Citation : 2026 Latest Caselaw 310 Tel
Judgement Date : 2 April, 2026
THE HIGH COURT FOR THE STATE OF TELANGANA AT
HYDERABAD
THE HON'BLE JUSTICE B.R.MADHUSUDHAN RAO
MACMA.No.37 of 2016
DATED: 2nd April 2026
Between:
Reliance General Insurance Company Limited
... Appellant - respondent No.3
And
1.Chelikani Laxmi and four others
... Respondent Nos.1 to 5 -
Petitioners
6.Maruti Rathod and another
... Respondent Nos.6 and 7 -
Respondent Nos.1 and 2
JUDGMENT
1. This Memorandum of Motor Accidents Civil Miscellaneous appeal
is filed under Section 173 of Motor Vehicles Act, 1988 (for short, 'the MV
Act'), assailing the award passed by the Chairman, Motor Vehicle
Accident Claims Tribunal - cum - Principal District Judge, Karimnagar
(for short, 'the Tribunal') in MVOP.No. 845 of 2012, dated 23.09.2015.
BRMR,J
2. Appellant is respondent No.3, respondent Nos.1 to 5 are the
petitioners and respondent Nos.6 and 7 are respondent Nos.1 and 2 in
MVOP.No.845 of 2012.
3. Notice got issued to respondent Nos.6 and 7 in the appeal are
served, but none appeared for them.
4. Learned counsel for the appellant - respondent No.3 submits that
the learned Tribunal ought to have seen that the name of the driver of
the lorry was changed from Jadav Vijay to Maruthi Rathod. The owner of
the lorry has surrendered Maruthi Rathod before the police. The police
have colluded with the owner of the lorry and wrongly planted Maruthi
Rathod as the driver of the lorry, which gives suspicion on which the
claim ought to have been dismissed by the Tribunal. It is the statutory
duty of the owner of the vehicle to see that the driver to whom the vehicle
is entrusted holds an effective driving license to drive the vehicle. The
learned Tribunal has also erred in considering the income of the
deceased as Rs.11,760/- per month as a security guard which is on
higher side and PW3 is not competent to depose the income of the
deceased is Rs.11,760/-. The Tribunal ought to have seen that the
accident has occurred due to contributory negligence of drivers of both
vehicles and the driver of the motorcycle did not control the vehicle as he
was traveling on the newly formatted road, ought to have taken the
BRMR,J
evidence of RW1 and should have concluded that respondent Nos.1 to 5
- petitioners are not entitled for any compensation, erred in granting
amounts under different heads, also erred in awarding interest at the
rate of 7.5% per annum instead of 6% per annum and prayed to allow
the appeal and set aside the impugned award.
5. Learned counsel for respondent Nos.1 to 5 - petitioners submits
that learned Tribunal has failed to add future prospects, filial
consortium, loss of estate and funeral expenses. Counsel further
submits that just compensation has to be awarded to the respondents
Nos.1 to 5 - petitioners. In support of his contention has relied on the
decisions in the cases of (i) Surekha and others Vs. Santosh and others1
and (ii) Janabai WD/O Dinkarrao Ghorpade and Others Vs. ICICI
Lombord Insurance Company Limited 2.
6. Now the points for consideration are:
i) Whether the Tribunal has awarded just compensation to the
respondent Nos.1 to 5 - petitioners, if so?
ii) Whether the award passed by the learned Tribunal suffers from
any perversity or illegality, if so, does it require interference of this
Court?
2020 ACJ 2156 [Three Judge Bench]
(2022) 10 SCC 512
BRMR,J
7. As per Ex.A1 - FIR the name of the driver is shown as Jadhav
Vijay. On 29.04.2012 the owner of the lorry has produced Maruthi
Rathod who was the driver of the crime vehicle before PS Kadam. PS
Kadam has filed charge sheet under Ex.A2 against Maruthi Rathod
under Section 304(A) of IPC.
8. The eye witness to the accident is PW2 - Mohd. Yakub, he deposed
the manner in which the accident has taken place.
9. Legal retainer of the appellant - respondent No.3 is examined as
RW1 - M.Madhukar, his evidence is that the police in collusion with the
owner of the crime vehicle changed the driver of the vehicle from Jadhav
Vijay to Maruthi Rathod and there is no proper explanation in the charge
sheet to change the driver of the crime vehicle. In his cross examination
he stated that the report of the investigator is not filed in the Court,
insurance policy [Ex.B1] was subsisting as on the date of accident, no
complaint is lodged by the appellant - respondent No.3 with the senior
police officials stating that the name of the driver of the lorry was
changed from Jadhav Vijay to Maruthi Rathod, no steps are taken by the
appellant - respondent No.3 to show that there are two persons by
names Jadhav Vijay and Maruthi Rathod and no protest petition is filed
by Maruthi Rathod before the Court claiming that he is not the driver of
the crime vehicle.
