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[Cites 11, Cited by 0]

Delhi District Court

Sunita Devi And Anr vs Ankit And Ors on 28 November, 2025

       IN THE COURT OF SH. ABHILASH MALHOTRA
     PRESIDING OFFICER: MOTOR ACCIDENT CLAIMS
    TRIBUNAL-02 ,PATIALA HOUSE COURTS, NEW DELHI


                                In the matter of:
                         SUNITA DEVI Vs. ANKIT & ORS.
                                MACT 16-2019


1.   Sunita Devi (Mother)
W/o Sh. Ashok Mehto,

2.    Ashok Mehto (Father)
S/o Late Sh. Jai Nath Mehto

Both R/o Village-Kushmari, PS: Riga,
Distt. Sitamarhi, Bihar
                                                    .... Petitioners

                                        Versus

1.    Ankit
S/o Sh. Rambir
R/o Village- Ramgarh, Sec-65,
PS: Bahshapur, Gurugram, Haryana
                                                  .... Driver

2.    Rambir
S/o Sh. Surja
R/o Village- Ramgarh, Sec-65,
PS: Bahshapur, Gurugram, Haryana
                                                  .... Owner

3.    National Insurance Company Ltd.
Office At: Div. No. 10, Flat No. 101-106, N-1,
BMC House, Connaught place,



MACT 53/18                                         Page. 1 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
 New Delhi-110001
                                                                   ....Insurance Company/
                                                                     Respondent no. 3

Date of accident                                                                 12.07.2017
Date of filing Claim Petition                                                    18.01.2018
Date of framing of issues                                                        23.03.2019
Date of concluding arguments                                                     17.11.2025
Date of decision                                                                 28.11.2025

                                         AWARD/JUDGMENT



Index to the Judgment
I.      BRIEF FACTS/CASE OF THE CLAIMANT(s).........................................4
II. FRAMING OF ISSUES................................................................................5
III. EVIDENCE LED BY THE PARTIES..........................................................6
IV. ARGUMENTS OF COUNSELS OF THE PARTIES..................................7
V. ISSUE WISE ANALYSIS & FINDINGS THERETO..................................9
     (a)          Issue No.1: Whether Master Suraj Mehto expired on account of
     injuries sustained in the accident which occurred on account of rash and
     negligent driving by the respondent driver?....................................................9
           i.         The evidence on record qua negligence:........................................9
           ii.        Preponderance of probabilities:....................................................10
           iii.       Finding:........................................................................................ 12
     (b)          Issue No.2: Whether claimant is entitled to compensation, and to what
     amount?......................................................................................................... 12
           i.         Principles qua assessment of compensation:................................12
           ii.        Monthly Income of the deceased:................................................15
           iii.       Future prospects:..........................................................................16



MACT 53/18                                                                                  Page. 2 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
           iv.          Personal expenses of the deceased:..............................................17
          v.           Monthly & Annual Loss of dependency:.....................................19
          vi.          Total Loss of Dependency:...........................................................19
          vii.         Other Heads:.................................................................................19
          viii.        Medical Expenses:........................................................................21
          ix.          Compensation for Loss of Consortium:.......................................21
          x.           Compensation for Loss of Estate:................................................23
          xi.          Compensation towards Funeral Expenses:...................................23
          xii.         Total Compensation:.....................................................................23
    (c)          Issue No.3: Relief................................................................................ 24
          i.           Amount of Award:........................................................................24
          ii.          Rate of Interest:............................................................................24
VI. DEPOSIT OF AWARD& RELEASE/APPORTIONMENT.......................25
          i.           Deposit of Award:.........................................................................25
          ii.          Disbursement of the award amount & protection thereof:...........28
VII......................................................................................................LIABILITY
      30
VIII.....SUMMARY OF COMPUTATION OF AWARD AMOUNT IN CASES
OF DEATH.........................................................................................................33
IX. COMPLIANCE QUA PROVISIONS OF THE SCHEME.........................36




MACT 53/18                                                                                Page. 3 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
 I.         BRIEF FACTS/CASE OF THE CLAIMANT(s)

     1. The facts as asseverated by the claimant are hereby succinctly
         recapitulated: A road accident occurred on 12.07.2017 at about
         4:30 PM, when the deceased Master Suraj Mehto was going
         towards the general store from his jhuggi situated near M3M
         company Sector 66, Gurugram. The offending vehicle bearing
         no. HR26CM7289 was driven in rash manner by respondent
         no.1 (R-1) Sh.Ankit, was owned by respondent no. 2 (R-2) Sh.
         Ramvir and was insured by respondent no. 3 (R-3) National
         Insurance Company Ltd.. The accident resulted in the untimely
         demise of child Master Suraj Mehto s/o Petitioner nos. 1 and 2.
     2. The present case was registered pursuant to the claim petition
         filed by the parents of deceased Master Suraj Mehto. No DAR
         was filed in this case as the accident had occurred outside
         Delhi. On 23.12.2019, my Ld Predecessor framed the issues.
         Petitioner/Ms. Sunita Devi examined herself as PW-1, Mr.
         Umesh Kumar as PW2. R-1 Mr. Ankit was examined as R1-
         W1. The insurance company did not led any evidence.
     3. Investigation: The FIR bearing no. 0452/2017 under Section
         279/337/304A IPC and 181 MV Act. was lodged at PS
         Badshahpur, Gurugram on the complaint made by Mr. Jayanth
         Mehto. After investigation the police had filed the charge sheet
         under the aforesaid sections against the driver of the vehicle
         Mr. Ankit. In the charge sheet, it is recorded that the the
         offender was identified through CCTV footage.


MACT 53/18                                             Page. 4 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
       4. During investigation, site plan of the place of occurrence was
         prepared, medical documents were collected and offending
         vehicle was seized. The driver (R-1) Sh. Ankit was arrested and
         thereafter released on bail. On completion of investigation,
         chargesheet under sections 279/337/304 A IPC and 181 MV
         Act was filed qua the driver.
      5. During proceedings before this Tribunal, written statements
         were filed on behalf of claimant, respondent no. 1 (driver) &
         respondent no. 2 (owner) as well as respondent no. 3 Insurance
         company.

II.      FRAMING OF ISSUES

      6. Vide order dated 23.03.2019, following issues were framed
         by this Tribunal:-

               "1. Whether the deceased Master Suraj Mehto
               sustained fatal injuries in the accident which
               occurred on 12.07.2017 at about 04:30 PM, Near
               Village Ramgarh, M3M Company, Sector-66, PS
               Badshahpur, Gurugram, Haryana caused by rash
               and negligent driving of vehicle No.
               HR-26CM-7239 being driven by respondent no.
               1, owned by respondent no.2 and insured by
               respondent no.3? OPP.

