Karnataka High Court
The Legal Manager vs Smt Khaja Banu on 14 November, 2022
Author: Hanchate Sanjeevkumar
Bench: Hanchate Sanjeevkumar
1 MFA NO.3597/2018 A/W
MFA CROB.87/2022
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 14TH DAY OF NOVEMBER, 2022
BEFORE
THE HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR
M.F.A.NO.3597/2018 A/W
M.F.A.CROB.NO.87/2022 (WC)
IN MFA NO.3597/2018
BETWEEN:
THE LEGAL MANAGER
M/S SRIRAM GIC LTD.,
MONARCH CHAMBER,
INFANTRY ROAD, BENGALURU-560001.
NOW REPTD. BY THE REGIONAL MANAGER,
SHRIRAM GIC LTD.,
NO.5/4, III FLOOR, S.V ARCADE,
BILEKAHALLI MAIN ROAD,
OFF:B.G.ROAD, 2ND M.G.POST,
BENGALURU-560076.
...APPELLANT
(BY SRI A.N.KRISHNA SWAMY, ADVOCATE)
AND:
1. SMT KHAJA BANU
W/O LATE SHAFIULLA KHAN,
AGED ABOUT 36 YEARS,
2. AFREEN KHANUM
D/O LATE SHAFIULLA KHAN,
AGED ABOUT 15 YEARS
2 MFA NO.3597/2018 A/W
MFA CROB.87/2022
3. FAREED KHAN
S/O LATE SHAFIULLA KHAN,
AGED ABOUT 13 YEARS
R2 & R3 ARE MINOR REPTD BY R1 ALL ARE
R/AT C/O KRISHNAPPA,
NO.263/3, THIMMAPPA BUILDINGS,
G.M.PLAYA NEW THIPPASANDRA POST,
BENGALURU-562131.
4. SRI SYED ISHAQ
S/O SYED RIAZUDDIN,
NO.C107, DOS QUARTERS G.S.ROAD,
JEEVAN BHIMA NAGAR,
BENGALURU-562131.
...RESPONDENTS
(BY SRI A.K.BHAT, ADVOCATE FOR R1 TO R3,
R2 & R3 ARE MINORS REP. BY R1, R4 NOTICE HELD
SUFFICIENT V/O DT:11.04.2022)
THIS MFA FILED U/S.30(1) OF EMPLOYEES
COMPENSATION ACT, AGAINST THE JUDGMENT AND
AWARD DT.14.02.2018 PASSED ON ECA NO.59/2014 ON
THE FILE OF THE 1ST ADDITIONAL SMALL CAUSES JUDGE
& 27TH ACMM, BENGALURU (SCCH-11), AWARDING
COMPENSATION OF RS.7,25,525/- WITH INTEREST AT 8%
P.A. FROM THE DATE OF PETITION TILL THE
REALIZATION.
IN MFA CROB.87/2022
BETWEEN
1. KHAJA BANU
AGED ABOUT 40 YEARS,
W/O LATE SHAFIULLA KHAN,
3 MFA NO.3597/2018 A/W
MFA CROB.87/2022
2. AFREEN KHANUM
AGED ABOUT 18 YEARS,
D/O LATE SHAFIULLA KHAN,
3. FAREED KHAN
AGED ABOUT 17 YEARS,
S/O LATE SHAFIULLA KHAN,
A MINOR
REPRESENTED BY HIS MOTHER
NATURAL GUARDIAN,
KHAJA BANU, NO.1, ABOVE
ALL ARE RESIDING AT
C/O KRISHNAPPA,
NO.263/3,
THIMMAPPA BUILDINGS,
G M PALYA, NEW THIPPASANDRA POST,
BANGALORE-562131
...CROSS OBJECTORS
(BY SRI A.K.BHAT, ADVOCATE)
AND:
1. LEGAL MANAGER
M/S SRIRAM GENERAL INSURANCE COMPANY LTD.,
MONARCH CHAMBER,
INFANTRY ROAD,
BANGALORE-560001.
2. SYED ISHAQ
MAJOR BY AGE,
S/O SYED RIAZUDDIN,
NO C 107,
DOS QUARTERS, G S ROAD,
JEEVAN BHIMA NAGAR,
BANGALORE-560075.
