Karnataka High Court
The Manager vs Mahadevu M. C on 1 August, 2025
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MFA No. 7126 of 2017
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 01ST DAY OF AUGUST, 2025
BEFORE
THE HON'BLE MRS. JUSTICE P SREE SUDHA
MISCELLANEOUS FIRST APPEAL NO. 7126/2017 (MV-D)
BETWEEN:
THE MANAGER,
RELIANCE GENERAL INSURANCE CO. LTD.,
MYSORE TRADE TOWERS,
OPPOSITE TO KSRTC,
B.M. ROAD, MYSURU,
ALSO AT, RELIANCE GENERAL
INSURANCE COMPANY LTD.,
EAST WING, 5TH FLOOR, NO.28,
CENTENARY BUILDING, M.G. ROAD,
BENGALURU-560 001,
NOW REPRESENTED BY MANAGER LEGAL.
...APPELLANT
(BY SMT. PADMA S. UHUR, ADVOCATE FOR
SRI. ASHOK N. PATIL, ADVOCATE)
AND:
1. MAHADEVU M.C,
S/O LATE MADAIAH @ MAHADEVU,
AGED ABOUT 54 YEARS,
2. SMT. SHANTHAMMA,
W/O MAHADEVU M.C,
AGED ABOUT 48 YEARS,
BOTH ARE R/AT
MADARAHALLI VILLAGE,
ARAKERE HOBLI,
SRIRANGAPATNA TALUK,
MANDYA DISTRICT-571 438.
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MFA No. 7126 of 2017
3. PRAKASH .K.S S/O SANNAPPA,
MAJOR, R/AT NO.307/1,
NEAR ESHWARA TEMPLE,
DODDAKALASANDRA,
KANAKAPURA MAIN ROAD,
BENGALURU-560 062,
PERMANENT ADDRESS AT
KOTHANAHALLI VILLAGE,
KOPPA HOBLI,
HOSAKERE POST,
MADDUR TALUK-571 428.
...RESPONDENTS
(BY SRI. H.B. CHANDRASHEKAR, ADVOCATE FOR R1 & R2,
V/O DT:16.03.2022 NOTICE TO R3 IS D/W)
THIS APPEAL IS FILED U/S 173(1) OF MV ACT AGAINST
THE JUDGMENT AND AWARD DATED 30.06.2017 PASSED IN
MVC NO.335/2016 ON THE FILE OF THE ADDITIONAL SENIOR
CIVIL JUDGE, MACT, SRIRANGAPATNA, AWARDING
COMPENSATION OF RS.37,05,600/- WITH INTEREST AT 9%
P.A. FROM THE DATE OF FILING THE PETITION TILL THE DATE
OF DEPOSIT.
THIS APPEAL HAVING BEEN HEARD AND RESERVED ON
28.07.2025 COMING ON FOR PRONOUNCEMENT OF JUDGMENT
THIS DAY, P SREE SUDHA J., DELIVERED THE FOLLOWING:
CORAM: HON'BLE MRS. JUSTICE P SREE SUDHA
CAV JUDGMENT
This appeal is filed against the award dated 30.06.2017
passed in MVC No.335/2016 by the Additional Senior Civil
Judge, MACT, Srirangapatna. The deceased Sathish M., aged
about 24 years, met with an accident on 14.06.2015. The
parents of deceased filed claim petition claiming compensation
of Rs.54,75,000/-. The Tribunal considering the evidence on
record granted compensation of Rs.37,05,600/- with interest at
9% per annum from the date of petition till the date of deposit.
2. Aggrieved by the said order, this appeal is filed
seeking enhancement in which it is contended that the gross
income of the deceased was taken as Rs.16,600/- per month
instead of Rs.14,900/- per month. It is also contended that 18
multiplier was wrongly taken and it is to be rectified.
