Citation : 2025 Latest Caselaw 2901 Kant
Judgement Date : 25 January, 2025
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NC: 2025:KHC-D:1472
MFA No. 103830 of 2017
C/W MFA No. 102931 of 2017
IN THE HIGH COURT OF KARNATAKA
DHARWAD BENCH
DATED THIS THE 25TH DAY OF JANUARY, 2025
BEFORE
THE HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR
MISCELLANEOUS FIRST APPEAL NO.103830 OF 2017 (MV-D)
C/W
MISCELLANEOUS FIRST APPEAL NO.102931 OF 2017
IN M.F.A. NO.103830 OF 2017
BETWEEN:
1. SMT. MADIGA LAKSHMI @ P. LAKSHMI
W/O. LATE MADIGA VENKATESHULU
@ PETA VENKATESHULU,
AGE: 26 YEARS, OCC: HOUSE-WIFE,
2. MINOR MADIGA SATISH KUMAR
@ P. SATISH KUMAR
S/O. LATE MADIGA VENKATESHULU
@ PETA VENKATESHULU,
AGE: 8 YEARS, OCC: STUDENT,
3. MINOR MADIGA CHINTU @
Digitally signed by P. CHINTU S/O. LATE MADIGA
MALLIKARJUN
RUDRAYYA KALMATH VENKATESHULU @ PETA
Location: HIGH
COURT OF
VENKATESHULU,
KARNATAKA AGE: 3 YEARS
4. SMT. PETA THIMMAKKA
@ MADIGA THIMMAKKA W/O. LATE
LAKSHMANNA @ P. LAKSHMAPPA,
AGED ABOUT 62 YEARS, HOUSE WIFE,
SINCE APPELLANTS NO. 2 AND 3 IS MINORS
REP/BY THEIR MOTHER AND NATURAL GUARDIAN
SMT. MADIGA LAKSHMI @ P. LAKSHMI
W/O. LATE MADIGA VENKATESHULU
@ PETA VENKATESHULU
ALL ARE R/O. CHELIMEPALLI-VILLAGE,
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MFA No. 103830 of 2017
C/W MFA No. 102931 of 2017
BRAHMASAMUDRAM MANDALAM,
PRESENTLY, R/O. AUTO NAGAR, NEAR BSAL
FACTORY, ANANTAPURA ROAD, BALLARI-583101.
...APPELLANTS
(BY SRI M.G. PATIL, ADVOCATE)
AND:
1. SRI YAKKATI HARISH
S/O. Y. VENKATA SRINIVASA RAO,
AGED ABOUT 28 YEARS,
DRIVER OF THE EICHER LORRY
BEARING NO.AP-16/Y-7335
R/O. KOUSURUVARI PALEM POST,
MAPUDEVI MANDAL,
KRISHNA-DISTRICT A.P.-420001.
2. SRI K. SRINIVASA RAO
S/O. K. GOPAL RAO,
AGED ABOUT 42 YEARS,
OWNER OF THE EICHER LORRY
BEARING REG NO.AP-16/Y-7335
R/O: H.NO.3/81, 3RD WARD BEHIND
RTC DEPOT, AVANI GADDA, ANAKAPALLI,
KRISHNA DISTRICT A.P.-420001.
3. M/S. NEW INDIA ASSURANCE COMPANY LTD.,
BY ITS DIVISIONAL MANAGER,
EDIGA HOSTEL COMPLEX, BALLARI-583101.
...RESPONDENTS
(BY SRI M.Y. KATAGI, ADVOCATE FOR R3;
R1 AND R2 - SERVICE OF NOTICE DISPENSED WITH.)
THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER
SECTION 173(1) OF M.V.ACT, PRAYING TO ENHANCE THE
COMPENSATION FROM RS.20,96,250/- TO RS.27,15,000/- IN MVC
NO.1048/2015 DATED 28.02.2017 ON THE FILE OF PRINCIPAL
SENIOR CIVIL JUDGE CUM MEMBER ADDITIONAL MOTOR ACCIDENT
CLAIMS TRIBUNAL NO.III, AT BALLARI, IN THE INTEREST OF
JUSTICE AND EQUITY AND ETC.,.
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MFA No. 103830 of 2017
C/W MFA No. 102931 of 2017
IN M.F.A. NO.102931 OF 2017
BETWEEN:
M/S. NEW INDIA ASSURANCE CO.,
BY ITS DIVISIONAL MANAGER,
EDIGA HOSTEL COMPLEX BALLARI,
(POLICY NO.61030031140100021356
VALID FROM 17.01.2015 TO 16.01.2016
INSURED AT DIVISIONAL OFFICE,
SANTHOSIMA COMPLEX, RTC X ROADS,
HYDERABAD) NOW REPRESENTED
BY NEW INDIA ASSURANCE COMPANY
DULY CONSTITUTED ATTORNEYS).