               2. Whether the petitioner is entitled for
               compensation? If so, to what amount and from
               whom? OPP

               3. Relief."



MACT 53/18                                             Page. 5 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
     7. Recording of evidence:15.12.2022 was a watershed moment
         as far as recording of evidence is concerned, as on that date,
         judgment titled Gohar Mohammed v Uttar Pradesh State Road
         Transport Corporation & Ors. (2023) 4 SCC 381 was
         pronounced, which mandated inter alia that the Claims
         Tribunal was duty bound to record the evidence through a
         Local Commissioner. Ergo, vide order dated 19.01.2023, a
         Local Commissioner was appointed for recording of evidence,
         report whereof was submitted on 24.10.2024.

III.     EVIDENCE LED BY THE PARTIES

    8. In the proceedings conducted before the Tribunal, only two
         witnesses were examined, succinct testimony whereof is as
         follows:
    9. PW1 Ms. Sunita Devi is mother is deceased Master Suraj
         Mehto. She tendered her evidence by way of affidavit as Ex.
         PW1/A. She relied upon following documents:
         (a) copy of school indentity card of Master Suraj Ex. PW1/1;
         (b) copy of Aadhar Card of P1 Ex. PW1/2;
         (c) certified copy of the criminal case Ex. PW1/4;
    10. In her testimony, PW1 Ms. Sunita Devi stated that her son
         Master Suraj Mehto was six years old and died in a car accident
         due to rash driving by respondent no. 1 i.e., driver of vehicle
         no. HR26CM7239. However, in her cross examination she is
         admitted that she is not the eye witness of the accident.



MACT 53/18                                              Page. 6 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
     11.PW2 Mr. Umesh Kumar tendered his affidavit in chief which
         is Ex. PW2/A. In his evidence, he stated that Master Suraj
         Mehto died in a car accident due to rash driving and high speed
         by respondent no. 1 i.e., driver of vehicle no. HR26CM7239. In
         his cross examination, he stated that he has informed the
         registration number of the offending vehicle to the police on
         the day of accident.
    12.Respondent no. 1 Mr. Ankit examined himself as R1W1. He
         tendered his affidavit in chief which is Ex. R1W1/A. He staed
         that the accident did not occurred from his vehicle bearing no.
         HR26CM7239. He stated that he only helped the petitioner and
         took injured to the hospital and his vehicle is falsely implicated
         in this case.
    13.Respondent no. 3 Insurance Company did not led any
         evidence.
    14.Financial statement of the claimant was recorded on
         09.05.2024.

IV.      ARGUMENTS OF COUNSELS OF THE PARTIES

    15.Ld. Counsel for the claimant submitted that they have filed the
         copy of FIR and chargesheet. He submits that the said record
         clearly shows that the offending vehicle bearing no.
         HR26CM7239 was seized during the investigation and later on
         released on Superdari. He submits that the chargesheet in that
         case was already filed against the driver R1 Mr. Ankit u/s



MACT 53/18                                               Page. 7 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
          279/337/304-A IPC and 181 MV Act which clearly establishes
         the rash driving on part of the offending vehicle.
    16. It is submitted that PW2 Mr. Umesh Kumar, who is the eye
         witness, in his testimony categorically stated that the accident
         occurred due to rash and fast driving of the respondent no. 1.
    17. It is submitted that the death has been caused due to rash and
         negligent driving of the driver of the offending vehicle. He
         submitted that the vehicle was insured on the date of accident
         and the insurance company is liable to pay the compensation.
    18. It is submitted that the deceased was a child aged six years and
         as per the judgment passed by the Hon'ble High Court of Delhi
         in the case titled as Royal Sundaram General Insurance Co.
         Ltd. vs. Zeenat Khan and Ors. bearing MAC. APP 242/2024
         pronounced on 30.09.2024, the minimum wages prevalent at
         the time of death needs to be considered to calculate the income
         of the child and the multiplier of 15 is applicable.
    19.He submits that the driver/respondent no 1 and 2 submitted that
         R-1 only helped in taking victim to hospital and has been
         wrongly framed in the matter.
    20.Ld. counsel for Respondent no. 3 submitted that R1/diver was
         minor and was not having any license on the day of accident.
         This fact is admitted by R1W1 Mr. Ankit in his cross
         examination. It is submitted that there is willful breach on the
         part of insured/owner and the insurance company cannot be
         held liable.



MACT 53/18                                               Page. 8 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
 V.       ISSUE WISE ANALYSIS & FINDINGS THERETO

(a)      Issue No.1: Whether Master Suraj Mehto expired on
         account of injuries sustained in the accident which occurred
         on account of rash and negligent driving by the respondent
         driver?
i.       The evidence on record qua negligence:

      21. In order to appreciate the issue regarding negligence, it will be
         prudant to refer to a recent decision dated 25.02.2025, passed
         in Ranjeet & Anr v Abdul Nayem Keb & Anr in SLP©
         10351/2019, it was held in trenchant terms as thus:
                  "It is settled in law that once a charge sheet has been
                  filed and the driver has been held negligent, no
                  further evidence is required to prove that the bus
                  was being negligently driven by the bus driver. Even
                  if the eyewitnesses are not examined, that will not
                  be fatal to prove the death of the deceased due
                  to negligence of the bus driver."

      22.Claimant has placed on record the certified copy of chargesheet
         in FIR no. 0452/2017, PS Badshahpur, Gurugram. Record
         shows that the chargesheet u/s 279/337/304-A IPC and 181 MV
         Act was filed in the present case against the driver Mr. Ankit.
         The charge sheet records that the accused driver was identified
         on the basis of CCTV footage. PW2 Mr. Umesh Kumar who is
         eye witness and also the prosecution witness in the charge sheet
         deposed that the accident occurred due to rash and fast driving
         of vehicle no. HR26CM7239 by R1 Mr. Ankit.
      23.Claimant/PW-1 has filed on record the record of the criminal
         court where the chargesheet was filed. The chargesheet



MACT 53/18                                                        Page. 9 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
             contains the postmortem report of deceased Master Suraj
            Mehto which records the cause of death is shock and
            haemorrhage following ante mortem blunt force impact,
            consistent with the manner as alleged.
      24.Though, R1 Mr. Ankit in his testimony and written statement
            stated that he was wrongly implicated in this matter but he
            failed to lead any positive evidence in that regard and has failed
            to rebut the findings given in the chargesheet against him.
      25.




      26.The charge sheet, evidence of the eye witness as well as
            medical record proves the place of occurrence and it is
            established that the deceased died in road accident due to rash
            driving of vehicle number HR26CM7239 driven by R1 Mr.
            Ankit.
      27.The insurance company has admitted the fact that the offending
            vehicle was insured on the date of accident.

ii.         Preponderance of probabilities:

      28.It is trite law that in a proceeding before the Claims Tribunal,
            the claimant does not have to establish negligence on the part
            of the driver respondent beyond reasonable doubt. The
            standards of establishing negligence is predicated on
            preponderance of probabilities. In the present case too,
            negligence has been established on this principle.




