The National Insurance Co Ltd vs Kannadi Prakasam
2023 Latest Caselaw 3485 Tel

           THE HON'BLE SRI JUSTICE P.SAM KOSHY
                               AND
     THE HON'BLE SRI JUSTICE LAXMI NARAYANA ALISHETTY

         M.A.C.M.A.Nos.1077 of 2023 and 2370 of 2019


COMMON JUDGMENT: (per Hon'ble Sri Justice P.SAM KOSHY)


       Heard Sri Kota Subba Rao, learned counsel for the

appellant/Insurance Company.


2.     These two appeals are filed challenging the same impugned

award passed by the learned XXVII Addl. Chief Judge, City Civil

Court at Secunderabad, (herein referred to as 'the Trial Court')

in M.V.O.P.No.48 of 2013 decided on 23.04.2014.


3.     The claimants are the father, mother and sister of the

deceased - Sri Kannadi Rupak Ashle. The deceased met with an

accidental death on 09.03.2012 while he was travelling by Maruthi

Swift Car bearing registration No.AP 09 BY 5935. When the car in

which he was travelling dashed against a tree due to rash and

negligent driving of the driver resulting in grievous injuries to

which he later succumbed to death.


4.     M.A.C.M.A.No.2370 of 2019 is an appeal preferred by the

claimants seeking for enhancement of the compensation. The

deceased in the instant appeal was aged about 26 years. He was a
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bachelor and an employee of the private company drawing monthly

income as per the pay slip to the tune of Rs.39,028/- per month.

PW.3        -    S.     Phanesh   is   the       witness   from   the   employer's

establishment proving the employment of the deceased. From the

pleadings what is also an admitted factual matrix is that the father

of the deceased was himself an employee who is a pensioner having

retired from service.


5.         M.A.C.M.A.No.1077 of 2023 is an appeal filed by the

Insurance Company challenging the quantum of compensation and

M.A.C.M.A.No.2370 of 2019 is an appeal preferred by the

claimants seeking for enhancement of the compensation.


6.         So far as the appeal filed by the Insurance Company is

concerned, the contention of the learned counsel for the Insurance

Company drawing attention to the decision of the Hon'ble Supreme

Court of India in the case of Sarla Verma vs. Delhi Transport

Corporation 1 as also the case of National Insurance Co. Ltd.,

vs. Pranay Sethi and Others 2 , the awarding of compensation

towards loss of estate, loss of love and affection to be on the higher

side, so also the compensation awarded towards funeral expenses

being on the higher side. It was also the contention of the learned

counsel for the Insurance Company that the deduction made

1
    (2009) 6 SCC 121
2
    (2017) 16 SCC 680
                                 3




towards personal expenses also had to be 50% instead of 1/3rd

that had been deducted by the Trial Court while computing the

compensation.


7.    On the other hand, another appeal is filed by the claimants

seeking for enhancement of compensation of the award in the light

of the decisions of the Hon'ble Supreme Court of India, both in the

cases of Sarla Varma (supra) and Pranay Sethi (supra).


8.    Having heard the contentions put forth on behalf of the

learned counsel for the Insurance Company and on perusal of the

pleadings, there does not seem to be any dispute so far as the

factual matrix is concerned i.e., the deceased being aged about 26

years, the deceased having met with an accidental death on

09.03.2012

and vehicle involved in the accident duly insured by

the Appellant/Insurance Company i.e. National Insurance Co.,

Limited. There is also no dispute so far as the income of the

deceased being Rs.39,028/- per month and after deduction of

Income Tax to the tune of Rs.2,415/-, the net salary comes to

Rs.36,613/-.

9. Taking into consideration the aforesaid factual matrix, we

now proceed to quantify the compensation in terms of the

judgments that have been laid down by the Hon'ble Supreme Court

of India in the aforesaid two decisions of Sarla Varma (supra) and

Pranay Sethi (supra):

(i) The annual income of the deceased comes to

Rs.4,39,356/-(Rs.36,613/- × 12 ).

(ii) In addition, the petitioner was entitled for a

compensation of 50% towards future prospects that would come to

Rs.2,19,678/-, that brings the total amount to Rs.6,59,834/-.

Since the deceased was a bachelor, there would had been a

deduction towards personal expenses which could bring the

amount to Rs.3,29,517/-. Which if multiplied applying the

multiplier of 17, that would bring the compensation amount to

Rs.56,01,789/-.

(iii) The claimants in terms of the judgments of the Hon'ble

Supreme Court of India in the case of Pranay Sethi (supra) would

be entitled for loss of estate and funeral expenses of Rs.30,000/-

(Rs.15,000 × 12). In addition the mother, father and sister would

be entitled for loss of consortium and filial compensation of

Rs.1,20,000/- (Rs.40,000 × 3) which brings the total compensation

to Rs.57,26,819/-.

10. In view of the same, the appeal filed by the Insurance

Company thus fails and is accordingly dismissed. The appeal filed

by the claimants stands partly allowed and the claimants would

therefore be entitled for a compensation of Rs.57,26,819/- instead

of Rs.31,32,612/- as awarded by the Trial Court. The entire

enhanced amount in terms of the decision of the Hon'ble Supreme

Court of India in the case of Sarla Varma (supra) would now be

payable to the mother of the deceased. Taking into consideration

the fact that the father and sister are not the dependents, therefore

the enhanced amount would be payable only to the mother of the

deceased. However, the apportionment made by the Trial Court to

the father and sister would remain same, so also the rate of

interest awarded would also remain intact. No order as to costs.

Pending miscellaneous applications, if any, shall stand

closed.

__________________ P.SAM KOSHY, J

____________________________________ LAXMI NARAYANA ALISHETTY, J Date: 01.11.2023 GSD