Orissa High Court
Omkar Purohit vs Rohit Kumar Tripathy And Another on 21 December, 2021
IN THE HIGH COURT OF ORISSA AT CUTTACK
MACA No.989 of 2009
Omkar Purohit .... Appellant
Mr.S.Bahadur, Advocate
-versus-
Rohit Kumar Tripathy and another .... Respondents
Ms.P.Sinha on behalf of
Mr.L.N.Patel, Advocate for Respondent No.1
Mr.N.B.Das, Advocate for Respondent No.2
CORAM:
JUSTICE B. P. ROUTRAY
ORDER
21.12.2021
Order No.
5. 1. Heard Mr.S.Bahadur, learned counsel for the Appellant and
Mr.N.B.Das, learned counsel for Respondent No.2-Insurer as
well as Ms.P.Sinha on behalf of Mr.L.N.Patel, learned counsel
for the owner-Respondent No.1.
2. The claimant has filed the present appeal against the
judgment dated 30th November, 2007 passed by the learned 2nd
Motor Accidents Claims Tribunal, Northern Division, Sambalpur
in Misc.(A) Case No.289 of 2000(s). The grievance of the
claimant-Appellant is that the learned Tribunal though has
directed for payment of compensation to the tune of Rs.1,43,284/-
but has exonerated the insurer from indemnifying the
compensation amount on behalf of the owner.
3. It is submitted that the learned Tribunal on an erroneous
approach has exonerated the insurer from its liability on the
ground that the owner, namely, Rohit Kumar Tripathy was not
the registered insured in respect of the vehicle in the policy.
4. Ms. Sinha joins with Appellant to submit that in view of
undisputed validity of the insurance policy in respect of the
vehicle, the insurer has to indemnify the liability.
5. Conversely, Mr.Das, learned counsel for the insurer-
Respondent No.2 submits that earlier the owner was 'Taxi
Owners Transport' and the fact of transfer of ownership in favour
of Rohit Kumar Tripathy- Respondent No.1 has not been brought
in evidence by the claimant before the learned Tribunal and as
such, no illegality is committed by the Tribunal in directing the
owner to bear the compensation.
6. Having heard all the parties and upon perusal of the
impugned judgment, it is seen from para-7 that learned Tribunal
describing the 'Taxi Owners Transport' as the registered owner as
per the insurance policy has exonerated the insurer from liability
for the owner Rohit Kumar Tripathy.
7. Section 157 of the Motor Vehicles Act, 1988 prescribes as
follows:
"157. Transfer of certificate of insurance : (1)
Where a person, in whose favour the certificate of
insurance has been issued in accordance with the
provisions of this Chapter, transfers to another person
the ownership of the motor vehicle in respect of which
such insurance was taken together with the policy of
insurance relating thereto, the certificate of insurance
and the policy described in the certificate shall be
deemed to have been transferred in favour of the person
to whom the motor vehicle is transferred with effect
from the date of the transfer.
Explanation.-For the removal of doubts, it is
hereby clarified that such deemed transfer shall include
transfer of rights and liabilities of the said certificate of
insurance and policy of insurance.
(2) The transferee shall apply within fourteen days
from the date of transfer in the prescribed form to the
insurer for making necessary changes in regard to the
fact of transfer in the certificate of insurance and the
policy described in the certificate in his favour, and the
insurer shall make the necessary changes in the
certificate and the policy of insurance in regard to the
transfer of insurance."
8. Admittedly, the validity of the insurance policy in respect of
the offending vehicle i.e., Bus bearing Registration
No.MP23J0361 is not disputed by the parties. The contention of
the claimant as well as the owner is to the effect that the
offending vehicle was transferred to the name of Rohit Kumar
Tripathy from 'Taxi Owners Transport'. Such ownership in
favour of Rohit Kumar Tripathy is not disputed by the insurer
before the learned Tribunal. Thus, by operation of the provision
under Section 157 of the M.V.Act, the transfer of insurance
policy is automatic in case of transfer of ownership of the vehicle
from one to another. Therefore, the approach of the Tribunal in
discharging the insurer from liability of payment of compensation
on behalf of the owner is not found justified.
9. Accordingly, the Insurer-Respondent No.2 is directed to pay
the compensation amount in terms of the direction of the learned
Tribunal in favour of the claimant within a period of eight weeks
from today along with interest @6% per annum from the date of
filing of the claim application i.e. 21st November, 2000.
10. The appeal is accordingly allowed.
11. Urgent certified copy of this order be granted on proper
application.
( B.P. Routray)
Judge
C.R.Biswal