MACT 53/18                                                  Page. 10 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
     29.In this context, it would be useful to peruse Mathew Alexander
         v. Mohd. Shafi, (2023) 13 SCC 510 wherein it was observed as
         thus:
                      "In this context, we could refer to the judgments of
                      this Court in N.K.V. Bros. (P) Ltd. v. M. Karumai
                      Ammal [N.K.V. Bros. (P) Ltd. v. M. Karumai
                      Ammal, (1980) 3 SCC 457 : 1980 SCC (Cri) 774] ,
                      wherein the plea that the criminal case had ended in
                      acquittal and that, therefore, the civil suit must
                      follow suit, was rejected. It was observed that
                      culpable rashness under Section 304-AIPC is more
                      drastic than negligence under the law of torts to
                      create       liability.      Similarly,     in Bimla
                      Devi v. Himachal RTC [Bimla Devi v. Himachal
                      RTC, (2009) 13 SCC 530 : (2009) 5 SCC (Civ)
                      189 : (2010) 1 SCC (Cri) 1101] ("Bimla Devi"), it
                      was observed that in a claim petition filed under
                      Section 166 of the Motor Vehicles Act, 1988, the
                      Tribunal has to determine the amount of fair
                      compensation to be granted in the event an accident
                      has taken place by reason of negligence of a driver
                      of a motor vehicle. A holistic view of the evidence
                      has to be taken into consideration by the Tribunal
                      and strict proof of an accident caused by a
                      particular vehicle in a particular manner need not be
                      established by the claimants. The claimants have to
                      establish their case on the touchstone of
                      preponderance of probabilities. The standard of
                      proof beyond reasonable doubt cannot be applied
                      while considering the petition seeking
                      compensation on account of death or injury in a
                      road traffic accident. To the same effect is the
                      observation made by this Court in Dulcina
                      Fernandes v. Joaquim Xavier Cruz [Dulcina
                      Fernandes v. Joaquim Xavier Cruz, (2013) 10 SCC
                      646 : (2014) 1 SCC (Civ) 73 : (2014) 1 SCC (Cri)
                      13] which has referred to the aforesaid judgment
                      in Bimla Devi [Bimla Devi v. Himachal RTC
                      (2009) 13 SCC 530."




MACT 53/18                                                        Page. 11 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
 iii.      Finding:

       30.In view of foregoing discussion, it stands proved on the
          touchstone of preponderance of probabilities that the aforesaid
          accident took place due to rash and negligent driving of the
          transgressing/offending vehicle bearing registration no.
          HR26CM7239 and the said vehicle at that time was driven by
          respondent no. 1, owned by respondent no. 2 and insured by
          respondent no.3. Hence, issue no. 1 is decided in favour of the
          claimant and against the respondents.

(b)       Issue No.2: Whether claimant is entitled to compensation, and
to what amount?

i.        Principles qua assessment of compensation:

       31.Before adverting to the submissions of the counsels in this
          regard, it would be apposite to refer to the law of the land qua
          this aspect. The law has been enunciated by Hon'ble Supreme
          Court in Sarla Verma & Ors. v. Delhi Transport Corporation &
          Ors. (2003) 6SCC 121 and National Insurance Company
          Limited v. Pranay Sethi & Ors.(2017) 16 SCC 680.
       32.An essential ingredient of the award is the loss of dependency.
          To calculate the same, it would be of utmost significance to
          peruse the following seminal directions issued in Sarla Verma
          (supra):
                "18.Basically only three facts need to be established by the
                claimants for assessing compensation in the case of death:
                (a)age of the deceased;



MACT 53/18                                                     Page. 12 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                 (b) income of the deceased; and
                (c) the number of dependants
                The issues to be determined by the Tribunal to arrive at the
                loss of dependency are:
                (i) additions/deductions to be made for arriving at the
                income;
                (ii) the deduction to be made towards the personal living
                expenses of the deceased; and
                (iii) the multiplier to be applied with reference to the age of
                the deceased.
                If these determinants are standardised, there will be
                uniformity and consistency in the decisions. There will be
                lesser need for detailed evidence. It will also be easier for the
                insurance companies to settle accident claims without delay
                19.To have uniformity and consistency, the Tribunals should
                determine compensation in cases of death, by the following
                well-settled steps:
                Step 1 (Ascertaining the multiplicand)
                The income of the deceased per annum should be
                determined. Out of the said income a deduction should be
                made in regard to the amount which the deceased would have
                spent on himself by way of personal and living expenses. The
                balance, which is considered to be the contribution to the
                dependant family, constitutes the multiplicand.
                Step 2 (Ascertaining the multiplier)
                Having regard to the age of the deceased and period of active
                career, the appropriate multiplier should be selected. This
                does not mean ascertaining the number of years he would
                have lived or worked but for the accident. Having regard to
                several imponderables in life and economic factors, a table of
                multipliers with reference to the age has been identified by
                this Court. The multiplier should be chosen from the said
                table with reference to the age of the deceased.
                Step 3 (Actual calculation)
                The annual contribution to the family (multiplicand) when
                multiplied by such multiplier gives the "loss of dependency"
                to the family."


    33.To ascertain the 'multiplier' mentioned in Step 2 above, it was
         further laid down in Sarla Verma (supra) as thus:


MACT 53/18                                                         Page. 13 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                   "42 We therefore hold that the multiplier to be used
                  should be as mentioned in Column (4) of the table
                  above (prepared by applying Susamma Thomas,
                  Trilok Chandra and Charlie) which starts with an
                  operative multiplier of 18 (for the age groups of 15
                  to 20 and 21 to 25 years,) reduced by one unit for
                  every years that is M-17 for 26 to 30 years, M-16 for
                  31 to 35 years , M-15 for 36 to 40 years, M-14 for 41
                  to 45 years, and M -13 for 46 to 50 years, then
                  reduced by two units for every five years, that is,
                  M-11 for 51-55 years, M-9 for 56 to 60 years ,M-7
                  for 61 to 65 years and M- 5 for 66 to 70 years."


    34. The Hon'ble High Court of Delhi in Royal Sundaram
         General Insurance Co. Ltd Vs Zeenat Khan And
         Others, MAC.APP. 242/2024, CM APPL. 26702/2024
         (stay), Date of decision: 30th September, 2024, Neutral
         Citation 2024:DHC:7728
         "15. Thus, it is now settled that when it comes to a child, since their
         actual or potential income cannot be precisely determined, the
         minimum wages applicable on the date of the accident provides a
         reasonable basis for estimating the child's income.

         16. In light of the aforementioned rulings by the Supreme Court and
         this Court, the most reasonable approach to assess loss of
         dependency, even for a minor, would be to refer to the minimum
         wages established by the State Government in the location where
         the minor lived at the time of the accident.

         17. As the notional income is being determined on basis of the
         minimum wages, future prospects would also be calculated on the
         basis of this income at the rate of 40% by applying the principle laid
         in National Insurance Company Limited v. Pranay Sethi And
         Others, (2017) 16 SCC 680.

         4. Evidently, the Judgment is silent on the multiplier to be used for
         the victims under 15 years of age. This incongruity in the matter of
         selection of multiplier in the case of persons belonging to the age




MACT 53/18                                                      Page. 14 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
          group up to 15 years was noted in by the Apex the case of Divya vs.
         National Insurance Company Ltd.,Civil Appeal No. 7605/2022.