...RESPONDENTS
(BY SRI. A.N.KRISHNASWAMY, ADVOCATE FOR R1,
R2-NOTICE DISPENSED WITH V/O DATED:11/07/2022)
4 MFA NO.3597/2018 A/W
MFA CROB.87/2022
THIS MFA.CROB FILED UNDER ORDER XLI RULE 22
OF THE CPC READ WITH SECTION 30(1) OF
EMPLOYEES COMPENSATION ACT, AGAINST THE
JUDGMENT AND AWARD DATED 14.02.2018 PASSED IN
ECA NO. 59/2014 ON THE FILE OF THE I ADDITIONAL
SMALL CAUSES JUDGE AND XXVII ACMM, MOTOR
ACCIDENT CLAIMS TRIBUNAL, BENGALURU, (SCCH-11),
PARTLY ALLOWING THE CLAIM PETITION FOR
COMPENSATION AND SEEKING ENHANCEMENT OF
COMPENSATION.
THESE M.F.A. AND M.F.A.CROB ARE COMING ON
FOR FINAL HEARING THIS DAY, THE COURT DELIVERED
THE FOLLOWING:
JUDGMENT
MFA.No.3597/2018 is filed by the Insurance Company challenging the judgment and award dated 14.02.2018 passed in ECA.No.59/2014 by the MACT, Bangalore (SCCH-11), questioning the liability to pay compensation and also on the quantum of compensation.
5 MFA NO.3597/2018 A/WMFA CROB.87/2022
MFA.Crob.87/2022 is filed by the claimants/cross-objectors challenging the aforesaid judgment and award seeking for enhancement of compensation and also on the award of rate of interest.
2. Brief facts of the case are that:
The deceased Shafiulla Khan was driving the car bearing Reg.No.KA-51-6976 from Bangalore towards International Airport to pick-up the passengers, when he reached near MVIT junction on NH-7, BB Road, Jala Hobli, at that time, one tipper lorry came from the side of MVIT College, driven by its driver with high speed in a rash and negligent manner and came against in-front of his car while avoiding collusion, he lost control of the car and dashed against the road divider and the said car capsized and the door of the said car opened and the deceased fell down on the road and sustained severe injuries to his head and all 6 MFA NO.3597/2018 A/W MFA CROB.87/2022 over the body and died on the spot. The claimants being the legal heirs of the deceased filed a claim petition under Section 22 of Workmen's Compensation Act, 1923, for seeking compensation. The Tribunal awarded compensation of Rs.7,25,525/- with interest at 8% p.a., from the date of petition till its realization.
3. In the present case, the ground raised by the Insurance Company is that the deceased was holding driving licence of LMV (non-transport), but drove taxi, which is LMV (transport). Hence, there is no endorsement of transport in the driving licence. Accordingly, it is submitted that the Insurance Company is not liable to pay the compensation.
4. On the other hand, learned counsel for the claimants/cross-objectors submitted that the issue involved is no more res integra and it is squarely covered by the judgment of the Hon'ble Supreme Court in case of MUKUND DEWANGAN VS. 7 MFA NO.3597/2018 A/W MFA CROB.87/2022 ORIENTAL INSURANCE COMPANY LIMITED1. Therefore, submitted that, even though, the driver is holding driving licence to drive LMV (non-transport), is also competent to drive LMV (transport). Therefore, prays to dismiss the appeal filed by the Insurance Company.
5. Further submitted that the rate of interest granted by the Tribunal is on the lesser side in view of Clause (a) of Sub-section (3) of Section 4A of the Employee's Compensation Act and it ought to be at 12% per annum as per Clause (a) of Sub-section (3) of Section 4A of the Employee's Compensation Act from the date of the accident till its realization.
6. Heard the arguments from both the sides.
7. The following is the substantial question of law arises for consideration in this appeal: 1
AIR 2017 SC 3668 8 MFA NO.3597/2018 A/W MFA CROB.87/2022 "Whether on the facts and circumstances involved in the case, the Tribunal/learned Commissioner is justified in directing the insurer to pay compensation where the driver of commercial vehicle who had not obtained driving licence to drive LMV (transport) vehicle, but holding driving license LMV (non-transport)?"
8. The issue is no more res integra in view of the judgment of the Hon'ble Supreme Court in the case of MUKUND DEWANGAN (stated supra).
