Madhya Pradesh High Court
The New India Insurance Company ... vs Smt. Famida on 31 January, 2023
Author: Vivek Agarwal
1
IN THE HIGH COURT OF MADHYA PRADESH
AT JABALPUR
BEFORE
HON'BLE SHRI JUSTICE VIVEK AGARWAL
ON THE 31 st OF JANUARY, 2023
MISCELLANEOUS APPEAL No. 4182 of 2011
BETWEEN:-
THE NEW INDIA INSURANCE COMPANY LTD.
THROUGH BRANCH MANAGER THE NEW INDIA
ASSURANCE COMPANY DIV. OFFICE 290 NAPIER TOWN
JABALPUR (MADHYA PRADESH)
.....APPELLANT
(BY SHRI DINESH KOSHAL - ADVOCATE)
AND
1. SMT. FAMIDA W/O SHRI WAHAB MIYAN, AGED
ABOUT 28 YEARS, BAIRASIYA ROAD, BHOPAL
(MADHYA PRADESH)
2. KU. ANAM D/O WAHAB MIYAN, AGED ABOUT 11
YE A R S , OCCUPATION: THROUGH GUARDIAN
MOTHER MURLI NAGAR, HOUSING BOAD
COLONY, BAIRASIYA ROAD, BHOPAL (MADHYA
PRADESH)
3. KU. BUSHRA D/O WAHAB MIYAN, AGED ABOUT 7
YE A R S , OCCUPATION: THROUGH GUARDIAN
MOTHER MURLI NAGAR, HOUSING BOAD
COLONY, BAIRASIYA ROAD, BHOPAL (MADHYA
PRADESH)
4. MASTER ANAS S/O WAHAB MIYAN, AGED ABOUT
5 YEARS, OCCUPATION: THROUGH GUARDIAN
MOTHER MURLI NAGAR, HOUSING BOAD
COLONY, BAIRASIYA ROAD, BHOPAL (MADHYA
PRADESH)
5. NAWAB KHAN S/O BAJEER KHAN, AGED ABOUT
70 YEARS, MURLI NAGAR, HOUSING BOAD
Signature Not Verified
SAN COLONY, BAIRASIYA AROAD, BHOPAL (MADHYA
PRADESH)
Digitally signed by PUSHPENDRA PATEL
Date: 2023.02.01 20:10:58 IST
6. SMT. AKEELA BEE W/O NAWAB KHAN, AGED
2
ABOUT 60 YEARS, MURLI NAGAR, HOUSING
BOAD COLONY, BAIRASIYA AROAD, BHOPAL
(MADHYA PRADESH)
7. KU. KISHWAR D/O NAWAB KHAN, AGED ABOUT
22 YEARS, MURLI NAGAR, HOUSING BOAD
COLONY, BAIRASIYA AROAD, BHOPAL (MADHYA
PRADESH)
8. SHANTI GUPTA SAWAN NAGAR COLONY,
NAYAPURA, BAIRGGARH ROAD, BHOPAL
(MADHYA PRADESH)
9. SMT. NASEEM AKHTAR W/O ABUL HASAN, AGED
ABOUT 45 YEARS, (MADHYA PRADESH)
10. TAJMUL HASAN S/O ABUL HASAN, AGED ABOUT
20 YEARS, MURLI NAGAR, HOUSING BOARD
COLONY, BAIRASIYA ROAD, BHOPAL (MADHYA
PRADESH)
.....RESPONDENTS
(SHRI NITIN KUMAR GUPTA - ADVOCATE FOR THE RESPONDENTS NO.1
TO 6 AND SHRI SHAILESH JAIN - ADVOCATE FOR RESPONDENT NO.8)
This appeal coming on for admission this day, th e court passed the
following:
ORDER
This miscellaneous appeal under Section 173 of the Motor Vehicles Act,
1988 is filed by the insurance company being aggrieved of award dated
17.08.2011 passed by the learned Additional Motor Accident Claims Tribunal,
Special Court No.2, Bhopal in MCC No.2804/2008 (Smt. Famida and others
Vs. The New India Insurance Company Ltd. and others) on two grounds,
namely, in a claim under Section 163-A of the Motor Vehicles Act, 1988,
Tribunal has made 1/5 th deduction towards the income of the deceased,
whereas as per the structured formula and schedule provided under Section
163-A of the Motor Vehicles Act, 1/3 rd deduction is to be made. Secondly, it is
Signature Not Verified
SAN
submitted that Tribunal has arbitrarily fastened liability of penal interest, which is
Digitally signed by PUSHPENDRA PATEL
Date: 2023.02.01 20:10:58 IST
not admissible in terms of the judgment of the Supreme Court in National
Insurance Company Ltd. Vs. Keshav Bahadur and others, (2004) 2 SCC
2. Shri Nitin Kumar Gupta, learned counsel for the claimants and Shri
Shailesh Jain, learned counsel for the respondent No.8 supports the impugned
award.
3. After hearing learned counsel for the parties and going through the
record, it is evident that as per structured formula, income of the deceased is to
be pegged at Rs.40,000/- per annum. 1/3rd is to be deducted towards the living
expenses of the deceased that will come out to Rs.26,667/-. As per the age of
the deceased, multiplier of 17 will be applicable, taking total pecuniary
compensation to Rs.4,53,339/-, over and above which, claimants will be entitled
to a sum of Rs.9,500/- under the head of non-pecuniary compensation, taking
total compensation to Rs.4,62,839/- in place of Rs.5,14,000/- awarded by the
learned Claims Tribunal.
4. Thus, there will be reduction to the tune of Rs.51,161/- (Rupees Fifty
One Thousand, One Hundred and Sixty one) which will be admissible in favour
of the insurance company. It is directed that finding of imposition of penal
interest being contrary to the judgment of the Supreme Court in National
Insurance Company Ltd. Vs. Keshav Bahadur and others (supra) that
finding is set aside and it is directed that this reduced amount as ascertained in
this appeal will be payable along with 8% interest as awarded by the learned
Claims Tribunal from the date of filing of the claim petition till the date of actual
Signature Not Verified
payment. Other terms and conditions of the award shall remain intact.
SAN
5. In above terms, these miscellaneous appeals are disposed of.
Digitally signed by PUSHPENDRA PATEL
Date: 2023.02.01 20:10:58 IST
6. Record of the Claims Tribunal be sent back.
(VIVEK AGARWAL)
JUDGE
pp
Signature Not Verified
SAN
Digitally signed by PUSHPENDRA PATEL
Date: 2023.02.01 20:10:58 IST
