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K.R.Kuttappan @ Appu (Legal Heir) vs Anandakkuttan
2021 Latest Caselaw 9404 Ker

Citation : 2021 Latest Caselaw 9404 Ker
Judgement Date : 22 March, 2021

Kerala High Court
K.R.Kuttappan @ Appu (Legal Heir) vs Anandakkuttan on 22 March, 2021
                IN THE HIGH COURT OF KERALA AT ERNAKULAM

                                  PRESENT

              THE HONOURABLE MR. JUSTICE P.V.KUNHIKRISHNAN

     MONDAY, THE 22ND DAY OF MARCH 2021 / 1ST CHAITHRA, 1943

                          MACA.No.1325 OF 2010

  AGAINST THE AWARD IN OPMV 2104/2000 DATED 22-01-2010 OF MOTOR
               ACCIDENT CLAIMS TRIBUNAL, KOTTAYAM


APPELLANTS:

      1        K.R.KUTTAPPAN @ APPU (LEGAL HEIR)
               KALATHIL HOUSE, KUMARAKOM NORTH VILLAGE,
               KOTTAYAM.

      1.1      SHYMOL P.K.
               AGED 50 YEARS,
               D/O OF LATE K.R.KUTTAPPAN,
               KALATHIL HOUSE,
               KUMARAKAM VILLAGE,
               KOTTAYAM DISTRICT.

      2        SHYMOL P.K
               AGED 50 YEARS
               SOUGHT TO BE IMPLEADED

               BY ADVS.
               SRI.K.M.VARGHESE
               SRI.K.M.VARGHESE

RESPONDENTS:

      1        ANANDAKKUTTAN
               KAREEL HOUSE,
               KUMARAKOM NORTH VILLAGE,
               KOTTAYAM.

      2        NEW INDIA ASSURANCE COMPANY LTD.
               KOTTAYAM, PIN-686001

      3        SAN ALEX
               SRAMBIKIL HOUSE, KUMARAKOM VILLAGE,
               KOTTAYAM DISTRICT. PIN-686563

      4        PENNAMMA
               KARIYIL VEETTIL, NEAR ST.JOHN'S HOSPITAL,
               PANDAVAM, AYMANAM,
               KOTTAYAM. PIN-686015
 MACA No. 1325 of 2010
                                      2



       5      SAJITHA
              W/O. LATE GOPIDAS,
              RAHUL BHAVAN (THAICHIRA),
              KAVANATTINKARA,
              KUMARAKOM VILLAGE,
              KOTTAYAM. PIN-686566

       6      GRESHMA
              C/O. SAJITHA,RAHUL BHAVAN (THAICHIRA),
              KAVANATTINKARA,
              KUMARAKOM VILLAGE,
              KOTTAYAM.PIN- 686566.

       7      RAHULDAS
              C/O. SAJITHA, RAHUL BHAVAN (THAICHIRA),
              KAVANATTINKARA,
              KUMARAKOM VILLAGE,
              KOTTAYAM.PIN-686566

       8      LAKSHMI
              THAICHIRA HOUSE, VIRUPPUKALA,
              CHEEPUNKAL,
              AYMANAM, KOTTAYAM.PIN-686566.

              R1   BY   ADV.   PHILIP J.VETTICKATTU
              R1   BY   ADV.   SRI.PHILIP J.VETTICKATTU
              R1   BY   ADV.   SRI.SIBY MATHEW
              R2   BY   ADV.   M.JACOB MURICKAN

     THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD
ON 09-03-2021, THE COURT ON 22-03-2021 DELIVERED THE FOLLOWING:
 MACA No. 1325 of 2010
                                         3




                  P.V.KUNHIKRISHNAN, J.
            =======================
                   MACA No. 1325 of 2010
            =======================
           Dated this the 22nd day of March 2021


                             JUDGMENT

The appellant is the first respondent in O.P.

(M.V.)No.2104/2000 on the file of the Motor Accidents

Claims Tribunal, Kottayam. It was a claim petition filed by

respondent Nos.5 to 8 herein under Section 166 of the

Motor Vehicles Act.

2. The Tribunal after considering the contentions

of both parties passed an award in favour of the claimants

and directed the 2nd respondent to pay the compensation.

