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The New India Assurance ... vs Burra Sathyamma, Mahabubnagar ...
2022 Latest Caselaw 3804 Tel

Citation : 2022 Latest Caselaw 3804 Tel
Judgement Date : 21 July, 2022

Telangana High Court
The New India Assurance ... vs Burra Sathyamma, Mahabubnagar ... on 21 July, 2022
Bench: G.Anupama Chakravarthy
     HON'BLE SMT. JUSTICE G. ANUPAMA CHAKRAVARTHY

                    M.A.C.M.A.No.3216 of 2016

JUDGMENT :

The appeal is arising out of the order dated 15.09.2016, in

MVOP.No.399 of 2014 on the file of Motor Accident Claims

Tribunal-cum-Principal District Judge, Mahabubnagar. For the

sake of convenience, the parties are arrayed as in the OP.

2. The appeal is filed by the Insurance Company, who is

respondent No.2 in the O.P. The O.P. is filed before the Tribunal

under Section 166 of the Motor Vehicles Act, claiming

compensation of Rs.6,00,000/- with costs and interest for the

accident occurred on 21.06.2014 resulting in the death of the

deceased named, Burra Satish.

3. The claimants in the O.P. are the parents of the deceased. It

is the case of the claimants that the deceased was a student aged

about 16 years at the time of accident and used to help the

claimants in agricultural operations and also earn Rs.200/- per day.

As the deceased was a bright student, he would have got

Government job if he had been alive.

GAC, J MACMA.No.3216 of 2016

4. The Tribunal, after considering the oral and documentary

evidence on record, has come to a conclusion that the claimants are

entitled to a compensation of Rs.6,00,000/- with future interest @

9% per annum from the date of petition till the date of deposit.

Aggrieved by the same, the Insurance Company has preferred this

appeal.

5. Heard learned counsel for both the parties and perused the

record.

6. It is contended by the learned counsel for the appellant-

Insurance Company that the Tribunal has erred in taking the age of

deceased as 16 years, inspite of Ex.A-9/SSC certificate of the

deceased, which clearly disclose that the deceased was aged 15

years at the time of accident and the multiplier applicable shall also

be '15' as per the case law in Reshma Kumari & others v.

Madan Mohan & another1. It is further urged by the learned

counsel for the appellant that future prospects cannot be granted in

case of minors, as per the case law in Rajendra Singh v. National

2013 ACJ 1253

GAC, J MACMA.No.3216 of 2016

Insurance Co. Ltd.2. It is further urged by the learned counsel

that a lumpsum amount of Rs.4,70,000/- alone has to be paid to the

minors as per the case law in Kurvan Ansari @ Kurvan Ali v.

Shyam Kishore Murmu3, and therefore, prayed to set aside the

award passed by the Tribunal and to grant appropriate

compensation to the claimants.

7. On the other hand, the learned counsel for the claimants

contended that the case law in Kurvan Ansari (3 supra) cannot be

applied as the claim petition as the present case is filed under

Section 166 of the Motor Vehicles Act, whereas, the claim petition

in aforesaid judgment was filed under Section 163-A of the Motor

Vehicles Act.

8. The only point involved in this case is with respect to the

quantum of compensation granted to the claimants. Therefore, the

other aspects need not be gone into.

9. On perusal of the order of the Tribunal, it is evident that the

annual income of the deceased was taken as Rs.30,000/- and as the

2020 ACJ 2211

Civil Appeal No.6902 of 2021, dt.16.11.2021

GAC, J MACMA.No.3216 of 2016

age of the mother of the deceased was 35 years, multiplier 16 was

applied and accordingly the Tribunal granted compensation under

following heads:

1. Loss of dependency (Rs.30,000X16) Rs.4,80,000/-

2.    Love and affection                    Rs.1,00,000/-
3.    Funeral expenses                      Rs.20,000/-
      TOTAL                                 Rs.6,00,000/-


