Citation : 2023 Latest Caselaw 4028 Tel
Judgement Date : 15 November, 2023
THE HON'BLE SRI JUSTICE K.LAKSHMAN
AND
THE HON'BLE SMT JUSTICE K. SUJANA
M.A.C.M.A.No.1156 OF 2010
JUDGMENT : (per Hon'ble Smt Justice K.Sujana)
Being aggrieved by the judgment dated 19.03.2010 in
O.P.No.632 of 2007 on the file of the XXII Additional Chief
Judge-Cum-Motor Accidents Claims Tribunal, City Civil Court, at
Hyderabad (hereinafter referred as 'the Tribunal') the petitioners
therein filed this appeal stating that the Tribunal wrongly decided
contributory negligence on the part of deceased and prayed to grant
the relief of enhancement of compensation.
2. The appellants filed this appeal stating that the Tribunal erred
in holding that there was contributory negligence on the part of
deceased Mohtesham Azmi (owner and driver of Maruti Van bearing
No.AP13E9271). It was contended that the Tribunal erred in
deducting 50% of the compensation amount towards contributory
negligence on the part of deceased without any foundation or basis.
Therefore, prayed this Court to set-aside the order of Tribunal
awarding 50% of contributory negligence on part of deceased and
also to enhance the compensation.
KL, J & SKS, J
MACMA.No.1156 of 2010
2
3. Heard learned counsel appearing for appellants and learned
counsel appearing for respondents, respectively.
4. Vide impugned judgment dated 19.03.2010 in
O.P.No.632 of 2007, the Tribunal awarded a sum of Rs.53,46,000/-
(Rupees Fifty Three Lakhs Forty Six Thousand Only) with an interest
at the rate of 7% per annum from the date of petition till realization.
5. On considering the entire evidence on record, both oral and
documentary, the Tribunal held that the accident occurred due to
contributory negligence on the part of driver of lorry bearing
No.AET6187 and on the part of driver of Maruti Van bearing
No.AP13E9271.
6. The contention of learned counsel for appellants is that,
without there being any testimony of eye witness, the Tribunal
arrived at a conclusion that there was contributory negligence on the
part of deceased Mohtesham Azmi (owner and driver of Maruti Van
bearing No.AP13E9271). He contended that the Tribunal erred in
deducting 50% of the compensation amount towards contributory
negligence on the part of deceased without any foundation or basis.
Therefore, prayed this Court to set-aside the judgment dated
19.03.2010 passed by the Tribunal awarding 50% of contributory KL, J & SKS, J
MACMA.No.1156 of 2010
negligence on part of deceased and also to enhance the
compensation.
7. Now the points that arise for consideration are :
1. Whether the accident occurred due to contributory negligence on the part of the driver of lorry bearing No.AET6187 and on the part of driver of Maruti Van bearing No.AP13E9271
2. Whether the claimants are entitled for enhancement of compensation as prayed for ?
3. To what relief ?
8. For the sake of convenience, the parties are referred to as
arrayed in O.P.No.632 of 2007.
9. The facts of the case as per the averments made in petition are
that petitioner No.1 - Mohamed Azam is the father of deceased, and
petitioner Nos.2 and 3 are minor daughters of the deceased. On the
date of accident, the deceased was proceeding in a Maruti Van
bearing No.AP13E9271 along with his wife from Hyderabad to
Jadcharla after attending a matrimonial function at the house of
their relatives. When they reached near Nandigama Village, a lorry
bearing No.AET6187 came in a rash and negligent manner and
dashed against maruti van from opposite direction. Due to the
impact, the Maruti Van turned towards Hyderabad side and was
dragged to some distance and then the Maruti Van went underneath
the lorry resulting in instantaneous death of both the inmates of KL, J & SKS, J
MACMA.No.1156 of 2010
Maruti Van. Sparks came out of the van and the dead bodies got
burnt. The dead body of the wife was thrown out on the road.
