THE HIGH COURT OF SIKKIM : GANGTOK
(Civil Appellate Jurisdiction)
DATED : 19th APRIL, 2022
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SINGLE BENCH : THE HON'BLE MRS. JUSTICE MEENAKSHI MADAN RAI, JUDGE
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MAC App. No.10 of 2018
0
Appellant : The Branch Manager,
Shriram General Insurance Company Limited
versus
Respondents : Dilu Rai and Others
Appeal under Section 173 of the Motor Vehicles Act, 1988
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Appearance
Mr. Rahul Rathi, Advocate for the Appellant.
Mr. Tarun Choudhury, Advocate for the Respondents No.1 to 5.
None present for Respondent No.6.
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J U D G M E N T (ORAL)
Meenakshi Madan Rai, J.
1. Heard Learned Counsel for the parties and also
perused the records. The Respondent Nos.1 to 5 herein,
Claimants before the Learned Motor Accidents Claims Tribunal
filed a Claim Petition under Section 163A of the Motor Vehicles
Act, 1988 seeking compensation on account of the death of
Roshan Rai, husband of Respondent No.1, son of Respondent
No.4, brother of Respondent No.5 and father of minor
Respondents No.2 and 3 in a Motor vehicle accident at Changey,
near Phongla, Bermiok Road, South Sikkim on 21-05-2016.
2. Vide the impugned Judgment, dated 27-04-2018, of
the Learned Motor Accidents Claims Tribunal, in MACT Case
No.05 of 2017 (Smt. Dilu Rai and Others vs. The Branch MAC App. No.10 of 2018 2
The Branch Manager, Shriram General Insurance Company Limited vs. Dilu Rai and Others
Manager, Shriram General Insurance Company Limited and
Another), a total compensation of Rs.10,16,860/- (Rupees ten
lakhs, sixteen thousand, eight hundred and sixty) only, was
granted to the Respondents No.1 to 5 as follows;
(i) Loss of earnings : Rs.7,06,860/-
(ii) Funeral expenses : Rs. 15,000/-
(iii) Loss of estate : Rs. 15,000/-
(iv) Love and affection : Rs.2,50,000/-
(v) Litigation Costs : Rs. 25,000/-
(vi) Loss of Consortium: Rs. 5,000/-
Total Rs.10,16,860/-
The Loss of earnings included Future prospects of 40% in
the monthly income of the deceased and non-pecuniary heads of
Love and affection and Litigation costs were also added as
reflected supra.
3. In terms of the Judgment of the Division Bench of
this Court dated 04-04-2022 on reference by Single Judge of this
Court, in The Branch Manager, Shriram General Insurance
Company Limited vs. Smt. Dilu Rai and Others, wherein it was
inter alia held that in a Claim Petition under Section 163A of the
Motor Vehicles Act, 1988, Future prospects or any other
additional non-pecuniary heads find no place, and compensation
under this Section is to be strictly computed on the structured
formula provided in the Second Schedule to the Act, the
compensation computed in the impugned Judgment of the Motor
Accidents Claims Tribunal stands duly modified. 40% added as
Future prospects to the income of the deceased by the Learned
Motor Accidents Claims Tribunal stands set aside as also
compensation of Rs.2,50,000/- (Rupees two lakhs and fifty MAC App. No.10 of 2018 3
The Branch Manager, Shriram General Insurance Company Limited vs. Dilu Rai and Others
thousand) only, for Loss of love and affection and Litigation costs
of Rs.25,000/- (Rupees twenty five thousand) only. Hence, the
compensation is modified as follows;
Annual Income of the deceased (Rs.3,300/- x 12) Rs. 39,600/-
Multiplier to be adopted "17" (Rs.39,600/- x 17) Rs.6,73,200/- [as per Second Schedule of the Motor Vehicles Act, 1988]
Less 1/3 of Rs.6,73,200/- (i.e. Rs.2,24,400/-) (-) Rs.2,24,400/- [Deducted from the said amount as expenses that the deceased would have incurred towards his maintenance had he been alive] [as per Second Schedule of the Motor Vehicles Act, 1988]
Net Yearly Income Rs.4,48,800/-
Add Funeral expenses (+) Rs. 2,000/-
[as per Second Schedule of the Motor Vehicles Act, 1988]
Add Loss of Consortium (+) Rs. 5,000/-
(Payable to Respondent No.1) [as per Second Schedule of the Motor Vehicles Act, 1988]
Add Loss of Estate (+) Rs. 2,500/-
[as per Second Schedule of the Motor Vehicles Act, 1988] Total Rs.4,58,300/-
(Rupees four lakhs, fifty eight thousand and three hundred) only.
4. The Respondents-Claimants No.1 to 5 shall be
entitled to Simple Interest @ 10% per annum on the above
amount of Rs.4,58,300/- (Rupees four lakhs, fifty eight thousand
and three hundred) only, with effect from the date of filing of the
Claim Petition before the Learned Claims Tribunal till full
realization.
5. The awarded amount shall be paid by the Appellant-
Insurance Company to the Respondents-Claimants No.1 to 5
within one month from today with interest @ 10%, failing which,
the Appellant shall pay Simple Interest @ 12% from the date of
filing of the Claim Petition till realization, duly deducting the
amounts, if any, already paid by it to the Respondents No.1 to 5.
6. The modified awarded amount of compensation
along with interest as specified above shall be divided amongst MAC App. No.10 of 2018 4
The Branch Manager, Shriram General Insurance Company Limited vs. Dilu Rai and Others
the Respondent-Claimant No.1 being the spouse of the
deceased, Respondent-Claimant Nos.2 and 3 being the minor
children, Respondent-Claimant No.4 being his widowed mother
and Respondent-Claimant No.5 being his physically challenged
brother, as follows;
(i) From the amount awarded, Respondent-Claimant No.1, spouse of the deceased, is entitled to 40%.
(ii) While Respondent-Claimant No.4, mother of the deceased, shall be granted 10% considering the fact that she is aged and would obviously have been dependant on the deceased.
(iii) 10% of the total amount awarded shall be granted to the Claimant-Respondent No.5, physically challenged brother, of the deceased.
(iv) 40% of the total amount awarded shall be divided equally amongst the Respondent-Claimant Nos.2 and 3 (minor children of the deceased), i.e., 20% each. 50% of the share of each child shall be kept in individual Fixed Deposits in a Nationalised Bank, until the child attains the age of majority. The remaining 50% of each of the minor's share shall be expended on their education.
7. Appeal allowed to the extent above.
8. MAC App No.10 of 2018 stands disposed of
accordingly.
9. No order as to costs.
10. Copy of this Judgment be remitted to all the Learned
Motor Accidents Claims Tribunals in Sikkim, for information.
( Meenakshi Madan Rai ) Judge 19-04-2022
ds Approved for reporting : Yes
