National Insurance Company Ltd., Ranchi … v. 1
Case Details
IN THE HIGH COURT OF JHARKHAND AT RANCHI Misc. Appeal No.169 of 2008 National Insurance Company Ltd., Ranchi …… Appellant Versus 1. Smt. Somla Devi 2. Dhirendra Prasad Sahu …… Respondents with Cross Objection No.17 of 2009
Legal Reasoning
Smt. Somla Devi ...... Appellant Versus 1. National Insurance Co. Ltd., Ranchi 2. Dhirendra Prasad Sahu --------- CORAM: HON’BLE MR. JUSTICE D.N. UPADHYAY --------- For the Insurance Company : Mr. D.C. Ghosh, Advocate For the Claimant : Mr. Ashutosh Anand, Advocate ------------ ...... Respondents 11/ 29.10.2013 Misc. Appeal No.169 of 2008 has been preferred by National Insurance Company Ltd. whereas the Cross Objection No.17 of 2009 has been preferred by claimant Smt. Somla Devi against the judgment and award dated 21st April, 2008, passed by the Motor Vehicle Accident Claim Tribunal, Ranchi in connection with Compensation Case No.252 of 2004 whereby and whereunder the learned Tribunal, under Section 166 of the M.V. Act, has directed the appellant-insurance company to pay a sum of Rs.1,91,700/- with an interest @ 7% per annum to be calculated from the date of admission of the application i.e. 23.02.2007 till the realisation of the amount after deducting Rs.50,000/- which has already been paid by way of interim compensation under Section 140 of the M.V. Act. The awarded amount shall be paid within 60 days from the date of said order failing which the appellant-insurance company shall have to pay interest @ 9% per annum after the expiry of said 60 days. 2. Claimant Smt. Somla Devi has filed cross objection No.17 of 2009 with a prayer to enhance the compensation amount because the learned Tribunal has wrongly assessed the annual income of the deceased. Even if the notional income of Rs.15,000/- is taken for calculation, the compensation amount would be about Rs.2,25,000/-. 3. On behalf of appellant-insurance company it is contended that the deceased was travelling on the roof of the bus and it was a case of overloading. The insured has violated the condition of insurance policy and therefore, the appellant-insurance company should not have been held liable to pay the compensation to the claimant. If, for the benefit of the claimant, the insurance company is directed to satisfy the claim amount, in that situation the 2. tribunal should have given the recovery right to the appellant so that the amount of compensation may be recovered from the owner of the vehicle. 4. The insurance company, who is respondent in the cross objection, has submitted that the income of the deceased was decided on the evidence adduced by the claimant and no document was produced. Furthermore, the deceased was hardly aged 18 years and therefore, it could be presumed that he was an unemployed youth. 5. Learned counsel appearing for the claimant-respondent has submitted that the Tribunal has rightly directed the insurance company to pay the compensation amount. It is not disputed that the deceased died due to plying of the vehicle on the road and he had valid permission from the conductor to travel in the offending bus. The case of the claimant-respondent is squarely covered by the Full Bench judgment of this Hon'ble Court reported in 2005(2) J.C.R. 523 (Jhr.) (FB). The same issue was involved in that case and the Full Bench of this Hon'ble Court has discussed all the issues relying on the judgment decided by Hon'ble Apex Court. 6. Claimant Smt. Somla Devi in her cross objection has submitted that even if notional income i.e. Rs.15,000/- is taken and assuming that no document with regard to income of the deceased was furnished, the compensation amount to the extent of Rs.2,25,000/- should have been awarded. 7. I have gone through the impugned judgment, memo of appeal and the contention made in the cross objection and I have also gone through the judgment cited above. Since the issue involved in the present appeal has already been decided by the Hon'ble Full Bench of this Hon'ble Court, I find that the facts involved stand squarely covered by the judgment reported in 2005(2) J.C.R. 523 (Jhr.) (FB), no independent opinion of this Court is required to be given. 8. So far the issue involved in the cross objection with regard to enhancement of the compensation amount is concerned, I feel that learned Tribunal should have considered the notional income i.e. Rs.15,000/- per annum for the purpose of computing the compensation amount. Since the appellant in the cross objection has agreed to receive the total sum of Rs.2,25,000/- as compensation in lieu of the death of the deceased which occurred in the road accident, I do not feel inclined to discuss the evidence and other points in this regard. 3. 9. Considering all these aspects, as indicated above, the impugned judgment and award is modified to the extent that the claimant Smt. Somla Devi shall be entitled to receive total sum of Rs.2,25,000/- as compensation with interest @ 7% per annum which is to be calculated from the date of admission of the application i.e. from 23.02.2007. It is made clear that interim compensation to the extent of Rs.50,000/- has already been paid, the balance sum of compensation amount i.e. Rs.1,75,000/- with interest @ 7% per annum from 23.02.2007 till the realisation of the amount shall be the compensation to be paid to the claimant. The appellant in M.A. No.169 of 2008 i.e. National Insurance Company Ltd. is directed to deposit total compensation amount, as indicated above, by way of cheque drawn in favour of the claimant Smt. Somla Devi and the cheque shall be deposited on or before 20th November, 2013 before the Secretary, High Court Legal Services Committee so that the compensation amount shall be paid to the claimant on the date of Lok Adalat to be held on 23rd November, 2013. 10. With this modification in the impugned judgment and award, M.A. No.169 of 2008 stands dismissed whereas C.O. No.17 of 2009 stands allowed to the above extent. 11. The statutory amount to the tune of Rs.25,000/- which has been deposited by the appellant-insurance company in M.A. 169 of 2009 is permitted to be withdrawn. NKC (D. N. Upadhyay, J.)