         25. The Apex Court made a reference to the observations of the
         Constitutional Bench in the case of Sarla Varma (Supra) which was
         followed in the case of Reshma Kumari & Ors. vs. Madan Mohan &
         Ors., (2013) 9 SCC 65, to observe that in cases where the
         deceased is upto 15 years, irrespective of Section 166 or 163(a)
         under which the claim for compensation has been made, the
         multiplier of 15 and the assessment as indicated in second
         Schedule subject to correction as pointed out in the Table given in
         the Sarla Varma (Supra), should be followed.

         26. The Apex Court further observed that it was high time to move
         to a standard method of selection of multiplier income for future
         prospects and deductions for personal and living expenses. The
         Table given in Sarla Varma was approved for the selection of
         multiplier in Claim Applications under Section 166 of the M.V. Act,
         in cases of death. The multiplier of 15 was recommended in the
         cases of death of a child upto 15 years.

         27. Thus, in light of the above, it is observed that in the impugned
         Judgment, the multiplier has been taken as 18, which should
         actually have been 15."



      35. Further, in terms of the mandate of Rajesh Tyagi v Jaibir Singh

         FAO 842/2003, which is the cause célèbre qua cases pertaining
         to motor accident claims, the claimant filed Form XIII of the
         Scheme for Motor Accident Claims qua compensation under
         various heads which have been elucidated in the paragraphs
         hereafter..

ii.      Monthly Income of the deceased:

      36.It is the case of the claimant that the deceased was a minor child
         and as per the mandate given by the Hon'ble High Court of



MACT 53/18                                                 Page. 15 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
           Delhi in the case of Zeenat Khan (Supra) the minimum wages
          applicable on the date of accident provides a reasonable basis
          for estimating the child's income. As per office order bearing
          number IR-2/7083-7193 dated 02.03.2017 the minimum wages
          for unskilled category prevalent on the date of accident in
          Haryana was Rs.8240/-. Thus, the monthly income of the
          deceased is quantified as Rs.8240/-p.m.

iii.      Future prospects:

       37.To factor into account future prospects, several guidelines have
          been laid down.
       38.In this context, it would be apt to refer to National Insurance
          Co Ltd v Pranay Sethi & Ors. (2017) 16 SCC 680 wherein it
          was laid down as thus:
                  "59. In view of the aforesaid analysis, we proceed to
                  record our conclusions:
                  59.3 While determining the income, an addition of
                  50% of actual salary to the income of the deceased
                  towards future prospects, where the deceased had a
                  permanent job and was below the age of 40 years,
                  should be made. The addition should be 30%, if the
                  age of the deceased was between 40 to 50 years. In
                  case the deceased was between the age of 50 to 60
                  years, the addition should be 15%. Actual salary
                  should be read as actual salary less tax.
                  59.4 In case the deceased was self-employed or on a
                  fixed salary, an addition of 40% of the established
                  income should be the warrant where the deceased
                  was below the age of 40 years. An addition of 25%
                  where the deceased was between the age of 40 to 50
                  years and 10% where the deceased was between the
                  age of 50 to 60 years should be regarded as the
                  necessary method of computation. The established
                  income means the income minus the tax component.


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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                   59.5 For determination of the multiplicand, the
                  deduction for personal and living expenses, the
                  tribunals and the courts shall be guided by paras 30 to
                  32 of Sarla Verma [Sarla Verma v. DTC, (2009) 6
                  SCC 121 : (2009) 2 SCC (Civ) 770 : (2009) 2 SCC
                  (Cri) 1002] which we have reproduced hereinbefore.
                  59.6 The selection of multiplier shall be as indicated
                  in the Table in Sarla Verma [Sarla Verma v. DTC,
                  (2009) 6 SCC 121 read with para 42 of that judgment
                  59.7 The age of the deceased should be the basis for
                  applying the multiplier.
                  59.8 Reasonable figures on conventional heads,
                  namely, loss of estate, loss of consortium and funeral
                  expenses should be Rs 15,000, Rs 40,000 and Rs
                  15,000 respectively. The aforesaid amounts should be
                  enhanced at the rate of 10% in every three years."

      39.PW1 in her testimony has deposed that child Master Suraj
         Mehto was six years old and has filed on record his school
         identify card showing that the child was styudying in nursery
         class. Hence the age of the deceased is proved to be six years
         on the day of accident.

      40. As the child was six years old, therefore the percentage of
         future prospects in terms of the above judgment is hereby
         determined as 40% i.e., Rs. 3,558/-. Therefore, the income of
         the deceased after adding future prospects is (Rs.8,897 +
         Rs.3,558 = Rs.12,445/-)

iv.      Personal expenses of the deceased:

      41.Expenses incurred by the deceased in himself are deducted
         while calculating the loss of dependency. To calculate the
         personal expenses, recourse can be had to the following



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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
          instructions of Sarla Verma (supra) which were approved by
         the Constitutional Bench in Pranay Sethi(supra):
                "30.Though in some cases the deduction to be made towards
                personal and living expenses is calculated on the basis of units
                indicated in Trilok Chandra [(1996) 4 SCC 362] , the general
                practice is to apply standardised deductions. Having
                considered several subsequent decisions of this Court, we are
                of the view that where the deceased was married, the
                deduction towards personal and living expenses of the
                deceased, should be one-third (1/3rd) where the number of
                dependent family members is 2 to 3, one-fourth (1/4th) where
                the number of dependent family members is 4 to 6, and one-
                fifth (1/5th) where the number of dependent family members
                exceeds six.

                31.Where the deceased was a bachelor and the claimants are
                the parents, the deduction follows a different principle. In
                regard to bachelors, normally, 50% is deducted as personal
                and living expenses, because it is assumed that a bachelor
                would tend to spend more on himself. Even otherwise, there is
                also the possibility of his getting married in a short time, in
                which event the contribution to the parent(s) and siblings is
                likely to be cut drastically. Further, subject to evidence to the
                contrary, the father is likely to have his own income and will
                not be considered as a dependant and the mother alone will be
                considered as a dependant. In the absence of evidence to the
                contrary, brothers and sisters will not be considered as
                dependants, because they will either be independent and
                earning, or married, or be dependent on the father.
                32.Thus even if the deceased is survived by parents and
                siblings, only the mother would be considered to be a
                dependant, and 50% would be treated as the personal and
                living expenses of the bachelor and 50% as the contribution to
                the family. However, where the family of the bachelor is large
                and dependent on the income of the deceased, as in a case
                where he has a widowed mother and large number of younger
                non-earning sisters or brothers, his personal and living
                expenses may be restricted to one-third and contribution to the
                family will be taken as two-third."