10. Earlier to the accident, the deceased who was aged 32 years
used to do business at Jadcherla, owning rice mill, Azam Food
Products Private Limited, M/s. Deccan Traders, Poultry Firms and
Poultry Industry. He was also managing agriculture and earning
Rs.1,50,000/- per month in all. As per the I.T. Returns for the year
2002-2003, his income was Rs.11,08,391/- and for the year
2001-2002 it was Rs.10,40,942/-. He has been contributing his
entire income to the petitioners. Due to the sudden death of the
deceased, the petitioners who are dependent on his income,
sustained loss of income.
11. The respondent Nos.1 and 4 remained ex parte. Respondent
No.2 - New India Assurance Company Limited, filed counter denying
the averments of the petition in a general manner and contended
that there was no negligence on the part of the driver of lorry. It was
also contended that the driver did not have valid driving license and
that the vehicle did not have insurance coverage and contributory
negligence was attributed to the deceased.
12. Basing on the pleadings, the Tribunal framed three issues. On
behalf of petitioners, PWs.1 to 4 were examined and Exs.A1 to A27 KL, J & SKS, J
MACMA.No.1156 of 2010
were marked. PW.1 is petitioner No.1, father of the deceased and
grandfather of petitioner Nos.2 and 3. PW.2 is the ASI in Kuttur
Police Station. PW.3, Auditor was examined to prove the income of
the deceased. PW.4 is the alleged eye witness to the accident. On
behalf of respondent No.2 - New India Assurance Company Limited,
Ex.B1 was marked.
13. According to the evidence of PW.1 - father of the deceased, his
son was aged about 32 years who used to do business in Jadcherla
by running rice mill, Azam Food Products Private Limited, M/s.
Deccan Traders, Poultry Firms, Poultry Industry and agriculture, as
well. He deposed that initially, the deceased established M/s. Azam
Rice Mill Private Limited in the year 1997 and thereafter, changed
the name of the company as M/s.Azam Food Products Private
Limited and got it registered. He was one of the Directors of the
company and had 49,010 shares in the said company. For the year
2000-2001 the income of the deceased was shown as Rs.1,01,580/-
per annum and for the year 2001-2002 his income was shown as
Rs.48,000/- per annum from Azam Food Products Private Limited,
Rs.2,96,948/- from M/s.Deccan Traders, Rs.6,95,994/- from
M/s.Luckky Poultry Firms, Mehidipatnam and Rs.51,250/- from
agriculture. On 31.12.2002, he paid Rs.3,50,000/- as income tax for
the year 2002-2003.He also got his income assessed for the year
2003-2004 and paid advance tax of Rs.3,25,000/- on 13.12.2002.
KL, J & SKS, J
MACMA.No.1156 of 2010
The balance tax of Rs.5,630/- was paid in the month of October
2003. He was earning more than Rs.1,50,000/- per month.
14. According to the evidence of PW.2, a case was registered based
on the complaint of one Depalli Eswaraiah and the driver of the lorry
surrendered before the Police. In the cross examination, he stated
that he does not have any personal knowledge about the accident
and as per the investigation, there were no eye witnessess to the
accident.
15. PW.3 is the Chartered Accountant who used to file the returns
of the deceased with the Income Tax Department. According to his
evidence, the deceased was running various business concerns and
was regularly paying income tax. As his business developed, he paid
advance tax on 13.12.2002 and 28.03.2003 at the rate of
Rs.30,000/- and Rs.25,000/-, respectively. He stated that the
income derived by the deceased was for the complete year i.e., from
March 2002 to March 2003. He prepared balance sheet, capital
account, profit and loss account of all the firms and declared the
entire income of the deceased to the Income Tax Department and
submitted returns for the business done by the deceased which was
Rs.11,82,090/- including agricultural income.
KL, J & SKS, J
MACMA.No.1156 of 2010
16. In the cross examination, PW.3 stated that he does not have
any record pertaining to the returns. However, he also stated that he
certified the returns on the basis of the records brought to him. He
further stated that the deceased used to supply the ledger
information to him. He admitted that Ex.A16 was filed on 21.01.2004
i.e., after the death of the deceased. According to him, if the turn
over is more than Rs.40,00,000/- it has to be audited by a Chartered
Accountant. He further stated that he could not say the source of
salary income of the deceased and he did not audit or inspect any
books of accounts and has simply filed returns based on the
information given to him by the assessee.
