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A.Mathumathi vs K.Annamalai
2021 Latest Caselaw 4545 Mad

Citation : 2021 Latest Caselaw 4545 Mad
Judgement Date : 22 February, 2021

Madras High Court
A.Mathumathi vs K.Annamalai on 22 February, 2021
                                                                               C.M.A(MD)No.1373 of 2013


                                  BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

                                                 DATED : 22.02.2021

                                               CORAM:
                          THE HONOURABLE MRS.JUSTICE PUSHPA SATHYANARAYANA
                                                 and
                               THE HONOURABLE MRS.JUSTICE S.KANNAMMAL

                                             C.M.A(MD)No.1373 of 2013
                      1.A.Mathumathi

                      2.Minor A.Dhurveshraj,
                        Rep. by his mother & natural guardian 1st petitioner

                      3.G.Yamunadevi                              : Appellants / Petitioners

                                                            Vs.

                      1.K.Annamalai

                      2.The Divisional Manager,
                        Oriental Insurance Company Ltd.,
                        II – Floor, S.V.Complex,
                        No.179, Eswaran Koil Street,
                        Pondicherry – 605 001.
                                                        : Respondents/Respondents



                      Prayer: This Civil Miscellaneous Appeal is filed under Section 173 of the
                      Motor Vehicles Act, 1988, against the fair and decreetal order dated
                      04.02.2013 made in M.C.O.P.No.1685 of 2010 on the file of the Motor
                      Accident Claims Tribunal(V Additional District Judge), Madurai.


                                    For Appellants       : Mr.S.Srinivasa Raghavan
                                    For R-1              : No Appearance
                                    For R-2              : Mr.K.Bhaskaran




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                                                                             C.M.A(MD)No.1373 of 2013


                                                     JUDGMENT

(Judgment of the Court was delivered by PUSHPA SATHYANARAYANA, J.)

Being aggrieved by the award and decree dated 04.02.2013

passed by the Motor Accidents Claims Tribunal (V Additional District

Judge), Madurai in M.C.O.P.No.1685 of 2010 in respect of the quantum

of compensation awarded to the claimants for the death of one

Arikrishnaraja in a road traffic accident occurred on 04.12.2009, the

appellants/claimants, have preferred this Civil Miscellaneous Appeal.

2. Brief facts are that on 04.12.2009 at about 9.00 p.m., when the

deceased Arikrishnaraja was travelling along with his driver in a

Maruthi 800 car, bearing Registration No.TN-22-AS-5556 from Chennai

Pallavaram to Madurai, near Vanchinagaram four way track, a lorry

bearing Registration No.TN-37-B-9597 owned by the first respondent and

insured with the second respondent came in a rash and negligent manner

and dashed against the car and ran over the front portion of the car and

caused the accident. In the said accident, the deceased sustained

grievous injuries all over the body and succumbed to the injuries

sustained. At the time of accident, the deceased was aged 33 years and

was the proprietor of Mechanic on Wheels, Pallavaram, Chennai and a

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Director of Alvis Agro Foods(P) Ltd., Pallavaram, Chennai. Regarding the

accident, a Criminal Case was registered against the driver of the lorry

and subsequently, charge sheet was also laid as against the driver of the

lorry. Alleging that the accident was due to rash and negligent driving of

the lorry, the Claimants, who are the wife, children and mother, have

filed the claim petition claiming compensation of Rs.50,00,000/-.

3. Resisting the Claim Petition, the Insurance Company has filed

counter contending that the accident occurred only due to the reckless

act of the deceased and the quantum of compensation claimed by

Claimants is highly excessive and without any basis.

4. Before the Tribunal, wife of the deceased – Madhumathi was

examined herself as P.W.1 besides examining Eye-witness Rajkumar as

P.W.2 and Exs.P1 to P12 were marked on the side of Claimants. On the

side of the Insurance Company, two witnesses were examined as

R.W.1 and R.W.2, Ex.R1-Advocate notice sent to R.W.1 and

Ex.R.2-Expert opinion given by R.W.2 about the Income Tax Statement,

were also marked.

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5. Upon consideration of evidence of P.W.2 eye-witness and

referring to Ex.P.1 - FIR registered against the driver of the lorry, the

Tribunal held that the accident had occurred due to the rash and

negligent driving of the lorry and the deceased subsequently died of the

injuries sustained in the accident. The Tribunal further held that the

second respondent Insurance Company is liable to pay compensation to

the Claimants. Accordingly, the Tribunal had awarded a total

compensation of Rs.8,93,272/- under various heads.

6. Heard the learned counsel appearing on either side and perused

the materials available on record.

7. The learned counsel appearing for the appellants/claimants

placed reliance on the decision of a Division of this Court in

Andal and two others v. Avinav Kannan and another reported in

2019(1) TN MAC 54(DB), for the determination of notional income of a

person, who died in a road accident, wherein as there was no evidence

for the monthly income of the deceased, as per the decision of the

Honourable Supreme Court in Syed Sadiq v. United India Insurance

Company Ltd., reported in 2014(1) TN MAC 459, a sum of Rs.6,500/-

per month was fixed and it was to be increased corresponding to the cost

of living, prices of the essentials and inflation and the Division Bench had http://www.judis.nic.in Page 4/10 C.M.A(MD)No.1373 of 2013

considered the said aspect and evaluated the notional income for

determining the notional income, which reads as follows:

“12. Therefore, it is just and necessary to increase the Notional Income of Rs.6,500/- fixed by the Hon'ble Apex Court during the year 2008 corresponding to the cost of living, prices of the essentials and inflation. Hence to determine the Notional Income of the deceased who was working as a Daily Wager in “The Ark Chicken Mutton Corner” in the year 2014. We decided to apply the Cost of Inflation Index as issued by the Central Board of Direct Tax (CBDT) for the purpose of determination of Notional Income of the deceased person.