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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
       42. As per the Hon'ble High Court of Delhi in the case of Zeenat
         Khan (Supra) also considered 50 per cent deduction towards
         the personal living expenses.
      43.As per the evidence brought on record, the deceased was
         survived by his father and mother and two sisters. Considering
         the aforesaid the deduction towards his personal expenses are
         hereby taken as 50 per cent . Thus, the net deduction in the
         present case is Rs. 5,796/- of total calculated income i.e
         Rs.11,592/-. Hence , the deceased would have been
         contributing Rs. 5,796/- per month towards the claimants. The
         multiplicand i.e contribution to the dependent family would
         thus be Rs Rs. 5,796/-.

v.       Monthly & Annual Loss of dependency:

      44.The monthly loss of dependency would be Rs.5796/-. The
         annual loss of dependency Rs.5796 X 12 = Rs.69552/-.

vi.      Total Loss of Dependency:

      45. Since the deceased was 6 years, the applicable multiplier in
         terms of the verdict of Sarla Verma(supra) and Zeenat Khan
         (Supra) is 15. The total loss of dependency is thus
         Rs.10,43,280/- (Rs.69,552 X 15 )

vii.     Other Heads:

      46.In Sarla Verma (supra) it was also laid down that after
         calculating the 'Loss of Dependency', certain amounts were to



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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
          be added under conventional heads such as loss of estate, loss
         of consortium etc. The relevant paragraphs of the judgment are
         extracted hereunder:
                "Thereafter, a conventional amount in the range of Rs 5000
                to Rs 10,000 may be added as loss of estate. Where the
                deceased is survived by his widow, another conventional
                amount in the range of 5000 to 10,000 should be added under
                the head of loss of consortium. But no amount is to be
                awarded under the head of pain, suffering or hardship caused
                to the legal heirs of the deceased.
                The funeral expenses, cost of transportation of the body (if
                incurred) and cost of any medical treatment of the deceased
                before death (if incurred) should also be added."

    47.The amount qua the above heads were further quantified in
         Pranay Sethi(supra), which clarified as thus:

                "52. As far as the conventional heads are concerned, we find it
                difficult to agree with the view expressed
                in Rajesh [Rajesh v. Rajbir Singh, (2013) 9 SCC 54 : (2013)
                4 SCC (Civ) 179 : (2013) 3 SCC (Cri) 817 : (2014) 1 SCC
                (L&S) 149] . It has granted Rs 25,000 towards funeral
                expenses, Rs 1,00,000 towards loss of consortium and Rs
                1,00,000 towards loss of care and guidance for minor
                children. The head relating to loss of care and minor children
                does not exist. Though Rajesh [Rajesh v. Rajbir Singh,
                (2013) 9 SCC 54 : (2013) 4 SCC (Civ) 179 : (2013) 3 SCC
                (Cri) 817 : (2014) 1 SCC (L&S) 149] refers to Santosh
                Devi [Santosh Devi v. National Insurance Co. Ltd., (2012) 6
                SCC 421 : (2012) 3 SCC (Civ) 726 : (2012) 3 SCC (Cri) 160 :
                (2012) 2 SCC (L&S) 167] , it does not seem to follow the
                same. The conventional and traditional heads, needless to say,
                cannot be determined on percentage basis because that would
                not be an acceptable criterion. Unlike determination of
                income, the said heads have to be quantified. Any
                quantification must have a reasonable foundation. There can
                be no dispute over the fact that price index, fall in bank
                interest, escalation of rates in many a field have to be noticed.
                The court cannot remain oblivious to the same. There has been


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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                 a thumb rule in this aspect. Otherwise, there will be extreme
                difficulty in determination of the same and unless the thumb
                rule is applied, there will be immense variation lacking any
                kind of consistency as a consequence of which, the orders
                passed by the tribunals and courts are likely to be unguided.
                Therefore, we think it seemly to fix reasonable sums. It seems
                to us that reasonable figures on conventional heads, namely,
                loss of estate, loss of consortium and funeral expenses should
                be Rs 15,000, Rs 40,000 and Rs 15,000 respectively. The
                principle of revisiting the said heads is an acceptable
                principle. But the revisit should not be fact-centric or
                quantum-centric. We think that it would be condign that the
                amount that we have quantified should be enhanced on
                percentage basis in every three years and the enhancement
                should be at the rate of 10% in a span of three years. We are
                disposed to hold so because that will bring in consistency in
                respect of those heads."

      48.The above verdict was passed in the year 2017. Almost eight
         years have elapsed, and therefore the above heads would be
         enhanced at the rate of 20%.

viii. Medical Expenses:

      49. After the incident, the injured was taken to hospital and died. No medical
         expenses have been claimed.

ix.      Compensation for Loss of Consortium:

      50.The concept of consortium was expounded in Magnum
         General Insurance Co Ltd v Nanu Ram 2018 18 SCC 130 in the
         following words:
                 "21.A Constitution Bench of this Court in Pranay
                Sethi [National Insurance Co. Ltd. v. Pranay Sethi, (2017) 16
                SCC 680 : (2018) 3 SCC (Civ) 248 : (2018) 2 SCC (Cri) 205]
                dealt with the various heads under which compensation is to be
                awarded in a death case. One of these heads is loss of
                consortium. In legal parlance, "consortium" is a compendious



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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                 term which encompasses "spousal consortium", "parental
                consortium", and "filial consortium". The right to consortium
                would include the company, care, help, comfort, guidance,
                solace and affection of the deceased, which is a loss to his
                family. With respect to a spouse, it would include sexual
                relations with the deceased spouse : [Rajesh v. Rajbir Singh,
                (2013) 9 SCC 54.
                21.1 Spousal consortium is generally defined as rights
                pertaining to the relationship of a husband-wife which allows
                compensation to the surviving spouse for loss of "company,
                society, cooperation, affection, and aid of the other in every
                conjugal relation". [Black's Law Dictionary (5th Edn., 1979).]
                21.2 Parental consortium is granted to the child upon the
                premature death of a parent, for loss of "parental aid,
                protection, affection, society, discipline, guidance and training.
                21.3 Filial consortium is the right of the parents to
                compensation in the case of an accidental death of a child. An
                accident leading to the death of a child causes great shock and
                agony to the parents and family of the deceased. The greatest
                agony for a parent is to lose their child during their lifetime.
                Children are valued for their love, affection, companionship
                and their role in the family unit.

                22 .Consortium is a special prism reflecting changing norms
                about the status and worth of actual relationships. Modern
                jurisdictions world-over have recognised that the value of a
                child's consortium far exceeds the economic value of the
                compensation awarded in the case of the death of a child. Most
                jurisdictions therefore permit parents to be awarded
                compensation under loss of consortium on the death of a child.
                The amount awarded to the parents is a compensation for loss
                of the love, affection, care and companionship of the deceased
                child.
                23. The Motor Vehicles Act is a beneficial legislation aimed at
                providing relief to the victims or their families, in cases of
                genuine claims. In case where a parent has lost their minor
                child, or unmarried son or daughter, the parents are entitled to
                be awarded loss of consortium under the head of filial
                consortium. Parental consortium is awarded to children who
                lose their parents in motor vehicle accidents under the Act. A
                few High Courts have awarded compensation on this count
                [ Rajasthan High Court in Jagmala Ram v. Sohi Ram, 2017
                SCC OnLine Raj 3848 : (2017) 4 RLW 3368; Uttarakhand


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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                 High Court in Rita Rana v. Pradeep Kumar, 2013 SCC
                OnLine Utt 2435 : (2014) 3 UC 1687; Karnataka High Court
                in Lakshman v. Susheela Chand Choudhary, 1996 SCC
                OnLine Kar 74 : (1996) 3 Kant LJ 570] . However, there was
                no clarity with respect to the principles on which compensation
                could be awarded on loss of filial consortium.
                24. The amount of compensation to be awarded as consortium
                will be governed by the principles of awarding compensation
                under "loss of consortium" as laid down in Pranay
                Sethi [National Insurance Co. Ltd. v. Pranay Sethi, (2017) 16
                SCC 680 : (2018) 3 SCC (Civ) 248 : (2018) 2 SCC (Cri) 205] .
                In the present case, we deem it appropriate to award the father
                and the sister of the deceased, an amount of Rs 40,000 each for
                loss of filial consortium."

