Sikkim High Court
The Branch Manager, The New India ... vs Urmila Biswakarma (Chettri) And Ors on 19 April, 2022
Author: Meenakshi Madan Rai
Bench: Meenakshi Madan Rai
THE HIGH COURT OF SIKKIM : GANGTOK
(Civil Appellate Jurisdiction)
DATED : 19th APRIL, 2022
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SINGLE BENCH : THE HON'BLE MRS. JUSTICE MEENAKSHI MADAN RAI, JUDGE
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MAC App. No.10 of 2018
0
Appellant : The Branch Manager,
Shriram General Insurance Company Limited
versus
Respondents : Dilu Rai and Others
Appeal under Section 173 of the Motor Vehicles Act, 1988
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Appearance
Mr. Rahul Rathi, Advocate for the Appellant.
Mr. Tarun Choudhury, Advocate for the Respondents No.1 to 5.
None present for Respondent No.6.
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J U D G M E N T (ORAL)
Meenakshi Madan Rai, J.
1. Heard Learned Counsel for the parties and also perused the records. The Respondent Nos.1 to 5 herein, Claimants before the Learned Motor Accidents Claims Tribunal filed a Claim Petition under Section 163A of the Motor Vehicles Act, 1988 seeking compensation on account of the death of Roshan Rai, husband of Respondent No.1, son of Respondent No.4, brother of Respondent No.5 and father of minor Respondents No.2 and 3 in a Motor vehicle accident at Changey, near Phongla, Bermiok Road, South Sikkim on 21-05-2016.
2. Vide the impugned Judgment, dated 27-04-2018, of the Learned Motor Accidents Claims Tribunal, in MACT Case No.05 of 2017 (Smt. Dilu Rai and Others vs. The Branch MAC App. No.10 of 2018 2 The Branch Manager, Shriram General Insurance Company Limited vs. Dilu Rai and Others Manager, Shriram General Insurance Company Limited and Another), a total compensation of Rs.10,16,860/- (Rupees ten lakhs, sixteen thousand, eight hundred and sixty) only, was granted to the Respondents No.1 to 5 as follows;
(i) Loss of earnings : Rs.7,06,860/-
(ii) Funeral expenses : Rs. 15,000/-
(iii) Loss of estate : Rs. 15,000/-
(iv) Love and affection : Rs.2,50,000/-
(v) Litigation Costs : Rs. 25,000/-
(vi) Loss of Consortium: Rs. 5,000/-
Total Rs.10,16,860/-
The Loss of earnings included Future prospects of 40% in the monthly income of the deceased and non-pecuniary heads of Love and affection and Litigation costs were also added as reflected supra.
3. In terms of the Judgment of the Division Bench of this Court dated 04-04-2022 on reference by Single Judge of this Court, in The Branch Manager, Shriram General Insurance Company Limited vs. Smt. Dilu Rai and Others, wherein it was inter alia held that in a Claim Petition under Section 163A of the Motor Vehicles Act, 1988, Future prospects or any other additional non-pecuniary heads find no place, and compensation under this Section is to be strictly computed on the structured formula provided in the Second Schedule to the Act, the compensation computed in the impugned Judgment of the Motor Accidents Claims Tribunal stands duly modified. 40% added as Future prospects to the income of the deceased by the Learned Motor Accidents Claims Tribunal stands set aside as also compensation of Rs.2,50,000/- (Rupees two lakhs and fifty MAC App. No.10 of 2018 3 The Branch Manager, Shriram General Insurance Company Limited vs. Dilu Rai and Others thousand) only, for Loss of love and affection and Litigation costs of Rs.25,000/- (Rupees twenty five thousand) only. Hence, the compensation is modified as follows;
Annual Income of the deceased (Rs.3,300/- x 12) Rs. 39,600/- Multiplier to be adopted "17" (Rs.39,600/- x 17) Rs.6,73,200/- [as per Second Schedule of the Motor Vehicles Act, 1988] Less 1/3 of Rs.6,73,200/- (i.e. Rs.2,24,400/-) (-) Rs.2,24,400/- [Deducted from the said amount as expenses that the deceased would have incurred towards his maintenance had he been alive] [as per Second Schedule of the Motor Vehicles Act, 1988] Net Yearly Income Rs.4,48,800/-
Add Funeral expenses (+) Rs. 2,000/-
[as per Second Schedule of the Motor Vehicles Act, 1988] Add Loss of Consortium (+) Rs. 5,000/-
(Payable to Respondent No.1) [as per Second Schedule of the Motor Vehicles Act, 1988] Add Loss of Estate (+) Rs. 2,500/-
[as per Second Schedule of the Motor Vehicles Act, 1988] Total Rs.4,58,300/-
(Rupees four lakhs, fifty eight thousand and three hundred) only.
4. The Respondents-Claimants No.1 to 5 shall be entitled to Simple Interest @ 10% per annum on the above amount of Rs.4,58,300/- (Rupees four lakhs, fifty eight thousand and three hundred) only, with effect from the date of filing of the Claim Petition before the Learned Claims Tribunal till full realization.
5. The awarded amount shall be paid by the Appellant- Insurance Company to the Respondents-Claimants No.1 to 5 within one month from today with interest @ 10%, failing which, the Appellant shall pay Simple Interest @ 12% from the date of filing of the Claim Petition till realization, duly deducting the amounts, if any, already paid by it to the Respondents No.1 to 5.
6. The modified awarded amount of compensation along with interest as specified above shall be divided amongst MAC App. No.10 of 2018 4 The Branch Manager, Shriram General Insurance Company Limited vs. Dilu Rai and Others the Respondent-Claimant No.1 being the spouse of the deceased, Respondent-Claimant Nos.2 and 3 being the minor children, Respondent-Claimant No.4 being his widowed mother and Respondent-Claimant No.5 being his physically challenged brother, as follows;
(i) From the amount awarded, Respondent-Claimant No.1, spouse of the deceased, is entitled to 40%.
(ii) While Respondent-Claimant No.4, mother of the deceased, shall be granted 10% considering the fact that she is aged and would obviously have been dependant on the deceased.
(iii) 10% of the total amount awarded shall be granted to the Claimant-Respondent No.5, physically challenged brother, of the deceased.
(iv) 40% of the total amount awarded shall be divided equally amongst the Respondent-Claimant Nos.2 and 3 (minor children of the deceased), i.e., 20% each. 50% of the share of each child shall be kept in individual Fixed Deposits in a Nationalised Bank, until the child attains the age of majority. The remaining 50% of each of the minor's share shall be expended on their education.
7. Appeal allowed to the extent above.
8. MAC App No.10 of 2018 stands disposed of accordingly.
9. No order as to costs.
10. Copy of this Judgment be remitted to all the Learned Motor Accidents Claims Tribunals in Sikkim, for information.
( Meenakshi Madan Rai ) Judge 19-04-2022 ds Approved for reporting : Yes