Tripura High Court
The Oriental Insurance Company Ltd vs Sri Ramu Nama And 3 Ors on 11 August, 2025
Author: T. Amarnath Goud
Bench: T. Amarnath Goud
HIGH COURT OF TRIPURA
AGARTALA
MAC.App 81 of 2025
The Oriental Insurance Company Ltd.
---Appellant(s)
Versus
Sri Ramu Nama and 3 Ors.
---Respondent(s)
For Appellant(s) : Mr. Rajib Saha, Advocate.
For Respondent(s) : None.
Date of hearing and date of
judgment and order : 11.08.2025
Whether fit for reporting : No
HON'BLE JUSTICE DR. T. AMARNATH GOUD
Judgment & Order (Oral)
[1] This is an appeal under Section 173 of the Motor Vehicles Act,
1988 read with Section 168 of the Act, filed by the appellant, insurance
company, challenging the judgment and award dated 18.03.2025, passed by
the Learned Motor Accident Claims Tribunal, Court No. 4, West Tripura,
Agartala, Tripura, in Case No. T.S. (MAC) 183 of 2018.
[2] Brief resume of the case is that the claimant is that on 19.05.2016
he was returning home along with his father Narayan nama with the car No.
TR-08-0670 owned by the OP No. 3 and insured under the OP No.4. At about
5-50 p.m. when they reached Parimal Chowmuhani under Bishalgarh P.S., the
offending bus No. TR-01-1489 owned by the OP No.1 and insured under the
OP No.2 coming from opposite direction with excessive speed in a rash and
negligent manner hit the car. This resulted in multiple injuries to the claimant.
Soon after the accident, the claimant was taken to Bishalgarh Hospital and
after preliminary treatment he was referred to AGMC & GBP hospital,
Agartala. On 22.05.2016 the claimant was referred to NNC, Kolkata where he
got admitted and on 23.05.2016 a major operation was done on his head and
on 25.05.2018 he was discharged from said hospital. Even after discharge
from hospital the claimant continued his treatment. The accident was reported
to police and Bishalgarh Agartala P.S. case No. 60/2016 got registered and
investigated.
[3] The O.P. No.1, owner of the offending bus No. TR-01-1489, did
not appear to contest the case despite service of notice. However, the OPs No.
2 to 4 contested the proceeding by filing their separate written statements.
[4] The OP No. 2 denied all the material averments of the claimant
and put him to strict proof thereof. Further plea of the OP No.2 is its liability
is subject to fulfillment of the policy conditions and in case of any breach
thereof, it cannot be held liable to indemnify the insured owner of the
offending bus.
[5] The OP No. 3, owner of the car No. TR-08-0670 admitted the
accident and the resultant injuries to the claimant. However, he pleaded that
there was no rashness or negligence on the part of the driver of his case and
that the accident occurred due to rash and negligent driving of the bus No. TR-
01-1489. The OP No. 3 took further plea that at the time of accident his car
was insured with the OP No. 4 insurer covering all risks and that the car was
having all valid documents and it was driven by driver with valid driving
licence, and accordingly liability for payment of compensation, if any lies
upon the OP No. 4 insurer.
[6] After such exchange of pleadings, my learned predecessor framed
the issues as under:-
(1) Whether the claimant Sri Ramu Nama sustained bodily injury in
a road traffic accident occurred on 19.05.2016 at about 1750 hours
at Parimal Chowmuhani on the National Highway due to rash and
negligent driving of bus bearing registration No. TR-011489 by its
driver.
(II) Whether the claimant petitioner is entitled to get compensation
as prayed for, if so, upto what extent and who will be liable to pay
the same.
[7] The learned court below after dealing with the issues so framed
and after examining the records has passed the impugned order dated
18.03.2025, in the following manner:
OR DER
18. The claim petition of the claimant is allowed for compensation
amount of 3,19,000/- (Rupees Three Lakh Nineteen Thousand) only
with 8% simple interest per annum from the date of filing of claim
petition i.e., from 05.05.2017 till realisation.
19. The OP No. 2 the Oriental Insurance Company Limited is held
liable to pay the compensation as determined above.
20. The O.P. No.2 insurer is directed to pay the said amount of
compensation to the claimant within a period of 30 (thirty) days from
the date of award in terms of Section 168(3) of the Act.
21. The O.P. No. 2 insurer shall give notice of the deposit of the
compensation amount to the claimant and shall also file a
compliance report with this Tribunal within 15 days of the deposit.
22. Since no future loss of income is awarded, it is directed that on
realisation the entire amount shall be paid to the claimant
immediately through his bank account on production of relevant
documents in this respect.
[8] It is contended by the learned counsel for the appellant that the
Ld. Tribunal most illegally and arbitrarily awarded the interest at a rate of 8%,
which is on the higher side and does not reflect current economic conditions.
With the general decline in interest rates on fixed deposits and other financial
instruments, the awarded rate is disproportionately high, resulting in an
excessive financial burden on the appellant. A more reasonable interest rate
should be considered, aligning with prevailing interest rates and the principle
of fair compensation.
[9] It is further contended that the Honorable Supreme Court and
various High Courts have, in recent judgments, consistently awarded lower
interest rates, typically around 6% to 7%, for compensation in motor accident
claims. The Ld. Tribunal's decision to impose 8% interest disregards these
judicial trends and sets an unfairly high rate, warranting reconsideration by
this Court.
[10 Heard.
[11] In view of the above discussions and upon consideration of the
submissions made, this Court finds substance in the contention of the learned
counsel for the appellant with regard to the rate of interest awarded by the
learned Tribunal. Having regard to the prevailing economic conditions and the
recent judicial trends of the Hon'ble Supreme Court and our own High Court,
the interest rate of 8% awarded by the learned Tribunal is found to be on the
higher side.
[12] Accordingly, the impugned judgment and award dated
18.03.2025, passed by the Learned Motor Accident Claims Tribunal, Court
No. 4, West Tripura, Agartala, Tripura, in Case No. T.S. (MAC) 183 of 2018
is modified to the limited extent that the awarded sum shall carry interest at
the rate of 7.5% per annum from the date of filing of the claim petition till
realization. Except for the aforesaid modification, the judgment and award of
the learned Tribunal shall remain unaltered in all other respects.
[13] With the above observation and direction, this present appeal
stands allowed to the extent as indicated above and thus disposed of. As a
sequel, stay, if any, stands vacated. Pending application(s), if any, also stands
closed.
JUDGE
Dipak
DIPAK DAS DIPAK DAS
Date: 2025.08.13
12:11:48 +05'30'