Second respondent is allowed to recover the

compensation from the first respondent, who is the

appellant herein. That right of recovery given to the

insurance company was challenged before this Court

earlier by the appellant/1st respondent by filing

M.A.C.A.No. 1112/2007. That appeal was allowed by this MACA No. 1325 of 2010

Court as per judgment dated 27.11.2007 and remanded

the case to the tribunal for fresh consideration, after

giving an opportunity to the parties to adduce further

evidence. The relevant portion of the order is extracted

hereunder;

" 6. Learned counsel for the appellant submitted that in the light of the fact that the vehicle has already been transferred, the appellant has no liability to satisfy the award. Learned counsel strenuously pleaded for an opportunity before the Tribunal to establish his case.

7. Herein, the insurance company has already satisfied the award by depositing the amount. Therefore, by remanding the matter for fresh consideration, the claimants will not be prejudiced also. Hence, in the interest of justice, the matter has to be remanded to the Tribunal

8. Appeal is allowed, and the case is remanded to the Tribunal. The appellant will take steps to implead the alleged transferee before the Tribunal for a just determination of the issue. All parties are allowed to adduce evidence before the Tribunal. The remand is only on the limited question as to whether the vehicle was transferred on the date of the accident. For this purpose, the claimants need not be drawn before the Tribunal also. They will be entitled to withdraw the amount now deposited as per the stipulation already made. The claimants are not arrayed as respondents in this appeal by the owner of the vehicle. We make it clear that the award as regards the quantum of compensation will be treated as final and the said issue need not be reopened by the Tribunal. Until the matter is again decided by the Tribunal, no recovery steps shall be taken by the insurance company."

MACA No. 1325 of 2010

3. After remand, no oral evidence is adduced by

the appellant/1st respondent. He produced Exts. B3 and

B4 agreement before the tribunal and Exts. B5 to B7

produced by the other respondents. Thereafter, the

tribunal considered the matter fresh and confirmed the

recovery order passed by the tribunal earlier, as per

judgment dated 22.01.2010 in the revised judgment. The

relevant portion is extracted here under;

" 8. As per the case of the petitioner they filed the petition alleging that the first respondent was the owner of the offending bus and the second respondent was the driver of the bus. The 3 rd respondent is the insurance company. The first respondent raised a contention that the vehicle was transferred to one San Alex and later it was transferred to the additional 5 th respondent pennamma. Now the question to be answered by this court is regarding the ownership of the vehicle involved in the accident on the date of accident. The accident was occurred on 21.11.2000 at 9.30 a.m. Ext.B2 is the insurance certificate issued in the name of first respondent Kuttappan for the period from 24.07.2000 to 23.07.2001. This documents makes it clear that on the date of accident the insurance certificate of bus No.KL-5C-9751 stands in the name of first respondent Kuttappan. His case is that he had transferred the vehicle to one San Alex.

An agreement dated 19.11.1998 was produced and marked as Ext.B3. It is seen that Kuttappan and San Alex are signed in the agreement. Two witnesses are also seen signed in Ext.B3. However neither the first respondent nor the additional 4 th respondent tendered MACA No. 1325 of 2010

evidence in proof of Ext.B3 agreement. Ext.B4 is the photocopy of the agreement executed between first respondent Kuttppan, additional 4th respondent San Alex and 5th respondent Pennamma. This agreement is dated 03.03.1999. Ext.B3 agreement is seen referred in Ext. B4 and the vehicle was transferred to the additional 5th respondent with certain liabilities. This agreement was also not proved by the first respondent or the 4th respondent. Ext.B7 is a certificate of insurance of bus No.KL-5C-9751 in the name of 5 th respondent for the period from 24.07.2002 to 23.07.2003. This certificate is one which came into existence after the expiry of Ext.B2 insurance certificate. When the first respondent contends that he has sold the vehicle to the second respondent as per Ext.B3 agreement it is for him to prove the same. He has not come forward to give oral evidence to prove Ext.B3. Therefore no evidentiary value will be attached to Ext.B3.

