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Bombay High Court

Rashid Hussain Beg And Anr vs Shahin Atik Beg And Ors on 21 February, 2020

Author: V.L. Achliya

Bench: V.L. Achliya

                                                                  14009.19CA.odt
                                           1


               IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                          BENCH AT AURANGABAD

                905 CIVIL APPLICATION NO.14009 OF 2019
                                  IN
                     FIRST APPEAL NO.3582 OF 2019

                        RASHID HUSSAIN BEG AND ANOTHER
                                     VERSUS
                          SHAHIN ATIK BEG AND OTHERS.
                                          ...
          Mr.A.D. Aghav, Advocate for applicants.
          Mr.V.S. Undre, Advocate for respondent no.1.
          Mr.M.M. Abhore, Advocate for respondent no.3.
                               ...
                         CORAM: V.L. ACHLIYA,J.
                         DATE : 21.02.2020

          ORAL ORDER:

The applicants-claimants have preferred First Appeal challenging the judgment and award dated 16.08.2019 passed by the Motor Accident Tribunal, Bhoom, Dist. Osmanabad in M.A.C.P. No.4/2017. The challenge raised in appeal confines to the order of apportionment passed by the Tribunal and to pay compensation to the extent of 60% of compensation awarded to respondent no.1.

2. In brief, it is the contention of learned counsel for the applicants that the respondent no.1 ceased to be wife of son of applicants much prior to accidental death of their son. The deceased son of the applicants ::: Uploaded on - 28/02/2020 ::: Downloaded on - 11/06/2020 04:58:13 ::: 14009.19CA.odt 2 had given divorce to the respondent no.1 much prior to the accident. Respondent No.1 has filed proceedings under the provisions of Domestic Violence Act as against the applicants. In said proceedings, the compromise was recorded between the applicants and respondent no.1. Respondent no.1 has given up her right to claim any amount including the amount of compensation on account of accidental death of deceased son of the applicants by accepting Rs.55,000/- as a permanent alimony. By accepting Rs.55,000/- as permanent alimony, the respondent no.1 has withdrawn all proceedings against the applicants. The Tribunal has assessed the total compensation to be payable to claimants as Rs.12,12,400/- with interest @ 7% p.a. from the date of Petition till the recovery of amount. The Tribunal has passed the order of apportionment and directed to pay Rs.2,42,480/- to each applicant and Rs.7,27,440/- i.e. 60% of the amount of compensation awarded to respondent no.1. It is the contention of the learned counsel for the applicants that in view of settlement with respondent no.1 and the respondent no.1 ceased to be wife of the deceased much prior ::: Uploaded on - 28/02/2020 ::: Downloaded on - 11/06/2020 04:58:13 ::: 14009.19CA.odt 3 to accidental death of their son, the Tribunal has erred to award compensation to respondent no.1. So also the order of apportionment to pay the compensation to the extent of 60% is not sustainable in the facts and circumstances of the case. In terms of the order, the respondent no.3 - insurance company has drawn three separate cheques payable in the names of applicant nos.1 and 2 and the respondent no.1, and deposited the same with the Claims Tribunal for handing over to the applicants as well as the respondent no.1. It is submitted that if cheque is issued to respondent no.1, the purpose of filing of appeal would be frustrated.

3. The learned counsel for the respondent no.1 submits that in view of pendency of appeal, the Tribunal is not issuing the cheques to the applicants as well as respondent no.1. He submits that the validity of the cheque is for three months and same is going to expire very soon. Learned counsel urged to issue appropriate orders to release cheques to concern parties.

4. In my view, the practice to direct ::: Uploaded on - 28/02/2020 ::: Downloaded on - 11/06/2020 04:58:13 ::: 14009.19CA.odt 4 the insurance company to draw the cheques in the name of the parties and directly pay amount to them as well as directions to draw the cheques in the names of parties and to deposit such cheques with Tribunal for handing over to claimants needs to be deprecated. The direction of such nature leads to serious complications. In some of the cases, it is noticed that the cheques drawn and issued in the names of the parties by the insurance company are not presented within period of validity of cheque though such cheques are collected from the insurance company by the person other than claimants. In some of the cases, the cheques issued in the name of the parties are found to be encashed by third party by opening the account and obtaining signature on blank cheques and withdrawal slips in the name of such claimants at the time of filing claim application. By taking disadvantage of illiteracy, ignorance of claimants they are cheated by such person. There are instances wherein it is found that in large number of cases the cheques were found to be not presented though issued by insurance company in the name of claimants. If the cheques are not encashed within the statutory period ::: Uploaded on - 28/02/2020 ::: Downloaded on - 11/06/2020 04:58:13 ::: 14009.19CA.odt 5 prescribed for validity of such cheques, it leads to numerous complications and then Tribunal required to undertake process of re- validation of such cheques. In the interest of the claimants, it is always desirable that the amount to be payable in terms of the award be directed to be deposited with the Tribunal. Once such amount is deposited with the Tribunal the complication as that of expiry of period of validity of cheques can be avoided. Now, there is no difficulty to make payment of compensation amount to claimants, as the amount can be conveniently transferred in the savings bank accounts of such person.

5. In order to overcome the difficulty faced by the applicants as well as the respondent no.1 on account of validity of cheques to be expired, I am of the view, the order in following terms would meet the ends of justice:-

ORDER
(i) The Motor Accident Claims Tribunal at Bhoom, Dist. Osmanabad is directed, if the respondent no.3 - insurance company has deposited the cheques drawn and payable in the names of applicant nos.1 and 2 as well as ::: Uploaded on - 28/02/2020 ::: Downloaded on - 11/06/2020 04:58:13 ::: 14009.19CA.odt 6 respondent no.1 and the period of validity of said cheques is still to expire, then the cheques drawn in the names of applicant nos.1 and 2 (Rashid Hussain Beg and Fatima W/o Rashid Beg i.e. respondent nos.3 and 4 in original proceedings) be issued to them after following the procedure prescribed for making payment.
(ii) The respondent no.3 - insurance company is directed to take back the cheque drawn in the name of respondent no.1 i.e. Shahin Atik Beg and deposited with Tribunal and then deposit the amount to the extent of said cheque with the Tribunal.
(iii) In case, the insurance company deposits the amount to be payable in the name of respondent no.1 i.e. claimant no.1, then the same be invested with any Nationalized Bank initially for a period of two years with clear instructions to renew the same till further orders from the Court.
(iv) Stand over to 18th March, 2020.

[V.L. ACHLIYA] JUDGE SGA ::: Uploaded on - 28/02/2020 ::: Downloaded on - 11/06/2020 04:58:13 :::