      51.The deceased is survived by his father and mother. Thus, On
         the basis of the above verdict and mandated in Pranay
         Sethi'(Supra), the compensation for Consortium is hereby
         quantified as Rs 48,400/- X 2 i.e., Rs. 96,800/-.

x.       Compensation for Loss of Estate:

      52.On the basis of the above verdict, the compensation for loss of
         estate is hereby quantified as Rs 18,150/-

xi.      Compensation towards Funeral Expenses:

      53.On the basis of the above verdict, the compensation of funeral
         expenses is hereby quantified as Rs 18,150/-

xii.     Total Compensation:

      54. Thus, the total amount of compensation to be awarded is calculated as
         follows:



        Sr. No.                              Head                   Amount


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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
        1.           Total loss of dependency          Rs. 10,43,280/-
       2.           Medical Expenses                  Nil
       3.           Compensation      for    Loss  of Rs. 96,800/-
                    Consortium
       4.           Compensation for Loss of Estate Rs 18,150/-
       5.           Compensation towards Funeral Rs 18,150/-
                    Expenses
       6.           Total Compensation                Rs. 11,76,380/-


(c)         Issue No.3: Relief.

i.          Amount of Award:

      55.Thus, the claimant is awarded as sum of Rs 11,76,380/- along
            with 9% interest per annum from the date of filing of claim
            petition. The rate of interest has been calculated in terms of the
            succeeding paragraphs.

ii.         Rate of Interest:

      56. It was contended by Ld Counsel for the respondent insurance company
            that the amount of interest ought to at @7.5%, in accordance with the
            general prevalent practice in Courts. However, Ld Counsel for the
            claimant sought 9% as the rate of interest.
      57.In order to adjudicate these rival claims, recourse can be had to
            Erudhaya Priya v State Transport Corporation 2020 SCC
            OnLine SC 601 wherein the aspect of rate of interest was
            categorically enunciated as thus:
                      (c) The third and the last aspect is the
                     interest rate claimed as 12%




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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                      "15.In respect of the aforesaid, the appellant
                     has watered down the interest rate during the
                     course of hearing to 9% in view of the judicial
                     pronouncements including in the Jagdish
                     case (supra). On this aspect, once again, there
                     was no serious dispute raised by the learned
                     counsel for the respondent once the claim was
                     confined to 9% in line with the interest rates
                     applied by this Court"

     58.Ergo, the amount of compensation/award amount will be
         payable by the respondent insurance company with simple
         interest @ 9% p.a from the date of filing of the claim
         petition/DAR till actual realisation. The date of filing of
         petition is 18.01.2018 therefore the amount of Interest is
         calculated at @ 9 % from the date of filing of petition i.e. Rs
         Rs. 8,29,347/- for a period of 94 months. Thus, the total amount
         of award is Rs. 20,05,727/-
     59.It is also clarified that in case the interest of petitioner was
         stopped or excluded during the present inquiry proceedings,
         same is liable to be adjusted from the total interest calculated
         on the Award amount. Similarly, amount awarded and released
         as interim Award, if any, during pendency of the case, be
         deducted from the total compensation.

VI. DEPOSIT OF AWARD& RELEASE/APPORTIONMENT

i.       Deposit of Award:

     60.In terms of the mandate of order dated 08.01.2021 in Rajesh
         Tyagi (supra) the respondent Insurance Company/driver/owner



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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
          shall deposit the award amount or transfer the same by
         RTGS/NEFT/IMPS directly to the bank account of the Motor
         Accident Claims Tribunal in UCO Bank, Patiala House Courts
         within 30 days of the award. The respondent(s) held liable to
         pay compensation by the Claims Tribunal shall give notice of
         deposit of the compensation amount to the claimant(s) and
         shall file a compliance report with the Claims Tribunal with
         respect to the deposit of the compensation amount within 15
         days of the deposit with the interest upto the date of notice of
         deposit to the claimant(s) with a copy to their counsel.
    61.Release: In the present matter, 50% of the award amount be
         released immediately to the legal heirs of the deceased / victim
         as follows:


             Sr. Name             Relations           with Percentage Mode                  of
             No.                  Deceased                 share     of Disbursement
                                                           each legal
                                                           heir

              1. Sh. Ashok                   Father             50%       Through Electronic
                      Mehto                                                 Bank Transfer
              2. Ms. Sunita                  Mother             50%       Through Electronic
                       Devi                                                 Bank Transfer

    62. The remaining 50% of the awarded amount needs to be invested in an
         FDR and be invested and released as follows:-

            Sr. No. Name            Relations         Percentage Amount awarded to the
                                    with              share of each legal heirs of the victim /
                                    Deceased          legal heir deceased



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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                1.     Sh. Ashok        Father   50%     50% share belonging to
                                                         father out of remaining
                        Mehto
                                                          50% of award amount
                                                        be given to the father of
                                                           deceased/victim and
                                                        deposited in 24 monthly
                                                         fixed deposits receipts
                                                        (FDR) of equal amounts
                                                            for a period of 24
                                                           months as per Motor
                                                            Accident Claims
                                                            Annuity Deposits
                                                                Schemes.
               2.         Ms.         Mother    50%     50% share belonging to
                                                        mother out of remaining
                        Sunita
                                                          50% of award amount
                         Devi                            be given to the mother
                                                         of deceased/victim and
                                                        deposited in 24 monthly
                                                         fixed deposits receipts
                                                        (FDR) of equal amounts
                                                            for a period of 24
                                                           months as per Motor
                                                            Accident Claims
                                                            Annuity Deposits
                                                                Schemes.


    63. The Nodal officer of the bank shall ensure disbursement of the award
         within 3 weeks of receipt thereof by email or otherwise.
    64. The disbursement to the claimant is, however, subject to the addition of
         future interest till deposit proportionately and also deduction of
         proportionate tax on the interest amount or amount of interim award, if
         any, to/from his share.