9. On the side of the respondent, Rws 1 and 2 are examined to support the respondents claim. The evidence of RW1 is that the driver of the bus was RW2, Babu and conductor was one Santhosh. According to RW1, he witnesses the accident. RW2 Babu Jacob deposed that on 21.11.2005 he was the driver of the bus No.KL-5C-9751. While he was driving the bus a person sustained injury and the injured was taken to the medical college hospital. He would saw that K.R.Kuttappan was the owner of the bus and he was working under the said Kuttappan. It is pertinent to note that Police have registered case against the second respondent in the petition and not against RW2. RW2 has also produced copy of the driving license which is marked as Ext.B5. Ext.B6 judgment shows that the case against the second respondent here in entitled in acquittal. Result of criminal case is not a material fact to be considered in deciding the case. Now the court is not probing as to who was the driver of the bus at the time of accident? That fact does not germane for consideration after remand from the appellate court. The only point to be decided is regarding the ownership. On the date of accident insurance of the vehicle stands in the name of first respondent. It pre-supposes that he was the MACA No. 1325 of 2010

registered owner of the vehicle. Though Ex.B3 and B4 was produced and marked no evidence was adduced to prove the documents to substantiate the alleged transfer of the vehicle. Hence I find that there is no evidence that the first respondent had transferred the vehicle to the 4th respondent or any other person on the date of the accident. Therefore the first respondent is vicariously liable for the negligence of the second respondent. Ext.B1 charge sheet shows that the 2nd respondent was charge sheeted under Section 3(1) r/w 181 of Motor vehicles Act, apart from IPC offenses. This shows that the 2 nd respondent was not having valid driving license on the date of the accident. The 3rd respondent has no case that the 1st respondent has not taken reasonable care in entrusting the vehicle to the 1st respondent. Therefore, the 3rd respondent is liable to pay the award amount to the petitioners at the first instance and the 3rd respondent is entitled to recover the same from the 1 st respondent."

4. Aggrieved by the above award, this appeal is

filed.

5. Heard the learned counsel for the appellant, the

learned counsel for the 2nd respondent-insurance company

and the learned counsel for the 1st respondent, who is the

driver of the vehicle.

6. The learned counsel for the appellant submitted

that, as per Ext. B3 agreement the vehicle is transferred

to 3rd respondent San Alex on 19.11.1998. The accident in MACA No. 1325 of 2010

this case was on 21.11.2000. Therefore, the appellant/1 st

respondent has no liability to pay the compensation. The

learned counsel submitted that, Exts. B3 and B4 are not

disputed by respondents 3 and 4 before the tribunal after

remand. The learned counsel takes me through the

written statement filed by the 4th respondent, Pennamma

in which there is no specific denial of the agreement.

Therefore, the learned counsel submitted that, simply

because there is no oral evidence adduced by the

appellant, the tribunal erred in not accepting Exts. B3

and B4 agreement. The learned counsel specifically

contented that, if this Court feels that oral evidence is

necessary to prove Exts. B3 and B4 agreement, a further

opportunity may be given by remanding the matter. A

specific ground is raised in the appeal memo that, a junior

lawyer was appearing for the appellant before the tribunal

and therefore, the case was not properly conducted.

7. The learned counsel for the 2nd respondent

submitted that, it is an admitted fact that the registered MACA No. 1325 of 2010

owner of the vehicle as per record is this appellant. The

learned counsel submitted that, even if Exts. B3 and B4

are accepted, in the light of the fact that, the registration

details shows that, the appellant is the registered owner,

the tribunal justified in allowing the 2 nd respondent to

recover the compensation from the appellant. The learned

counsel relied the judgment of the Apex Court in

Prakash Chand Daga v. Saveta Sharma and others

(2018 KHC 7011). The learned counsel submitted that,

in the light of the above judgment, the contention of the

appellant will not stand.

8. It is an admitted fact that, the alleged transfer

of the vehicle is not reported to the registering authority.

The appellant is relying in Exts. B3 and B4 agreement to

show that, there is transfer of the ownership of the

vehicle. Admittedly, the registration of the vehicle is in the

name of the appellant as on date of the accident.