3. As per the record, P.W.2-Assistant Manager of Smart
Vision has stated that the deceased Sathish was working as
punching operator getting the pay of 16,815/- per month. The
Tribunal deducted Rs.1800/- towards P.F., Rs.315/- towards
ESI and Rs.200/- towards professional tax, totaling Rs.2,315/-.
4. This Court finds it reasonable to deduct Rs.200/-
towards professional tax from the income of Rs.16,815/- and
the net income comes to Rs.16,615/-. As per the guidelines of
the Hon'ble Apex Court in dictum of Sarla Verma Vs. Delhi
Transport Corporation1, if the deceased was unmarried, ½ of
his income has to be deducted as there are 2 dependents
towards his personal expenses. Thus, the annual income of the
deceased after deducting personal expenses comes to
Rs.8,308/- per month. The Hon'ble Apex Court in the dictum of
National Insurance Company Limited Vs. Pranay Sethi2,
held that the future prospects of income of the self-employed
deceased shall also be included in determination of the
compensation. Thus, considering the age of the deceased, 40%
of the income has to be added towards future prospects and
thus the amount would become Rs.11,631/- per month
(8308+3323). As the deceased was aged 24 years, the
multiplier was rightly taken by the Tribunal as 18 and it needs
no interference. Therefore, loss of dependency would be
Rs.25,12,296/- (Rs.11,631 x 12 x 18).
5. Learned counsel for the Insurance Company submitted
that the calculation of compensation in respect of traditional
heads and the rate of interest at 9% per annum are on the
higher side as the accident was of the year 2015. The
(2009) 6 SCC 121
(2017) 16 SCC 680
submission of the learned counsel is just and reasonable.
However, as prescribed in the dictum of National Insurance
Company Limited Vs. Pranay Sethi, Rs. 16,500/- is granted
under the head loss of estate instead of Rs.50,000/- and
towards funeral expenses, Rs.16,500/- is granted instead of
Rs.20,000/-.
6. Further, the Hon'ble Supreme Court, by reiterating
the comprehensive interpretation of 'consortium' given in the
authority of Magma General Insurance Company Limited
vs. Nanu Ram Alias Chuhru Ram & others3, and in the
authority between United India Insurance Company
Limited vs. Satinder Kaur @ Satwinder Kaur and others4,
fortified that the amounts for loss of consortium shall be
awarded to the children who lose the care and protection of
their parents as 'parental consortium' and to the parents as,
'filial consortium' for the loss of their grown-up children, to
compensate their agony, love and affection, care and
companionship of deceased children. Accordingly, it is just and
reasonable to award towards love and affection Rs.88,000/-
(2018) 18 SCC 130
(2020) 9 SCC 644
(Rs.44,000 x 2) instead of Rs.50,000/- Rate of interest is also
modified as 6% instead of 9% per annum. In all, the claimants
are entitled for the compensation of Rs.26,33,296/- with
interest at 6% per annum as against Rs.37,05,600/- awarded
by the Tribunal.
7. The award of compensation passed by the Tribunal is
modified as under:
Heads Amount in Rs.
1. Loss of Dependency 25,12,296/-
(Rs.16,615+40%=23,261X12X18X1/2)
2. Loss of Estate 16,500/-
3. Loss of Love and Affection 88,000/-
(Rs.44,000X2)
4. Towards Funeral Expenses 16,500/-
Total 26,33,296/-
8. In the result, the following order is passed:
(i) Appeal is allowed in part.
(ii) The Claimants are entitled for the total
compensation of Rs.26,33,296/- with interest at
6% p.a. from the date of petition till the date of
realization.
(iii) Claimants are entitled for equal share in the
compensation amount.
(iv) The appellant-Insurance company is directed to
deposit the aforesaid compensation amount within
one month from the date of receipt of copy of this
order.
(v) On such deposit, the Claimants are permitted to
withdraw their amount along with aforesaid
interest.
Sd/-
(P SREE SUDHA)
JUDGE
CS