9. Further, even though, the subsequent full bench of the Hon'ble Supreme Court in the case of M/s Bajaj Alliance General Insurance Co., Ltd., Vs. Rambha Devi & Others in Civil Appeal No.841/2018 (Rambha Devi's case) at Paragraph No.7 it is held as under:
"7. Before we part, we must note that all the learned counsel appearing for the Insurance companies have fairly submitted that the compensation in terms of the directions issued by the Courts below, that is to say, in following the principles laid down in Mukund Dewangan (supra) has either been 9 MFA NO.3597/2018 A/W MFA CROB.87/2022 paid in full or shall be paid in terms of such directions. Their statements are recorded."
10. Therefore, as per the decision of the Hon'ble Supreme Court in MUKUND DEWANGAN's case (stated supra), even though, the driver who is holding driving licence to drive LMV (non-transport) is also competent to drive LMV (transport). Further it is submitted that the said issue is referred to a larger bench, but in Rambha Devi's case at Paragraph No.7, it is observed that the Insurance Company has undertaken to pay compensation in following the principles of law laid down in MUKUND DEWANGAN's case.
11. Therefore, the appeal filed on the ground of liability on the above stated substantial questions of law, is not maintenable. Accordingly, substantial questions of law is answered.
10 MFA NO.3597/2018 A/WMFA CROB.87/2022 Regarding quantum of compensation:
12. In the present case, the Tribunal held the monthly income at Rs.7,500/-. But as per Section 4 of the Employee's Compensation Act, monthly income is to be taken at Rs.8,000/- per month. The deceased was aged about 37 years as per post mortem report. The relevant factor is 192.14. Therefore, the quantum of compensation awarded by the Tribunal under the head loss of dependency is re-assessed and quantified as follows:
Rs.8,000/- x 50% x 192.14=Rs.7,68,560/-
Accordingly, compensation of Rs.7,68,560/- is awarded under the head loss of dependency.
13. The compensation of Rs.5,000/- awarded under the head funeral expenses is found to be correct. Hence, it is kept in tact. 11 MFA NO.3597/2018 A/W MFA CROB.87/2022
14. Thus, in all, the appellants/claimants are entitled to enhanced compensation as follows:
Loss of dependency Rs.7,68,560/- Funeral expenses Rs. 5,000/- Kept in tact
---------------
TOTAL Rs.7,73,560/-
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15. The Tribunal has awarded interest at 8% per annum. But as per Clause (a) of Sub-section (3) of Section 4A of the Employee's Compensation Act, interest at 12% p.a., is to be awarded from the date of accident till its realization as per the judgment of the Hon'ble Supreme Court in the cases of Pratap Narain Singh Deo Vs. Srinimvas Sabata and Another2 and Saberabibi Yakubbhai Shaikh and others v. National Insurance Co. Ltd. and others3.
16. The Tribunal has awarded compensation of Rs.7,25,525/-, but the appellants/claimants are 2 AIR 1976 SC 222(1) 3 (2014) 2 SCC 298 12 MFA NO.3597/2018 A/W MFA CROB.87/2022 entitled to total compensation of Rs.7,73,560/-.
Hence, the appellants/claimants are entitled to enhanced compensation of Rs.48,035/- (Rs.7,73,560/- - Rs.7,25,525/-). Therefore, the appellants/claimants are entitled to enhanced compensation of Rs.48,035/- along with interest at the rate of 12% per annum from the date of accident till its realization, in addition to what has been awarded by the Tribunal. Therefore, the appeal filed by the Insurance Company is liable to be dismissed and the appeal filed by the claimants is liable to be allowed-in-part. Accordingly, I proceed to pass the following ORDER MFA.No.3597/2018 filed by the Insurance Company is dismissed.
MFA.Crob.87/2022 filed by the claimants is allowed-in-part.
13 MFA NO.3597/2018 A/WMFA CROB.87/2022
The impugned judgment and award dated 14.02.2018 passed in ECA.No.59/2014 by the MACT, Bangalore (SCCH-11), is hereby modified. The appellants/claimants are entitled to enhanced compensation of Rs.48,035/- along with interest at 12% per annum from the date of accident till its realization, in addition to what has been awarded by the Tribunal.
Draw award accordingly.
No order as to costs.
Registry is directed to return the Trial Court Records to the Tribunal along with the copy of this order forthwith.
In view disposal of the appeals, I.A.No.3/2018 does not survive for consideration and it is dismissed. 14 MFA NO.3597/2018 A/W MFA CROB.87/2022
The appellants/claimants are not entitled for interest for the delay period of 55 days in filing the appeal.
Sd/-
JUDGE PB