...APPELLANT
(BY SRI M.Y. KATAGI, ADVOCATE.)
AND:
1. SMT. MADIGA LAKSHMI @ P. LAKSHMI,
W/O. LATE MADIGA VENKATESHULU
@ PETA VENKATESHULU
AGED ABOUT 26 YEARS,
OCC. HOUSEWIFE,
2. MINOR MADIGA SATISH KUMAR
@ P. SATISH KUMAR,
S/O. LATE MADIGA VENKATESHULU
@ PETA VENKATESHULU,
AGED ABOUT 8 YEARS,
OCC. STUDENT,
3 MINOR MADIGA CHINTU @ P. CHINTU,
S/O. LATE MADIGA VENKATESHULU
@ PETA VENKATESHULU,
AGED ABOUT 3 YEARS,
OCC. STUDENT,
SINCE 2ND AND 3RD APPELLANTS ARE MINOR,
REPRESENTED BY THEIR MOTHER AND NATURAL
GUARDIAN SMT. MADIGA LAKSHMI @ P. LAKSMI,
W/O. LATE MADIGA VENKATESHULU
@ PETA VENKATESHULU.
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MFA No. 103830 of 2017
C/W MFA No. 102931 of 2017
4. SMT. PETA TIMMAKKA @ MADIGA TIMMAKKA
W/O. LATE LAKSHMANNA @ P. LAKSHMAPPA,
AGED ABOUT 62 YEARS, OCC. HOUSE WIFE,
ALL ARE R/O: CHELIMEPALLI VILLAGE,
BRAHMASAMUDRAM MANDALAM,
PRESENTLY R/O. AUTO NAGAR,
NEAR BSAL, FACTORY, ANANTAPUR ROAD,
BALLARI-583101.
5. SRI. YAKKATI HARISH
S/O. Y. VENKATA SRINIVAS RAO,
AGED ABOUT 28 YEARS,
DRIVER OF THE EICHER LORRY BEARING
REGISTRATION NO.AP-16 Y-7335,
R/O: KOUSURUVARI PALEM POST-521150,
MAPUDEVI MANDAL, KRISHNA DISTRICT, A.P.
6. SRI. K. SRINIVASA RAO,
S/O. K. GOPAL RAO,
AGED ABOUT 42 YEARS,
OWNER OF THE LORRY BEARING
REGISTRATION NO.AP-16 Y-7335,
R/O: H.N. 3/81, 3RD WARD,
BEHIND RTC DEPOT, AVANI GADDA,
ANAKAPALLI-531001, KRISHNA DISTRICT, A.P.
RESPONDENTS
(BY SRI M.G. PATIL, ADVOCATE FOR R1 TO R4;
R2 AND R3 ARE MINOR'S REPRESENTED BY R1;
R5 - NOTICE SERVED;
R6 - SERVICE OF NOTICE DISPENSED WITH.)
THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER
SECTION 173(1) OF MOTOR VEHICLES ACT, 1988, PRAYING TO
ALLOW THE APPEAL AS PRAYED FOR BY SETTING ASIDE THE
JUDGMENT AND AWARD DATED 28.02.2017 PASSED BY THE
PRINCIPAL SENIOR CIVIL JUDGE CUM MOTOR ACCIDENT CLAIMS
TRIBUNAL NO.III, AT: BALLARI, IN MVC NO.1048/2015 WITH COSTS
IN THE INTEREST OF JUSTICE AND EQUITY.
THESE MISCELLANEOUS FIRST APPEALS COMING ON FOR
ADMISSION THIS DAY, THE COURT DELIVERED THE FOLLOWING:
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MFA No. 103830 of 2017
C/W MFA No. 102931 of 2017
ORAL JUDGMENT
(PER: THE HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR)
In MFA No.102931/2017, learned counsel for appellant
Insurance Company has filed a memo seeking dispensation
of service of notice to respondent No.6. Memo and
submission of the learned counsel are placed on record. In
view of the same, service of notice to respondent No.6 is
dispensed with at the risk of appellant and learned counsel
Sri M.G.Patil, is directed to take notice for respondents No.1
to 4.
2. These appeals are filed challenging the judgment
and award dated 28.02.2017, passed by the Principal Senior
Civil Judge cum MACT No.III, Ballari, in MVC No.1048/2015.
3. MFA No.103830/2017 is filed by the claimants
seeking enhancement of compensation, whereas MFA
No.102931/2017 is filed by the Insurance Company seeking
to set aside the judgment and award passed by the tribunal.
4. Heard the arguments and perused the material
placed before the Court.