10. In Reshma Kumari's case (1 supra), their Lordships, while

considering the question as to whether Second Schedule to 1988

Act can be made applicable in deciding the application for

compensation made under Section 166 of M.V.Act or not, held as

under :

"A three-Judge Bench in Supe Dei (Smt) and others v. National Insurance Company Limited and another[14] [Civil Appeal No. 2753 of 2002; decided on April 16, 2002] considered the question, whether Second Schedule to the 1988 Act can be made applicable in deciding the application for compensation made under Section 166 or not ? This Court held that the Second Schedule under Section 163A of the 1988 Act which gives the amount of compensation to be determined for the purpose of

GAC, J MACMA.No.3216 of 2016

claim under that Section can be taken as a guideline while determining the compensation under Section 166 of the 1988 Act. The Second Schedule in terms does not apply to a claim made under Section 166 of the 1988 Act.

In United India Insurance Co. Ltd. v. Patrica Jean Mahajan & others4, this Court had an occasion to consider Sections 163A and 166 of the 1988 Act. With regard to Section 163A, the Court stated, "the noticeable features of this provision are that it provides for compensation in the case of death or permanent disablement due to accident arising out of use of motor vehicle. The amount of compensation would be as indicated in the Second Schedule. The claimant is not required to plead or establish that the death or permanent disablement was due to any wrongful act or negligence or default of the owner of the vehicle or any other person."

Further, the Court observed that a claim under Section 166 did not

provide for amount of compensation according to the Second

Schedule, rather Section 168 makes it clear that it is for the

Appeal (civil) 3655-58 of 2002, dt.08.07.2002

GAC, J MACMA.No.3216 of 2016

Tribunal to arrive at the amount of compensation which it may

consider to be just in the facts and circumstances of the case.

11. Their Lordships have also dealt with regard to the multipliers

to be applied in case of minors and held that if the claim is made in

respect of minors upto the age of 15, the multiplier '15' has to be

applied and for the persons who are aged above 15 years, the

multiplier table formulated in the case of Smt.Sarla Verma v.

Delhi Transport Corporation & another5 is to be applied while

calculating the compensation. Their Lordships have also held that

in case where the age of the deceased is upto 15 years, irrespective

of Section 166 or Section 163-A under which the claim of

compensation has to be made, multiplier '15' and assessment as

indicated in II Schedule subject to correction as pointed out in

Column (6) of the table in Sarla Verma's case (5 supra) should be

followed. It is further held that while considering the claim

applications made under Section 166 of M.V. Act in death cases

where the age of the deceased is above 15 years, there is no

(2009) 6 SCC 121

GAC, J MACMA.No.3216 of 2016

necessity for the claims Tribunal to seek guidance or placing

reliance on the II Schedule under 1988 Act.

12. As per the above said ratio, if the claim is made by the party

under Section 166 of M.V.Act, it is for the Tribunal to arrive at

appropriate compensation after duly considering the facts and

circumstances of the case and in case of the claim under Section

163-A, Courts need not look into the aspect of wrongful act or

negligence or default of the owner of the vehicle.

13. In the present case, the age of the deceased is 15 years and

as per Kurvan Ansari's case (3 supra), lumpsum amount of

Rs.4,70,000/- can be awarded and no difference can be made

whether it is a claim under Section 166 or 163-A of M.V. Act.

Admittedly, as per Rajendra Singh's case (2 supra), minor child is

not entitled for compensation under the head 'future prospects'.

14. Accordingly, the appeal is partly allowed, reducing the

compensation from Rs.6,00,000/- to Rs.4,70,000/- with costs and

interest @ 7.5% per annum from the date of filing of petition till

the date of realization, payable by appellant and the 3rd respondent

GAC, J MACMA.No.3216 of 2016

jointly and severally, within two months from the date of receipt of

this order. Both the claimants are equally entitled to the said

amount and they are permitted to withdraw their respective shares

as the accident occurred in the year 2014.

Pending miscellaneous applications, if any, shall stand

closed.

_________________________________ G.ANUPAMA CHAKRAVARTHY, J Date: 21.07.2022

ajr

 
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