National Insurance Co. Ltd vs Pranay Sethi on 31 October, 2017
6. Having regard to the material on record and the
contentions raised by the learned counsel for the
appellants, it is noticed that the deceased was aged about
1
(2017) 16 SCC 680
PMD, J
MACMA.No.605 of 2016
4
56 years at the time of death and therefore, correct
multiplier applicable is 9 instead of 8. Therefore, while
computing the compensation towards loss of earnings it
has to be applied. As per the salary certificate, the gross
salary of the deceased for the month of October, 2005 was
Rs.20,419/- and except for the statutory deductions and
also deduction towards Income Tax, no other deductions
need to be considered while arriving at the net salary of the
deceased. Since there is a lapse of nearly fifteen years and
it is not possible to go back to find out the actual Income
Tax liable to be paid by the deceased on his monthly
income of those years, it is considered reasonable to adopt
a sum of Rs.16,000/- as monthly income of the deceased
and the compensation is to be computed accordingly.
Further, since the age of deceased was 56 years at the time
of accident, 10% has to be added to his earnings as
compensation towards loss of future prospects as per the
decision rendered in Pranay Sethi's case (referred supra).
Apart from above, the 1st claimant/appellant is also
entitled for spousal consortium at Rs.40,000/- with 10%
PMD, J
MACMA.No.605 of 2016
5
increase thereon and claimants No.2 and 3, being the
children of deceased, are each also entitled for parental
consortium at Rs.40,000/- with 10% increase thereon and
claimant No.4, being the mother of deceased, is entitled to
the filial consortium at Rs.40,000/- with 10% increase
thereon. In addition to the above, the claimants are also
entitled to Rs.15,000/- with 10% increase thereon towards
funeral expenditure and Rs.15,000/- with 10% increase
thereon towards loss of estate. 1/4th of the earnings of
the deceased have to be deducted towards personal
expenditure. Accordingly, the compensation is enhanced
as under.