17. The evidence of PW.4 shows that his father owns a hotel at
Nandigama Bus stop and he assists his father in supplying tea and
running hotel. In the cross examination when it was suggested that
he did not witness the accident, he stated that the accident occurred
in front of his hotel. He also stated that he did not give evidence in
the criminal case filed against the lorry driver.
18. Ex.A1 and Ex.A2 are the certified copies of F.I.R., and charge
sheet, respectively. Both the documents show that the accident
occurred in the manner as narrated and Ex.A2 does not show the
name of PW.4 as witness.
KL, J & SKS, J
MACMA.No.1156 of 2010
19. The petitioners also filed a rough sketch of scene of accident
which shows that the accident occurred in the center of the road.
Basing on the above evidence and documents on record, the Tribunal
came to the conclusion that the accident occurred due to the
negligence of both drivers as it was in the middle of the road and
both the vehicles were going from left margin of the road and the
impact which turned the Maruti Van would also imply that it was
also going in high-speed. The finding of the Tribunal is that there
was contributory negligence on part of the deceased, as well as, the
driver of lorry.
20. The contention of the claimants is that there is no negligence
on the part of driver of maruti van. Per contra, learned counsel for
New India Assurance Company Limited submitted that there is no
negligence on the part of lorry driver and the accident occurred due
to the negligence of van driver only.
21. On going through the rival contentions and the material placed
on record, it is seen that F.I.R., under Ex.A1 was lodged with Police
on the basis of written complaint by one Depalli Eswaraiah. The
Investigating Officer, after due investigation, filed charge sheet
stating that the accident occurred due to negligent driving of the
driver of lorry and a criminal case was also filed against him and he
was tried for the said offence.
KL, J & SKS, J
MACMA.No.1156 of 2010
22. At this stage, it is apt to note that according to the evidence of
PW.4, on 31.03.2003 at about 03:00 A.M., he was supplying tea to
the night shift holders. When he was returning after supplying the
tea, he saw one lorry bearing No.AET6187 coming from Jedcherla
side and proceeding towards Hyderabad, in rash and negligent
manner at high speed and dashed to one Maruti Van beaing
No.AP13E9271 which was coming from Hyderabad side and
proceeding towards Jedcherla. Due to the impact, the Maruti Van
turned back and the left side of its door got opened and a lady who
was sitting inside fell down on the road and she became
unconscious. The driver of the Maruti Van also became unconscious.
He saw flames coming out near the diesel tank of lorry. He could not
be of any help as he was alone and on the opposite side of the
accident spot. He alerted his family members and neighbours and by
the time they came to the accident spot, the flames became more and
the Maruti Van which was very close to the lorry caught fire. Due to
the said flames, the driver of the Maruti Van got totally burnt and
the lady also received burnt injuries and died. He further deposed
that the lorry was loaded with beer bottles and due to the heat, the
beer bottles started busting. After one hour, the Police came to the
spot and recorded his statement about the incident.
KL, J & SKS, J
MACMA.No.1156 of 2010
23. With regard to contributory negligence, the learned counsel
appearing for appellants relied on the judgment of the Hon'ble
Supreme Court in Sucheta Mishra and Others Vs. Divisional
Manager National Insurance Company Limited 1. The relevant
paragraph No.5 reads as under:
"5. In a matter of the present nature where we
note that PW-3 is stated to be the eye witness to the
accident and other witnesses were only the
claimants who were not at the spot of the accident,
the version of PW-3 ought to have been accepted. Be
that as it may, it is not in dispute that on
investigation the charge sheet has been filed against
the rider of the offending vehicle. Therefore, the
conclusion reached by the MACT only on the ground
that it is an head on collision and therefore 50% of
negligence is to be attributed to the deceased is not
justified. To that extent, we set aside the finding
rendered by the MACT and hold that the rider of the
offending vehicle was alone negligent in causing the
accident. Hence, the appellants would be entitled to
the entire compensation to be determined."
