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Karnataka High Court

Smt. Anitha vs M/S New India Assurance Company Ltd on 8 July, 2022

Author: H. T. Narendra Prasad

Bench: H. T. Narendra Prasad

                          1



     IN THE HIGH COURT OF KARNATAKA AT BENGALURU

          DATED THIS THE 8TH DAY OF JULY 2022

                        BEFORE

     THE HON'BLE MR. JUSTICE H. T. NARENDRA PRASAD

              MFA No.1716 OF 2020(MV)

BETWEEN:

1.     SMT. ANITHA
       W/O SUNDAR
       AGED ABOUT 35 YEARS.

2.     MASTER ROHAN KUMAR K S
       @ ROHAN
       S/O SUNDAR
       AGED ABOUT 10 YEARS
       MINOR REP BY HIS NATURAL
       GUARDIAN MOTHER THE
       IST APPELLANT

       BOTH ARE R/A KONDRAHALLI
       NANDAGUDI HOBLI
       HOSAKOTE TALUK
       BENGALURU RURAL DISTRICT
       PIN-562122
                                        ...APPELLANTS

(BY SRI. GURUDEV PRASAD K T., ADV.)
                            2




AND:

1.     M/S NEW INDIA ASSURANCE
       COMPANY LTD.,
       BY ITS MANAGER
       MOTOR CLAIMS HUB
       NO.9/2, 2ND FLOOR
       MAHALAKSHMI CHAMBERS
       M G ROAD, BENGALURU-560001.

2.     MR PATHAN AYUB KHAN
       S/O P HUSSAIN KHAN
       R/A 19/143, KOTTAPALLI
       RAYACHOTY, YSR KADAPA
       ANDHRA PRADESH PIN-516269
                                         ...RESPONDENTS

(BY SRI.A.M. VENKATESH, ADV. FOR R1:
   NOTICE TOT R2 IS DISPENSED WITH
   V/O DATED: 08.07.2022)

       THIS MFA IS FILED UNDER SECTION 173(1) OF MV
ACT    AGAINST   THE   JUDGMENT    AND   AWARD      DATED
01.08.2019 PASSED IN MVC NO. 7094/2018 ON THE FILE
OF THE XV ADDITIONAL SMALL CAUSES JUDGE AND XXIII
ACMM, MEMBER, MACT, MAYO HALL UNIT, BENGALURU,
PARTLY     ALLOWING     THE    CLAIM     PETITION     FOR
COMPENSATION      AND    SEEKING    ENHANCEMENT        OF
COMPENSATION.


       THIS MFA COMING ON FOR ORDERS, THIS DAY, THE
COURT DELIVERED THE FOLLOWING:
                                3



                           JUDGMENT

This appeal under Section 173(1) of the Motor Vehicles Act, 1988 (hereinafter referred to as 'the Act', for short) has been filed by the claimants being aggrieved by the judgment dated 01.08.2019 passed by the Motor Accident Claims Tribunal, Bengaluru in MVC No.7094/2018.

2. Facts giving rise to the filing of the appeal briefly stated are that on 15.10.2018 at about 11.00 P.M., the deceased-Sundar was riding a motorcycle bearing Registration No.KA-53/EH-6647 slowly and cautiously proceeding near one Petrol Bunk at Satyavara, Nandagudi Hobli, Bengaluru Rural District, at that time, the driver of the Lorry bearing Registration No.AP-04/TX-2786 without giving any signal or indication or no parking lights suddenly stopped his vehicle on middle of the road. As a result, the deceased unable to control his vehicle and lost his 4 control and dashed to the rear side of the lorry. As a result of the aforesaid accident, the deceased sustained grievous injuries and succumbed to the injuries.

3. The claimants filed a petition under Section 166 of the Act seeking compensation for the death of the deceased along with interest.

4. On service of summons, the respondent No.1 appeared through counsel and filed written statement in which the averments made in the petition were denied. The age, occupation and income of the deceased are denied. It was further pleaded that the quantum of compensation claimed by the claimants is exorbitant. Hence, he sought for dismissal of the petition.

5

The respondent No.2 did not appear before the Tribunal inspite of service of notice and hence was placed ex-parte.