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5. The occurrence of accident, death of the deceased
Madiga Venkateshulu alias Peta Venkateshulu in a road
traffic accident, coverage of insurance are not in dispute in
this case.
6. In this case, the tribunal has awarded
compensation under various heads as under:
Sl. Heads. Amount in
No. (Rs.)
1. Loss of dependency. 11,47,500
2. 50% of future prospects. 5,73,750
3. Loss of consortium to P-1. 1,50,000
4. Loss of love and affection 1,00,000
5. Loss of estate. 1,00,000
6. Transport of dead body and 25,000
funeral expenses.
Total: 20,96,250
7. The compensation awarded by the tribunal is not
correct and contrary to the principles of law decided by the
Hon'ble Supreme Court. Therefore, the same is required to
be modified by modifying the judgment and award of the
tribunal.
8. The deceased was aged 27 years old as on the
date of accident and was a Mason by profession. The
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accident is caused on 06.09.2015. Hence, in the absence of
proof of income, notional income is to be taken at Rs.8,000/-
for the year 2015, as recognized by the Karnataka State
Legal Services Authority. In view of the decision of the
Hon'ble Apex Court in case of National Insurance
Company Limited vs. Pranay Sethi and others,
reported in (2017) 16 Supreme Court Cases 680,
considering the age of the deceased, 40% of the income is to
be added towards loss of future prospects in life. There are
four dependents who are mother, wife and two children.
Therefore 1/4th of the income is to be deducted towards his
personal and living expenses. Considering the age of the
deceased, the appropriate applicable multiplier is 17.
Therefore loss of dependency is re-assessed and quantified
at Rs.17,13,600/- (Rs.8,000 + 40% minus 1/4th x 12 x 17).
9. In view of the decision of the Hon'ble Supreme
Court in the case of Magma General Insurance Co.
Limited v. Nanu Ram & Others, reported in 2018 ACJ
2782 and in the case of Pranay Sethi (supra), the
claimants are entitled to Rs.40,000/- each under the head
NC: 2025:KHC-D:1472
'loss of consortium', along with 10% escalation. There are
four dependents who are mother, wife and two children.
Accordingly, Rs.1,76,000/- (Rs.40,000 x 4 + 10%) is
awarded under the head 'loss of consortium including loss of
love and affection'.
10. Further, a compensation of Rs.15,000/- each is
awarded under the head 'loss of estate' and 'funeral and
transportation' respectively, along with 10% escalation.
Therefore under these heads Rs.33,000/- (Rs.15,000 x 2 +
10%) is awarded.
11. Thus, the claimants would be entitled for total
compensation under various heads as under:
Sl. Heads. Amount in
No. (Rs.)
1. Towards loss of dependency 17,13,600
2. Towards loss of consortium 1,76,000
(40,000 x 4 + 10%)
3. Towards loss of estate and 33,000
transportation of dead body &
funeral expenses.
(15,000 x 2 + 10%)
Total: 19,22,600
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12. The tribunal awarded interest on the
compensation at 9% p.a., which is on higher side. Since this
Court is consistently awarding interest at the rate of 6% p.a.
on the compensation amount, the claimants are entitled for
interest at the rate of 6% p.a. on the compensation amount
from the date of petition till its realization.
13. Therefore, the claimants are entitled for total
compensation of Rs.19,22,600/- along with interest at the
rate of 6% p.a. from the date of filing of the petition till
realization, as against Rs.20,96,250/- awarded by the
tribunal.
14. The insurance company is directed to deposit the
compensation within eight weeks from the date of receipt of
a certified copy of this judgment.
15. In the result, the appeal filed by the claimants is
liable to be dismissed and the appeal filed by the Insurance
Company is liable to be allowed in part, as the compensation
awarded by the tribunal is reduced. Therefore, I proceed to
pass the following:
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ORDER
i) The appeal in MFA No.103830/2017
filed by the claimants is dismissed.
ii) The appeal in MFA No.102931/2017
filed by the Insurance Company is allowed in part.
iii) The judgment and award dated
28.02.2017, passed by the Principal Senior Civil
Judge cum MACT No.III, Ballari, in MVC
No.1048/2015, is modified.
iv) The claimants are entitled for total
compensation of Rs.19,22,600/- along with
interest at the rate of 6% p.a. from the date of
filing of the petition till realization, as against
Rs.20,96,250/- awarded by the tribunal.
v) The insurance company shall deposit
the amount within a period of eight weeks from
the date of receipt of a copy of this judgment.
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vi) The order with regard to
apportionment of compensation, deposit and
release of amount would be as per order of
tribunal.
vii) Send a copy of this judgment and
award to the tribunal.
viii) No order as to costs.
ix) Draw award accordingly.
Sd/-
(HANCHATE SANJEEVKUMAR)
JUDGE
MRK
CT: UMD.
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