Moreover, the insurance policy is also in the name of the

appellant as on the date of the accident. This point is MACA No. 1325 of 2010

considered by the Apex Court in detail in Prakash Chand

Daga's Case (Supra). The relevant portion is extracted

hereunder;

" 5. It is true that in terms of Section 50 of the Act, the transfer of a vehicle ought to be registered within 30 days of the sale. Section 50(1) of the Act obliges the transferor to report the fact of transfer within 14 days of the transfer. In case the vehicle is sold outside State, the period within which the transfer ought to be reported gets extended. On the other hand, the transferee is also obliged to report the transfer to the registering authority within whose jurisdiction the transferee has the residence or place of business where the vehicle is normally kept. Section 50 thus prescribes timelines within which the transferor and the transferee are required to report the factum of transfer. As per Sub-Section 3 of said Section 50, if there be failure to report the fact of transfer, fine could be imposed and an action under Section 177 could thereafter be taken if there is failure to pay the amount of fine. These timelines and obligations are only to facilitate the reporting of the transfer. It is not as if that if an accident occurs within the period prescribed for reporting said transfer, the transferor is absolved of the liability.

6. Chapter XII of the Act deals with Claims Tribunals and as to how applications for compensation are to be preferred and dealt with. While considering such claims, the Claims Tribunal, in case of an accident is required to specify the amount which shall be paid by the insurer or owner or driver of the vehicle involved in the accident or whether such amount be paid by all or any of them, as the case may be. It is well settled that for the purposes of fixing such li ability the concept of ownership has to be understood in terms of specific definition of 'owner' as defined in Section 2(30) of the Act.

MACA No. 1325 of 2010

7. In Pushpa alias Leela and Ors. Vs. Shakuntala and Ors. 2011 (2) SCC 240 the vehicle in question belonged to one Jitender Gupta who was its registered owner. He sold said vehicle to one Salig Ram on 02.02.1993 and gave its possession to the transferee. Despite said sale, the change of ownership was not entered in the Certificate of Registration. The earlier insurance policy having expired, the transferee took out fresh insurance policy in the name of original owner Jitender Gupta. In an accident that took place on 07.05.1994 two persons lost their lives. The heirs and legal representatives lodged separate claims and an issue arose as to who was liable as owner. The submissions that Jitender Gupta, the registered owner had no control over the vehicle and the possession and control of the vehicle was in the hands of the transferee and as such no liability could be fastened on the transferor were rejected by this Court. It was observed in para 11 as under:

"11. It is undeniable that notwithstanding the sale of the vehicle neither the transferor Jitender Gupta nor the transferee Salig Ram took any step for the change of the name of the owner in the certificate of registration of the vehicle. In view of this omission Jitender Gupta must be deemed to continue as the owner of the vehicle for the purposes of the Act, even though under the civil law he ceased to be its owner after its sale on 2.2.1993."

8. In the decision in Naveen Kumar (supra) the legal position was adverted to and this Court observed as under:

"13. The consistent thread of reasoning which emerges from the above decisions is that in view of the definition of the expression "owner" in Section 2(30), it is the person in whose name the motor vehicle stands registered who, for the purposes of the Act, would be treated as the "owner". However, where a person is a minor, the guardian of the minor would be treated as the owner. Where a motor vehicle is subject to an agreement of hire purchase, lease or hypothecation, the person in possession of the vehicle MACA No. 1325 of 2010

under that agreement is treated as the owner. In a situation such as the present where the registered owner has purported to transfer the vehicle but continues to be reflected in the records of the Registering Authority as the owner of the vehicle, he would not stand absolved of liability. Parliament has consciously introduced the definition of the expression "owner" in Section 2(30), making a departure from the provisions of Section 2(19) in the earlier 1939 Act. The principle underlying the provisions of Section 2(30) is that the victim of a motor accident or, in the case of a death, the legal heirs of the deceased victim should not be left in a state of uncertainty. A claimant for compensation ought not to be burdened with following a trail of successive transfers, which are not registered with the Registering Authority. To hold otherwise would be to defeat the salutary object and purpose of the Act. Hence, the interpretation to be placed must facilitate the fulfilment of the object of the law. In the present case, the first respondent was the "owner" of the vehicle involved in the accident within the meaning of Section 2(30). The liability to pay compensation stands fastened upon him. Admittedly, the vehicle was uninsured. The High Court has proceeded upon a misconstruction of the judgments of this Court in Reshma 2015 (3) SCC 679 and Purnya Kala Devi 2014 (14) SCC 142.