13. The CBDT vide Notification No.370142(E)(No.26 of 2008(F.No.37042/3/2008-TPL), dated 13.06.2008 specifies the Cost of Inflation Index as mentioned in Column No.3 for the financial year mentioned in the corresponding entry in Column No.2 in the below said Tabular Column:

S.No Financial Year Cost Inflation Index

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14. As per the above said index, the Cost of Inflation Index for the year as 2007-2008 is 129 and for the year 2013-2014 will be

220. Now we determine the Notional Income of the deceased in the manner stated below:

The Notional Income fixed by the Hon'ble Supreme Court of India X Cost of Inflation Index for the for the vegetable vendor i.e., year 2013-2014 Rs.6,500 during the year 2007-2008

------------------------------------------------------------------------------

Cost of Inflation Index for the year 2007-2008

Therefore, Income for the deceased is Rs.6,500 X 220

------------------ = Rs.11,085

The Notional Income of the deceased after applying Inflation Index, will be a sum of Rs.11,085. Hence, we re-fix the Notional Income of the deceased as Rs.11,000 from Rs.6,500. Therefore, we hold that the Tribunal committed error in fixing the Notional Income of the deceased as stated above.

8. In the instant case, as per the above calculation, taking the

notional income of the deceased as Rs.6,500/- per month and after

considering the Cost of Inflation Index, the monthly income, would be

calculated as follows:

6,500 X 148

--------------- = Rs.7,457/-

9. By adding the future prospectus at 40% considering the age of

the deceased, i.e., Rs.2,982/- monthly income would be

Rs.7,457/- + Rs.2,982/- = Rs.10,439/-. From the above sum, 1/3rd

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amount has to be deducted towards personal expenses,

the loss of income would be Rs.6,960/-(Rs.10,439 - Rs.3,479/-)

per month and annually, it would be Rs.83,520/- (Rs.6,960/- x 12) and

after applying multiplier '16', the total loss of income would be

Rs.13,36,320/- (Rs.83,520 x 16). For transport expenses, the Tribunal

had not awarded any amount and hence, a sum of Rs.10,000/- is

awarded under the said head. Under all other heads also the Tribunal

awarded a meagre sum and hence, the award passed by the Tribunal is

modified as follows:

11. Accordingly, the Award of the Tribunal is modified as follows:-

                           S.No       Description     Amount awarded by    Amount       Award confirmed or
                                                          Tribunal      awarded by this enhanced or granted
                                                            (Rs)            Court
                                                                             (Rs)
                          1.       Loss of income     8,64,272/-                    13,36,320 enhanced
                                                      (longevity of life
                                                      and expectation of
                                                      future benefits)
                          2.       Loss of            25,000                 1,20,000/-(3 x   enhanced
                                   consortium         (loss of consortium 40,000)
                                                      to the first appellant
                                                      10,000 + loss of
                                                      love and affection to
                                                      all the three
                                                      claimants 15,000)
                          3.       Funeral expenses                 2,000              18,000 enhanced

                          4.       Loss of Estate                   2,000              15,000 enhanced

                          5.       Transport                               -           10,000 awarded
                                   Expenses
                                   Total                      Rs.8,93,272         Rs.14,99,320 Enhanced a sum of
                                                                               (Rounded off to Rs.6,06,728/-
                                                                                  Rs.15,00,000


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                                                                              C.M.A(MD)No.1373 of 2013


12. In the result, the Civil Miscellaneous Appeal is allowed in part as follows:-

(i) The Award of the Tribunal is enhanced to Rs.15,00,000/-(Rupees Fifteen Lakhs Only) from Rs.8,93,272/-.

(ii) The interest granted by the Tribunal at 7.5% per annum is confirmed.

(iii) The Award amount is apportioned as per the award of the Tribunal.

(iv) The second respondent/Insurance Company is directed to deposit the entire modified award amount together with accrued interest and costs, less the amount already deposited, to the credit of M.C.O.P.No.1685 of 2010 on the file of the Motor Accident Claims Tribunal(V Additional District Judge, Madurai), within a period of eight weeks from the date of receipt of copy of this judgement.

(v) The appellants 1 and 3/claimants 1 and 3 are permitted to withdraw their respective share with proportionate interest and cost. The share of the minor claimant/second appellant is permitted to be kept in any of the Nationalised Banks in an interest bearing deposit, till he attains majority and the guardian / first appellant is permitted to withdraw the interest amount once in three months.

No Costs.

(P.S.N.J.,) (S.K.J.,) 22.02.2021

Index :yes/No Internet :yes pm

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To

1.The Motor Accident Claims Tribunal (V Additional District Judge), Madurai.

2.The Section Officer, VR Section,Madurai Bench of Madras High Court, Madurai.

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PUSHPA SATHYANARAYANA, J.

AND S.KANNAMMAL, J.

pm

Judgment made in C.M.A(MD)No.1373 of 2013

22.02.2021

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