Monday, 04, May, 2026
 
 
 
Expand O P Jindal Global University
 
  
  
 
 
 

The Oriental Insurance Co. Ltd vs Baburam Mohanta And Others
2021 Latest Caselaw 12514 Ori

Citation : 2021 Latest Caselaw 12514 Ori
Judgement Date : 6 December, 2021

Orissa High Court
The Oriental Insurance Co. Ltd vs Baburam Mohanta And Others on 6 December, 2021
                IN THE HIGH COURT OF ORISSA AT CUTTACK
                    MACA No.370 of 2006 & MACA No.561 of 2006

            In MACA No.370 of 2006
            The Oriental Insurance Co. Ltd.          ....          Appellant
                                                  Mr. S.K. Swain, Advocate
                                   -versus-
            Baburam Mohanta and others          ....       Respondents
                         Mr. S. Mohanty, Advocate for Respondent No.5


            In MACA No.561 of 2006

            Fulamani Mohanta                         ....         Appellant
                                                  Mr. S. Mohanty Advocate
                                   -versus-
            Baburam Mohanta and others          ....       Respondents
                         Mr. S.K. Swain, Advocate for Respondent No.5

                        CORAM:
                        JUSTICE B. P. ROUTRAY

                                      ORDER

06.12.2021 Order No.

07. 1. Both the appeals being arise out of the same judgment are heard together and disposed of by this common order.

2. Heard Mr. S.K. Swain, learned counsel for the Oriental Insurance Company as well as Mr. S. Mohanty, learned counsel for the claimant.

3. Upon hearing both the parties and the grounds mentioned in M.C. No.528 of 2007 arising out of MACA No.561 of 2006, the

delay in filing MACA No.561 of 2006 is condoned. M.C. No.528 of 2007 is disposed of.

4. Respondent Nos.1 and 3 in MACA No.561 of 2006 are the owners of Rajdoot Motorcycle and Truck respectively. Incidentally Respondent No.1 happens to be the father of the deceased and husband of the claimant. As such no further substitution for Respondent No.1 is required to be brought on record and similarly no further notice is required to be issued to Respondent No.3 being she was set exparte before the learned Tribunal and the liability on her behalf has not been disputed by the concerned Insurance Company, i.e. Respondent No.5-Oriental Insurance Co. Ltd.

5. Learned Tribunal by impugned judgment dated 6.2.2006 in MAC Case No.65 of 1995 has directed for payment of compensation of Rs.44,500/- to the claimant (mother of the deceased) on account of death of the deceased in a motor vehicular accident dated 7.1.1995. The deceased was a pillion rider in the Rajdoot Motorcycle bearing Registration No.OXG 61 and there was a head on collusion between the said motorcycle and Truck bearing Registration No.OSC 2009 resulting death of the deceased.

6. The claimant has filed MACA No.561 of 2006 praying enhancement of the compensation whereas the Insurance Company, i.e. insurer of the Truck has preferred MACA No.370

of 2006 challenging the award on the ground of no policy and invalid DL of the driver of the Truck.

7. It is submitted on behalf of the Oriental Insurance Co. Ltd. that learned Tribunal has erred by wholly relying on the seizure list prepared by the Police in G.R. Case No.9/95 to hold that the Truck had valid insurance policy. But the fact remains that no such policy was there in respect of the offending Truck as mentioned in the seizure list and therefore, the Oriental Insurance Co. Ltd. cannot be held liable to incur the compensation on behalf of the concerned owner.

8. Upon perusal of the copy of W.S. of the insurer as produced in course of hearing, it is found that no such pleading was taken on behalf of the insurer before the learned Tribunal denying validity of policy in respect of the Truck. Therefore, such a plea taken at this stage by the insurer is not found acceptable and accordingly rejected.

9. Similarly neither any pleading has been made nor any material was produced to establish the contention that the driver of the Truck was not having a valid DL.

10. Next coming to the submission of the claimant with regard to enhancement of the compensation amount, it is found from the impugned judgment that the learned Tribunal by holding contributory negligence on both the insurers of the Rajdoot Motorcycle as well as the Truck on 50 : 50 ratio has directed to

pay the compensation amount equally. It is submitted on behalf of the claimant that the amount in respect of the National Insurance Co. Ltd. i.e. the insurer of the Rajdoot Motorcycle have already been deposited and realized by the claimant.

11. Section 140 of the M.V. Act, 1988 stipulates amount of Rs.50,000/- for no fault liability in case of death. Admittedly the deceased was a student and non-earning person on the date of accident. Learned Tribunal while discussing at para 11 of the judgment though has said that the claimant is entitled for compensation of Rs.50,000/- and further added Rs.2,000/- towards funeral expenses and Rs.2,500/- towards loss of estate, but by holding that the deceased had contributed negligence by going as a pillion rider in the motorcycle has deducted 10% of the total amount from the compensation. It is true that the driver of the Rajdoot Motorcycle was the father of the deceased and she was at the age of 18 years on the date of accident. Therefore, the learned tribunal is not found right in its approach to attribute negligence on the part of the deceased for she travelling in the same motorcycle with her father. Further considering the fact that the accident is dated way back in the year 1995 and in the meantime 26 years have already been elapsed, this Court directs for payment of an additional amount of Rs.1,00,000/- (rupees one lakh) consolidated to the claimant by the Oriental Insurance Company Limited without further entering into the aspect of contributory negligence. The amount is derived based on the calculation that the deducted amount of Rs.10,000/- is liable to be paid to the claimant and admittedly 50% of the total

compensation amount as per the direction of the learned Tribunal which comes to Rs.22,225/- has not been paid to the claimant. If both the amounts are added and 6% interest is granted on the same from the date of filing of the application, the total amount comes nearly Rs.82,000/-. Accordingly, this Court determines the consolidated amount of Rs.1,00,000/- to be paid to the claimant.

12. In the result, the Oriental Insurance Co. Ltd., i.e. Appellant in MACA No.370 of 2006 is directed to deposit the modified amount of compensation of Rs.1,00,000/- (rupees one lakh) consolidated before the learned Tribunal within a period of eight weeks from today; where-after the same shall be the disbursed to the claimant.

13. On deposit of the award amount before the learned Tribunal and filing of a receipt evidencing the deposit before this Court with a refund application, the statutory deposit made before this Court with accrued interest thereon shall be refunded to the Appellant-Insurance Company.

14. With the aforesaid observations, the MACAs are disposed of.

15. An urgent certified copy of this order be granted on proper application.

( B.P. Routray) Judge B.K. Barik

 
Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 

LatestLaws Partner Event : Smt. Nirmala Devi Bam Memorial International Moot Court Competition

 
 
Latestlaws Newsletter