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National Insurance Co. Ltd vs Farzana Khatoon on 4 February, 2014

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ITEM NO.2+26                   COURT NO.11               SECTION XI


              S U P R E M E     C O U R T   O F    I N D I A
                             RECORD OF PROCEEDINGS

Petition(s) for Special Leave to Appeal (Civil)....../2013
                                             CC 22243/2013

(From the judgement and order dated 21/05/2013 in ON No.1404/2013, of The
HIGH COURT OF JUDICATURE AT ALLAHABAD)

NATIONAL INSURANCE CO. LTD                             Petitioner(s)

                   VERSUS

FARZANA KHATOON & ORS                                  Respondent(s)

(With appln(s) for c/delay in filing SLP)

WITH SLP(C) No.38187/2013
(With prayer for interim relief)
S.L.P.(C)...CC NO. 411 of 2014
(With appln(s) for c/delay in filing     SLP and office report)
S.L.P.(C)...CC NO. 22864 of 2013
(With appln(s) for c/delay in filing     SLP)
S.L.P.(C)...CC NO. 22897 of 2013
(With appln(s) for c/delay in filing     SLP)
S.L.P.(C)...CC NO. 919-920 of 2014
(With appln(s) for c/delay in filing     SLP)

Date: 04/02/2014    These Petitions were called on for hearing today.

CORAM :
          HON’BLE MRS. JUSTICE GYAN SUDHA MISRA
          HON’BLE MR. JUSTICE V. GOPALA GOWDA

For Petitioner(s)           Dr. Meera Agarwal, Adv.
                            Mr. Ramesh Chandra Mishra, Adv.

                       Mr. Rajesh Kumar Gupta, Adv.

                            Mr. P.K. Seth, Adv.
                            Ms. Manjeet Chawla, Adv.
                            Ms. Sunanda Roy, Adv.

                            Mr. Nitin Kumar Thakur, Adv.

                            Mr. Amit Kumar Singh, Adv.
                            Ms. K. Enatoli Sema, Adv.

For Respondent(s)

             UPON hearing counsel the Court made the following
                                 O R D E R

The petitioner has assailed the award passed by the Motor Accident Claims Tribunal (’MACT’ for short) and upheld by the High Court whereby the respondents, who are legal representatives of the deceased, has been awarded compensation for the death of the deceased who was a young and meritorious student of 20 years of age and was studying in an MBBS graduate course at Sawai Mansingh Medical College, Jaipur, Rajasthan.

The MACT assessed the income of the deceased at a minimum of Rs.5,000/- per month which was increased by the High Court to Rs.15,000/- per month and 50% of the income was reduced. The High Court added 50% to the notional income towards the future income and that is how an amount of Rs.20,60,000/- was awarded to the LRs of the deceased who died in the unfortunate motor accident.

Learned counsel representing National Insurance Company initially had to confront question as to whether the petitioner could assail the award on the quantum of compensation. However, this difficulty was obviated as it was stated that the Insurance Company had already obtained permission to contest the matter and, therefore, the appeal is maintainable at the instance of the petitioner in view of the ratio of the judgment and order passed in Sarla Verma Vs. Delhi Transport Corporation reported in 2009 (6) SCC 121.

Insofar as the quantum of compensation is concerned, we are not prepared to accept the contention that the amount awarded towards future prospects is exorbitant as the deceased was a young student of 20 years who was studying medicine in a government college in Rajasthan who had sought admission after qualifying in the competitive test. Therefore, the income assessed towards future prospects relying upon the ratio of the judgment and order passed in the case of Sarla Verma (supra) is clearly applicable and we are not prepared to accept the contention that the amount is exorbitant in any manner so as to impress upon this Court to interfere with the same.

The special leave petition thus has no merit and is accordingly dismissed.

SLP(C)..CC.. No. 919-920/2014 Delay condoned.

The special leave petitions are dismissed.

Delay condoned.

Leave granted. However, notice in regard to grant of leave be issued to the respondents provided a sum of Rs.50,000/-, in addition to the sum which has already been deposited, is paid to the respondents and proof thereof is submitted in the Registry to that effect.

The notice may also indicate that Amicus Curiae may be made available for the respondents in the event of their appearance in this Court.

SLP(C)..CC No. 22243/2013, SLP(C)..CC No. 411/2014, SLP(C)..CC No. 22864/2013.

List on 07.02.2014.

 (NAVEEN KUMAR)                       (S.S.R. KRISHNA)
  COURT MASTER                             COURT MASTER