Karnataka High Court
Sri H. P.Prasad vs The New India Insurance Co Ltd., on 12 March, 2020
Author: S.N.Satyanarayana
Bench: S.N.Satyanarayana
1
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 12TH DAY OF MARCH, 2020
PRESENT
THE HON'BLE MR. JUSTICE S.N.SATYANARAYANA
AND
THE HON'BLE MR.JUSTICE ASHOK. G. NIJAGANNAVAR
MFA NO.9119/2018(MV-D)
C/W MFA NO.10479/2018(MV-D)
IN M.F.A.NO.9119/2018
BETWEEN
1. SRI H.P. PRASAD
S/O H HANUMAPPA
AGED ABOUT 59 YEARS
2. SMT. C RADHA
W/O H P PRASAD
AGED ABOUT 53 YEARS
BOTH ARE R/O SRI NARADAMUNI
NILAYA, HOLALKERE ROAD
OLD CIRCUS FIELD
NEHRU NAGAR, III CROSS
CHITRADURGA - 577 501. ...APPELLANTS
(BY SRI SPOORTHY HEGDE NAGARAJA, ADVOCATE)
AND
1. THE NEW INDIA INSURANCE CO. LTD.,
BY ITS BRANCH MANAGER
MEKRI CIRCLE, CITY BRANCH
SHANKAR HOUSE, NO.1
II FLOOR, RMV EXTENSION
MEKRI CIRCLE
2
BANGALORE - 560 080
REP. BY ITS BRANCH MANAGER
B.D.ROAD,
OPP: MAGANUR BASAPPA BUILDING
CHITRADURGA -577 001.
2. M/S ZOOM CAR INDIA PVT LTD.,
REPTD. BY AUTHORIZED SIGNATORY
OWNER OF THE
MAHINDRA SCORPIO
CAR NO.KA-51-AA-3321
R/O 7TH FLOOR,
TOWER-B, DIMAND DISTRICT HALL
AIRPORT ROAD, DOMLUR
BENGALURU - 560 008. ...RESPONDENTS
(BY SRI O.MAHESH, ADVOCATE FOR R1;
VIDE ORDER DATED 12.03.2020, NOTICE TO R2 IS
DISPENSED WITH)
THIS APPEAL IS FILED UNDER SECTION 173[1] OF THE
MOTOR VEHICLES ACT, AGAINST THE JUDGMENT AND
AWARD DATED PASSED IN MVC NO.151/2018 ON THE FILE
OF THE PRINCIPAL SENIOR CIVIL JUDGE AND CJM,
CHITRADURGA, PARTLY ALLOWING THE CLAIM PETITION
FOR COMPENSATION AND SEEKING ENHANCEMENT OF
COMPENSATION.
IN M.F.A.NO.10479/2018
BETWEEN
THE BRANCH OFFICE
THE NEW INDIA INSURANCE CO. LTD.,
MEKRI CIRCLE
CITY BRANCH, SHANKAR,
HOUSE NO.1, II FLOOR,
RMV EXTENSION, MEKRI CIRCLE,
BENGALURU-560 080
REPRESENTED BY BRANCH MANAGER
B.D. ROAD,
3
OPP MAGANUR BASAPPA BUILDING,
CHITRADURGA ...APPELLANT
(BY SRI O MAHESH, ADVOCATE)
AND :
1. SRI. H.P. PRASAD
S/O H. HANUMAPPA
AGED ABOUT 59 YEARS
2. SMT C. RADHA
W/O H.P. PRASAD
AGED ABOUT 53 YEARS
BOTH ARE R/O SRI NARADAMUNI NILAYA,
HOLALKERE ROAD,
OLD CIRCUS FIELD,
NEHRU NAGAR, III CROSS,
CHITRADURGA-577 501
3. M/S ZOOM CAR INDIA PVT. LTD.,
BY AUTHORIZED SIGNATORY
OWNER OF MAHINDRA-SCORPIO
CAR BEARING KA-51-AA-3321
R/O 7TH FLOOR, TOWER-B
DIAMAND, DISTRICT HALL,
AIRPORT ROAD, DOMLUR
BENGALURU-560 008 ...RESPONDENTS
(BY SRI SPOORTHY HEGDE NAGARAJA, ADVOCATE
FOR C/R1 & R2; R3 IS SERVED AND UNREPRESENTED)
THIS APPEAL IS FILED UNDER SECTION 173[1] OF THE
MOTOR VEHICLES ACT, AGAINST THE JUDGMENT AND
AWARD DATED 15.10.2018 PASSED IN MVC NO.151/2018
ON THE FILE OF THE PRINCIPAL SENIOR CIVIL JUDGE AND
CJM, CHITRADURGA, AWARDING COMPENSATION OF
RS.16,50,000/- WITH INTEREST AT 9% P.A. FROM THE DATE
OF FILING THE PETITION TILL THE REALIZATION.
