M/S.Iffco-Tokio General ... vs Laxmidhar Mohanty And Another
2023 Latest Caselaw 2519 Ori

                    IN THE HIGH COURT OF ORISSA AT CUTTACK

                                    MACA No.817 of 2016

            M/s.IFFCO-TOKIO General Insurance
            Co.Ltd.                           ....         Appellant
                                            Mr.G.P.Dutta, Advocate

                                          -versus-


            Laxmidhar Mohanty and another                 ....     Respondents
                                Mr.P.K.Mishra, Advocate for Respondent No.1



                          CORAM:
                          JUSTICE B. P. ROUTRAY



                                       ORDER

28.3.2023

Order No.

4. 1. The matter is taken up through Hybrid mode.

2. Heard Mr.Dutta, learned counsel for Appellant- Insurer and Mr. Mishra, learned counsel for claimant-Respondent No.1.

3. Present appeal by the Insurer is directed against the judgment dated 29th March, 2016 of the IIIRD M.A.C.T., Balasore, in M.A.C. No.55/162 of 2013/2010, wherein compensation to the tune of Rs.2,00,000/- has been granted along with interest @7.5% per annum with effect from the date of filing of the claim application on account of injuries sustained by the claimant in the motor vehicular accident.

4. The Insurance Certificate under Ext.E was issued on 12th March, 2010 and the accident took place on 15th March, 2010. Subsequently due to dishonor of the Cheque, the policy was cancelled on 18th May, 2010 and accordingly, the intimation was sent. Thus, in view of the settled principles decided by the Supreme Court in the case of United India Insurance Co. Ltd. vrs. Laxmamma, (2012) 5 SCC 234 and several other decisions rendered by this Court, the Insurance Company is held liable to pay the compensation amount. Since the owner did not dispute non-payment of Cheque amount and cancellation of policy, the right of recovery is extended in favour of the Insurance Company to proceed against the owner.

5. No further ground is seen to interfere with the compensation amount since the injured claimant sustained two fracture injuries and underwent treatment for a period of twelve days as indoor patient including nailing as per the discharge certificate under Ext.18. However, the rate of interest is reduced to 6% per annum.

6. In the result, the appeal is disposed of with a direction to the Insurer-Appellant to deposit the compensation amount of Rs.2,00,000/- along with interest @6% per annum before the Tribunal within a period of two months from today. Out of which, 50% shall be kept in fixed deposit in any Nationalized Bank for a period of five years and the balance amount shall be disbursed in favour of the claimant.

7. The statutory deposit made by the Appellant with accrued interest thereon be refunded to him on proper application

and on production of proof of deposit of the award amount before the learned Tribunal.

8. Urgent certified copy of this order be granted on proper application.

( B.P. Routray) Judge

C.R.Biswal