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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
 ii.      Disbursement of the award amount & protection thereof:

      65.The amount of award shall be disbursed through the Motor
         Accident Claims Tribunal Annuity Deposit (MACAD)Scheme
         formulated vide order dated 01.05.2018 passed in Rajesh
         Tyagi(supra). 21 banks, including UCO Bank, is implementing
         the MACAD scheme.
      66.Further, to protect the award amount, the entire amount of
         compensation is not being released forthwith to the claimant,
         and part of the compensation amount has been directed to be
         kept in fixed deposits in a phased manner. Further, the
         following conditions are hereby reiterated and being imposed
         upon the concerned bank with respect to the fixed deposits:
         (a) The bank shall not permit any joint names to be added in the
              savings bank account or MACAD scheme account of
              claimant i.e. the bank account of claimant shall be
              individual account and not a joint account.
         (b) The original fixed deposits shall be retained by the UCO
              Bank, PHC, New Delhi in safe custody. However, the
              statement containing FDR numbers, amounts, dates of
              maturity and maturity amounts shall be furnished by the
              said bank to the claimant and the above amount shall be
              released in account of claimant by the Manager, UCO Bank,
              PHC, ND through RTGS/NEFT/or any other electronic
              mode.




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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
          (c) The monthly interest be credited by Electronic Clearing
              System (ECS) in the saving bank account of the claimant
              near the place of his residence.
         (d) The maturity amount of the FDR(s) on monthly basis net of
              TDS be credited by Electronic Clearing System (ECS) in
              the above account of the claimant.
         (e) No loan, advance or withdrawal or pre-mature discharge be
              allowed on the MACAD without permission of the Court.
         (f) The concerned bank shall not issue any cheque book and/or
              debit card to claimant(s). However, in case the debit card
              and/or cheque book have already been issued, bank shall
              cancel the same before the disbursement of the award
              amount. The bank shall debit card(s) freeze the account of
              the claimant(s) so that no debit card be issued in respect of
              the account of the claimant(s) from any other branch of the
              bank.
         (g) The bank shall make an endorsement on the passbook of the
              claimant(s) to the effect that no cheque book and/or debit
              card have been issued and shall not be issued without the
              permission of the Court and claimant(s) shall produce the
              passbook with the necessary endorsement before the Court
              on the next date fixed for compliance.
         (h) It is clarified that the endorsement made by the bank along
              with the duly signed and stamped by the bank official on




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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
               the passbook(s) of the claimant(s) is sufficient compliance
              of clause above.

VII. LIABILITY

    67. Insurance has taken a defense that there was breach of policy

         conditions as the vehicle was driven by a minor person not
         having a driving licence.
    68. The Hon'ble Hon'ble High Court of Calcutta in National

         Insurance Co. Ltd. v. Abhijit Mazumder, 2023 SCC OnLine
         Cal 4971 held that:
                  "24. Bearing in mind the aforesaid proposition of the
                  Court, let me revert to the materials on record. The
                  insurance company by adducing the evidence of DW
                  1 and through the extract of driving license (Ext. F)
                  could establish the fact the driver of the offending
                  licence vehicle was not holding valid and effective
                  driving license to drive such vehicle. However, mere
                  absence of valid and effective driving license of the
                  driver for driving such vehicle at the relevant time,
                  are not in themselves defences available to the insurer
                  against either the insured or the third parties. To
                  avoid its liability towards the insured, the insurer has
                  to prove that the insured was guilty of negligence and
                  failed to exercise reasonable care in the matter of
                  fulfilling the condition of the policy regarding use of
                  vehicles by duly licensed driver or one who was not
                  disqualified to drive at the relevant time and such
                  burden of proof lies with the insurer to establish
                  "breach" on the part of the owner of the vehicle. At
                  this juncture, it is to be seen as to whether such
                  burden has been discharged by the insurance
                  company. The owner of the vehicle was aware that
                  the vehicle was meant for carrying hazardous
                  substances like inflammable oil. It was incumbent
                  upon the owner of the vehicle to ensure that all safety
                  protocols has been reasonably taken care of including



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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                   the fact that the driver was qualified to drive such
                  vehicle carrying hazardous substances. Allowing a
                  driver to drive such vehicle without having proper
                  licence to drive hazardous substance by itself makes
                  the owner of the vehicle guilty of negligence since he
                  failed to take reasonable care for fulfilling the
                  condition of policy. Since there is breach of condition
                  of the policy of insurance, the principle of pay and
                  recovery applies to the facts and circumstances of this
                  case. The learned Tribunal though observed that the
                  proposition in S. Iyyapan case [S. Iyyapan v. United
                  India Insurance Co. Ltd., (2013) 7 SCC 62] applies in
                  the factual matrix of the case, but no such order of
                  pay and recovery was passed giving liberty to the
                  insurance company to depositrecover the
                  compensation amount from the owner of the
                  offending vehicle. I find substance in the submissions
                  of Mr Paul, learned advocate for appellant Insurance
                  Company relying on S. Iyyapan case that liberty to
                  recover the compensation amount from the owner of
                  the offending vehicle shall be given to the insurer in
                  the facts and circumstances of the present case."


    69. The Hon'ble High Court of Madras in case of Branch Manager,

         SBI General Insurance Company Limited Vs. Muthulakshmi
         and Others, 2025 SCC Online mad 2541 held that:

                  "17. In case, the insurer becomes successful in
                  pleading and proving defences available to it
                  under Section 150 Sub-Section 2, it need not
                  honour its duty under the contract of
                  insurance towards the insured. However, the
                  statutory liability under Section 150(1)
                  towards third party remains unaffected, the
                  natural corollary would be after making
                  payment under Section 150 (1), the insurer is
                  entitled to recover the said amount from the
                  insured by virtue of its successful defence
                  raised under Section 150 (2). The liability of



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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                   insurer under Section 149 (1) [New Section 150
                  (1)] is a statutory liability and on the other
                  hand it is concomitant with liability of insurer
                  towards insured. If we say that the liability of
                  insurer to satisfy award passed against insured
                  is subject to terms and conditions of contract
                  between insurer and insured, over which
                  innocent third party victims have no control,
                  the very object of statutory liability enshrined
                  in Section 147 (1)(b) read with Section 149 (1)
                  [New Section 147 (1)(b) read with Section 150
                  (1)] of Motor Vehicles Act will get defeated. The
                  object of said provision is better served by
                  concept of "pay and recovery" enunciated
                  in Swaran Singh case cited infra. Infact, in
                  Swaran Singh case (in paragraphs 96 and 97),
                  the Apex Court emphasised that the concept of
                  pay and recovery has been holding the field for
                  a long time and the same need not be deviated.
                  The concept of "pay and recovery" will achieve
                  the object of providing hassle free mechanism
                  for poor accident victims to recover the
                  damages awarded to them with certainty and
                  on the other hand it also takes care of insurer's
                  right under contract of insurance by enabling
                  insurer to recover the amount paid by it to
                  third parties, which insurer is not bound to pay
                  to the insured.

                  24. Therefore, if the insured is guilty of
                  negligence or failed to exercise reasonable
                  care in the matters of fulfilling conditions of
                  the policy, the insurer is entitled to avoid its
                  liability towards insured under the contract of
                  insurance. However, its statutory liability
                  under Section 149 (1) [now Section 150 (1)]
                  towards innocent third parties remains
                  unaffected. The insurer by virtue of its




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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                   statutory liability shall pay the amount
                  payable by the insured to the third party
                  victims and recover the said amount from the
                  insured as insurer is entitled to refuse
                  indemnity in view of the breach committed by
                  the insured."