5. On the basis of the pleadings of the parties, the Claims Tribunal framed the issues and thereafter recorded the evidence. The claimants, in order to prove their case, examined claimant No.1 as PW-1 and got exhibited documents namely Ex.P1 to Ex.P13. On behalf of respondents, two witnesses were examined as RW-1 and RW-2 and got exhibited documents namely Ex.R1 to Ex.R13. The Claims Tribunal, by the impugned judgment, inter alia, held that the accident took place on account of rash and negligent driving of the offending vehicle by its driver, as a result of which, the deceased sustained injuries and succumbed to the injuries. The Tribunal further held that the claimants are entitled to a compensation of Rs.12,33,000/- along with interest at the rate of 6 9% p.a. and directed the Insurance Company to deposit the compensation amount along with interest. Being aggrieved, this appeal has been filed.

6. The learned counsel for the claimants has raised the following contentions:

Firstly, the claimants claim that the deceased was aged about 45 years at the time of the accident and he was earning Rs.20,000/- per month by working in a Private Company. But the Tribunal is not justified in taking the monthly income of the deceased as merely as Rs.9,000/-.
Secondly, the compensation awarded by the Tribunal under the conventional heads is on the lower side. Hence, he prays for allowing the appeal.

7. On the other hand, the learned counsel for the Insurance Company has raised the following counter-contentions:

7

Firstly, even though the claimants claim that the deceased was earning Rs.20,000/- per month, the same is not established by the claimants by producing documents. Therefore, the Tribunal has rightly assessed the income of the deceased notionally.
Secondly, since the claimants have not established the income of the deceased, they are not entitled for compensation towards 'future prospects'.
Thirdly, on appreciation of oral and documentary evidence and considering the age and avocation of the deceased, the overall compensation awarded by the Tribunal is just and reasonable.
Lastly, in view of judgment of the Division Bench of this Court in the case of MS.JOYEETA BOSE AND OTHERS vs. VENKATESHAN.V AND OTHERS (MFA 5896/2018 and connected matters disposed of on 24.8.2020), the claimants are entitled for 6% interest but the Tribunal has granted 9% interest is on the 8 higher side. Hence, he prays for dismissal of the appeal.

8. Heard the learned counsel for the parties and perused the records.

9. It is not in dispute that Sundar died in the road traffic accident occurred due to rash and negligent driving of the offending vehicle by its driver.

The claimants claim that deceased was earning Rs.20,000/- per month. But they have not produced any documents to prove the income of the deceased. In the absence of proof of income, the notional income has to be assessed. As per the guidelines issued by the Karnataka State Legal Services Authority, for the accident taken place in the year 2018, the notional income of the deceased has to be taken at Rs.12,500/- p.m. 9 The Tribunal considering the law laid down by the Constitution Bench of the Supreme Court in NATIONAL INSURANCE CO. LTD. -v- PRANAY SETHI AND OTHERS [AIR 2017 SC 5157], has rightly considered 25% of the income of the deceased for 'future prospects'. Thus, the monthly income comes to Rs.15,625/-. Since there are two dependents, the Tribunal has rightly considered 1/3rd of the income of the deceased towards personal expenses and therefore, the monthly income comes to Rs.10,417/-. The deceased was aged about 45 years at the time of the accident and multiplier applicable to his age group is '14'. Thus, the claimants are entitled to compensation of Rs.17,50,056/- (Rs.10,417*12*14) on account of 'loss of dependency'.

The compensation awarded by the Tribunal under the other heads are just and reasonable. 10

10. Thus, the claimants are entitled to the following compensation:

          Compensation under               Amount in
             different Heads                 (Rs.)
         Loss of dependency                 17,50,056
         Funeral expenses                      15,000
         Loss of estate                        15,000
         Loss of spousal                       40,000
         consortium
         Loss of Parental                         40,000
         consortium
                        Total               18,60,056
                       Total 90%            16,74,050


11. In the result, the appeal is allowed in part. The judgment of the Claims Tribunal is modified.

The claimants are entitled to a total compensation of Rs.16,74,050/- as against Rs.12,33,000/- awarded by the Tribunal.

In view of judgment of the Division Bench of this Court in the case of 'MS.JOYEETA BOSE', the enhanced compensation shall carry interest at 6% per annum.

11

The Insurance Company is directed to deposit the compensation amount along with interest at 6% p.a. (the enhanced compensation shall carry interest at 6% per annum) from the date of filing of the claim petition till the date of realization, within a period of six weeks from the date of receipt of copy of this judgment.

Sd/-

JUDGE HA/-