BRMR,J
10. The learned Tribunal having considered the evidence of PW2 with
that of Exs.A1 and A2 arrived at a conclusion that the accident has
occurred due to rash negligent driving of the driver of the crime vehicle.
11. Insofar as the compensation, the learned Tribunal has taken the
income of the deceased as Rs.11,760/- per month basing on Ex.A6 -
salary certificate of the deceased issued by Veeaar Security Agency,
Hyderabad Ex.X1 - certified copy of attendance register for the period
from 04.10.2011 to 03.02.2012 and also the evidence of PW3 - Mohd.
Rafiuddin, arrived annual income at Rs.1,41,120/- [11,760 x 12],
deducted 1/4th towards his personal expenses and arrived at
Rs.1,05,840/- [1,41,120 - (1/4th of 1,41,120 = 35,280)], taken the age of
the deceased as 37 years, applied multiplier '15' and arrived loss of
dependency at Rs.15,87,600/- [1,05,840 x 15]. Further, the learned
Tribunal has awarded Rs.1,00,000/- towards loss of consortium to
respondent No.1 - petitioner No.1, Rs.25,000/- each towards loss of love
and affection to respondent Nos.2 to 5 - petitioner Nos.2 to 5 and
Rs.25,000/- towards funeral expense. In total the Tribunal has awarded
Rs.18,12,600/- with interest at the rate of 7.5% per annum from the
date of filing the petition till the date of actual deposit against
respondent Nos. 1 to 3 jointly and severally [i.e., respondent Nos.6 and 7
and appellant herein].
BRMR,J
12. Just compensation can be awarded to the respondent Nos. 1 to 5 -
petitioners in absence of any cross-appeal. See: Surekha1.
13. Respondent Nos.1 to 5 - petitioners are entitled for future
prospects, spousal consortium, parental consortium, loss of estate and
funeral expenses as per the decision in Janabai2.
14. This Court is of the view that the learned Tribunal has rightly
taken the income of the deceased as Rs.11,760/- per month, rightly
taken the age of the deceased as 37 years and applied multiplier '15'.
15. The calculation arrived by this Court is as under:
Sl.No. Name of the Head Compensation
awarded by this
Court
1. Income Rs.11,760/- per month
2. Add 40% future prospects Rs.16,464/-
11,760 + 4,704
40% of 11,760 = 4,704
3. Deduct 1/4th towards personal Rs.12,348/-
expenses 16,464 - 4,116
1/4th of 16,464 = 4,116
4. Annual income Rs.1,48,176/-
12,348 x 12
5. Multiplier '15' Rs.22,22,640/-
1,48,176 x 15
Loss of dependency Rs.22,22,640/-
6. Consortium Rs.2,42,000/-
Rs.48,400/- to each petitioner 48,400 x 5
7. Loss of estate Rs.18,150/-
8. Funeral expenses Rs.18,150/-
Total Rs.25,00,940/-
BRMR,J
16. The learned Tribunal has awarded interest at the rate of 7.5% per
annum, this Court is not disturbing the same.
17. Appellant - respondent No.3 has not made out any case to
interfere with the award passed by the learned Tribunal and the
respondent Nos.1 to 5 - petitioners are entitled for just compensation as
stated supra.
18. In the result, MACMA.No.37 of 2016 is dismissed and the
compensation awarded by the Tribunal is enhanced as under:
a) The impugned award dated 23.09.2015, passed in
MVOP.No.845 of 2012, stands modified.
b) The compensation awarded by the Tribunal i.e.,
Rs.18,12,600/- is enhanced to Rs.25,00,940/- together with
costs and interest at the rate of 7.5% per annum from the
date of filing the petition till payment.
c) Respondent Nos.1 to 5 - petitioners are directed to pay court
fee on the enhanced amount.
d) Appellant - respondent No.3 and respondents Nos.6 and 7 -
respondent Nos.1 and 2 are hereby directed to deposit the
awarded amount jointly and severally with interest and costs
less the amount already paid if any within a period of 60
days from the date of receipt of a copy of this judgment.
BRMR,J
e) Respondent No.1 - petitioner No.1 is entitled for an amount
of Rs.12,50,470/- and she is permitted to withdraw her
entire share amount with costs and interest thereon without
furnishing security.
f) Respondent Nos.2 and 3 - petitioner Nos.2 and 3 are entitled
for an amount of Rs.3,75,141/- each and they are permitted
to withdraw their entire share amount with costs and
interest thereon without furnishing security.
g) Respondent Nos.4 and 5 - petitioner Nos.4 and 5 are entitled
for an amount of Rs.2,50,094/- each and they are permitted
to withdraw their entire share amount with costs and
interest thereon without furnishing security.
Interim order if any shall stand vacated, miscellaneous
application/s pending if any shall stand closed. No costs.
______________________________ B.R.MADHUSUDHAN RAO, J
02.04.2026
Dua
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