14. The submission of the petitioner is that a failure to intimate the transfer will only result in a fine under Section 50(3) but will not invalidate the transfer of the vehicle. In T.V. Jose 2001 (8) SCC 748, this Court observed that there can be transfer of title by payment of consideration and delivery of the car. But for the purposes of the Act, the person whose name is reflected in the records of the Registering Authority is the owner. The owner within the meaning of Section 2(30) is liable to compensate. The mandate of the law must be fulfilled."

           9. The law is       thus   well   settled   and   can   be
           summarised:-
 MACA No. 1325 of 2010




"Even though in law there would be a transfer of ownership of the vehicle, that, by itself, would not absolve the party, in whose name the vehicle stands in RTO records, from liability to a third person.... Merely because the vehicle was transferred does not mean that such registered owner stands absolved of his liability to a third person. So long as his name continues in RTO records, he remains liable to a third person." (P.P Mohammed vs. K.Rajappan and Ors., 2008 (17) SCC 624 para 4) The High Court was therefore absolutely right in allowing the appeal. The challenge raised by the appellant must fail.

9. In the light of the above judgment, the

contention of the appellant will not stand in a claim

petition initiated under the Motor Vehicles Act. The

learned counsel for the appellant also relied Section 68 of

the Evidence Act, which is extracted hereunder;

" 68. Proof of execution of document required by law to be attested.--If a document is required by law to be attested, it shall not be used as evidence until one attesting witness at least has been called for the purpose of proving its execution, if there be an attesting witness alive, and subject to the process of the Court and capable of giving evidence: Provided that it shall not be necessary to call an attesting witness in proof of the execution of any document, not being a Will, which has been registered in accordance with the provisions of the Indian Registration Act, 1908 (16 of 1908), unless its execution by the person by whom it purports to have been executed is specifically denied."

10. The learned counsel for the appellant submitted MACA No. 1325 of 2010

that, when there is no dispute regarding the genuineness

of the agreement, the examination of the parties in the

agreement is not necessary. The learned counsel

submitted that, the proviso to Section 68 of the Evidence

Act is that, it shall not be necessary to call an attesting

witness in proof of the execution of any document or

unless its execution by the person by whom it purports to

have been executed is specifically denied. On this aspect,

I cannot agree with the learned counsel for the appellant,

because it is a case in which there is dispute from the

side of the 2nd respondent-insurance company. According

to them, the appellant is the registered owner of the

vehicle and he is liable in a proceedings under the Motor

Vehicles Act. The learned counsel also relied Section

2(30) of the Motor Vehicles Act. Section 2(30) of the

Motor Vehicles Act is extracted hereunder;

" (30) "owner" means a person in whose name a motor vehicle stands registered and where such person is a minor, the guardian of such minor, and in relation to a motor vehicle which is the subject of a hire-purchase, agreement, or an agreement of lease or an agreement of hypothecation, the person in MACA No. 1325 of 2010

possession of the vehicle under that agreement."

11. The learned counsel submitted that, the owner

is defined under Section 2(30) of the Motor Vehicles Act,

and it means a person in whose name a motor vehicle

stands registered, and where such person is a minor, the

guardian of such minor, and in relation to a motor vehicle

which is the subject of a hire-purchase, agreement, or an

agreement of lease or an agreement of hypothecation,

the person in possession of the vehicle under that

agreement. The learned counsel submitted that, vehicle is

in possession of respondents 3 and 4 based on the

agreement produced by the appellant. Therefore, the

appellant is not the owner as defined under Section 2(30)

of the Motor Vehicles Act. It is true that, there is some

force in the argument of the appellant. But in the light of

the Apex Court decision in Prakash Chand Daga's Case

(Supra), I am not in a position to accept this contention

also. In Prakash Chand Daga's Case (Supra), the Apex

Court consider this point in detail. Considering that, Motor MACA No. 1325 of 2010

Vehicles Act is a beneficial legislation, the Apex Court,

concluded that, the RC owner is primarily liable and the

claimant need not go from the pillar to post. In such

circumstances, in the light of the decision in Prakash

Chand Daga's Case (Supra), I am not in a position to

accept that contention while considering a claim petition

under the Motor Vehicles Act also.