      70. R1W1 Mr. Ankit who was driver of the offending vehicle in his

         cross examination admitted that on the date of the accident he
         was minor and not having any driving license. Accordingly,
         there is breach of terms of policy by insured and therefore the
         insurance company is directed to pay the award amount and
         granted the liberty to recover the same from driver & owner
         jointly or severally.
      71. The petitioners should furnish details of their bank accounts

         pursuant to order dated 18.01.2018 for electronic remittance of
         award amount.

VIII. SUMMARY OF COMPUTATION OF AWARD AMOUNT
         IN CASES OF DEATH

      72. Since this is a case pertaining to death, particulars of Form-XV

         of the Scheme For Motor Accidents Claims Formulated by the
         Delhi High Court in terms of order dated 08.01.2021 in Rajesh
         Tyagi (supra) are as under:

 1.             Date of Accident                       12.07.2017

 2.             Name of the deceased               Master Suraj Mehto

 3.             Age of the deceased                           06


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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
  4.             Occupation of the deceased                       Student

 5.             Income of the deceased                    As per minimum
                                                                  wages

 6.             Name, Age and relationship of legal representatives of
                the deceased:
                S.NO        NAME                  AGE             RELATION
                (i)             Ms. Sunita Devi     29 years            Mother
                (ii)           Sh. Ashok Mehto      30 years       Father (minor)

                      COMPUTATION OF COMPENSATION
     S.No.                          Heads                 Awarded by the
                                                          Claims Tribunal

7.              Income of the deceased (A)                     Rs. 8,897/-

8.              Add: Future Prospects (B)                      Rs.3,558/-

9.              Less: Personal expenses of the                 Rs. 5,796/-
                deceased (C)

10.             Monthly loss of dependency               Rs.8,240 + 3,312)-
                [(A+B)- C = D]                           5,796=Rs.5,796/-

11.             Annual Loss of dependency (D x            Rs.5,796 X 12 =
                12)                                            Rs.69,552/-

12.             Multiplier (E)                                       15

13.             Total loss of dependency (D x 12           Rs.10,43,280/-




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Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
                 x E = F)

14.             Medical Expenses (G)                           Nil

15.             Compensation for loss of                 Rs 96,800/-
                consortium (H)

16.             Compensation for loss of love &      NA- in terms of New
                affection (I)                        India Assurance Co v
                                                      Somwati (2020) 9
                                                          SCC 644
17.             Compensation for loss of estate          Rs 18,150/-
                (J)

18.             Compensation towards funeral             Rs 18,150/-
                expenses (K)

19.             TOTAL COMPENSATION (F +                Rs. 11,76,380/-
                G + H + I + J + K = L)

20.             Rate of Interest Awarded                     @9%

21.             Interest amount up to the date of       Rs.8,29,347/-
                award (M) (94 months)

22.             Total amount including interest (L    Rs. 11,76,380+ Rs.
                + M)                                      8,29,347 =
                                                        Rs.20,05,727/-

23.             Award amount released                         50 %

24.             Award kept in FDRs                            50 %




MACT 53/18                                                Page. 35 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
 25.             Mode of disbursement of the           Through Bank
                award to the claimant(s)

26.             Next date for compliance of the         12.12.2025
                award


Note: The interim award amount of Rs. 50,000/- awarded vide order
dated 23.03.2019 shall be adjusted in case already paid by the
Insurance Company.

IX. COMPLIANCE QUA PROVISIONS OF THE SCHEME

    73. The particulars of Form XVII of the Scheme For Motor

         Accidents Claims Formulated by the Delhi High Court , in
         terms of order dated 08.01.2021 in Rajesh Tyagi (supra) are as
         hereunder:


   1.       Date of the accident                                12.07.2017
   2.       Date of filing of Form I- First         Not filed as accident took place
            Accident Report (FAR)                  out of Delhi and claim petition is
                                                          filed by legal heirs.
    3.      Date of delivery of Form-II to the               Same as above.
            victim(s)
    4.      Date of receipt of Form-III from the             Same as above.
            Driver
    5.      Date of receipt of Form-IV from the              Same as above
            owner
    6.      Date of filing of the Form-V-                    Same as above
            Interim Accident Report (IAR)


MACT 53/18                                              Page. 36 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
     7.      Date of receipt of Form-VIA and                Same as above
            Form VIB from the Victim (s)
    8.      Date of filing of Form-VII-Detailed            Same as above
           Accident Report (DAR)
    9.      Whether there was any delay or                 DAR not filed.
            deficiency on the part of the
            Investigating Officer? If so, whether
            any action/direction warranted?
   10.      Date of appointment of the                          Not given
            Designated Officer by the Insurance
            Company.
   11.      Whether the Designated Officer of                          No
            the Insurance Company submitted
            his report within 30 days of the
            DAR?
   12.      Whether there was any delay or                             No
            deficiencies on the part of the
            Designated Officer of the Insurance
            Company? If so, whether any
            action/direction warranted?
   13.      Date of response of the petitioner(s)   Matter was contested by the
            of the offer of the Insurance              Insurance Company.
            Company.
   14.     Date of the Award                                   28.11.2025
   15.      Whether the petitioner(s) were                             Yes.
            directed to open savings bank
            account(s) near their place of
            residence?
   16.      Date of order by which petitioner(s)               18.01.2018
            were directed to open savings bank
            account(s) near his place of
            residence and produce PAN Card
            and Adhaar Card and the direction to



MACT 53/18                                            Page. 37 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
             the bank not issue any cheque
            book/debit card to the petitioner (s)
            and make an endorsement to this
            effect on the passbook(s).
   17.      Date on which the petitioner(s)                  not furnished.
            produced the passbook of their
            savings bank account near the place
            of their residence along with the
            endorsement, PAN Card and Adhaar
            Card?
   18.      Permanent Residential Address of            As mentioned above
            the petitioner(s)
   19.      Whether the petitioner(s) savings
            bank account(s) is near his place of
            residence?
   20.      Whether the petitioner(s) were                          Yes. -
            examined at the time of passing of
            the award to ascertain his/their
            financial condition?



    74. Further, in terms of the directions given vide order dated

         08.01.2021 in Rajesh Tyagi (supra), the Ahlmad shall send a
         certified copy of this award to the concerned Criminal Court
         and to the Delhi State Legal Services Authority through e-mail.
         Copy of the award be also sent to the bank concerned. The
         Nazir is directed to maintain the record in Form XVIII as per
         the directions given in the above case.




MACT 53/18                                             Page. 38 of 39
Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors
     75. File be consigned to record room after completion of necessary

         formalities. Separate file be prepared for compliance report and
         be put up on 12.12.2025.

Announced in the open court
on 28.11.2025
                                                  (Abhilash Malhotra)
                                                 Judge/PO, MACT-02,
                                                 New Delhi/28.11.2025
.....

MACT 53/18 Page. 39 of 39 Ranjeev Kumar Pandey Vs Lokesh Kumar & Ors