24. From the above extracted portion it is noted that merely on the
ground of head on collision, it cannot be held that there is
contributory negligence on the part of the deceased.
25. Learned counsel for appellants also relied on the decision of
the Hon'ble Supreme Court in K.Anusha and Others Vs. Regional
2023 (2) TAC 355 KL, J & SKS, J
MACMA.No.1156 of 2010
Manager, Shriram General Insurance Company Limited 2. The
relevant paragraph No.13 reads as under:
"13. Therefore, the entire reasoning of the High Court
on Issue No. 1 is riddled with inherent contradictions.
To establish contributory negligence, some act or
omission, which materially contributed to the
accident or the damage, should be attributed to the
person against whom it is alleged. In Pramodkumar
Rasikbhai Jhaveri v. Karmasey Kunvargi Tak2 this
Court quoted a decision of the High Court of Australia
in Astley v. Austrust Ltd.3, to hold that "...where, by
his negligence, one party places another in a situation
of danger, which compels that other to act quickly in
order to extricate himself, it does not amount to
contributory negligence, if that other acts in a way
which, with the benefit of hindsight is shown not to
have been the best way out of the difficulty". In fact,
the statement of law in Swadling v. Cooper4, that
"...the mere failure to avoid the collision by taking
some extraordinary precaution, does not in itself
constitute negligence...", was also quoted with
approval by this Court. Therefore, we are compelled to
reverse the finding of the Tribunal and the High Court
on the question of contributory negligence."
26. In the above extracted portion it was observed that mere
failure to avoid collision by taking some extraordinary precaution
does not amount to negligence.
2022 (2) Civil LJ 88 KL, J & SKS, J
MACMA.No.1156 of 2010
27. It is noticed that the evidence of PW.4 was simply discarded
by the Tribunal stating that he was not cited as witness in the charge
sheet and the same is not tenable. In this regard, keeping in view the
decision of the Hon'ble Supreme Court in Janabai WD/o Dinkarrao
Ghorpade Vs. ICICI Lambord Insurance Company Limited 3 we are
of the opinion that the Tribunal has decided the issue as if it was
dealing with criminal trial and ignoring that the petition filed before
it was a claim petition filed under Section 166 of the Motor Vehicles
Act, 1988, for grant of compensation to the victims and their legal
representatives which is a piece of welfare legislation deals with
providing relief to the persons who suffered injuries in the motor
vehicle accidents. The relevant paragraph No.11 of the judgment
reads as under:
"11. We find that the rule of evidence to prove charges
in a criminal trial cannot be used while deciding an
application under Section 166 of the Motor Vehicles
Act, 1988 which is summary in nature. There is no
reason to doubt the veracity of the statement of
Appellant 1 who suffered injuries in the accident. The
application under the Act has to be decided on the
basis of evidence led before it and not on the basis of
evidence which should have been or could have been
led in a criminal trial. We find that the entire approach
of the High Court is clearly not sustainable."
(2022) 10 SCC 512 KL, J & SKS, J
MACMA.No.1156 of 2010
28. In view of the above extracted portion, it is clear that strict
Rules and Procedures are not applicable to the claim petitions.
29. In view thereof, in the present case, the Tribunal erred in
concluding that there is contributory negligence on the part of the
deceased also without there being any evidence on record and
without considering the documents marked under Exs.A1 and A2.
The Tribunal also erred in discarding the evidence of PW.4, an eye
witness. Therefore, the finding of the Tribunal that there is
contributory negligence on the part of deceased is erroneous and the
same is hereby set aside. Therefore, it can be concluded that the
accident occurred due to negligence of driver of the lorry bearing
No.AET6187. Accordingly, point Nos.1 to 3 are answered.