THESE APPEALS COMING ON FOR ADMISSION THIS
DAY, SATYANARAYANA J., DELIVERED THE FOLLOWING:
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JUDGMENT
The claimants in MVC No.151/2018 on the file of the Principal Senior Civil Judge and CJM, Chitradurga, ['Tribunal', for short], have come up in this appeal, seeking enhancement of compensation.
2. The undisputed facts leading to this appeal are as under:
The claimants before the trial Court are husband and wife. Their only daughter Kum. H.P. Nischita, III Semester B.E. student, met with accident on 18.08.2017. Admittedly, on the relevant date, she was proceeding along with her friends towards Mekedatu for excursion in Scorpio car bearing registration No.KA-51-AA-3321 which met with accident, resulting in death of Kum. H.P. Nischita. Hence, the claim petition was filed by her parents against the owner and insurer of the vehicle in which she was traveling at the relevant time of the accident.
3. In the proceedings before the Tribunal, the accident is established, so also death of claimants' 5 daughter due to the injuries suffered in the said accident. When it comes to assessment of compensation payable, it is seen that the victim was only a III year B.E. student who was not gainfully employed. It is in this background, her income was notionally taken at Rs.15,000/- by the Tribunal and accordingly compensation is awarded.
4. The grievance of the claimants before the Tribunal is not with reference to notional income which is taken, but it is for not including another 40% towards future prospects while awarding compensation to the claimants. In support of the said ground urged by the appellants, they would rely upon the Judgment rendered by the Coordinate Bench of this Court in an unreported Judgment rendered in MFA No.1117/2018 connected with MFA Nos.7283/2018, 1116/2018, 1118/2018 on 13.12.2019, wherein under similar circumstances, while accepting Rs.15,000/- as notional income, the Co-ordinate Bench has also considered another 40% towards future prospects in income and awarded compensation to the claimant in a sum of Rs.21,42,000/-. If the same analogy 6 is accepted to the case on hand, the claimants would be entitled to revised compensation under the head 'loss of dependency' i.e., Rs.21,000/- per month [Rs.15,000/- + 40% = 6,000/-] which is notional income which is required to be considered, applying the multiplier of '18' after deducting 50% towards personal upkeep of the deceased. The compensation amount the claimants would be entitled to is Rs.22,68,000/- [Rs.21,000 x 12 x 18 x 50%] for which another sum of Rs.30,000/- is required to be added under conventional heads. With that, the total compensation payable to claimants works out to Rs.22,98,000/- as against Rs.16,50,000/- awarded by the Tribunal. Accordingly, appeal in MFA No.9119/2018 is partly allowed.
5. In view of the appeal filed by the claimants being allowed, the appeal in MFA No.10479/2018 filed by Respondent No.1-Insurer challenging the quantum of compensation awarded does not survive for consideration. However, in the said appeal, there is one more prayer which is in challenge to the rate of interest awarded at 9% 7 which is sought to be reduced to 6%. So far as said ground is concerned, same requires consideration for the reason that the Division Bench of this Court has been considering awarding interest at 6% per annum which is required to be followed in this appeal also. Accordingly, by allowing the said ground, the interest payable on the amount of compensation is reduced from 9% to 6%. Accordingly, the appeal filed by the Insurer is also partly allowed.
6. In view of both appeals being allowed in aforesaid manner, the amount which is deposited by the Insurer in MFA No.10479/2018 is ordered to be sent to the Tribunal for disbursement to the claimants.
Sd/-
JUDGE Sd/-
JUDGE AN/-