12. Then the learned counsel relied in Exts. B6 and

B7 produced before the tribunal. Ext.B6 is the copy of the

judgment in CC No.1094/2001 of the Judicial First Class

Magistrate Court-III. The counsel takes me through the

declaration submitted by the owner before the criminal

court. The counsel submitted that in the light of the such

a declaration before a court of law, it is clear that the

appellant is not the owner of the vehicle and the same

may be accepted and the appellant may be exonerated

from the paying the compensation. I leave open this

question. This Court is now only considering an

appeal filed against an award passed by the Motor MACA No. 1325 of 2010

Accident Claims Tribunal. While considering such an

appeal, this Court is bound by the decision of the Apex

Court in Prakash Chand Daga's Case (Supra).

13. Then the counsel argued that the driver and the

owner is liable jointly and severally. Therefore, liability may

be mulcted to the driver also. On this point also, I am not in

a position to accept the contention of the appellant because

this Court remanded the matter as per judgment dated

27.11.2007 for the limited purpose. In the judgment, this

Court clearly stated that the remand is only on the limited

question as to whether the vehicle was transferred as on

the date of the accident. The Division Bench of this Court in

the judgment in MACA No.1112/2007 clearly stated the

purpose of remand. The Tribunal or this Court can't re-

consider those issues again in a claim petition or an appeal

arises from the claim petition. Then, the counsel relied the

judgment of the Apex Court in Purnya Kala Devi v. State

of Assam and anr. [(2014) 14 SCC 142]. The counsel

submitted that in para No.16 of the above judgment, the MACA No. 1325 of 2010

Apex Court considered the point raised by the appellant.

Para No.16 of the Purnya Kala Devi's case (supra) is

extracted hereunder :

"16. Though the above point was pressed into service, the High Court, without adverting to S.5 of the Assam Act, merely on the basis of the definition of "owner" as contained in S.2(30) of the 1988 Act, mulcted the award payable by the owner of the vehicle. The High Court failed to appreciate that at the relevant time the offending vehicle was under the requisition of Respondent No. 1 - State of Assam under the provisions of the Assam Act. Therefore, Respondent No. 1 was squarely covered under the definition of "owner" as contained in S.2(30) of the 1988 Act. The High Court failed to appreciate the underlying legislative intention in including in the definition of "owner" a person in possession of a vehicle either under an agreement of lease or agreement of hypothecation or under a hire - purchase agreement to the effect that a person in control and possession of the vehicle should be construed as the "owner" and not alone the registered owner. The High Court further failed to appreciate the legislative intention that the registered owner of the vehicle should not be held liable if the vehicle was not in his possession and control. The High Court also failed to appreciate that S.146 of the 1988 Act requires that no person shall use or cause or allow any other person to use a motor vehicle in a public place without an insurance policy meeting the requirements of Chapter XI of the 1988 Act and the State Government has violated the statutory provisions of the 1988 Act. The Tribunal also erred in accepting the allegation of Respondent No. 2 that the vehicle was released on the date of the accident at 10.30 a.m. and the accident occurred at 10.30 a.m. without any evidence even though in the claim petition, it was stated that the accident had occurred at 10.15 a.m."

14. But the facts of this case is different. According to

me, in the light of the Prakash Chand Daga's case MACA No. 1325 of 2010

(supra), the Tribunal is perfectly justified in dismissing the

contention of the appellant. No other contentions are raised

by the appellant. Therefore, according to me, the Tribunal is

perfectly justified in passing the revised judgment, in which

also the Insurance company is allowed to recover the

amount from the appellant.

15. The counsel for the appellant submitted that the

original appellant is no more and his daughter is impleaded

as additional appellant. Her only property is now attached

for recovering the compensation. But I make it clear that if

any amount is recovered from the appellant as per the

impugned award, the appellant is free to recover that

amount from the 3rd and 4th respondent in accordance to

law. If the appellant is able to prove before the civil court

that there is transfer of title and delivery of the vehicle, this

order will not stand in the way. This is possible because, the

Apex Court in Prakash Chand Daga's Case (Supra)(para

14) clearly stated that only for the purpose of Motor

Vehicles Act, the name reflected in the records of the MACA No. 1325 of 2010

Registering Authority is treated as the owner of the vehicle.

Hence, if any other civil remedy is available to the appellant

against 3rd and 4th respondent, the appellant is free to

agitate the same in accordance to law.

With these observations, this appeal is dismissed.

               `                             (Sd/-)
                                      P.V.KUNHIKRISHNAN
                                              JUDGE
    ss
    LU
    SKS
 

 
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