Extracted from the PDF above. The PDF is authoritative.
MACA No.481 of 2022
IN THE HIGH COURT OF ORISSA AT CUTTACK MACA NO.481 of 2022
(An appeal Under Section-173 of M.V. Act, 1988).
United India Insurance Co. Ltd., Bolangir … Appellant -versus-
Sarita Pradhan & Others … Respondents
For Appellant : Mr. P.R. Sinha, Advocate
For Respondents : Mr. P.K. Mishra, Advocate (R-1 to 3 & 5)
CORAM:
JUSTICE G. SATAPATHY
DATE OF HEARING & JUDGMENT: 25.06.2026 (ORAL)
G. Satapathy, J.
1. This is an appeal by the appellant-United India Insurance Co. Ltd., Bolangir(in short, “the insurer”) challenging the impugned judgment dated 13.12.2021 passed by learned 1st Motor Accident Claims Tribunal, Nuapada (hereinafter referred to as “the Tribunal”) in M.A.C. Case No.9 of 2016 awarding compensation of Rs.9,03,250/- in favour of the claimants-respondent Nos. 1 to 5 including the deceased R-4 with further direction to the appellant to pay the compensation amount to the claimant-respondents.
MACA No.481 of 2022
2. The facts in this case being not disputed is not reiterated to avoid repetition. The appellant-insurer, however, challenges the impugned award mainly on three grounds such as:- (i) for not giving right of recovery of the compensation amount from the owner of the offending vehicle, (ii) imposing interest @ 7% instead of 6% and penal interest 9%, if the award is not satisfied within the particular period and lastly, (iii) the quantum of compensation.
3. Heard Mr. Pratyush Ranjan Sinha, learned counsel for the appellant-insurer and Mr. Pradeep Kumar Mishra,
learned counsel for the claimant-Respondent Nos. 1 to 3 & 5, but none appears for R-6 despite valid service of notice. R-4 being already dead with his LRs already on record, his name is deleted. 4. After having considered the rival submission upon perusal of record, it appears that the insurance company has not at all led any evidence to establish its plea for violation of terms and condition of policy by the insured and thereby, the learned Tribunal has rightly refused to give the right of recovery to the insurer. At this stage, after making a thorough negotiation with the learned counsel for the parties, this Court
MACA No.481 of 2022
proposes an amount of Rs.8,00,000/- along with interest @ 6% per annum together with waiving of penal interest and seeks the response of the learned counsel for the parties, to which Mr. Pradeep Kumar Mishra, learned counsel for the claimant- Respondent Nos. 1 to 3 & 5 by filing a memo agrees and accepts the proposal, but Mr. Pratyush Ranjan Sinha, learned counsel for the appellant-insurer leaves it to the discretion of this Court. 5. In the aforesaid facts and situation and taking into account the law laid down by Apex court in Taslim Parvin & Another vrs. (Smt.) Usha Devi & Another; 2018(2) TAC 22 (SC), since the claimant-respondent Nos. 1 to 3 and 5 agrees to the proposal of the Court through their counsel and the counsel for the appellant-insurer without disputing to such proposal leaves it to the discretion of the Court, it is considered that interest of justice would be best served, if the compensation amount is reduced to Rs.8,00,000/- together with interest @ 6% per annum w.e.f. the date of filing of the claim application i.e. 21.09.2016 till its realization which shall be paid by the insurer to the surviving claimants-respondents. 6. In the result, the appeal is accordingly disposed of with modification of compensation amount to Rs.8,00,000/-
MACA No.481 of 2022
(Rupees Eight Lakhs) together with interest @ 6% per annum w.e.f. the date of filing of the claim application i.e. 21.09.2016 till its realization and this Court accordingly directs the insurance company to pay the compensation amount within eight weeks hence.
In case of payment of the modified compensation amount, the same shall be disbursed to the claimant-respondents proportionately in terms of the award by appropriating the share of deceased-R-4-Debanath Pradhan in favour of the rest of the claimants equally and the statutory deposit together with the accrued interest thereon be refunded back on receipt of deposit of modified compensation amount before the learned Tribunal. (G. Satapathy)
Judge
Orissa High Court, Cuttack, Dated the 25th day of June, 2026/S.Sasmal Designation: Jr. Stenographer