30. Basing on Ex.A17 - bunch of share certificates in the name of
the deceased in Azam Food Products Private Limited,
Exs.A18 to A20 - electricity bills of Azam Food Products Private
Limited, memorandum of articles of the said firm showing the
deceased as a subscriber, certificate of incorporation for the changed
name of Azam Food Products to Azam Rice Mill, pattedar passbook
showing agricultural land in the name of the deceased, and Ex.A21
- the license for purchase and sale of M/s.Deccan Traders, the
Tribunal came to the conclusion that the taxable income of the
deceased was not uniform. Therefore, it has taken the income of the KL, J & SKS, J
MACMA.No.1156 of 2010
deceased as more than Rs.10,00,000/- which is not disputed by the
insurance company as well.
31. Further, as per Ex.A24, the date of birth of the deceased is
31.12.1970. Therefore, on the date of the accident, he was aged
around 33 years old. As such, as per the principle laid by the Apex
Court in National Insurance Company Limited Vs Pranay Sethi 4,
40% future prospects need to be added, which comes to
(10,00,000 x 40% = 4,00,000 [10,00,000 + 4,00,000 = 14,00,000])
Rs.14,00,000/- . Out of which, 1/3rd amount has to be deducted as
there are two dependants i.e.,
Rs.14,00,000 x 1/3rd = Rs.4,66,666/-. As such,
Rs.14,00,000 - 4,66,666 = Rs.9,33,334/- was the actual loss of
income. As per the Judgment of the Hon'ble Supreme Court in Sarla
Verma and Others Vs Delhi Transport Corporation and another 5,
the appropriate multiplier applicable in the instant case is 16. That
being so, the loss of dependency comes to
Rs.9,33,334 x 16 = Rs.1,49,33,344/-.
32. Further, the Tribunal has not awarded any amount under the
heads of 'Loss of Estate' and 'Funeral Expenses' as per the judgment
of Pranay Sethi (supra). In addition to that, as per the judgment
(2017) 16 SCC 680
(2009) 6 SCC 121 KL, J & SKS, J
MACMA.No.1156 of 2010
rendered in Smt Anjali and Others Vs. Lokendra Rathod and
Others 6, the appellants are also entitled to Rs.44,000/- each, under
the head of 'Parental Consortium' as appellant Nos.2 and 3, namely,
Ms.Tameenma Azmi and Ms.Sameena Azmi are daughters of the
deceased. Accordingly, point Nos.1 to 3 are answered.
33. Thus, in view of the above discussion, the compensation
awarded to the appellants under various heads are as follows:
Loss of dependency/contribution to family Rs.1,49,33,344/-
Parental Consortium to appellant No.1 Rs.44,000/-
Parental Consortium to appellant No.2 Rs.44,000/-
Loss of Estate Rs.15,000/-
Funeral expenses Rs.15,000/-
Total Compensation Rs.1,50,51,344/-
34. IN THE RESULT, the appeal is allowed. The Order And Decree
dated 19.03.2010 in O.P.No.632 of 2007 passed by the XXII
Additional Chief Judge-Cum- Motor Accidents Claims Tribunal, City
Criminal Court, at Hyderabad, is modified, enhancing the
compensation from Rs.53,46,000 (Rupees Fifty Three Lakhs and
Forty Six Thousand only) to Rs.1,50,51,344/- (Rupees One Crore
2023 SCR 439 KL, J & SKS, J
MACMA.No.1156 of 2010
Fifty Lakhs Fifty One Thousand Three Hundred and Forty Four only)
with interest @ 7% per annum thereon from the date of petition till
realization. The owner and Insurance Company of lorry bearing
No.AET6187 are jointly and severally liable to pay the said
compensation. As such, the compensation amount shall be
apportioned to the claimants in equal shares. As far as the loss of
parental consortium amounts are concerned, the respective
appellants alone are entitled to receive from out of the above said
total compensation. The owner and insurer of lorry bearing
No.AET6187 are directed to deposit the above said amount with
interest and costs, after deducting the amount which was already
deposited, within one month from the date of receipt of certified copy
of this judgment. No order as to costs.
Miscellaneous applications, if any, pending in this appeal shall
stand closed.
__________________ K. LAKSHMAN, J
_______________ K. SUJANA, J
Date :15.11.2023 PT
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