show that earning of the deceased as pleaded that he was

earning Rs.8,000/- per month and considering the cost of living,

notional income of Rs.6,000/- was taken. But when the claim is

made under the ECA Act, the Commissioner ought to have taken

the statutory income. The accident is of the year 2012 and the

statutory income for the said period is Rs.8,000/-. Hence, the

Commissioner ought to have taken statutory income of

Rs.8,000/- instead of notional income of Rs.6,000/-. Hence, the

very contention of the claimants that the Commissioner has

committed an error in taking the income, there is a force.

Hence, this Court has to revisit with regard to the calculation of

income is concerned.

22. The deceased was aged about 28 years at the time

of the accident and in a case of death, as per schedule-I, Section

2(1) and 4 of W.C. Act, 50% of salary has to be taken into

consideration to assess the compensation. In terms of

Schedule-IV, Section 4 of W.C.Act, the factors to be worked out

and for the age of 28 years, the factors would be 211.79 hence,

it comes to Rs.8,47,160/- (8,000 x 50 x 211.79 fraction/100).

23. The other contention of the counsel for the claimants

that the Commissioner has awarded the interest at the rate of

9% p.a. from the 30th day of the accident till the realization is

erroneous. There is a force in the contention of the counsel for

the claimants that the Commissioner has committed an error in

awarding the interest at 9% instead of statutory interest at the

rate of 12% p.a., payable from the 30th day of the accident and

the Commissioner has not committed an error having awarded

the interest from 30th day of the accident but committed an error

in awarding interest at 9% p.a. and the same has to be

enhanced to 12% p.a.

24. Now, the question is with regard to the liability is

concerned. There is no dispute with regard to the issuance of

policy and policy is in force is also not in dispute and the vehicle

involved in the accident is a lorry and same is a goods vehicle.

The counsel for the Insurance Company vehemently contend

that Rule 100 of 1989 is applicable and the employee cannot be

carried on the carriage and also further contended that Rule 100

of 1989 stipulates carriage of persons in a goods vehicle is

prohibited that no persons shall be carried in a goods vehicle.

The counsel also brought to notice of this Court sub-section (ii)

and (iii) wherein any other light transport goods vehicle not

more than three and in any goods vehicle not more than seven.

But in the case on hand, no doubt, the vehicle involved in the

accident is a goods vehicle and not the light transport goods

vehicle. Proviso is also that provisions of sub-clause (ii) and (iii)

of the above proviso shall not be applicable to the vehicles plying

on the interstate routes or the vehicles carrying goods from one

city to another city.

25. In the case on hand, no doubt, the cotton bales

loaded at Jagaluru and transported the same to the Chitradurga.

The counsel for the claimants also relied upon the judgment of

this Court in MFA No.10463/2011 and MFA Crob.No.24/2012 and

in that case, the deceased was a labourer traveling along with

other workers in a tractor-trailer and similar grounds are also

urged in the said case also and this Court also considered the

Rule 100of 1989 and also considered Section 147 of M.V.Act.

Having read the provisions of Rule 2(b), (c) and (h) of Central

Motor Vehicle Rules (for short 'CMV Rules') and also Rule 100 of

1989, in paragraph 9 discussed that a conjoint reading of Rule

2(b), (c), (h) of CMV Rules discussed with regard to the said

Rule does not restrict to only transport goods vehicle and it is

applicable even in cases falling under non-transport goods

vehicle also and also considered Section 147 of M.V.Act and

extracted the same in paragraph 10 and also considered sub-

section (4) of Section 149 of M.V.Act and comes to the

conclusion insurer cannot include any liability by adding any

term in the policy format which is specified by the statute. The

insurer is liable to compulsorily cover all the risk arising out of

and any motor vehicle and the liability of the insurer is co-

extensive with that of the insured. It is clear that coolies who

are carried in a goods vehicle are compulsorily covered under

Section 147(1)(b) of the M.V.Act. No doubt, this Court passed

the said judgment in the year 2016 and other judgment of this

Court is of the year 2022 and in the recent judgment regarding

liability is concerned taken note of Rule 100 of 1989 as well as

Section 147 of M.V. Act. But observed in paragraph 17 that Rule

100 of 1989 is not applicable in the present facts and

circumstances and the claimants and the owner cannot take

benefit of this provision but observed that no extra-premium is

paid in respect of coolie. In paragraph 18 taken note of

registration of the offending vehicle, the seating capacity is 1 +

1, as per the provision at the most the risk of one person who is

traveling in the offending vehicle in the cabin are covered.

26. In the case on hand also admittedly, the vehicle

involved in the accident is a goods vehicle that is lorry and

hence, the Insurance Company is liable to pay compulsorily to

the employees as per Section 147 of M.V. Act and hence, in view

of the statutory liability, the very contention of the Insurance

Company that company is not liable to pay compensation on the

ground that Rule 100 of 1989 is applicable cannot be accepted.

The other contention that the deceased was traveling on the

carriage and hence, Insurance Company is not liable to pay

compensation is cannot be accepted and it is the liability of the

Insurance Company statutorily and compulsorily to pay the

compensation as per Section 147 of M.V. Act since the deceased

was proceedings as a coolie in the goods vehicle and accident

was occurred during the course of his employment. Hence, the

contention of the Insurance Company cannot be accepted.

Hence, I answer all the points accordingly.

27. In view of the discussions made above, I pass the

following:

ORDER

(i) The appeal of the claimants in MFA No.4205/2017 is

allowed. The judgment and award dated 01.09.2016

passed in E.C.A.No.19/2015 of the Commissioner is

modified by granting the compensation of

Rs.8,47,160/- with interest 12% p.a from 30th day of

the accident.

(ii) The appeal of the Insurance Company in MFA

No.7502/2016 is dismissed.

(iii) The Insurance Company is directed to pay the

compensation amount with interest within six weeks

from today.

(iv) The Registry is directed to transmit the records to

the concerned Tribunal, forthwith.

(v) With regard to the apportionment, the order of the

Commissioner remains undisturbed.

     (vi)   The    amount    in     deposit      made   by   the

            appellant/Insurance    Company is ordered to be

transmitted to the I Additional Senior Civil Judge

and Commissioner for Compensation at Chitradurga

forthwith.

Sd/-

JUDGE

SN

 
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LatestLaws Partner Event : Smt. Nirmala Devi Bam Memorial International Moot Court Competition

 
 
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